Air-conditioners with more ticks get more picks

Tania Tan, Straits Times 14 Mar 08;

SALES of energy-efficient air-conditioners are going up, as consumers warm up to the prospect of savings on their electricity bills.

Electronics retailers such as Gain City Best-Electric and Courts have seen an increase in sales of such models. They declined to cite exact sales figures, but Gain City estimates that 10per cent more such air-conditioners were sold in the first two months of the year.

One possible reason for the jump in sales: Energy labels, introduced for voluntary use by retailers of household appliances in 2002, became compulsory from January.

'It tells customers at one glance how much they stand to save if they buy a particular model,' said Ms Lily Teo, a merchandising manager at Gain City Best-Electric.

Armed with a calculator, consumers can figure out how much they will save, by looking at the energy label.

On it, the appliance is rated for energy efficiency by a number of ticks, which are awarded by the National Environment Agency (NEA). The maximum four ticks means the appliance is 'excellent' in energy efficiency.

The label also declares the amount of energy the appliance gobbles up in an hour.

An air-conditioner which uses 1.2 kilowatts per hour (kWh) would thus cost $2,100 to run every year if it is on for eight hours a day, based on the current tariff of 22.62 cents per kWh; a unit which uses 4.1 kWh would cost $2,700 to run for that length of time.

Ms Teo noted that although the more energy-efficient models cost at least 30per cent more, the cost savings will usually offset the initial price difference.

A check with three major brands - Mitsubishi Electric, Daikin Airconditioning and LG Electronics - indicated that consumers have been going for the more efficient models. They, too, declined to reveal sales figures.

But boosted sales do not necessarily mean consumers are 'greener', said the companies.

'People could be spending on more efficient models simply because the economy's better and they can afford it,' said Mr Liu Shaw Jiun, the general manager of Daikin.

Singapore Environment Council executive director Howard Shaw agreed with him that public education is needed on the benefits of using efficient appliances.

The Mandatory Energy Labelling Scheme will be extended to clothes dryers by April next year. These appliances are second to air-conditioners as high consumers of electricity.

The NEA will also look into imposing minimum energy performance standards on household appliances, which could lead to a phasing out of energy-inefficient ones.

What is the Energy Labelling Scheme?
Straits Times 14 Mar 08;

FIRST introduced on a voluntary basis in 2002, the scheme was made mandatory in January this year.

Air-conditioners and refrigerators were the first appliances to come under the scheme, because they make up about 50 per cent of a household's total electricity bill.

Next to be included are clothes dryers, which will sport energy labels from April next year.

Issued by the National Environment Agency, the yellow and blue labels tell would-be buyers how much electricity an appliance uses per hour, with details of the brand name and model number.

An appliance with a poor efficiency rating carries zero tick, while one with an 'excellent' rating has the maximum of four ticks.

Under the Environmental Protection and Management Act, suppliers who do not label their products can be fined up to $2,000.

What the ticks mean

AN AIR-CONDITIONER with four ticks and which uses 1.2 kilowatts per hour (kWh) would cost $2,100 to run every year if it is on for eight hours a day, based on the current electricity tariff of 22.62 cents per kWh.

In contrast, a unit not awarded any tick and which uses 4.1kWh would cost $2,700 to operate every year for that length of time each day.