Preparing for Regional Efficiency Standards

In humid climates like the Southeast and North, a VSD compressor and MCHE solution in air-conditioning systems provides maximum moisture removal. In the dry Southwest, systems benefit from the technologies’ higher cooling efficiency. All homeowners, regardless of region, benefit from the optimal indoor comfort, thanks to a VSD compressor’s ability to regulate indoor temperatures to a minimum variation of +/- 0.3 F, and noise reduction that a variable speed air-conditioning system would provide.

In the north, VSD compressors and micro channel heat exchangers reduce the need for back-up resistance heat by boosting heat pump capacity and increasing HSPF by 15% and higher.

Beyond the Standards
These technologies do more than help meet the DOE’s regional efficiency standards and any forthcoming legislation. They are also smart grid-ready, which is of increasing focus, especially in areas such as California. Variable speed air-conditioning systems offer:

• improved load control capabilities during utilities’ peak days while minimizing the impact on a home’s comfort
• increased air-conditioning equipment efficiency as the system is unloaded on these peak days
• adapting the load to momentary transient conditions on the utility grid, which reduces the need for costly reserve generation capacities
• variable speed compressors offer improved power factors compared to traditional fixed-speed systems, which reduce transformer load and power grid losses.

Turning Standards into Law
In April 2011, the Senate Energy and Natural Resources committee introduced, with strong bi-partisan support, the consensus agreements as S.398 or Implementation of National Consensus Appliance Agreements Act (INCAAA).

S.398 also includes other provisions, including legislation that would enable states to incrementally raise equipment efficiency standards — above basic equipment standards — for new construction through building energy codes, as well as some revisions to products.

Today, given the current stalled political environment, S.398 hasn’t yet passed the Senate; however, the bill could advance U.S. building energy efficiency policy while avoiding a controversial regulatory rulemaking process.

For example:

• The bill recognizes the climate differences that exist in three major U.S. regions, and proposes appropriate equipment standards for each. This helps to avert the implementation of individual state and local standards, which would be difficult and costly for the industry to meet.
• The bill also acknowledges that newer, highly efficient equipment can more easily be installed into new building construction where space and power venting (for condensing furnaces and water heaters) can be made available, and where mortgage financing makes the higher, up-front cost more affordable. Conversely, in the replacement equipment market, installation space can be constrained and mortgage financing isn’t often available, making the replacement of old equipment with new high efficiency equipment more costly up front.

Once enacted, it’s estimated that INCAAA would save 1.2 quadrillion BTUH of energy annually by 2030, and save consumers more than $50 billion in energy costs, according to the American Council for an Energy-Efficiency Economy (ACEEE). This is in addition to reducing brownouts and blackouts and environmental benefits like reducing carbon dioxide (CO2) emissions.

Despite bipartisan political support, the bill doesn’t carry the endorsement of the entire HVAC industry. Organizations such as Air Conditioning Contractors of America (ACCA) and Heating, Air-conditioning & Refrigeration Distributors International (HARDI) have opposed the standards, citing relevant concerns for the industry, specifically contractors and distributors, such as:

• Consumers’ reluctance over initial costs of higher efficiency equipment
• The ability of the DOE to effectively enforce the standards, including the possibility it would create excessive paperwork for small business owners who do successfully comply
• Cost undercutting of bids by contractors who choose to operate against the standards
• Product stocking issues that could result for equipment distributors with cross-regional coverage, as well as unused, uninstalled inventory that can’t be installed under the new standards.

An organization of natural gas companies has also filed suit against the DOE with the attempt to block the implementation of requirements for higher efficiency condensing gas furnaces in the north.

It’s difficult to argue against the concept of energy efficiency. It reduces the country’s dependence on foreign oil sources and, therefore, improves national security. It reduces the industry’s environmental impact, minimizes the need for the construction of additional power plants to accommodate the nation’s growing energy demand and, ultimately, saves homeowners money on utility bills. As a country, we’ve come a long way in how we value energy. And, as an industry we’ve made vast improvements in the efficiency of equipment. However, energy requirements continue to grow, so we must continue to deploy technologies that will offset those energy needs. It’s important that the industry work together to collaborate on an approach that makes sense, and that avoids the piece-meal approach that would result if each state and locality specifies its own efficiency regulations.

Dan Schillinger is business development manager, variable speed equipment, for Danfoss. Robert Wilkins is Danfoss’ vice president, public affairs.