Appliance efficiency programs in Australia: labelling and standards

Household appliance penetration and ownership in Australia is higher than in western Europe, and close to North American levels. Most products are manufactured locally, by firms with international links and with access to both European and North American designs and technology. A significant share of the market is imported, mainly from New Zealand, Asia and Europe. Because of the relative mildness of the climate, appliances that carry an energy label (such as dishwashers, clothes washers, clothes dryers, and refrigerators and freezers) account for a greater share of household energy use than in most other developed countries. The energy efficiency of appliances in Australia increased steadily during the early 1980s, but the introduction of mandatory energy labelling in 1986 in some states saw a significant increase in the rate of change. The mandatory government energy labelling program, which is in force in most states, now includes refrigerators, freezers, room air conditioners, dishwashers, clothes washers and clothes dryers. A voluntary industry-based gas appliance energy labelling program is also in place for gas water heaters and flued space heaters. The Australian energy labelling program is widely regarded as among the most informative and salient in the world, and it may be extended to New Zealand over the next few years (many products in NZ already carry the label as the Australian and NZ markets are closely integrated). Label recognition and use is very high among recent and prospective appliance purchasers. The use of a static efficiency scale on the label, while assisting recognition and comprehension, has also reduced the competitive pressure on suppliers, as efficiency improvements have pushed many models to the top of the rating scale. In 1995, Australian energy ministers agreed to implement minimum energy performance standards (MEPS) for refrigerators, freezers, and electric storage water heaters, to take effect in 1999. The levels are relatively moderate, and the effect will be to complement the energy labelling program rather than to transform the energy efficiency of the market.