Energy Efficiency Policy, Strategy and New Initiatives

15th World Electronics Forum Meeting14-17 November 2009 | Shenzhen , CHINA

Consumer Electronics Association

• Represents more than 2,000 companies in the $172 billion U.S. consumer electronics industry

• Membership includes component suppliers, device manufacturers, retailers and distributors, service providers

• Most of CEA’s members are small and medium-sized businesses

• Environmental Policy Committee and Energy Efficiency Working Group

Challenge: Government Policy• Energy efficiency policy is formative• Similar policy activity at all levels of government

(local, national, regional and international): Are new measures needed? Are existing programs working?

• Informing and educating policy makers everywhere is critical

• Influencing and shaping legislation and regulation is critical

Challenge: Government Policy

• What is the best way to encourage and support energy efficiency in the consumer electronics sector while protecting innovation, competition, economic growth and consumer choice?

CEA Position

• Support voluntary, market-oriented programs and initiatives, including industry-led standards, which promote energy efficiency. Work cooperatively with governments in the development of energy efficiency initiatives. Oppose government mandates that stifle innovation, reduce consumer choice, and limit product features and services.

Strategic Objectives

• Provide current energy use data and analysis• Develop industry-led measurement standards• Promote voluntary, market-oriented programs

and public policy• Educate and inform consumers• Promote energy-efficient products

Energy Efficiency Initiatives• CEA champions energy efficiency with a variety of

initiatives and contributions—Commissioned study of energy use in electronics—Commissioned study of energy savings from electronics

used for telecommuting and e-commerce—Supported industry standards for measuring power

consumption in TVs and set-top boxes—Developed energy-saving tips for consumers—Promote energy efficiency at International CES—Support the ENERGY STAR program since 1992

Industry Challenges

• Policy differentiation between consumer electronics and appliances (“white goods”)

• Some major consumer electronics companies with different positions in different regions

• Limited international industry coordination• Multilateral organizations are active (e.g. IEA,

APEC, APP, G8/G20, etc.)

Industry Standards Challenges

• Ensuring current and appropriate industry standards for measuring energy use in electronics

• Addressing recent efforts (e.g. in Canada) to force inclusion of energy use limits in industry measurement standards

Energy Use Data Opportunities

• Study energy use in consumer electronics about every three years

• Improve quality and quantity of information available from government agencies and the media

Consumer Education Opportunities

• Energy-saving tips for consumers are helpful• Energy use disclosures/labeling is next big

development• Voluntary measures by consumers and industry can

achieve better energy savings than proposed regulatory limits

• Huge energy-saving opportunity for TVs• ENERGY STAR + Energy Use Disclosures =

Informed Consumers

New Initiatives

• Utilities (at least in North America) are major stakeholders; utility rebate programs

• “Smart grid”• Home energy management (products and

services)• Consumer information (disclosures of power

consumption, new products)• Should our industry be setting goals?

Rethinking Systems

• Most digital electronics and many new lighting approaches use DC electricity

• Electricity supply is AC, which is converted to DC at each point of use, wasting some power

• Renewable energy sources, like solar, naturally produce DC electricity which will require conversion to AC for distribution and then back to DC for use

Time for DC Distribution?

• It is time for the industry to analyze the environmental benefit of a new approach to electricity distribution within commercial and residential buildings

• Get behind a push for change if analysis proves positive benefit

• Concept is not new but will take concerted action (see www.emergealliance.org)

California’s Proposed Energy Use Limits for Televisions

• California is relying on flawed assumptions, erroneous calculations, and outdated technical data that do not support the proposed regulations.

• Mandatory limits on the energy performance of digital TVs will stifle future innovation and harm consumer and state interests in the highly dynamic and competitive technology market.

• Regulators should adopt alternative measures that, in conjunction with industry’s voluntary efforts and existing market-oriented programs, will yield energy savings at least as great, if not greater, than would otherwise be achieved by regulating power consumption – but without the costs to consumers, business, and innovation.

New Opportunities for WEF

• Outreach to sister associations?• Information sharing?• Policy coordination?• Joint research?• Goal setting?

Change Is Needed

• The tremendous good brought by electronics is being lost in negative news over energy use and recycling

• Industry must be more aggressive in addressing concerns, shaping government policy, and considering radical ideas

• Regain the leadership role in improving lives

Contacts:Parker BRUGGE – pbrugge@ce.org

Douglas JOHNSON – djohnson@ce.org