greetings  from  the  fair  city
essence


latest updates 2011-2012:
(minor updates not listed)

5/31     [New] Halogens banned too
6/1       Light bulb 1000 hour cartel
6/1       Local Jobs
6/2       VITO/EU bulb research
6/3       Fun and Games in the EU
6/3       Texas Bulb Bill with Governor
6/7       Fun and Games in the EU
6/8       Fun and Games in the EU
6/9       CFL recycling issues
6/19     US bulb bills updates
6/20     USA LED subsidies
6/20     LED lifespan research
6/27     Michigan bulb repeal bill
6/30     Pennsylvania bulb repeal
7/7       Efficiency in Electricity Generation
7/8       New Congress bulb bill
7/12     Congress bulb bill vote
7/16     House bulb amendment passes
7/17     Philips: bulb ban sought for profits
7/20     Budget Savings: Tax beats Ban
7/21     Georgia bulb bill still on
7/23     Lack of regulation savings
7/27     The EU bulb ban story
7/27     Michigan bulb bill: fall reuptake
7/29     On bulb ban savings logic
7/31     GE bulb cartel involvement
8/1       How US bulb makers sought ban
8/1       Canada etc bulb ban issues
10/25  Canada bulb ban
10/28  US states: bulb bill updates
11/3    Canada etc bulb issues
11/17  Bastiat candlemaker petition
11/19  Bastiat, Solyndra, markets, jobs
11/19  Canada 2014 bulb ban delay official
11/22  EU Parliament 2009 bulb vote info
11/22  Rand Paul, Ayn Rand and lighting
11/25  Light bulb ban summary
11/26  EU bulb ban story
11/27  EU bulb ban story
11/28  Sweden CFL mercury crisis
11/30  EU bulb ban story
12/04  BC and Canada regulations
12/08  [New]  LED light radiation
12/09  Lobbying by bulb manufacturers
12/10  Light section introduction
12/14  GE lobbying + relation to US Govmt
12/15  CFL and LED politics
12/17  USA bulb amendment
12/17  USA bulb rules clearly explained
12/20  More on the EU bulb vote
12/21  EU lobbying revelations
12/22  Overview industrial politics
12/22  Commisioner Piebalgs and EU ban
12/22  Philips, Osram, UN cooperation
12/24  Light bulb industrial politics
12/24  Philips, Osram, EU, UN relations

01/07  Virginia freedom bulb bill
01/11  US lighting regulations
01/12  Total lighting switchover savings
01/14  Virginia freedom bulb bill
01/16  US lighting regulations
01/18  US Gov: "future bulb sales ban"
01/25  Missouri freedom bulb bill


   Accompanying blog:
   Freedom Light Bulb
LIGHT BULB CLARITY:
NEW ELECTRIC POLITICS 


Dr. Peter Thornes
peter.thornes at gmail.com
click on headlines in the text to return up to the top


Introduction       Overall Concept       About the Websites       Basic Questions




A New Electric America [EU, Canada, Australia...]
Positive, dynamic, efficient policies from generation to consumption,
rather than negative, restrictive and inefficient policies,
with their costly subsidies and regulations, and doubtful future savings.


Introduction: Energy Supply, Waste and Efficiency
Achieving overall efficiency, including in public and private administration

Efficient Electricity Generation: Raising or not the price of electricity
Achieving energy efficiency from stimulated competition and new technology

Karl Marx comes to Town: A Different take on Distribution in Society
How public distribution control is best in stimulating fair and efficient private service competition

Electricity Grids
Transmission and Interconnection Changes
Smart Grids and Meters

Electricity Consumption
Electricity savings throughout the energy usage chain

Final Words
Comparing policies and making the right decision

Addendum
Budget Saving: Tax not Ban Products based on Energy Use
A tax on otherwise banned but popular and safe Buildings, Cars, Electrical Goods etc gives Government direct big income, albeit that free market competition is preferable.






Energy Use: Why Regulate It?
In using energy, efficiency is best achieved by the stimulation of competition, rather than by regulatory restrictions on services and products, which tend to backfire, taxation then being preferable.
Moreover, future energy availability does not warrant choice restrictions for paying consumers, and any shortage of an energy source raises its price, reduces its use, and increases the use anyway of alternative energy sources and of energy saving products - without any regulations.


Introduction
What energy efficency regulations are, and what they seek to achieve

Summary
Listing the reasons against energy efficiency regulations
Also replies to the 8 main reasons held to justify regulations

Standards and Markets
Creativity, choice and planned obsolescence related to energy and lifespan standards

The Manufacturer and Consumer Sides
How Regulations affect Buildings, Cars, Washing Machines/White Goods, TV sets and Computers:
Product Performance
Construction and Appearance
Price Increase
Lack of Supposed Savings: Money, Energy or Emissions
Regulation versus Free Markets to achieve Desired Sales
Local Jobs

The Energy Side
Energy Supply -- Energy Security -- Cars and Oil Dependence

The Emission Side  
Climate Change and CO2 Emissions
Buildings -- Industry -- Power Plants -- Electrical Appliances

Car Policies
Beyond Market Competition: Regulation versus Taxation, if fuel use or emissions still need a targeted reduction






The Light Bulb Ban
How and why regulations that ban cheap, simple, safe, and popular light bulbs are wrong.
This includes the small overall energy savings as referenced, savings more relevantly achieved in other ways, if politically needed in the first place.

Summary
Choice, savings, safety, markets and jobs.

What is Banned and When
USA, Canada, EU and Australia regulation overview, with dates
Links to regulations, to Canada delay proposal, and to USA repeal bills


PART 1

Introduction
The strange logic behind light bulb regulations

The "Similar bulbs will still be allowed" deceit
All known incandescents will progressively be banned in the USA and EU.
Post-ban EU also shows a lack of availabilty of touted Halogens, CFL retail sales are pushed.

The Politics behind banning Light Bulbs
The involvement of manufacturers and other vested interests,
as seen by official USA and EU documentation and communication
Background Factors
The Push to use CFLs, CFL programs
Fun and Games in the European Union

Light Bulb Basics
Safe -- Old ain't Bad -- Popular -- Unpopular -- Cheap -- Useful -- Proven Heat Benefit -- Ban on 100W+ Bulbs -- All Lights are Different -- Using Lights at Home



PART 2

Lighting Energy, Emissions and Cost
Emissions not justify a ban
Money savings not justify a ban
Energy/Emission/Cost savings rundown
Price factors -- Usage factors
Incandescent Heat Effect -- Energy Efficient Incandescent usage
CFL usage: Energy Use -- Brightness -- Turning on-off -- Lifespan
LED usage: Cost -- Complexity -- Brightness -- Light Quality -- Lifespan
Lighting Lifecycles -- Switchover cost factors

Canada and similar countries or states
Smaller savings, no energy shortage, low emissions, cold conditions, more time indoors in varied surroundings

The Overall Small Energy Savings
USA Dept of Energy data, less than 1% of society energy usage saved
Why Power Plants are not saved in any case



PART 3

Lighting and the Local Environment
Lighting Choice: Light Quality and Esthetics
CFL Safety: Home Safety (Fire Risk etc) -- Radiation -- Health

The CFL Mercury Issue
Breakage -- Recycling -- Dumping -- Mining -- Manufacturing -- Transport -- Power Plants

LEDs: Safety and Environmental Issues
Fire Risk, Toxicity, Breakage and Disposal, Mineral Depletion
Light Radiation Issues


PART 4

End Notes
What is the hurry to ban now?
Additional comments on the EU legislation

Light Bulb Policies Compared
Free Markets or Taxation or Regulation:
How does one stimulate the manufacture of good - including energy efficient - lighting?

Final Words










Introduction



The original website (before February 2011) covered energy and emissions on a wider scale, with a particular focus on electricity generation and distribution as well as consumption.
It is being reorganized, split up, edited and updated, beginning here with energy efficiency policies and light bulbs.
However, to keep a coherence without too much cross-referral, salient points will be summarized also here, when appropriate.

This is about positive politics.
Positively supplying energy as needed by businesses and consumers, rather than forcing them to make choices they would not otherwise make.

Does freedom of choice not mean the waste of energy?
On the contrary, it is also the best way to promote energy efficiency, making it desirable of itself - rather than forced against the wishes of businesses and consumers.
This is done by looking at the whole chain of energy use, from production to consumption, as with the electricity sector:
How power plants use less fuel, say coal, in supplying electricity,
how grids have less transmission losses,
how businesses and consumers use less electricity,
how manufacturers use less electricity in making products,
and - yes - how they also make energy efficient products, that people want to buy and use.

This is achieved by making markets more effective by competition, not less effective by regulation:
Promoting competition, that ensures that profit-seeking utilities, industries and businesses themselves want to keep their costs down, including their energy costs, without being told how to do so.

Regulations, on the other hand, are not only less efficient in the energy savings stipulated (does a Government bureacrat know better than a business owner, how he or she should run their businesses?) but the coercion involved means that they are less likely to be followed too.

Under competitive pressure, manufacturers are also forced into market research of what people want.
People have always wanted products that can save energy and money.
Indeed, such products have to already exist when energy usage standards are being set: or else, as with light bulbs, people might literally be "left in the dark"!.
Free markets therefore already delivered such products, free markets will continue to deliver them, and they will be bought to the extent that they deserve to be bought.

Regulation proponents and regulation-lobbying manufacturers emphasize how good today's energy saving products already are.
Wonderful.
Then let the manufacturers get off their backsides and market those products accordingly, rather than look for the easy way out, a ban on popular cheap unprofitable alternatives.
"Expensive to buy but cheap in the long run"?
Battery and washing up liquid manufacturers can imaginatively advertise and sell such products. So can light bulb and other manufacturers.






Overall Concept:

How to deal with - and how not to deal with - Energy, Emissions and Electricity


Efficient energy and emission politics, with a focus on electricity:
How the stimulation of competition, rather than regulation, drives energy efficiency, both in industrial processes and in the manufacture of energy efficient products desirable by consumers.
How, in the case of the electricity sector, efficiency is further fostered by neutral publically administered smart grids with private service provider competition, so that any electricity desired by consumers is generated and distributed with whatever environmental criteria is deemed necessary, rather than telling businesses and consumers what they can or can't do with the electricity provision that they pay for.
Simple light bulbs are safe and popular products.
They don't burn coal and they don't release CO2 gas.

How the need to force consumers to save energy that they themselves pay for is itself unjustified by any society energy shortage, particularly for electricity generation, such that any shortage of finite oil/coal/gas sources simply increases their price and leads to the reduced usage of such energy anyway - without political interference.

How the need to reduce true and local emission pollutants is clearer than the need to reduce atmospheric CO2 -and to have to do it by industrial emission reduction- notwithstanding that any need to reduce CO2 emissions can be done through real market mechanisms, and through other ways that actually focus on the CO2 emissions, compared to current emission trading (cap and trade) schemes, or indeed energy efficiency regulations:
If there is a problem - deal with the problem.
If emissions are a problem - deal with the emissions themselves.

Turning it around...
How energy efficiency regulations reduce the choice of buildings, cars, washing machines, TV sets, computers and other products, since it changes many characteristics of those products apart from their price, and why such regulations are wrong even if society needs to save energy or CO2 emissions, not least exemplified by the irony of banning the world's most popular form of home lighting for environmental reasons:
Given the problems of the main fluorescent replacements, and that electrical appliances themselves don't give out any CO2 gas.

In turn thereby, the unnecessary forced replacement of simple, cheap, bright, easily and often locally made and transported light bulbs that use well known, safe and proven technology, a product ban that delivers large profits to global multinational complex light bulb manufacturers and distributors in the name of saving energy, energy which -as it happens- is actually hardly saved overall, as shown by unpublicised official data from several sources, including the US Department of Energy.






About the websites

At one level, this is about light bulbs, energy efficiency regulations, and energy and emission policies.

At a deeper level, it's about challenging accepted truths.
Few challenge accepted truths - that's why they stay accepted.
Repeat supposed "facts" often enough, and many will believe them.
Of course, if the supposed facts support a belief, so much the better:
Rather than to have an open-minded attitude in dealing with issues, most politicians seem to look for evidence to support pre-determined policies, be it with energy provision, with emissions, or with anything else.

Underlying this text is something called essence ideology.
More than seeking to provide the right answers, it is first of all about seeking to ask the right questions.

Essence ideology is a way, through questions, to seek the value and purpose of what is created, rather than the value of destroying what is created.
While in that sense obviously directly applicable here to light bulbs and other products subjected to bans unrelated to their safety in usage, it goes beyond such material considerations, into the policies behind them.
An open minded stance thereby looks at all the alternatives, including seeking any value that rejected ideas nevertheless might have:
For example, though today's energy saving policies are here considered to be misguided, nonetheless the efficiency ideas behind them are also looked at for their value.

On a larger scale, the traditional left-right ideological divide is therefore also ignored.
Public and private ownership are each considered for the distinct, separate, advantages they may have - and kept that way, rather than having the currently popular "third way" mish-mashes.
This will in the text be illustrated for example with neutral publically controlled electricity grids, within which private service providers compete.

In the public sphere, regulation rather than competition:
Public services never compete,
thereby maintaining freedom of information and insight for citizens whose active participation and criticism is sought, with a special recognition of those in society who are not served by private markets.

In the private sphere, competition rather than regulation:
Private for-profit services must compete,
as distinct independent entities, within the public whole of society.
Governmental support for new privately owned market entrants is maximal.
Governmental support for existing private enterprise is minimal.
The stimulation of competition, kept as fair as possible.

Today it is also common to place importance on the extent of public versus private ownership in society.
With essence ideology, the importance is not the extent of each, but therefore their different advantages in serving society.
In fact, the extent of either would vary according to circumstance:
Always beginning with an overall view of what is possible, the population count and population density is taken into account.
As population count and/or density increases, essence politics moves from left to right on the traditional ideological scale, in the sense of making market competition more viable in applicable sectors.






Basic Questions



When I originally heard about the light bulb ban, I naturally assumed, like others, that it meant that there was something wrong with the light bulbs:
After all, until now, the reason for banning products -such as lead paint- is that they are dangerous in some way.
So are simple regular light bulbs unsafe to use?
Do they have any radiation concerns?
Are they poisonous when broken?
No - that turns out to be the other lot!
In beautiful irony, the logic of banning anything is turned on its head:
The more I have investigated, the stranger it has got, as gradually the fog clears on profit-seeking global multinational light company executives hand-in-hand with non-global environmental activists to secure bans on a simple, appreciated, overwhelmingly popular and safe product, often locally made with local jobs and with a lack of transport emissions, compared to the complex alternatives.

Certainly: Energy saving standards are logically enough defended on the grounds of saving energy, but as will be shown - whatever your electricity meter says - in overall energy usage terms the savings are negligible.

Even if the savings were there,
there is the question of who is paying for the energy you use (you or the regulation legislators?),
and the question if there is a society energy shortage that justifies regulations (there isn't),
and how to actually deal with CO2 emissions (do light bulbs themselves give off any CO2 gas?).

