Elsevier

Energy Policy

Volume 38, Issue 11, November 2010, Pages 6545-6550
Energy Policy

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Energy efficiency standards for refrigerators in Brazil: A methodology for impact evaluation

https://doi.org/10.1016/j.enpol.2010.07.032Get rights and content

Abstract

In Brazil energy efficiency standards for cold appliances was established in 2007. A specified single set of MEPS (minimum energy performance standards) for refrigerators, freezers and freezer refrigerators was implemented without evaluating its impacts and estimation of potential electricity savings. This paper presents a methodology for assessing the impacts of the Brazilian MEPS for cold appliances. It uses a bottom-up approach to estimate residential end-use consumption and to evaluate the energy saving potential for refrigerators. The household electricity consumption is projected by modeling appliance ownership using an econometric approach based on the recent household survey data. A cost–benefit analysis for more stringent standards is presented from the perspective of the society and electricity customers. The results showed that even considering the current market conditions (high discount rate for financing new efficient equipment) some MEPS options are advantageous for customers. The analysis also demonstrates significant cost-effective saving potential from the society perspective that could reach 21 TWh throughout the period of 2010–2030—about 25% of current residential consumption.

Introduction

Minimum energy performance standards (MEPS) are mechanisms of public policy that prohibits the commercialization of products which do not comply with specific limits of energy consumption. MEPS have been implemented in many countries (Harrington and Damnics, 2004) and are an effective mechanism to promote energy savings and market transformation (Rosenquist et al., 2006, Schiellerup, 2002).

The international experience shows that the adoption of these energy standards requires the implementation of some steps such as technology assessment, market assessment, price-efficiency relationship, life-cycle costs and also a prospective evaluation of impacts is required. As an example, McMahon (2004) compares the establishment of MEPS in the USA and Australia. This comparative analysis shows the existence of similar steps in the processes adopted and an evident concern with impacts of the adoption of the standards under the perspective of the consumers (the life-cycle costs), of the society (national benefits and costs), and also considering the views of trader’s associations and manufacturers (industry, competition and commercial issues).

In Brazil energy efficiency standards policy formally begins with the ‘‘Energy Efficient Act’’ enacted in 2001 (Brazil, 2001). The specified set of MEPS for refrigerators, freezers and fridge freezers and air conditioning devices was adopted only 6 years after the Law (MME—Ministry of Mines and Energy, 2007). Criteria to specify the first MEPS for residential refrigerators were based on the experience of the Brazilian Labeling Program (PBE). Through the PBE, Brazilian manufacturers, CEPEL2 and INMETRO3 decided to eliminate the last label classes on a voluntary basis. The standard prohibits manufacturers and importers from placing F and G rated appliances on the Brazilian market. Table 1 shows the equations used for estimating the MEPS for the existing refrigerator models in the country.

Nevertheless, estimates of energy savings potential by adopting the proposed standards were not made. The Brazilian Ministry of Mines and Energy justified that there was not enough information about replacements of old appliances by new equipments (MME—Ministry of Mines and Energy, 2006a, MME—Ministry of Mines and Energy, 2006b). The lack of this type of analysis makes a precise assessment of energy efficiency potential impracticable in the context of national energy planning. The estimates of energy saving potential through MEPS could assist in the identification of cost-effective opportunities to reduce the requirements for power sector expansion. The National Energy Plan 2030 (MME & EPE, 2007) does not consider specifically the potential impacts of energy efficiency mechanisms in the behavior of the projected electricity demand.

The main goal of this paper is to present a model for impact evaluation of MEPS in Brazil for the case of home cold appliances. The model is conceived to examine the economic and energy impacts considering the consumer and society’s perspective.

Section snippets

Refrigeration energy projections: methodology

The proposed methodology combines a bottom-up approach based on detailed engineering appliance data with a stock forecast model which considers the growth rate of appliance ownership in the residential sector and sales. The ownership of basic appliances, such as refrigerators, is dynamic and depends mainly on the household income level and the appliance prices. The model utilizes population forecasts in combination with an econometric parameterization to estimate the national ownership rate for

Model results and impacts

The energy saving potential and the economic evaluation front to the perspective of the consumers and the society are described as follow. These results pursue the premises of economic growth of the B1 scenarios (rate of 4.1% per year) presented in the National Energy Plan (2030) (MME & EPE, 2007).

Conclusions

The methodology presented based on econometric approach and engineering data for refrigerator ownership and performance provides a practical instrument for impact evaluation of the minimum energy performance standards for Brazilian refrigerators. In the Brazilian current policy context it can be a useful tool for energy planning, since we have not yet evaluated the effects of adopted MEPS into the future energy projections.

The simulations prove that there is a substantial economic savings to

Acknowledgements

The author Conrado Augustus de Melo would like to thank CNPq (National Counsel of Technological and Scientific Development) to give an opportunity to realize studies for his Ph.D. at the Energy Planning Program of FEM/UNICAMP.

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