Even if specific lighting policies were held to be needed,
there is the question of what policy is best at energy efficiency:
how competition-based policies are better at delivering both choice and energy efficiency,
and even if that was not accepted, how direct taxation on relevant light bulbs with pre-ban 2 billion US (and 2 billion EU) annual sales would give a massive government income for pro-ban satisfying energy/emission projects in coming years, more than offsetting any negative effects of those bulbs that remained.



As said: Before finding the right answers, the right questions need to be asked.




Energy Savings?

There is a moral that "energy should not be wasted".
However, not everyone's idea of energy waste is the same:
Consumers, not regulating politicians, pay for the energy supply, and while neutral, factual advice on how to save energy is surely welcome, that is not the same as one-sided governmental information campaigns that extol products purely on the basis of their energy consumption, or worse still, regulatory or taxation measures that seek to enforce energy savings.
Regulating politicians continually forget - or choose to forget - that enforcing a lower energy usage of buildings, cars, washing machines, TV sets or light bulbs also changes their characteristics in different ways, which people might like, apart from making them more expensive (or they would use less energy in the first place).

Besides, actual energy savings from regulations tend to be less than supposed, for many reasons, including that if energy efficiency effectively lowers the product usage cost, consumers tend to unnecessarily waste the product usage, as shown by research references in the text.

The actual need to save energy in society depends on if there is an energy shortage.
The finger is usually pointed at oil, coal and gas supplies:
Yet, regardless of worldwide reserves, note that any shortage raises prices and automatically leads to less oil, coal and gas use, without political intervention.
In a similar way, any government worried about imported oil can simply raise its price, by duties or taxation.
They don't have to chase consumers, telling them what cars or other products they are allowed to use.

An overall view means also looking at the supply of alternative energy sources.
Whether as renewable energy or nuclear energy (itself long-lasting and arguably renewable), such alternatives are hardly lacking, now or in the future, particularly with electricity generation.

But let's turn it around:
Energy efficiency is still worth striving for.

How is energy efficiency best achieved?
Not by "stimulating manufacturers to be energy efficient through regulation",
but by "stimulating manufacturers to be energy efficient through competition".

Energy is a money cost to industry.
Under pressure of competition they'll want to use as little energy as possible in industrial processes, to maintain profits - no need for finger-wagging regulators!
Similarly, energy is also a cost for consumers.
Energy saving in a product is certainly an advantage to them - among other advantages.
Under pressure of competition, market research will show the energy saving bulbs that people actually want to buy.
People already do buy "expensive but cheap in the long run" alternatives, as described.

Therefore, competition rather than regulation:
Creation through competition, not destruction through regulation.
Products defined by manufacturers and consumers, not products defined by committee bureacrats, furthered by lobbying, vested commercial interests:
Today's global multinational manufacturers of complex expensive light bulbs are of course delighted with a ban that wipes out cheap local competition of simply made bright light bulbs, or indeed not to have to make such small-profit bulbs themselves, as the CEO of Osram and other executives have publically admitted.

Ask yourself this:
Why do so many manufacturers of different products - and their associations - welcome being told what they can make?

Indeed, why do politicians and public officials also welcome it:
It is surprising to see the mounting restrictive regulations in the USA, the supposed "land of the free", although resistance is now (2011) also increasing.
The less surprising EU regulatory mania in this case involves the suitably Orwellian named Brussels based "Ecodesign Committee", a small number of bureaucrats that decide on how 500 million citizens can or can't use the energy and electricity supply that they pay for.

It should be remembered that this is not ordinary consumer legislation that bans unsafe products.
We are not talking about banning lead paint here.
We are breaking new ground, in telling manufacturers what they can make - and consumers what they can use.
Certainly: One can praise the aim of using energy more efficiently.
But then other described measures that reduce energy waste and increase energy efficiency are more appropriate, such as stimulated market competition.
If there is a problem - deal with the problem.

Don't like the idea of market competition?
Prefer to keep a direct state involvement in reducing energy consumption?
Alright.
What, at least until now, has been the usual way to reduce consumption but retain choice of safe products - or even unsafe ones, like tobacco and alcohol? Taxation.

Taxation - compared to regulation - is preferable as a direct product targeting instrument to reduce consumption, whether of oil/coal/gas sources, the electricity they produce, or as taxation on individual products based on energy consumption (buildings, cars, electrical products).

Consumers keep choice, which can include energy saving products being cheaper than today via tax reduction or subsidies (equilibrating the market), while governments gain income that can further be used to lower coal/oil/gas consumption more than remaining taxed products raise it.
For example, the 2 billion current US (and EU) pre-ban sales of relevant cheap and therefore easily taxable light bulbs shows the potential great governmental income from taxing them alone.
The California Irony: A bankrupt ban-happy state choosing to ignore all the possible income from energy efficiency taxation on products from buildings to bulbs.

Taxation can be applied anywhere in the energy usage chain from fuel use onwards, and while unwarranted for similar reasons to regulations, clearly has advantages also for those who now favor regulations.





Emission Savings?

Emission saving is of course also related to energy consumption, particularly for environmentalists.

Indeed, outside the USA, in particular in Europe and Australia, the driving force behind energy efficiency regulations such as on light bulbs has been to reduce CO2 emissions - not to save energy.

Whatever about CO2 and its global effects, one should certainly also remember the local effects of soot, sulphur, heavy metal and other oil/coal/gas derived emission pollutants.
However, clean air legislations have largely come to deal with these problems, and the technology involved is (so far) cheaper than the removal and burial of the carbon in CO2 gas.

Assuming that CO2 emissions indeed need reduction,
there is still a fundamental lack of logic on 2 counts with energy efficiency regulations:

1. What are the regulations about?
Regulations specified to save energy - not emissions.
If emission savings are needed - specify emission savings.
If there is a problem - deal with the problem.

2. Look at your light bulb.
Does it give off any CO2 gas?
Compared to say combustion engine cars, there is a fundamental fact about electrical products:
They themselves don't give out any CO2 gas.
If there is a problem - deal with the problem.

Regardless of policies, electricity can - and will - increasingly be generated with less and less CO2 emissions, certainly in the usually talked about 2020-2050 time perspectives, given the finite nature of CO2 emitting fuels, and the ever-lasting or long-lasting nuclear and renewable alternatives.
Why then alienate businesses and consumers, by telling them what they can - or can't do?
Why should the ever-increasing number of low emission households not be allowed to use what they want?

Nevertheless, specific CO2 emission reduction policies will also be looked at (on an adjoining webpage in line with the mentioned website re-construction), again considering market and taxation solutions before regulation, including how real market based solutions -rather than today's carbon emission markets- can be instigated:
Dealing with emissions themselves, as and when needed - not chasing businesses and citizens around, telling them what they can or can't do.










A New Electric America [EU, Canada, Australia...]


Efficiency from electricity generation to consumption, based on competitive stimulation, maintaining low prices, increasing prosperity and giving new local employment sustained by markets with freedom of choice, rather than regulations and subsidies that give big upfront costs for questionable future savings, with economic stagnation and restricted freedom.
Submission to the US Senate Energy Committee, slightly edited here with text links to avoid unnecessary repetition, a summary will be on the Senate March 2011 Hearing record.

It is about the lack of relevance of energy efficiency regulations and subsidies as regards efficient electricity supply and consumption,
and how alternative policies are better not only at achieving any energy efficiency desired, but also to promote a dynamic growing economy.

While covering the issue in an American context, the principles clearly apply also to the EU, Canada, Australia and other regions, as is the case with the arguments in the Energy Efficiency and Light Bulb sections that follow on.
Some of the main generation and distribution sections are derived from former website content that I may link back to later (see above website introduction).






Introduction: Energy Supply, Waste and Efficiency


Honorable Chairman, Ranking Member, Members of the Committee.


As we all know, energy issues are important.

Energy, literally, drives America forward:
It grows the American economy and creates wealth.

No-one wants to see the waste of energy, or the unnecessary importation of oil or other energy sources.

No-one wants to see the unnecessary release of emissions from burning fuels, emissions that may include soot, sulphur, and heavy metal toxins, whatever about the CO2 content.


But what should then be the policy focus?
The positive focus on the efficient use of energy, or the negative focus on cutting down energy use?

Success cannot only be measured in terms of energy and emissions saved:
In that case we could all go and live in caves and use candles (and not bring any cows with us), to give easier, cheaper and greater savings, compared to the cost of all the upfront subsidies and regulations for a smaller savings success.

The goal of energy efficiency should therefore not exclude a dynamic America that uses more energy, but uses it more efficiently.

This brings up the question of energy supply:
Is there a supply shortage, justifying usage restrictions on those paying for the supply?

In turn, overall concepts of waste and efficiency:
Does the personal choice of product use constitute a waste of energy?
What are the most important ways to avoid energy waste?
How does one go about achieving an overall more efficient society?




Supply:
As will be seen, energy efficiency regulations affect product characteristics, and therefore reduce people's choices of products, in exchange for limited savings.
Whatever the savings, people pay for the electricity they use:
there is no present or future shortage of energy sources for electricity that justifies a supply restriction for those who are paying for the supply.
Oil is not imported for electricity generation, and its use for generation is at most 4% in any distribution region, except in Alaska (usage map)

Moreover:
if there was any shortage of finite coal/gas sources, their price rise (and that of the electricity generated from them) would lower such consumption anyway, and increase the demand for energy saving electrical products.

No need to legislate for such product usage:
Look at the demand for fuel efficient cars when oil prices are high, regardless of efficiency regulations!
In fact, a coal/gas tax would quickly lower relevant electricity consumption without affecting product choices, although not recommended here, compared to alternative competition stimulating policies.




Waste:
Whatever the amount of energy available, no-one welcomes the wasting of energy.
However, one should be clear about what is, and what is not, a waste of energy.
The energy usage chain of electricity will principally be considered in this text.

One should then first look at the energy waste in power plant generation and grid distribution.
As will be seen, not all remedies need to be slow or expensive to undertake.
It is not a case of acting on generation and distribution "along with" regulations.
It is a case of doing what is relevant, meaningful, and justifiable.

When turning to the energy use of consumers, the focus should again be on actual energy waste:
Commercial lighting and other electrical equipment left on all the time is arguably a waste of energy.
The personal choice of what light bulb or other electrical product one wishes to use is arguably not a "waste of energy".




Efficiency:
Efficiency is a relative term:
The energy efficiency of a product is not the same as its performance efficiency!
Certainly everyone wants "efficient products".
But an efficient society - and an energy efficient society - is about a lot more than that.


How is an efficient America achieved that is also a dynamic America, a positive America that may use more energy but does so wisely in creating growth, rather than a negative more stagnant America, that focuses on restricting energy use and freedom for businesses and citizens?

See the introductory section regarding public and private administration and their different advantages from an efficiency perspective.

Basically, public entities never compete, retaining transparency, while competition should always be sought for private for profit entities.
This implies neutral publicly controlled electricity grids, within which private service providers compete.

Population sizes and markets were also mentioned.
Again therefore, a large US population allows for good internal market competition between private service providers and manufacturers, while the relatively sparse American distribution of that population necessitates a public involvement with unduplicated infrastructure such as electricity transmission lines to ensure good federal/state service coverage.




Overall,
it is therefore important to have a holistic view of electricity usage, from generation to consumption.
In particular, in looking at today's situation, how the re-organization of grids improves efficiency.

Politicians who want consumer product regulations, such as what light bulbs people can or can't use, will - correctly - say that they are dealing with supply side issues as well, as indeed shown from several previous Senate and House Hearings.
But the point is to do what is relevant and meaningful in terms of waste reduction and efficient energy use,
not to additionally, and needlessly, try to squeeze the last small drops of possible extra choice-denying savings out of the consumers who are paying for the electricity supply,
a supply of which there is no shortage to justify such action,
a supply of which there will be even less of a shortage in future,
also because of its more efficient use, as described in this section.






Electricity Generation: Raising or not the price of electricity

There is no doubt that energy efficiency in electricity generation could be much improved - regarding the USA as elsewhere a particular focus is put on coal power plants, from the perspectives of both energy usage (being a finite fuel) and the environment (having CO2 and other emissions). The traditional and common American plant only has a 30-35% efficiency, and the technology for considerable improvement already exists.
For more on the issue, Wikipedia on relevant power plants (with further references), the World Coal Association on Coal and Electricity, and the more comprehensive papers Energy Efficiency in the Power Grid (pdf) by Asea Brown Boveri, and the National Petroleum Council on Electric Generation Efficiency (pdf)
and indeed the recent 2011 National Energy Technology Laboratory (US Dept of Energy) study Improved Efficiency of Fossil Fuel Generation and Advanced Clean Coal Technology (pdf)
The point here is simply to raise attention to where energy efficiency policies can usefully be applied, and as seen coal power plants should clearly be considered in that case.
Regarding political policy,
the need to apply energy efficient measures is then dependent on a number of factors:
the ease with which new energy conversion technology can be applied, and how much it improves on the present conversion efficiency to electricity, along with the abundance of current and potential new energy sources and their relative suitability for added electricity generation.

Notice how similar arguments apply with the power plant implementation of CO2 (or other) emission lowering technology.

Put more bluntly,
it does not matter in this context if say the solar conversion to electricity is inefficient in a sunny region, since the supply of sunshine is not going to run out (and it does not involve any gas emissions).
On the other hand the efficiency of say coal conversion to electricity may be more critical in terms of the supply, also because it's often based on a local supply that saves in transport problems (no pipelines for coal, like oil or gas!).
Also, of course, untreated fossil fuel coal/gas/oil/peat sources release CO2 and other emissions.



The path to induce power plant owners to increase energy efficiency and/or emission reduction via new technology and new practices, might begin with the sharing of information and best practices, such that federal/state administration officials and representatives from utility and efficiency technology companies meet up and discuss such new and existing implementation.

Clearly it's about justifying upfront cost for any future gain:
The political focus is obviously that the costs are not passed on to the customers.

In the case of increasing the energy efficiency, the best way of avoiding, or at least reducing, any impact on consumer bills is through increased competition between electricity providers in the grids.
This ensures a will to keep down energy costs generally, including sourcing new fuel providers or using substitute energy sources, quite apart from also increasing the desire of power plant owners to look at energy saving technology.

Compare with a dominant inefficient coal power plant in a grid:
What incentive is there to run that business more efficiently, when the captive electricity customers can be relied on to pay up anyway?

Increased competition of course still does not mean the power plant will be restructured or expensive technology installed, particularly if it will take a very long time to recoup the cost.
This applies even more in the case of installing CO2 emission saving technology - no financial benefit to the company in saving emissions, unlike in saving energy (this of course leads on to Cap and Trade type solutions, false markets with loopholes).

So, if a government feels that power plants need to be run more efficiently (or reduce emissions), recognizes the reluctance of the main owners and other shareholders to finance it, and seeks to limit the passing on of costs to customers, government assistance in the way of long term federal/state guaranteed loans could be provided:
minimizing the raising of electricity bills, while also saving tax payers from subsidy alternatives, in whole or part.
Clearly there is a balance in there, between government desire and utility company compliance, the latter achieved either with government carrot (finance) and stick (regulatory enforcement).



The focus here has been on sparing the customers, keeping down the electricity bills in any changes.
It might be noted that, since the overall goal of pro-regulation politicians is to reduce electricity consumption, and in particular to reduce it from finite and polluting sources like coal (as they see it), then any electricity price rise from such sources might - on the contrary - be welcomed:
Whatever about the "low hanging fruit" of product regulations, such an electricity price rise is the quickest and simplest way of all to significantly -and relevantly - reduce electricity consumption.

Clearly, any electricity price rise has political implications:
But firstly, it would only involve certain (eg coal power plant) customers,
secondly they might have alternative electricity service provision (which could be seen to in advance),
thirdly there might be home insulation grants/ tax breaks and other measures to keep down the energy bills for relevant customers.

The electricity bill price rise could come about from the mentioned changes forced on power plants via energy efficiency (or emission reduction) regulations.
But, again, there is a simple alternative: a tax on coal or gas.
(Notice the parallel with cars: an oil/gasolene tax, or import duty, is much simpler than regulating how much fuel a car can or can't use, and of course keeps a wider choice in car purchases)
Such a tax directly targets the supposed problem.

Consider how the Light Bulb and Electrical Product regulations are defended:
"Great for saving energy"
"Great for saving CO2 emissions"
But light bulbs don't use the energy that needs be saved:
Power plants might - but not necessarily!
Light bulbs don't give out any CO2 gas:
Power plants might - but not necessarily!
If there is a problem - Deal with the problem

The point about taxation is of course also how it can finance -for example - the home insulation measures, or go to subsidies for power plant conversions, and other policies aimed at the appropriate reduction of energy use and emissions.
Consumer product taxation is further covered on the website, but taxation can therefore also clearly be applied elsewhere along the energy usage chain of electricity, from the initial fuel use, the electricity produced, the emissions released, and onwards, to reduce energy use or emissions as judged necessary.

Having seen how electricity generation policies can reduce energy consumption, and indeed also promote the efficient power plant use of whatever energy is consumed, let us move on to distribution policies, with the same idea in mind.





Karl Marx comes to Town: A different take on Distribution in Society



In the 19th century, as factories were developing and employing more and more workers, it was natural to see the control of production as being of key importance in society.
Over the years, as the production of both goods and services has become widespread, this has shifted so that distribution, the middleman, is now seen as having a key controlling role.

If Karl Marx were around today, he might therefore be emphasizing the importance of common public ownership of the means of distribution rather than of the means of production.

Ironically,
this is also what arguably best serves society in terms of free and fair market competition between privately owned producers, at least when the distribution is defined in terms of wide-ranging infrastructural networks which are costly to set up and therefore are wastefully set up in parallel competition.

Having examined policies promoting efficiency in terms of private for-profit ownership (through competition), this will also illustrate how public administration works efficiently, not just here, but anywhere in society:
Neutrality, transparency and accountability replacing the competition norm.
Neither public or private ownership is seen as superior, each being promoted according to its distinct advantages, as based on essence ideology.





Principles behind the organization of energy and communication networks

Consider gas, electricity, fixed line and mobile telephony, internet and broadband communication, cable and terrestrial TV networks.
Properly organized distribution would ensure adequate supply at low prices for both industry and households, and resources - including energy and electricity - would be used more efficiently, reducing waste.

Commonly today around the world, service providers sit in their own networks, the only price control being through regulators making pronouncements from time to time.
How could the organization be different?


Distribution competition:
One way of increasing competition between distributors is to build up parallel networks.
Consider mobile telephony for example.
But what you get is:
1. A more expensive total rollout cost than if a single high capacity transmission infrastructure is used, within which service providers compete.
2. Poor rural coverage, with a profit focus on well populated areas.
3. Poor direct competition between service providers because users have to switch networks to get at a different service.

That's not all.
For a large relatively sparsely populated country like the United States, nation-wide competing parallel infrastructure is particularly wasteful.

[As an aside, the way that communication frequencies are allocated is an enormous waste in itself:
The enforced necessity in the use of high frequencies for mobile communications, requiring many more base stations than would otherwise be the case - while large amounts of attractive lower terrestrial frequencies are needlessly allocated to TV-watching on large fixed screens, particularly with high definition digital TV, given the greater capacity of satellite/cable to handle such transmissions.
As an exercise I worked out that most countries could simply hand out free parabolic satellite dish receivers to those who needed them, remembering the obligatory set top box purchases involved anyway, and compared to the massive sums spent in building up infrastructure for terrestrial digital TV, itself of course covered by mobile communication anyway as justified for smaller screens (eg DVB-H standard) thereby using less bandwidth within those more valuable frequencies.
Resource waste by politicians is everywhere - not just with energy]



Distribution monopoly:
However, in avoiding parallel networks, we then face the alternative problem of national distributive monopolies. The first point, which some politicians are now rightly raising, is to separate ownership of service provision from ownership of distribution infrastructure as far as possible, whether of gas, electricity, fixed line telephony, cable TV, or terrestrial TV networks. One only has to look at the European situation, and all the contortions involved where distribution infrastructure owners, often the state, have been forced to open up the networks for other providers while itself still competing with them - not unheard of in the USA either, with privately owned distribution networks running their own provision against outside competition.


Distribution neutrality:
Apart from the separate ownership of distribution, there is still the need for those owners to be neutral towards all service providers within, or wishing to be within, their networks.


Distribution oversight:
There therefore follows the need to be able to publicly monitor a monopoly distribution to ensure the equal treatment of existing or potential service providers in the network. But oversight is needed for another reason too, and that is to ensure good national infrastructural coverage, a coverage therefore including less profitable rural regions (complementary infrastructure, such as satellite in place of terrestrial communication systems, might also be used).




Public ownership:
The distribution should therefore, ideally, be under public ownership.
The idea of federal or state civil servants running (and perhaps monitoring) public networks may not seem like an attractive option, though - as has been seen - privately and commercially driven snooping monopolies don't necessarily improve on that scenario.
But this is about public ownership under new transparency and accountability criteria, as covered in the introduction section of the text.
The public role would mainly be to oversee the capacity of and access to the network, with particular respect to new entrants.

Transparency is equally important.
For example, the idea that "bids can't be disclosed for commercial reasons" disappears - any applying service provider who objects, it's thank you and goodbye.
This in turn cuts down corruption - highest bids are not necessarily the best, but the public administrator then has to justify why he/she happily awarded access to a lower bidder.

Citizen users would have specific board representation, as would service providers.
Actual network maintenance would also be overseen by the service providers:
No-one is more keen to have efficient networks than the immediate users of those networks.
Annual General Meetings would be open affairs including their transmission in public media and/or online, and including a special consideration of consumer criticism and suggestions, at such and other times.

What we now get is state/national coverage at unduplicated low cost, with fair and direct competition between private service providers within the public distribution that is provided to consumers.

For the consumers,
such a system, with new meters where applicable, allows easier, sometimes automatic, price and quality based switching between providers with simple one-off itemized billing from the neutral public distributors.

The importance is the price transparency along with the direct competition:
Consumers can at any time see how much they are paying, how much they are owing, and what alternatives cost.







Electricity Grids

Before considering electricity grid administration, one first has to understand the basics of electricity grids and the changes needed in a new supply situation.



The American Grid
The United States does not have a national grid, rather a series of regional and local systems, with three interconnections (Western, Eastern, and Texas).
The system is generally antiquated, needing both more capacity in the grids and better connections between them.
Making change more difficult is the fact that are over 520 individual grid owners, often themselves generating the electricity in their grids and therefore without interest in opening the grids up for competition.
Operational coordination also need to take into account the existence of 127 control centres, 2 levels of grid planning (regional and utility), and 2 levels of grid regulation (federal and state).

Some of these problems have been highlighted by Federal Energy Regulatory Commission (FERC) Chairman Jon Wellinghoff in a recent House hearing, predecessor Joseph Kelliher in a previous Senate hearing and by industry insiders like Stephen Burnage of RETCO.




Changes needed to Electricity Grids

There are 3 main categories of changes, namely transmission alterations and upgrades, interconnections, and "smart grid" development.
Notably, all 3 of these changes are involved in accomodating renewable energy sources.



Transmission:
As mentioned, and covered in previous Hearings, extensive upgrades are needed in grid capacity and in transmission efficiency, to reduce present energy losses.
Many renewable sources are intermittent, like solar or wind, and therefore need specific transmission changes compared to traditional constant feeds.




Interconnections:
Grid interconnections are of obvious value in opening up a given grid to external service provider competition, but also in turn to allow power plants in such a grid to spread their own generated electricity more widely.
Better competition at all times, with lower prices for consumers.

There are further benefits:

It's usually easier to expand established power plant facilities than to start new ones, and interconnections therefore help to spread the generated electricity.

Also, nearly all power plants are location dependent to some degree:
Coal power plants near coal deposits (coal as said being more cumbersome to transport than other, and pipelined, fuels), while nuclear power plants might preferably be located away from earthquake prone fault lines.

Renewable power generation is often particularly location dependent (solar, wind, hydro, wave, tidal) and, to be more profitable, therefore benefits from a wider dispersal.

Wider distribution of nuclear/renewable electricity also helps bring down CO2 (and other) emission levels on a national scale, and in turn helps states or countries to meet any such targets without requiring their own generation.

Moreover, given the mentioned intermittent nature of some such sources, it increases the chance that someone, somewhere wants to use the electricity generated:
Renewable energy storage solutions do exist, for example local battery based or remotely in hydropower dams, but involve extra cost and energy conversion losses.




Smart grids:
The idea with smart grids is basically to match up supply and demand more easily and more effectively, between interconnected grids, and within a given grid in relation to its business and citizen customers, who in turn are supplied with "smart meters" for the purpose, more of which shortly.

In a sense, this equates electricity grids with the communication Internet:
As one pathway malfunctions, whether from power plant ot transmission failure, another pathway can take over.
However, a greater supervisory role is still needed in an energy network, which in turn means larger grid areas should come under single operational control. This is particularly true for intermittent renewable energy sources, both because of their unpredictable on-off status, and in turn because of the benefit thereby from a wider dispersal of the generated electricity, so that the demand is more likely when say the wind cares to blow or the sun wants to shine.


Smart meters are associated with smart grids.
Smart meters are usually hailed as being able to tell you "that you have a light bulb switched on". Certainly, knowing what appliances are (needlessly) left on can of course help cut down electricity bills: Particularly when combined with remote control of appliances, say over the Internet.
This helps cut down on real energy waste, compared with regulating the choice of appliances.

Particularly from the electricity provider's point of view,
smart metering is also about being able to match demand to true cost of supply.
Constant base-load electricity (eg from coal power plants) is expensively supplemented by quicker responding peak time (early evening) generation from say gas or hydro-powered plants, which common simple flat rate meters, at least day time flat rate meters, do not account for. Real-time based charges shift consumers to cheaper off-peak electricity usage - and again saves energy overall, from the inefficiencies involved in firing up extra turbines.

But also, from the electricity consumer's point of view,
smart metering allows easier switching between providers, in real time as well, depending on meter configuration (and pre-configuration). Shutdowns can also be sensed by such meters, to allow for switching to another provider. Such changes and extra choice can of course complicate consumer billing. But, as will be seen, new grid administration can address such issues.





Electricity Grid Administration

In several European countries, there is publically owned dominance in electricity service provision as well as in its distribution. Following from what has been said, public service provision should be split up and sold off to different privately owned providers, to ensure good competition. Such split sales might be according to energy source where applicable.

A country like the USA does not have a tradition of public grid ownership (though there are exceptions, such as in New York state, and the publically owned hydropower generation and transmission that exists in North-Western states).
The Texas ERCOT (Electric Reliability Council of Texas) system is an example of how grid ownership can be separate from that of generation, and also how operational control across the system can be more effective. Similar administration could be aimed for on a more national scale.
The Federal Government and the Federal Energy Regulatory Commission should engage in wide ranging consultative talks with grid owners, operators, and other interested parties, before arriving at the federal regulation that is justified by the inter-state nature of the changes required.


So, taking in the described changes in grid operation and administration:

Today a typical electricity provider has an effective monopoly in service provision, with no competitive pressure to operate efficiently or to charge lower rates. In a turnaround, rather than consumers being dependent on the whims of a single provider, the new competing providers are dependent on them.
Particularly relevant to the discussion here then, is the easier switching between suppliers. That includes longer term subscription options (good block buy deals), and some meters could have provision for any consumer generated electricity to feed back to the grid. Such meters are nowadays not a particularly difficult concept, similar meters have already been developed for industry. Service quality (voltage stability) can be monitored both at consumer and distribution level. Notice the implication of this for energy security, a continued service despite a chosen supply line going down, as long as it's not on the last connection line to the consumer.
Meanwhile, the mentioned neutral public ownership of distribution networks here facilitates fair monitoring of overall service quality, when service competition might otherwise sacrifice quality for price. The subscription options also mean that those who want it can get "green" energy, to given emission standards.
The advantage of competition within a neutral distribution network is also seen in the billing procedure:
Regardless of how many different providers are used, and switched between, the consumer still gets a single itemized bill. The consumer needn't get particularly involved with who is supplying what or when, if he or she does not want to, benefiting from lower prices anyway, and can simply set to constantly receive the cheapest electricity option as monitored at given times.
Single source billing also means a consumer can easily see how much they are owing at any given time, and can equally easily see how their current choice stands up to other options of buying electricity.
Smart metering or not, all this arises out of having multiple (private) service providers compete within a single (public) distributive network: The directness and the transparency of that competition will always see the price being as low as possible within any set quality parameters.






Electricity Consumption

Electricity consumption issues are covered in the sections that follow.

There are, as seen, 2 issues here:
Using energy and electricity efficiently without waste, and reducing their total consumption.

I consider the efficient use without waste to be more important,
as it in my view is a more positive dynamic approach to America's future, and any need to restrict the use of an energy source should take into account its abundance and environmental impact.

That said, for those who prefer to focus on reducing American energy and electricity consumption, regardless of energy source, then the efficient use of energy without waste still clearly also serves towards a total reduction in energy use.

To recap the many ways in which both energy efficient use and energy saving can occur:
In electricity generation the energy efficiency of power plants can be regulated, but also pushed via fuel taxation, or preferably achieved by the voluntary wish to cut down energy costs, from policies that increase competition with other service providers.
This in turn is is brought about by the inter-connection and administrative re-organization of electricity grids, whose upgrades and transmission efficiency are in turn seen to by involving all parties concerned, the administrator, the service providers, and the consumers.

The efficient use of electricity and its energy sources is then further promoted from the installation of smart meters, on 4 counts:
The easier switching between service providers that increases the mentioned benefits of competitive pressure,
the encouraged switching of electricity use to cheaper off-peak hours without the peak turbine use,
the facilitation to see what appliance is on at any given time,
and the easier management of appliance use via remote (Internet) access.

That is not all,
because the encouraged competition between profit-seeking consumer product manufacturers not only, as with utilities, helps keep down their own energy use and costs,
but also, as described, means they become more prone to do market research to fulfil consumer demand, satisfying such demand with appropriate products at affordable prices,
including energy saving products, whose appearance on the market can be further aided by specific support for them in the ways mentioned, preferably oriented to new inventors and new businesses rather than to existing and large manufacturers, so as to promote competition, and keep it as fair as possible.



At this point, there should be a reasonable perception about what energy efficiency is, and how it is best achieved. Equally, what can be said to constitute energy waste, and how it's best avoided.

It should be fairly clear that energy usage standards affect product characteristics in various ways, and that therefore the personal choice of what product to use hardly constitutes a waste of energy, at least not in comparison with alternative ways to save energy, also because of the greater savings that at least some such alternatives provide.

Moreover, that there is no overall energy shortage warranting such indefinite product restrictions on those who pay for the supply.



Even if all the above was rejected, taxation is simpler than regulations, can be applied at various stages of the energy usage chain, and has the several described advantages also for those now favoring regulations.

Therefore, if the specific need is still felt to target products based on their electricity consumption, taxation is still superior, in giving government income at the same time as reducing product sales, income that also can cross-finance energy saving products to equilibrate the market yet retain choice.
That said, energy usage based product taxation is of itself not warranted and is only preferable in comparison to regulation, given the better policy alternatives described.







Final Words

The Hearing is about light bulbs and washing machines, but it is about a lot more than that:

On the one hand,
the ideology that reflects a belief in regulations and subsidy schemes, not just in relation to consumer products, but also more widely in regulating and subsidizing the supply and use of energy, that add upfront costs for questionable savings down the line, and limit the freedom of businesses and consumers to do what they want.

If this ideology seems attractive, then taxation is better on every count along the energy usage chain.
Applied to products, the comparatively easier and more adaptable taxation on cheap products that in turn can cover subsidy costs in equilibrating markets of for example light bulbs, while retaining choice.

On the other hand,
the ideology of market based competition to deliver wanted products and services, including energy saving products, keeping down their cost, creating real jobs sustained by market demand, while at the same time promoting the efficient use of energy throughout the energy usage chain, from generation to distribution to consumption, and keeping freedom of choice for businesses and consumers.

So one can say that it is about big government and small government, state control and free markets, the right to create and the freedom to choose, but it's about more than that too.

Because it's not really about saying that "free markets" are better than "state control".
It's about understanding the advantages of both,
of when to apply one policy and when the other,
of how public and private work best together with minimal compromise of the advantages that each have,
as exemplified in the organization of distribution.

In a different era Karl Marx believed in society involvement in the means of production.
That was then, this is now, and the present key role of distribution in society also makes it valuable in terms of public administration, in situations where it nevertheless also allows for fairer market competition in service provision.

And the regulation of products based on their energy use?
All products have advantages.
That is why they exist for people to choose.
Light bulbs and other electrical products don't burn coal, and they don't release CO2 gas.
If there is a problem - Deal with the problem.
Don't forbid safe and popular products just because they are "low hanging fruit", legislation that is easier than more relevant alternatives.

Honorable Chairman, Ranking Member, and Members of the Committee:
The right decisions are not always the easy decisions.
But they are the right decisions.






Addendum

Budget Saving: Tax not Ban Products based on Energy Use

While Stimulated Competition on Free Markets is as seen argued to be the best way not just to keep Choice but also to efficiently reduce energy use, Taxation is in turn better than Regulation.
Particularly when Budget savings are needed, the cross-party attraction of Taxation compared to Regulation should become more apparent.
Clearly, unlike a Ban, a Tax on Buildings, Cars, Electrical Goods etc based on energy usage gives Government a big and direct income, while still reducing relevant energy use.

The case for Car Tax compared to Regulation is further covered here, while the concluding essay in the Light Bulb section gives a more detailed rundown of Taxation advantages relative to Regulation and how it can practically be applied.




A Cross-Party US Budget Saving Proposal
(similarly for states like California, or for other countries)


Proposal Summary
Energy Efficiency Regulations (Buildings, Cars, TV sets, White Goods, Light Bulbs etc) are converted into Energy Efficiency Taxation, with rates as desired by Democrat/Republican administrations, so that a tax on popular and safe but energy demanding products keeps them as a choice, can help finance environmental spending, and can cross-finance a price reduction on energy saving alternatives, making them cheaper than today, so that people are not just "hit by taxes" in keeping product choice.

Therefore:
• Democrats gain massive direct state income that helps cover the 2012 Energy Bill spending and other measures
• Republicans keep Freedom of Choice, and can reduce/eliminate taxes when in administration
• The People not only keep choice, but can also get cheaper cross-financed energy saving choices:
Also, regarding the taxed products, people know (and are informed) that a ban on certain cars etc is the alternative, products that have advantages for them, despite a higher energy usage.
• The Environment still gains - both from a sales reduction of relevant products, as well as from financing that taken together can more than negate any effects of the fewer remaining taxed products.



Taxation is Flexible:
Democrats can have high rates also to simulate a ban, Republicans can zero-rate them, as desired.
Rates are also easily changed to suit new market conditions and new market entrants, unlike more permanently aimed regulation standards.
It is therefore also a politically fair proposal.

The National Debt Issue is directly addressed by direct Government Income, based on a more normal liberal state supportive ideology, yet - if the incentivized purchasing of energy saving alternatives is included - the supposed regulation savings for individual citizens and businesses down the line also still applies, albeit that such savings can be questioned because of rebound effects (cheaper energy use unnecessarily increases use) and for other reasons as on the Ceolas net website. This is also clearly relevant for a state like California.


The Government income potential:
Energy demanding products are often cheaper and shorter lasting, giving a high tax on turnover.
Light bulbs are a timely example, and studied in more detail in this text:
1.5-2 billion current annual US sales of cheap relevant incandescents show the big income potential - and that is just light bulbs.



The comparative policy relevance:
Unlike with other product regulations, the regulatory bans here are not because products are unsafe to use in themselves, but simply to reduce national energy consumption.
Taxation is therefore more apt and relevant to reduce energy consumption.
Notice that this also applies to the "market failure" justification for banning cheap energy demanding alternatives, since taxation evens out the purchase price differences.

That is not to say that taxation is itself the best policy measure:
It is the best policy measure in the current (2011) political and Budget circumstance, and in any similar situations at other times or in other places.


For the sake of clarity, and for those who do not read the rest of the text, a summary follows regarding the general applicability of energy saving policies, and why stimulated market competition is a better way to achieve energy efficiency than either regulation or taxation.



Taking a more overall view,
the actual need to reduce energy use can be questioned:
People pay for their energy use, of which there is no shortage, and any shortage increases the energy price and reduces its use anyway. Therefore, an oil shortage gives a price rise to reduce its use, including as has been seen that people voluntarily choose to buy more fuel efficient cars - without having to be told what they can buy.
Regulation is therefore particularly unfair in reducing the choice of electrical goods, that may not be powered by sensitive energy sources in the first place, and will be so less and less in the future.

In effect, if oil or coal use is still such a worry, governments can simply simulate a shortage:
An oil import duty, or oil or coal tax, quicky and simply reduces use, without telling industry or consumers how they can or can't use such energy, and can of course again subsidize energy alternatives or "cleaner" coal power, etc.


In the broader and more long-term picture, stimulated market competition is arguably the best strategy of all:
Firstly,
Opening up competition between utility providers within electricity grids means the utilities themselves want to use their energy efficiently to keep down their cost, without passing the cost on to customers, and the same goes for increased competition between manufacturers in their energy use.
Secondly,
Competition between manufacturers forces them into market research of what consumers want, which has always included good price-per-quality products that save them energy in the long run, and which can of course be advertised as such
(note "Energizer" bunny rabbits, washing up liquid commercials etc, "expensive to buy but cheap in the long run")
- rather than have manufacturers (often with "green patents") push for and welcome government regulations that give them big profits from overly expensive products that consumers would not otherwise buy in "sufficient" quantities.

One should be deeply suspicious of manufacturers, who seek or welcome regulations that tell them waht they can or cannot make!
To increase competition - and to increase it with energy saving products, as desired - inventors and new manufacturers can be helped to the market, thereafter cutting any subsidies, to ensure free and fair competition.



America is founded on Freedom, not Regulation:
But with the current need to better balance the Budget, the flexibility of Taxation means that it can accomodate either options while simultaneously raising finance as desired, and for as long as desired.














Energy Use: Why Regulate It?


Energy efficiency is best achieved firstly by the stimulation of competition, secondly by taxation, rather than by regulatory restrictions on services and products, which tend to backfire.
Moreover, there is no energy shortage justifying regulations, and any shortage of an energy source raises its price, reduces its use, and increases the use of alternative energy sources anyway.






Introduction


Energy efficiency regulations aim to reduce energy consumption in society, by defining how much energy a given process or product can use.
The regulations can be applied at any stage of energy use, from industrial production to consumption, which in the case of electricity means from power plant generation to appliance use by consumers.
While focusing on implications for ordinary citizens, and thereby mainly using consumer product examples, the principles here will be seen to apply to all energy efficiency regulations.



One should recognize the good intentions behind the regulations:

"We stimulate the provision of energy saving products and services, so that society saves energy,
people save money,
and the planet saves on CO2 emissions!"


What can be better?

Certainly, noone welcomes energy waste,
but whether the use of preferred products and services is a "waste" is open to debate.
The actual need for energy savings in society depends on how much energy is available, and any shortage of a finite energy source raises its price and reduces the use of it anyway.
If emissions are a problem - deal with the emissions. Don't define emission reduction in terms of allowable energy usage. Define emission reduction in terms of emissions. Where there is a problem - deal with the problem.

Many reasons, with references, will be given why the savings are not as great as supposed, and, of course, whatever energy or money savings there may be, the "savings" arise from banning what industries and consumers would have bought and used if they could - little savings from banning what they don't want!

Regulators constantly praise "how good the energy saving product alternatives are".

If a more energy saving product version is good, so people buy it - why ban the alternative?
(no point, little energy is saved)
If a more energy saving product version is not good, so people don't buy it - why ban the alternative?
(no point, since it's better)
Think about it.

Price is not the only purchasing factor, since a product's characteristics vary in accordance with energy usage requirements, more of which shortly.
Besides, if people prefer cheap products, that is not (yet) a crime.
Manufacturers need to market their expensive products properly - they will be bought (and re-bought) if they are good enough, like other expensive product alternatives.
Regulators object to the talk of "bans":
"We are not banning any products, just making them more energy efficient!".
This does not hold:
1. If a given product can't be made to a given standard it is banned.
2. If a given product can be modified to meet the required standard, it invariably affects its performance, usability, construction, weight and appearance as well as price - often all of them.
This is illustrated in the text by the effects of energy efficiency regulation on cars, buildings, washing machines, TV sets, computers and light bulbs.

The next counter-argument is then:
"But our regulations also stimulate innovation, the manufacture of new kinds of energy saving products!".
To begin with, energy saving products to a given standard have to already exist before bans on alternatives are are implemented.
Historical innovation has always given us energy efficient products - that people want.

Moreover: Clumsy all-or-nothing standards exclude products that might have been invented and liked for their advantages, including in being more energy saving than today's choices, but without meeting the "magic" energy usage standard.

Moreover: By removing the competition, there is less pressure to improve existing products that pass the magic standard, or make new ones that go much beyond the standard - and at a low price, since banned competition is usually cheap competition.
Of course, to reduce the price, enter all the "Green Tech" subsidies so people buy what they otherwise wouldn't - blissfully ignorant that they are paying via their taxes instead.
Question: Is the well-being of certain manufacturing executives more important than the well-being of the people?



As for energy supply and CO2 emission reduction issues,
regulators are not blind to the fact that - for example - a future plentiful and low emission electricity supply lessens the need for regulations restricting electrity use.

They then say:
"Changes in energy and electricity production are difficult and expensive to make, and take a long time!
Energy efficiency regulations are the low-hanging fruit of energy and CO2 emission conservation - easier, quicker, and cheaper to implement!"
.


This supposition is dealt with at the end of the emission section.

Basically,
Firstly, not all changes in for example the electricity sector need be difficult, slow or expensive to implement, as described in the text.
Secondly, regulation proponents define the benefits of energy savings, as well as CO2 emission reduction plans, in a 2020-2050 perspective - in which more of the supply changes are possible.
Thirdly, stimulated market competition at service or product level, for example with light bulbs, will be seen to be a better option than regulations also to deliver energy efficiency, and is not particularly difficult, slow or expensive as a policy.
Fourthly, even in more direct product or service targeting, taxation brings more benefits to all concerned compared to regulations - and is easier, quicker, and cheaper to implement than regulations.



Finally,
the objections to energy efficiency regulations tend to focus on the disadvantages of pushed product replacements. Protests against the light bulb ban, for example, are mainly about how bad fluorescent "energy saving" light bulbs are.
Fair enough.

Since I am anti-regulation, the website does also extensively cover such disadvantages.
However, as made clear in the introduction, my overall philosophy is how all products have their advantages - and how they should all be allowed to exist because of those advantages, if safe to use. The main purpose is therefore rather to strike at the core of pro-ban arguments, arguments emphasizíng the supposed need to save energy and emissions, arguments holding up regulations as the best way to achieve any such need.







Summary


As covered in the introduction, energy efficiency regulations are about setting standards to enforce a lower energy use.

A summary of main points why such enforcement is wrong:

1. There is no energy shortage, and the extensive development of long lasting (potentially renewable) nuclear energy, and the limitless renewable energy from many sources, which in turn can be spread by electricity grid interconnections, ensures that this will continue to be the case.

2. Nuclear and renewable energy also happen to be low in CO2 or other emissions, so their development (and wide spread in grids) by itself significantly lowers the emissions, much more than energy efficiency regulations do, as will be seen.

3. If there was a shortage of the finite (oil, coal, gas) fuels, their resulting price rise would limit the use of such energy, and lead to increased uptake of alternative (and low emitting) energy - without the need for political intervention, giving pro-regulation politicians what they want anyway.

4. If there was a shortage of the finite (oil, coal, gas) fuels, it would lead to increased purchases of energy efficient products like energy efficient cars, or low energy using electrical products that depend on coal power plant supply - again without the need for political intervention, giving pro-regulation politicians what they want anyway.

5. In contrast, if energy efficiency regulations actually succeed in the stated aim of reducing the use of fossil fuel oil coal and gas and their emissions, that in turn lowers the price of such fuels, which either
 gives a bounceback effect that increases oil/coal/gas use, their emissions, and their price, again, or
 makes a switch to renewable energy more uneconomical to make

6. Even if it is seen as necessary to lower the use of oil, coal or gas, or to lower the use of energy in general, then market-based solutions should be applied where applicable.
Alternatively, taxation is also a superior instrument, raising government income while achieving the desired effect, income which in turn can help fund renewable energy (or emission reduction) projects, energy projects which themselves become more viable through taxation that increases the cost of finite (oil-coal-gas) fuels and their usage.
The taxation can be applied at any stage in the fuel usage chain:
On the fuel itself, on industry or products relative to fuel use or emissions released, or on electricity consumption.

7. Moving on from energy sources to consider product use - and energy efficient product use - the advantages of stimulating competition on free markets compared to reducing competition by regulation, is illustrated in a comparison of policies for light bulbs, later:
The principles hold for consumer products generally.

8. Again, as detailed in the comparison of policies, taxation is the second alternative, still better than regulatory bans in actually reducing energy use and emissions.
Tax income can fund society oil/coal/gas/ and emission reductions more than remaining product use raises them.
Products judged "energy efficent" could have tax reductions or subsidies, making them cheaper than today, again promoting energy reduction using the pro-ban logic.
That said, taxation is wrong precisely in its similarity to bans, competition stimulation being superior in delivering energy efficiency.

9. Freedom of choice: Products that might save energy and money are certainly desirable.
But more energy demanding products have advantages too - or noone would want to buy them.
Unfortunately, enforcing lower energy use on a given product compromises it in varying terms of performance, usability, construction, weight, appearance and price - or it would be less energy using already.
This will be illustrated looking briefly at buildings, washing machines, refrigerators, TV sets, computers and other products, before the more extensive look at light bulbs.

10. In fact, the advantages of targeted energy demanding products make them particularly popular
No "great savings" from banning what people don't want to buy.
So the regulators stop people from buying what they want, and then praise the "billions of dollars" (euros, pounds..) that people thereby "save".

11. It is consumers, not regulating politicians, that pay for the energy supply.
People's demand for energy is no better or worse than their demand for a loaf of bread or a nice shirt, given that the supply is there.
Besides, power plants are not "saved" by banning light bulbs or other electrical products - even accepting supposed energy savings amounts - for reasons made clear later.
We can live in caves and use candles.
We can also look positively at how to supply any energy that is needed, with whatever emission criteria is desired.

12. Several reasons will be given why efficiency regulation does not give the energy and emission savings commonly suggested, including the simple reason, as shown by research, that if the use of products does become cheaper because they use less energy, people just use them more: cars are driven more, electrical products aren't switched off, etc.


Governments keep trying to push people to buy energy saving products.
A good overview of the problems they face - and how they try to overcome them - is seen in this extensive UK Dept of Environment (DEFRA) study (4.5 MB pdf document)




The 8 main points used to justify energy efficiency regulations:
With summarized answers why those arguments don't hold up, and links to relevant parts in the text.

1. No product is banned:
The requirement is simply that it should use less energy.
2. Markets fail in convincing consumers to buy expensive energy saving products instead of cheap energy consuming products.
3. Manufacturers are stimulated by energy usage standards to make new energy saving products that might otherwise not have been made.
New technology replaces old obsolescent technology.
4. In creating a larger market for energy saving products, their prices come down in the shops.
5. Consumer product regulations are "the low hanging fruit" in energy and emission savings, easier to implement than electricity supply-side changes.
6. Society saves energy.
7. Consumers save money.
8. The Planet saves on CO2, and other, emissions.




1. "No product is banned:
The requirement is simply that it should use less energy".


Setting allowable standards on products, is the same as banning any product that does not meet those standards.

Unfortunately, there is No Free Lunch:
Usability, construction, weight, appearance and/or performance characteristics are affected by energy efficiency standards.
The price normally goes up too, or the product would already be saving energy, since that is a marketable advantage.

A rundown of examples, showing how desirable characteristics of products from buildings to cars to household electrical appliances are affected by energy efficiency regulations, can be seen here.
Light bulbs are covered in more detail, from here onwards.




2. "Markets fail in convincing consumers to buy expensive energy saving products instead of cheap energy consuming products".

3. "Manufacturers are stimulated by energy usage standards to make new energy saving products that might otherwise not have been made.
New technology replaces old obsolescent technology".


Competition and marketing fails, rather than markets themselves:
There are plenty of "expensive to buy but cheap in the long run" products that are imaginatively advertised and sell well - if they are good enough to begin with.
Competition, rather than regulation, stimulates manufacturers to make products that people actually want to buy at prices they can afford, including products that can save them in energy and running costs.
Meanwhile, old, safe and well-known technology is not bad, just because it is old.

The notion that "markets fail" brings up the strange logic of regulations:
The more popular an energy demanding product is, the greater the reason to ban it, because the greater the supposed energy savings involved, from stopping people buying what they want (no "big savings" from stopping people buying what they don't want!)
What is worse, the savings are unlikely to be big anyway, see points below.

Why do major manufacturers welcome, and indeed lobby for, regulations that tell them what they can or can't make?

See Standards and Markets, The Politics behind banning Light Bulbs, and Competition and Taxation sections.




4. "In creating a larger market for energy saving products, their prices come down in the shops".

More on the market does not necessarily mean cheaper on the market.
Manufacturers charge what they can on the marketplace, regardless of how much they sell:
they can indeed lower the prices and still make a profit, but only the pressure of competition ensures it.

This supposition that prices will fall, is further dealt with here.
For more on how overall purchase costs increase, see the price section.




5. "Consumer product regulations are 'the low hanging fruit' in energy and emission savings, easier to implement than electricity supply-side changes".

While some changes in electricity generation and distribution obviously do take time, that does not apply to all such changes, besides which the energy and emission savings from regulations are (as in the USA and EU) anyway projected forwards to 2020-2050 dates, when more supply-side changes have taken effect:
Such savings are not only more significant than savings from product regulations (of which more below), but are more fair and relevant as well, compared to regulations on electrical products which hit everyone, irrespective of what electricity energy source they use, and therefore also ignoring that their electricity use might not be releasing any emissions.
If none of the above was true, then it would still be more relevant to increase the sale of energy efficient products by marketplace competition or taxation measures, the latter which can also equilibrate the market by cross-financing measures that reduce the price of energy efficient products, although taxation of itself is hardly warranted.

See here for a fuller answer to this supposition.




6. "Society saves energy".
7. "Consumers save money".
8. "The Planet saves on CO2, and other, emissions".



The savings issues are obviously interrelated.
Whatever the savings amounts, initial questions should be asked as to what actually constitutes energy "waste" in society, and what necessity there is to restrict the energy supply for consumers who choose to pay for it:
There is no energy shortage, especially for electricity, for which imported oil is rarely used anywhere, and energy "waste" rather arises in generation and distribution, and in the unnecessary use of products, rather than in the personal choices of the products that people want to use.

The supposed savings are not there anyway, see the savings section.
As for energy supply, see the energy section, while CO2 emissions are further considered in the emission section.
A detailed account of why the savings arguments don't hold, with references, is provided for light bulbs, generally applicable also for other products, in particular electrical consumer products.
The overall small savings from banning ordinary simple incandescent light bulbs is covered here.













Standards and Markets




Ever heard of the Eco-design Committee ?
No, that's not something from George Orwell's "1984" or Franz Kafka's "The Castle" - or maybe it is.

The Eco-design Committee is a part of the European Commission, the unelected body of the EU which has the sole right to initiate and execute legislation that covers all the EU countries.

As the name suggests, and as stated in the Directive establishing it, the Eco-design Committee designs and defines energy using products that 500 million Europeans are allowed to buy
"the Directive applies to all energy using products (except vehicles for transport) and covers all energy sources" involving
"aspects at a very early stage in the product design"
Recent examples include light bulbs, washing machines, refrigerators and other mainly electrical products as covered in this text.

In other words:
Not just definitions based on energy usage, but also design specifications, supposedly environmentally related, but which may therefore include the appearance that the products are allowed to have
(Example: In the EU, unlike other jurisdictions, and for reasons unrelated to energy use, all frosted incandescent light bulbs including halogens were banned with immediate effect, while clear types are still allowed in a gradual phase-out process).

Members of the Eco-design Committee are not publicly disclosed, supposedly so that they cannot be directly influenced
(Nevertheless the EU has had some publicized cases of EU-wide standards of great profitability supposedly based on the patents of local EU manufacturers, and 2 major European light bulb manufacturers were involved in the drafting of the recent EU legislation).

The question is, increasingly for Americans as well as for Europeans and others:
Why should a secluded small clique of bureaucrats know better than manufacturers, interior designers, lighting designers, businesses and citizens, what products - safe products - they are allowed to make, buy, and use?
(Those who believe in Plato's rule by an elite might support such a notion, though the elite part is also questionable, given how their communications lack logic both from language and pro-regulatory perspectives)

Clearly I oppose these regulations,
and it is therefore obvious that this text is going to reflect that.

However, as always, one should be open about valid points in opposing ideology,
such as seen in the defence of energy usage standards and indeed product standards in general.

For example, concerning creativity and choice:
What stimulates creativity?
How "free" is really consumer choice?

Beginning with creativity,
a defence of energy efficiency regulations is that the sweeping away of obsolescent technology (such as represented by ordinary incandescent light bulbs), and the restriction posed by energy usage standards, stimulate creativity.

Destruction and Restriction stimulating Creativity?
Yes, there is truth in this.




Stimulation via Destruction

In nature, forest and bush fires allow other plants to sprout and thrive, some fire-resistant seeds even lie dormant for several years waiting for it to happen.
Earthquakes and wars are unwelcome events, but can rejuvenate architecture and town planning.
Clearly, in the same way, if a popular product disappears from the market (and regulations tend to target popular products, to try to give meaningful savings), then one might expect the void to be filled with some new attractive alternative.

In practice, the problem is that manufacturers don't necessarily see it that way:
Their only interest in variety is if it's profitable (or subsidised).
In the case of light bulbs, removing the cheap and popular but unprofitable simple incandescent bulb also allows previously unpopular and expensive but profitable alternatives to gain a bigger market share - without bringing new creativity.
Pull up flowers from a flower bed to make room for new flowers - and watch the weeds alongside move in instead (in an exaggerated analogy!).
After all, why are major manufacturers are so happy to be told what they can make?




Stimulation via Restriction

There is also the argument of stimulation via restriction, how working within standards can stimulate creativity.

Again, this can be true:
Put a blank sheet of paper in front of someone and then tell them to "draw something", then to draw a house, musicians to improvise freely or within a 12 bar blues, advertisers and moviemakers to work to a certain budget, or, for that matter, the great creativity in times of war in the use of limited available resources.

But again in practice it does not work in the case of manufacturing standards:
Existing alternatives that already pass the "magic" gateway standard may be more profitable, and having passed the standard there is less pressure to improve them, since competing alternatives below the standard have been banned.

As noted earlier, energy usage standards also block products that might have been made and appreciated for their performance or usabilty qualities, without reaching the standard:
the "might have been" that is never known.

While the idea that Ford and Edison would not have seen their products made might be dismissed on the basis that current less energy using versions are allowed, that doesn't look ahead:
For example, current experimental forms of lighting based on say bio-luminescence will be forced to sit in labs unless they meet energy usage requirements, despite the light quality or other advantages they may have in certain applications.





Turning to the consumer:
It's easy to talk about "freedom of choice on free markets"
But how free is really that choice?

The choice can be removed, kept limited, and lifespans can be shortened to force renewed purchases:
One might say "Hard to get, Can't choose, Won't last"
Let's see how that relates to the proposed energy efficiency regulations.




"Hard to get": Manufacturers replacing old with new technology

It is in a sense understandable to talk about "obsolescent light bulbs", when so much other technology keeps getting replaced:
Radio and TV tubes, vinyl records, audio cassettes, 8-track systems, floppy discs, with, in general, electronic replacing mechanical and digital replacing analogue.
Not everyone agrees that it is all about improvement:
The "hands on" of mechanical devices can be preferred to electronic equivalents, sound purists may prefer analogue to digital recordings, and so on.

Nevertheless, there is of course a key difference here compared with energy efficiency regulations:
You are still allowed to buy the products, if you can get them, or to make them, or give one to a friend ("distribution"), without having to go to jail afterwards.

Notice the similarities,
between an incandescent light bulb and a radio tube: the same original vacuum tube concept. Also the solid-state similarity between diodes (light emitting diodes, LEDs) and transistors.

Today,
regular incandescent light bulbs "need to be phased out" in favor of LEDs and other less energy using lighting:
Yet no-one was calling for "a ban on energy guzzling radio tubes" when they were abundant, and newer transistors were arriving on the market.
The tubes got used less anyway - but are still appreciated for special uses, without breaking down any power plant (any guitarists out there?).

While the interplay between manufacturers and consumers is never straightforward,
manufacturer profits and consumer satisfaction do tend to go together, at least for most consumers, if there is sufficient competition between manufacturers to try to satisfy them.

Certainly, in the case of transistors, they gave clear advantages to consumers over the tubes:
Smaller, cheaper, more reliable, less prone to breakage and arguably safer (not using mains electricity) in portable radios and other equipment.

Do LEDs, CFLs or Halogens have the same obvious advantages over the old simple light bulb?
Clearly not:
on the contrary, more expensive, often less safe, and sometimes with light quality issues.

Unsurprisingly then,
there is greater resistance to buy them, the "market fails" and so the simple, safe, and overwhelmingly popular light bulb must be banned using the logic of regulations:
The defence that "it's only about applying energy usage limitations" does not apply, since applying energy usage limitations alters product characteristics apart from usually increasing the price, and with questionable overall savings, as covered later.

If a new product is preferred to the old one, why ban the old one?
(No point, little savings)
If an old product is preferred to the new one, why ban the old one?
(No point, the old one is better)
Think about it.

Notice therefore how ban proponents saying
"the energy efficient alternatives are very good!",
surveys indicating that
"consumers like energy efficient products",
or reports from some states that say that
"the increased consumer uptake of CFLs vindicates the ban",
or calls that
"we should wait with a ban until better LEDs arrive!",
rather than support a ban, do the opposite...

The supposed savings justification of a ban,
get less and less the more and more people buy the "great" alternatives anyway
(or get them subsidised, and handed out, as with CFLs)






"Can't choose": Many other standards limiting choice

Another defence of standards based on energy usage, is that there are many other standards defining what people can buy - that "free choice" is an illusion.

Again there is truth in this.
If you are holding a copy of this in your hand, a "Letter" or "Legal" or A4 standard paper sheet is a certain defined size.
Try buying a sheet of paper 1" longer...
Try buying a 27W or 73W light bulb...

Manufacturers willingly, or sometimes unwillingly (video cassettes, DVDs) come to accept certain standards to make it easier for people to buy and use their products, particularly if it involves the use of ancillary equipment, and not just on a small scale (think of shipping, and container standards).

Conversely,
where standardization agreement is not reached (vacuum cleaner bags, inkjet cartridges, camera film in the past) such accessory products are often costly from a lack of competition, at least when bought from the manufacturer of the products they are used with.

Classification is closely related to standardization, such that graded labelling, color coding, "Energy Star" ratings and so on easily can inform consumers.

So certainly: There are many standards, convenient for consumers even though they reduce choice.

The difference with energy usage standards is again in the legality:
There is nothing preventing you from making, or having made for you, products deviating from such market norms, for whatever purpose.

Electrical products still have to meet safety standards in their wiring and so on, Which just serves to add to the lack of logic in bans based on energy usage.

Safe and popular products are banned for reasons unrelated to the products themselves,
reasons rather related to the power plant that they might be connected to:
type and availability of energy used,
capacity of the power plant being used,
expansion feasibility of the power plant,
emission release by the power plant, and so on,
in turn made less relevant when competing suppliers in the grid are established.

If there is a problem - deal with the problem....
the "speed and ease" justification of product regulations compared to energy supply based changes does not hold up, as covered later, including because, in the final analysis, product taxation measures would then be more logical anyway (and even more "speedy and easy").





"Won't Last": Product lifespan, planned obsolescence, and consumerism

What kind of light bulb, washing machine or dishwasher do consumers want?
Sure - good, cheap and energy saving ones, but long-lasting ones too.

On the other hand, manufacturers, to make a profit, are most likely to sacrifice on lifespan, for 2 reasons:
It hopefully (for them) brings repeat business,
and it's the least easy quality to spot by consumers, before it's too late...

The price tag is seen in the shop,
the quality, including energy savings, is seen over the time of the warranty (the product guarantee period),
and then, well, and then the party is over....

The idea that manufacturers deliberately limit product lifespan is called "planned obsolescence" and there is ample evidence that this takes place, as any online search of the term will show.
Software, tech gadgets, vacuum cleaners, and so on in great variety.
A notorious example was the implanting of "death chips" in inkjet printers, so they simply stopped working after a certain number of printouts.



Notice how this might be expected to apply to light bulb manufacturers:
In the opposite of what is happening today,
they should, by that logic, prefer selling lots of cheap short-lasting light bulbs, rather than try to sell a single expensive long-lasting bulb in their place.

Indeed, that is exactly what happened in the past:
Why do you think the standard life of a simple incandescent light bulb is still (at least for 60W types) 1000 hours, with 1000 hours also being the minimum light bulb lifespan within the American light bulb regulations to apply from 2012 onwards?

Because the Phoebus Light Bulb Cartel,
that started in 1924 and included GEC, Philips and Osram among its participants, said so!
Osram acknowledges (pdf document) the cartel's existence quite openly.
German researchers recently uncovered a lot more about it, as mentioned later in the context of covering the "Politics behind the light bulb ban".

A dramatic 2011 TV programme video, in German, shows how manufacturers have tried to keep light bulb and other product lifespans down, also covering the Phoebus cartel and its greater than expected extent, as uncovered by the German researchers.
Version in English here.

Light bulbs around 1924 might have a lifespan of around 2500 hours, having risen from around 1500 hours at the start of the century.
A special "1000 hour life committee" imposed heavy fines on any manufacturer breaking the limits and muscled any external smaller manufacturer that might have other ideas out of the way.
The cartel lasted several decades, and its members also in subsequent years prevented the entry of supposedly longer-lasting light bulbs from Communist countries to Western markets, even though for example East Germany's Narva company demonstrated its bulb in Western Expos.

So today the big turnaround:
Suddenly all the major light bulb manufacturers seem to want to sell expensive long-lasting light bulbs instead!
What is the logic in that?

Firstly,
cheap ordinary bulbs are relatively unprofitable even with a great turnover:
having simple technology that is easily made by many, often local, manufacturers, and so competition is greater, and profit margins lower.

Secondly,
this of course also ties in with the energy usage regulations where the more profitable, if longer lasting, bullbs are the main replacements.

That said,
with CFLs (compact fluorescent light bulbs) as the main pushed replacement for reasons seen later, they tend not to last as long, or maintain brightness as long, as commonly rated lifespans suggest, as will be described and referenced.
So the idea of manufacturers producing products with shorter than expected lifespan,
is not without foundation even here.




How then might longer lasting products find their way onto the market,
for example the mythical "ever-lasting" light bulb?

The fact that communist East Bloc countries may have been making longer lasting light bulbs and other products than the capitalist West has been taken to give further support to the idea that "free markets fail" in coming up with the right goods:
Much of the criticism of planned obsolescence, and the "spend-spend consumerism" it entails, therefore involves calling for greater state involvement and the regulation of markets (as also seen recently with the banking crisis).

This brings back the notion that somehow a state regulator knows best what people should want:
"A bulb lasting X hours"
just like
"A bulb using at most Y Watts for Z lumen brightness"

The problem is firstly in lifespan verification, secondly in what is left undefined, and what is difficult to define anyway, in terms of general product quality and product characteristics other than life-span or energy usage, and there is of course also the question of keeping down the price.

Competition is the best way to orient manufacturers to provide products with the quality and characteristics that consumers might want, at a low price.

Nearly all calls for market regulation miss the point that competition, rather than capítalism or market principles, is what has failed, and that, in fact, free market competition is not welcomed by capitalists, to the extent that competition reduces their profits.

State involvement should therefore focus on preventing monopolies and cartels, not keep subsidising existing major businesses or failing businesses, and aid the entry of new businesses to the market, with the real and market supported local employment that also can bring.




But does more competition guarantee the appearance of products with longer lifespans?

As seen, a short lifespan is something manufacturers believe they can get away with.
But what is an essential part of the short lifespan strategy?
That's right - the repurchasing of a product, from the same manufacturer.

If you are unhappy that your washing machine broke down 3 months after the warranty ran out, and there is competition for your custom, then the short lifespan trick does not work - at least not for that company, and word gets around.

Clearly, it is also about information:
An increased awareness of the warranty terms (guarantees) offered by different manufacturers, of consumer lifespan test reports, of second-hand prices of some expensive products like cars, and so on.

Turning it around,
a manufacturer wishing to go the route of making expensive but longer lasting products can highlight such longer warranties and consumer reports that are in its favor, along with imaginatively highlighting the "expensive to buy but longer lasting" quality in commercials, as described in criticizing profit-seeking light bulb manufacturers happiness with the ban that - for them and their political friends - more conveniently just gets rid of the unprofitable cheap alternatives that the dumb citizens of the world, unfortunately, like to buy instead.











The Manufacturer and Consumer Sides of Energy Efficiency

 



Performance is affected


For any defined unmodified product, greater energy use means better performance.

To begin with, it may not be possible to modify a product to meet energy usage standards. That product then becomes obsolete - despite all the other advantages it must have had, for people to want to buy it.
If it is possible to modify a product to use less energy, it might not perform as well as before.
If it is possible to modify a product to give a similar performance, constructional changes may mean feature changes in delivering that performance, as well as appearance, size or weight changes, and a likely price increase (or the energy saving qualities might have been incorporated already, to give a competitive advantage).

It sounds good to have an efficient product.

But performance efficiency is not the same as energy efficiency!

So-called inefficient heaters (fan/bar types) may heat a room more quickly than efficient oil-filled/storage types, inefficient cars may be fast because of their inefficiency, inefficient lights (ordinary light bulbs) will nonetheless respond quickly with bright broad spectrum light, and so on.

Any given computer or TV-set that is forced to use less energy may suffer from worse response-time, worse memory use and retrieval, worse screen performance (including less screen back-lighting etc), possibly solved as said by expense-adding component changes - if they are possible that is, to meet the energy efficiency required.
Notice also in this regard the targeting of energy demanding plasma screens,
which may have advantages of contrast, wide angle viewing, and less motion blur, particularly for their price.

As for washing machines and dishwashers, hot and powerful well performing ones are inefficient in energy use.
Even if energy efficiency standards are set for different motor sizes (compare with cars), it means that the consumer who wants to maintain performance upgrades to a more energy using product.
Alternatively, poorly performing energy efficient appliances are simply used longer to achieve the same result, again not saving energy.

Similarly but in reverse, refrigerators and freezers do not necessarily cool as well as before.



The arguments are sometimes dismissed in saying that performance will be maintained with lower energy use, but performance values are hardly specified in the regulations, and they would be hard to define and adequately measure anyway (e.g.light bulb performance measurements, dealt with in detail later).
Moreover, as mentioned, if any performance attribute is indeed maintained, it raises the product price, since energy saving is a marketable advantage, and the product would therefore otherwise be saving energy in the first place (see price considerations, in a following section).
A good example typifying performance and usage problems follows....

The particular change to washing machines (clothes washers) was highlighted in a Wall Street Journal article (March 17 2011) by Sam Kazman, a general counsel of the Competitive Enterprise Institute.
Edited extracts, my emphases:
Front-loading washing machines meet federal standards more easily than top-loaders.
Because they don't fully immerse their laundry loads, they use less hot water and therefore less energy: But, as Americans are increasingly learning, front-loaders are expensive, often have mold problems, and don't let you toss in a wayward sock after they've started.

The culprit is the federal government's obsession with energy efficiency:
In their quiet destruction of a highly affordable, perfectly satisfactory appliance, washer standards demonstrate the harmfulness of the ever-growing body of efficiency mandates.
In 2007, after the more stringent rules had kicked in, Consumer Reports noted that some top-loaders were leaving its test swatches "nearly as dirty as they were before washing." "For the first time in years," CR said, "we can't call any washer a Best Buy."
Contrast that with the magazine's 1996 report that, "given warm enough water and a good detergent, any washing machine will get clothes clean." Those were the good old days....
Newer types of [front-load and modified top-load] washers cost about twice as much as conventional top-loaders, but [in the 2007 test] they didn't clean as well as the 1996 models. The situation got so bad that the Competitive Enterprise Institute started a YouTube protest campaign, "Send Your Underwear to the Undersecretary." With the click of a mouse, you could email your choice of virtual bloomers, boxers or Underoos to the Department of Energy. Several hundred Americans did so, but it wasn't enough to stop Congress from mandating even stronger standards a few months later.

Now Congress is at it once again.
On March 10 [2011], the Senate Energy Committee held hearings on a bill to make efficiency standards even more stringent.
The bill claims to implement "national consensus appliance agreements," but those in this consensus are the usual suspects:
politicians pushing feel-good generalities, bureaucrats seeking expanded powers, environmentalists with little regard for American pocketbooks, and industries that stand to profit from a de facto ban on low-priced appliances.
And there are green tax goodies for manufacturing high-efficiency models—the kind that already give so many tax credits to Whirlpool, for example, that the company will avoid paying taxes on its $619 million profit in 2010.

Amazingly, the consensus also includes so-called consumer groups such as the Consumer Federation of America and Consumers Union.
At last week's hearing, the federation touted a survey supposedly showing overwhelming public support for higher efficiency standards. But not a single question in that survey suggested that these standards might compromise performance. Consumers Union, meanwhile, which publishes Consumer Reports, claims that "new washers can't be compared to old ones" — but that's belied by the very language in its articles.

We know that politics can be dirty.
Who'd have guessed how literal a truth this is?

Also by Sam Kazman, an entertaining, if worrying, "Walk around the House" with a metaphorical Government Inspector banning all sorts of consumer products according to new regulatory standards, unnecessarily restricting people's choice and freedom: "How Many Congressmen Does It Take to Screw the Light Bulb?"
(an illustrated article pdf copy, plain text version)
Actually it may be worse than that: the US Senate Energy Committee, in passing the S.398 Bill on April 12 2011, are seeking to tighten standards on a long list of household and other appliances, including washing machines, dishwashers, refrigerators and lighting, still far from legislation, but showing the prevailing sentiment there at the time.

Notice how product water usage restrictions has similarities with energy usage restrictions:
Toilets that don't flush properly with reduced water use have been added to the growing litany of product problems faced.
As shown with washing machines, the 2 types of savings mandates can cross over, in that less water use also means less heated water use, and thereby reduced energy (electricity) use.

Also expanding on the above washing machine, toilet and other themes, a July 2011 Energy Tribune article by Dr. H. Sterling Burnett of the National Center for Policy Analysis - more of which in the section below dealing with the lack of supposed savings from regulations.


Overall then,
a a lose-lose situation for all concerned, given the small eventual savings for society which aren't necessary in the first place, and which - if they were necessary - could be handled very differently.

Those energy saving dictats just keep on coming.
Thereby the announced EU regulation on heating system pumps and other heating equipment, or the proposals on buildings, furnaces, catering equipment, lighting etc in the US Energy Bill, with more household oriented legislation supposedly also on the way in both jurisdictions.... as indeed reflected now in March 2011 in the mentioned US Senate proposals.







Construction and Appearance are affected

If a product can meet the energy saving requirements in the first place, it will involve a different, usually more complex construction, or the product would be likely to be more energy efficient already, since it is an advantage.

For example, through the need for insulation to save energy by keeping heat in (or out), it makes buildings, refrigerators, computer servers larger, heavier and/or with less internal space and/or more expensive to construct with different components.

In turn it affects usage.
Notice for example how above mentioned different washing machine front- and top-loading constructions affect usage.
Or, how energy efficient buildings are sealed buildings.
That means windows that can't open, no balconies, no open plan rooftop communication: not always what people want.
while it doesn't mean that no buildings will have balconies in the future, it means that to keep within allowable energy usage limits for a given building, architects no longer have the option to design the buildings as they - and the purchasers and occupiers - might wish.

Complexity tends takes over from simplicity:
aptly seen in how Edison's simple and safe light bulb is sacrificed in the name of "environmental progress", for complex mercury containing "energy saving" lights, or multimodular LED lamps.

But, ironically, one can also see how energy limitation forces construction constraints to give product simplification - itself not necessarily a blessing:
for example cars that are made smaller/lighter/flimsier in a given vehicle class, to meet fuel economy regulations, and therefore less safe to travel in.

So coughing up more money may not get you round the constructional demands.
In fact you are probably going to have to hand over more money anyway....







Price is affected

Assuming that modifications can be made in the first place, to meet the standards required, then the constructional changes also raises prices: particularly if an attempt is made to maintain performance features. Otherwise the products would be energy efficient already, since energy efficiency is an advantage on the market.
But there are more reasons why people end up paying more...



Why purchase costs increase:

1. Energy efficiency measures increase cost to consumers.
This is not just due to the constructional changes.
Given, as mentioned, that performance levels are not necessarily maintained when a lower energy use is enforced, then a consumer may buy a product from a higher class (such as larger/better motors, with cars, washing machines, dishwashers etc) - paying still more to achieve satisfaction.



2. The real purchase cost for "green technology" is higher than the price tags show:
Manufacturer and retailer, subsidies and tax breaks add to taxpayer costs.
Also, while purchase grants may help some consumers, it is paid for by other citizens.
To get an idea of the massive subsidies involved to keep down prices, see the later section covering light bulbs, also referring to energy efficiency subsidies in general, such as the autumn 2009 announced 3.1 billion dollar support of energy efficiency measures in California state alone.



3. Taxpayer subsidies keep down prices in many other ways:
The idea of "cash for clunkers" scrappage schemes for cars,
(which has extended to other products elsewhere eg water heaters in the UK),
scrapping well working products in the name of sustainability,
means the increased manufacture and distribution of new more complex and costly products.


4. It is sometimes suggested that if everyone has to buy "energy saving" products, more will be made so that each product costs less to make, on economy of scale, and therefore in turn the product will be cheaper to buy.

This might at first seem a good point.
But this is exactly the sort of thinking that keeps leading politicians and officials around the world (as in the EU) to fill the pant pockets of farmers, house builders, "green tech" businessmen and what-nots in the expectation that they will then be so kind as to provide cheaper agricultural produce, cheaper housing, cheaper "green" energy and energy saving products etc for the people.

But cheap in production does not mean cheap on the market!
And more on the market does not necessarily mean cheap on the market either!

In the case of energy saving products:
 the manufacturers charge what they can on the marketplace, regardless of how much they sell:
they can indeed lower the prices and still make a profit, but only the pressure of competition ensures it.
 cheap competition from "energy demanding" products, which keeps down prices overall, has been removed.
 there are fewer manufacturers making the usually more complex products, again reducing competition. This is particularly the case when lobbying local manufacturers with patented green technology succeed in banning the competition (as in the EU).
 pre-ban subsidies on "energy saving" products, which keeps down their prices, has likely been removed, in no longer being seen necessary to shift those products, given that the cheap competition has been removed.
In this regard, in post-ban UK, April 2011, there has been a rebound price increase of CFLs from subsidy removal, as covered by savethebulb.org.
 the complexity of energy saving products often being behind their greater expense, also brings up the point of likelier recycling requirements.
Manufacturers will increasingly have to pay for product collection/recycling, with, for example, Vermont in May 2011 becoming the third US state requiring CFL manufacturers to pay for such a program. Any financial burden on manufacturers is of course likely to see more expensive products, to cover costs.

In relation to the last point on recycling, one might add the cost to consumers thereof in time and money, including the transport to recycling collection points (as with properly packaged fluorescent light bulbs, more), a cost factor that should be remembered in the overall price of such products.

Competition of course not only keeps prices down, but also gives variety of choice for consumers, and one should not ignore product quality, achieved not just through bureacratic standards and inspection, but also through consumer demand:
With sufficient competition, manufacturers get more interested in doing market research, to make products that satisfy consumers.



5. Any breakage/loss/malfunction of expensive energy saving products involves greater replacement cost, than of cheaper more energy using alternatives.



6. You don't have to be a left-wing or environmental supporter to lament the frequency with which manufacturers make products obsolete.
Situations where spare parts become harder to get, and reparation is more difficult:
The push for people to buy new products with associated profit - rather than fixing the old.
But that doesn't mean having to legislate it too!
In the situation here, since energy inefficient types of products can't be made any longer, it also applies to parts for, say, washing machine models.
Similarly, side lamps, reading and ornamental lamps and chandeliers that have small/narrow bases that fit currently available light bulbs, become obsolete when newer bulbs don't fit, taking into account the bulkier base of CFLs, the smaller range of Halogens, and the inadequacy of LEDs for the purpose. Current accessories become harder to use too (as with dimmers, timers, sensors specifically suited for today's light bulbs).
All these enforced replacements affect household and business purchase costs.







Lack of Money, Energy or Emission Savings from Energy Efficiency Measures

Lab testing of one product against another is one thing, reality is another.
In researching the light bulb ban, as described in detail below, I did not encounter any European government or EU agency giving truthful figures regarding savings: that is, they were purely based on the usage involved in sticking one light beside another (still getting the figures wrong, incidentally).
In real life, energy use may end up greater, not less, and emission savings depend on the energy source emitting gases in the first place, not true when using emission-free electricity, for example.

A much longer rundown of why money/energy/emission savings arguments don't hold, with references, is given in relation to the light bulb ban, especially with the factor listings, and the final electricity use analysis:
But much of what is said there applies to other products too, especially those that are powered by electricity.

Some reasons for the lack of savings:


1. High purchase costs reduce running cost savings - also see last section.
Putting it in a practical context with washing machines (and other products like energy saving lighting, which is however covered later), a July 2011 Energy Tribune article by Dr. H. Sterling Burnett a senior fellow with the National Center for Policy Analysis (NCPA).
Extracts, highlights:
The Federal Government is considering new energy efficiency mandates for icemakers.
Before starting down this path it should carefully examine the differences between the rosy promises and the real results from other household appliance efficiency standards that it has imposed.....
The savings from federally mandated energy efficiency standards for household appliances are often overstated. The Cato Institute found that U.S. energy efficiency standards will cost consumers up to $56 billion through 2050, excluding the government’s costs.
Energy-saving washing machines, for example, can initially cost twice as much as the machines they replace, but it is argued that they pay for themselves with lower utility bills. These “green” washers use up to 70 percent less water, but optimal results require a specially formulated [low sud] detergent, which can be more expensive. Even under the best conditions, the benefits are drastically overstated. According to Forbes, it could take an average of nine years to recover through energy savings the high price of an energy-efficient washing machine. Because the average lifespan of a machine is 12 years, by the time the consumer realizes savings, it is nearly time to buy a replacement.
The government that took away our light bulbs and our well-functioning high flow toilets now wants us to use icemakers that use less energy to freeze water. I fear the result will be higher prices for freezers that often don’t make fully solid ice – you may find water running out of your freezer or food spoiling. The government should stop dictating to consumers what products they buy and how much energy they use – The feds can’t get their own fiscal house in order, and they should certainly stay out of telling us how to run ours.

2. Compliance issues:
Any forced reduction of choice of the popular products (remember, less savings reason to target unpopular products), is likely to meet consumer resistance in various ways.
Firstly from hoarding where appropriate (with small cheap products frequently replaced, like light bulbs),
Secondly from smuggling, when possible,
Thirdly, from evasive action to the extent regulations allow
(eg 2 x 60W bulbs in fittings where a 100W bulb was used before, greater use of side lamps etc with lower wattage bulbs).

One might add unintended consequences:
Such as, in Canada, the reported shifting to basements of phased-out refrigerators as basement beer coolers, when installing new (subsidised) refrigerators under favorable purchase schemes, increasing rather than decreasing energy usage.
Also see "rebound effect" of increased energy use under point 7 below, from what effectively becomes cheaper energy use.


3. Longer usage: Since the enforced use of less energy can reduce the performance efficiency of a product, it can lead to a longer usage time to compensate for it.
For example, an energy saving dishwasher operating at lower temperature, or with an inferiorly performing motor, may be left on longer to clean the dishes - negating the supposed money and energy savings.
Of course, upgrading to a higher product class to maintain performance also negates the supposed money and energy savings, as mentioned under purchase costs above.


4. Product differences, unrelated to the amount of energy they use, can affect the savings. For example, the "energy waste" as heat of electrical products (computers, light bulbs) is not necessarily a waste, in saving room heating costs; while fluorescent "energy saving" lights are supposed to be left on for minimum periods, using energy, so as not to reduce their lifespan.
5. Short-term/rare usage: Assuming that any higher than expected purchase costs aren't cancelled by lower than expected usage savings, and indeed that all desirable product characteristics remain, that still only applies to continuous use:
What if you hardly use that more expensive purchase?
What if you might actually prefer a cheaper and perhaps shorter lasting alternative?
There are many examples where short-term or rare usage applies, by choice:
An energy efficient building may not be used much, temporary tenants face high lease/rental charges without being compensated by the lower heating/cooling costs, given that the energy efficiency regulation on the building increased its construction cost (since lower energy use without any extra construction cost would be a marketable advantage).
Also think of appliances that are used in short-stay or second homes.
Even with permanent occupation, products inside a building are not always used much, as with lighting in rarely used rooms, or lamps, or for that matter products perhaps outside the building, like a second car.
Those frequently changing say cars/computers/TV-sets for new models, may also lose rather than save money.


6. Complex energy saving products require more energy, not only in construction but also in transport from the fewer manufacturing centra (China) in which they are economical to make, and, being more complex, may (like "energy saving" lights) require recycling, with associated energy and emissions. A likely longer lifespan of energy efficient products helps to compensate, but again this eats into the savings figures that supporters of energy efficient mandates like to proclaim.


7. Real life use: Whatever about lab tests, think of what energy efficiency means:
It effectively means cheaper energy use, so people just use more energy.

So cars are driven more - lessening the attraction of using public transport.
So heating, lighting, computers, TV-sets and other appliances are unnecessarily left on....
While that isn't particularly hard to imagine, Scottish research from 2008 actually had such findings, relating to business energy usage.
Cambridge University research (May 2009 report) also confirms the increased energy usage.
Terry Barker, of the Cambridge Centre for Climate Change Mitigation Research, showed that if the International Energy Agency's (IEA) recommendations for efficiency measures are followed in full in the next few decades, results will likely fall far short of expectations:
"The green stimulus packages being implemented to tackle the financial crisis in several countries all include investments in energy efficiency.....They may be a lot less effective at reducing energy use than expected because of the rebound effect."

"That is potentially important because it will lead to us over-estimating what certain policies will achieve" adds Steve Sorrell, a researcher at the UK Energy Research Centre and an energy policy expert at the University of Sussex.
As also seen in practice with lighting switch-over policies, covered in more detail later.
For example, quoting a recent 2011 Competitive Enterprise Institute (CEI) article (pdf, html version here) by Sam Kazman, "How Many Congressmen Does It Take to Screw the Light Bulb?":
Do CFLs actually reduce our consumption of electricity?
Even for this seemingly unquestionable claim, the answer isn’t clear...the town of Traer, Iowa, persuaded most of its residents to turn in their incandescent bulbs for free fluorescents. The results? Electricity use increased by nearly 10 percent. People figured that, because running the new lights was cheaper, they might as well keep them on longer.
... a problem compunded by the fact that CFLs are meant to be left on for minimum time periods, so as not to shorten their lifespan, which of course adds to their energy use, even more so because people then forget to turn them off....


8. Market effects: If energy efficiency does significantly succeed in reducing energy usage, then, as said earlier, the reduced energy demand reduces the cost of oil, coal and gas sources, which either
 gives bounceback demand increasing their use, their emissions, and their price, again, or
 makes a switch to low emitting and renewable energy more uneconomical to make.
These effects were seen in recent 2009 energy markets, from the initially reduced energy demand of recession.


9. Electricity bills may not go down to give supposed "billion dollar/euro consumer savings", even if less electricity is used.
One reason is political: the effort (via carbon taxes, emission trading etc) to keep coal/gas/oil prices high for utility companies, and therefore also for business and household consumers, in turn to encourage the use of progressively more renewable sources, which is also enforced by legislation in many countries, but such energy tends to cost more, at least at present, without subsidies.
But that's not all.
The lack of supply competition in grids means that reduced sales for the dominant supplying electricity company leads to it raising the standing charge or the price per kWhour, to cover its costs, of which the purchase of fuel is only a small part, compared to plant and grid maintenance, wage bills, and so on: energy regulators are hardly going to deny such a legitimate request.
This is particularly the case for a generalized downturn of demand from energy efficiency legislation which is not just related to peak (early evening) use, when utility companies often utilize costlier extra turbine generation.









Regulation versus Free Markets to achieve Desired Sales


"Manufacturers are stimulated to make their products more energy efficient", the regulation proponents say.

The justification given is that free market conditions do not lead to enough purchases of energy efficient products.
Information campaigns telling people of great savings they can make are considered insufficient:
Basically, people are considered too stupid to know their own good, and should be happy to save money from not buying what they otherwise would have bought.

The assumption that keeps being made that a certain product is only made more energy efficient - but as already seen, the changes in characteristics as well as price means that it is no longer the same product, and may not even meet those conditions without becoming obsolete, despite other advantages it must have had, to have existed in the first place.
Certainly, product changes are sometimes minor, but then the point of the regulation can also be questioned (for example, similar though much more expensive halogen lights may in some cases be allowed to replace ordinary household light bulbs, but give little energy savings).

Energy saving is of course a positive quality in a product - and has, as described later, been regularly welcomed and accepted in product inventions and improvements throughout history, giving high sales without the need for regulation.
Any rejection by consumers, a rejection in the face of public information campaigns, should therefore be taken more seriously than to force-feed them with regulation.
Manufacturers, for their part, can clearly advertise and market "expensive but energy saving and long-lasting" products better than they do (think of imaginative Energizer battery bunnies or washing up liquid commercials), and not just be happy about political bans on cheap competition, or bans that mean that the manufacturers themselves don't have to make cheap alternatives that carry lower profits.
Fundamentally,
who should "stimulate" the manufacturers anyway?
Should it be by political demand or consumer demand?
Should it be through decisions by political administrations, prepared by their bureacrats as in the Soviet Union styled EU "Ecodesign Committee"?
Or should free market competition be the dominant factor in establishing what people can or can't buy, when it's about products safe to use, regardless of their energy consumption, if the energy supply is there?
The "Car Policies" section below mentions General Motors.
Probably the last company on this planet that needs energy efficiency regulation, since not making energy efficient cars was supposedly a reason for them going bankrupt, a lesson as clear as any about satisfying such - or any other - consumer demand.



The EU answer is quality inspection rather than open market competition to see that consumers are satisfied, and the USA seems to be heading the same way.
Note that inspection of products to make sure not only that they are safe but also that they adhere to labelled consumer information standards such as Energy Star categories, is obviously good and valuable - but so is freedom for consumers to buy what they want, and a quality reputation thereby gained on the market place.

Consumers have happily bought energy saving products in the past - and will do so in the future.
If future energy saving light bulbs or cars "will be so great" - as regulators keep saying - then why ban the energy demanding alternatives?

To reiterate:
If a more energy saving product is good, so people buy it - why ban the alternative?
(no point, little energy is saved)
If a more energy saving product is not good, so people don't buy it - why ban the alternative?
(no point, since it's better)...

See the discussion in the Standards and Markets section.
Energy saving transistors came to heavily outsell energy demanding radio tubes - though the latter continue to have special uses, whether in specialized audio equipment or guitar amps, without breaking down any power plant.



Overall then, poorer markets with fewer more expensive products, a lack of competition and consumer choice but with product quality supposedly assured by inspectors.
This is very understandable in the EU - for those of us familiar with Brussels love of Soviet bureaucracy.
But the USA? Why the USA? The land-of-the-not-so-free-anymore?






Local Jobs

There is a further point about old simple cheap technology compared to expensive complex and often profitably patented technology:
Simple products like simple light bulbs are more easily locally made and transported, good for local jobs as well as for the environment.
The EU Commission admits to thousands of local job losses (more), while many US plants have shut.

Yes, the jobs may eventually have gone overseas anyway, but regulations hasten the move, and it should be noted that any new product manufacture is made less likely when they must meet standards that make them more complex and difficult to make.

The "creation" of jobs by pumping Government subsidies into Green Tech projects to make products that people would not otherwise voluntarily buy, can perhaps short-term be defended to bring such product choice alternatives to the market, especially when the aid is to inventors and new businesses.
However, it does not excuse current (US/EU) continuous aid for jobs that are not of themselves sustainable.
As already described, the energy/emission logic for such continuing subsidy does not hold up.









The Energy Side of Energy Efficiency





Energy Supply

There is not any energy supply problem in society that justifies energy efficiency regulation:

1. Renewable energy sources already exist, and are increasingly deployed (solar, wind, wave, tidal, hydro, geothermal, biomass).
2. Nuclear energy is long-lasting and potentially renewable (short-term via breeder reactors, long-term as nuclear fusion).
3. When used for electricity, renewable/nuclear energy can relatively quickly be spread to other regions via grid interconnectors.
4. As finite sources become scarcer, their price rises, reducing such consumption anyway, and the choice of renewable energy resources becomes more natural on the market place.
Therefore the "peak oil" worries, regarding future oil shortage, is hardly justifiable in that the price rise from a shortage self-regulates the market.
Motor vehicles, shipping and aircraft are being developed that are not locked in to fossil fuel derived mineral oil, while the finding of new mineral oil (and other hydrocarbon) reserves has alleviated supply concerns.
5. Taxes or subsidies can of course speed up switchovers, if really desired.



In the electricity sector,
the idea of "saving society the cost of building another power station", not only does not hold in reality (more), it does not reflect that it's actually about the paying consumer's demand for energy, energy of which there is no future shortage, particularly regarding electricity, and as seen including low emission renewable or nuclear alternatives.
It therefore then becomes a question of "unnecessary consumerism", and some people's personal satisfaction in saving energy - and why not - but the question is if such a dogma should be imposed on everyone else.
We can live in caves and use candles, to maximize energy savings, or deal positively with energy production, with due environmental regard, and leave consumers alone.








Energy security

Energy security needs to be considered in relation to any need to save energy.
Given that governments can secure control in their own jurisdictions, it's really about dependence on foreign sources of energy. Typically it involves questions of reliance on Middle East oil, or (for the EU) Russian gas.

Energy security concerns do not mean that energy has to be saved:



1.  General Dependency

The dependence on fuel imports from any given country or region can be overcome in several different ways - apart from energy efficiency measures:
• by using alternative supply sources of that particular fuel, from closer locations (national or regional country sources) and/or from countries more allied politically
• by favouring some suppliers over others, for example by the use of import duties.
• by using alternative energy sources
Overall, it therefore can't be said that a need to reduce fuel imports in turn means that energy saving measures are needed.





2.  Electricity Dependency

As for any need to save on electricity, energy security is even more irrelevant.
Firstly, today's electricity generation tends to utilize local energy sources.
Secondly, when fuel is imported, it rarely involves finite fossil fuels:
Most of the world's oil/coal/gas/peat fired power plants use national supplies.

Oil isn't much used in electricity generation anyway:
In North America, Europe or Australia, the principal regions covered in this text, only Alaska (along with Canada's Nunavut territory) has a dominant proportion of oil-fired electricity generation - using local oil supplies.

Natural gas is imported for electricity generation in some European countries.
But current electricity development plans in the relevant countries lessen such dependency, not just regarding new and alternative local generation, but in grid connections with neigbouring (and alternatively powered) countries, as described below.

As for coal, it is by its nature cumbersome to export (can't be transported via pipeline like oil or gas), and is therefore used locally or near-locally in power plants.

If fuel is imported for electricity generation, it is usually uranium for nuclear power plants.
However, not only are the physical amounts required small, and long-lasting, and potentially renewable via breeder reactors:
Canada and Australia alone supply half the world's uranium anyway, so there are no geopolitical import problems for nuclear use by western countries and allies.

Of course, the current increasing deployment of infinite renewable (hydropower, wind, solar etc) energy sources also lessen fuel importation concerns.



That said,
current plans also envisage the development of large international grids to spread the electricity generated from renewable, nuclear, or any other energy source.
So electricity importation might be seen as a new energy security concern.

However, at least in North America and Europe, this does not pose the same geopolitical problem as oil/gas fuel imports (and it's unlikely that cross-border electricity grids would be developed anyway, between nations that have a risk of questionable relations).

Moreover, any such disadvantage needs to be weighed against the advantages for any participating state,
remembering that local conditions play a big part with renewable energy (wind, sun, tides, dammable rivers etc) and that the expansion of an existing generating facility, including of low-emission nuclear power, is usually easier than setting up a new one.
Also, it may help a state adhere to internationally agreed carbon emission levels.

There is the further point that renewable electricity tends to be intermittent (solar, wind), and thereby more cost-effectively available on demand when spread in larger grids, given the energy storage problems (in fact the energy storage facility itself may suitably be in a foreign location, as in Swedish/Norwegian hydroelectric dam storage of Danish wind energy generation).
Another website (see Introduction) deals more in detail with future electricity distribution.



The energy security issue then arises, that foreign electricity generation - regardless of coming from a friendly neighbour - might suddenly fail, or indeed that the grid connection breaks down somewhere along the line.
What then?
A country, or state, plunged into darkness, with no control over the situation?

Firstly,
A supergrid constructed as an internet of electricity like that of communication, is less reliant on any one supplier or connection.
So if one source or connection is knocked out, others can take over, also automatically, when the cutdown is sensed by grid management applications.
This includes having several cross-border interconnectors to (different) grids, seen with Ireland, Britain and the European mainland, and in projected inter-state North American grid development.

Secondly,
even if there was a predominant reliance on out-of-state electricity generation, that does not exclude local backup generation. For example, quick firing gas-fired generators are already often used for peak time extra demand for electricity. CO2 emissions from such sporadic use hardly affects any annual local CO2 emission target.

Finally,
to counter the impression that say local coal or gas power plants would not of themselves have a future, there are of course various low CO2 emission solutions also for their use, which should be compared out of competitive cost-effectiveness:
Apart from the whole issue of whether CO2 emission reduction itself is relevant or not, as dealt with separately.



As always - deal with the problem, if there is a problem.
Energy security concerns do not justify energy restriction on the population.







Regulation on Cars to reduce Oil Dependence

Cars are the most obvious example of the supposed need for energy efficiency regulation to limit the dependence on oil (as gasolene/petrol/diesel).
But whatever leads to oil supply shortages and price rises (industrial expansion of emerging nations, geopolitical problems, finite fuel depletion) in turn leads to energy efficient cars being favoured by consumers, without any need to regulate for it.

A further point (again seen with cars) is that human inventiveness increases as it's required, in the provision of alternative energy sources.
Energy efficiency as a way of to string out, to prolong, the use of oil as gasolene makes no sense.
Regulation-keen environmentalists might rather be expected to say "bring it on" regarding the demise of cars using such fuel, hastening a switch to other energy sources.

[Note that if oil supply really was a worry, then oil/gasolene tax or import duties, or for that matter fuel efficiency car tax, would be better than fuel efficiency regulations.
The reason is the easy adaptability of such taxes to changing situations, reducing oil consumption as needed while also providing government income.
Any impopularity of taxation should be weighed against its usefulness, clearly communicated by politicians, including that it avoids bans for consumers, and that fuel efficienct cars could have lower overall taxes, thereby being cheaper than today.]












The Emission Side of Energy Efficiency



Emissions are not just about CO2:
Nuclear power radioactive emissions need consideration in power plant construction and in radioactive waste disposal.
In the case of oil, coal and gas usage,
one should certainly also not forget about all the traditional local soot, sulphur, heavy metal and other pollutants, whatever about global acting CO2.
However, clean air legislations have largely come to deal with these problems, and the technology involved is (so far) cheaper than the removal and disposal by burial or other means of CO2 gas (or its carbon), to take it out of circulation.




Climate Change and CO2 Emissions
Energy efficiency regulations, such as on light bulbs, have largely been justified by the supposed CO2 emission reductions they bring - in fact, it's what brought them about in the first place, in the EU and Australia.

The point here is that, regardless or not of accepting climate change and CO2 emission arguments, the regulations are still not justified:
Most obviously because the energy and thereby the associated emission reduction are less than supposed, indeed much less with electrical products like light bulbs.
But even with significant CO2 savings, energy efficiency regulations will still be seen not to be the most effective choice.



To begin with,
there is therefore the issue of accepting climate change / global warming itself as happening, as being bad overall, and as being possible to alter, followed by similar reasoning to accept the need for atmospheric CO2 reduction to deal with the problems, followed by accepting the need to have to do it by lowering man-made CO2 emissions.

Around 250 billion tonnes of carbon (900 billion tonnes of CO2) are annually released from natural land and sea sources, half from each, while only 8-9 billion tonnes come from fossil fuel emissions (as from NASA/Fluxnet/Max Planck-IPCC data, there are other estimates, but the big difference is the point).
The natural reuptake is held to be about as great again, leaving most of the emission amount as a surplus, but if nothing else, it clearly points to alternative CO2 reduction possibilities.
Compared to the usually criticized temperature record, the poor historical and geographical atmospheric CO2 record is the "elephant in the room", also in actual measurements of the contribution by man-made CO2 emissions, even now based on inventories and assumptions rather than on actual, direct and source based measurements, whether done by isotope differentiation from natural sources, or in any other way.

This will not be covered here, but a separate site, based on the previous website incarnation (see introduction), will later be linked here, looking at how the climate change issue is handled, including the assumptions about CO2, and the CO2 data.



If accepting the need to lower CO2 emissions,
there is nevertheless a lack of logic in using energy efficiency legislation for CO2 emission reduction:

1. What are the regulations about?
Regulations specified to save energy - not CO2 emissions.
If CO2 emission savings are needed, specify CO2 emission policies.
Where there is a problem - deal with the problem.

2. Look at your light bulb.
Does it give off any CO2 gas?
Compared to say combustion engine cars, there is a fundamental fact about electrical products:
They themselves don't give off any CO2 gas.
If there is a problem - deal with the problem.





The usual counter is then
Dealing with power plants or changing car production takes too long!
Energy efficiency regulations are the low-hanging fruit in achieving a quick reduction in energy use and CO2 emissions, which moreover saves money for consumers!



Firstly,
it should be reiterated that the energy - and thereby the emission - savings are relatively small:
Regarding regulations in general - see the preceding savings section.
Using light bulbs as a specific example - see the rundown of factors, and the concluding analysis, using US Department of Energy and other referenced data, showing under 1% US energy savings from such regulation.
Moreover, that relevant energy and thereby emission "waste" is in any case from the unnecessary use of products, rather than from the personal choices thereof, again exemplified in the given links.


Secondly,
not all changes in for example electricity production and delivery need be difficult, slow or expensive to implement, as described in the energy section, many which are already underway, whether in electricity generation or grid distribution. Raising the price of electricity based on the relevant finite fuels, via a tax on say coal or gas or on their derived electricity, is quickest of all in reducing such energy use and emissions, albeit needing consideration in how consumers are affected (eg if consumers can switch suppliers, or can have cross-financed home insulation grants etc).
As for cars, note the ongoing development anyway of say hybrid, electric and hydrogen powered cars, again reducing emissions.


Thirdly,
overall international and national CO2 reduction intention from these and other measures are expressed by politicians in future year 2020-2050 perspectives, when further supply side changes are possible, of much more significance than currently proposed product regulations.

Ironically, the politicians then talk about "massive CO2 savings" from banning certain light bulbs, using current power plant emission levels and projecting them to such future dates (as seen from USA projected savings to 2030, and from similar EU and Australian data), emissions they have announced they are bringing down by such time anyway!
Unfortunately, the media swallows these kind of arguments.

Moreover: If the presence of CO2 emissions is used to justify regulations, then presumably a lack of such emissions should at least make regulations less necessary - noting that, even now, many businesses and consumers (using hydropower, nuclear, wind etc electricity sources) not only do not cause such emissions, but use long-lasting or renewable energy sources too, the use of which will also increase in the future.
But in the announced justification to "quickly bring down CO2 emissions", no-one is saying that these regulations are temporary, and will be removed when no longer required.


Fourthly,
even if the need was felt to focus on consumer products,
taxation is quicker and simpler than regulations and can cross-finance energy saving products to equilibrate the market while still keeping consumer choice, and is easy to apply on cheap products for good return, given for example the 2 billion annual US sales of relevant light bulbs alone.
Taxation on energy or emissions can be applied anywhere in the energy (and electricity) usage chain from initial fuel (oil/coal/gas) use through to the purchase of goods or services.
While taxation is not a first option for reasons described elsewhere,
it is surprising that bankrupt states like California happily bans buildings, cars, TV sets and light bulbs simply on energy using criteria, given (with such ideology) the massive income the state thereby foregoes, where they could still be achieving their energy and CO2 emission reduction targets.


Fifthly,
Ensuring market competition in all industry, including between electricity service providers and between manufacturers of relevant products, is a better policy option than regulation - or taxation - not just for an overall more efficient society, but also to deliver energy efficiency and reduce emissions.
This is because it pushes profit-seeking businesses to keep down their costs including energy costs in the way they know best, and to do market research to supply desirable energy saving products, the presence of which can be further supported, if felt necessary by worried governments, by aiding research and launch-to-market of new energy saving products by new competing businesses providing new (and local) jobs sustained by market demand (rather than wastefully subsidising existing major manufacturers which also does not spur competition).
Competition stimulation of itself is not particularly costly or difficult, and of course again keeps - and increases - consumer choice.

Market based policies and taxation are expanded on later.







In the following,
some sector examples of energy use and related emissions, and why energy efficiency regulations are wrong:
A brief look at buildings, industry, power stations and light bulbs, followed by cars in a separate section.




Buildings

Buildings contribute substantially to CO2 emissions.
Dept of Energy building emission data based on their energy consumption survey, judges the energy use for both the average and Energy Star rated buildings as 67% electricity and 33% natural gas - so electricity emission reduction is clearly of key importance.

Energy efficiency regulation is not needed, and emissions can be dealt with better without it.
Why?

Regarding new buildings,
energy efficient buildings can be compared with more energy using ones:
Construction/lease cost (likely higher) versus running costs (lower) along with construction feature differences, such as sealing buildings to achieve efficient climate (heating/cooling) control. As seen in the previous comparisons, low energy use is simply one advantage among others to consider in the construction of buildings, to the extent it makes them easier to sell or lease.
Architects and builders should therefore be free to construct any building they wish, there is no energy shortage either, to justify energy efficiency regulation, and no emission justification:
Low-emission grid electricity supply to buildings can be used for both heating and cooling interior climatization, as an alternative to on-site solar, wind or geothermal sources.

With existing buildings,
to the extent energy saving or emission reduction is seen to need encouragement, then energy conversion and certain insulation schemes can be subsidized by governments, or given tax breaks.




Industry

With CO2 gas emitting industry like for example cement or steel, it's in their own interest to have low energy use (and thereby lower emissions) in production, they don't need governments to tell them that.
As with the lowering of all other industrial cost factors, energy efficiency is best stimulated by making sure there is adequate competition, from national or international industry.

Regarding the specific lowering of emissions, current and proposed EU and US legislation respectively are focused on circuitous cap and trade (emission trading) schemes. Another site (see Introduction) will compare ways to achieve compliance in order to lower industrial emissions, as and when required.




Power Plants

Power plants (power stations) are of course as utilities also industries, and so have the same arguments as those just given.

The stimulation of adequate competition leads to efficiency also in the energy production itself, and makes energy efficiency legislation a needless tampering with executive choices: all the more so, since energy supply is here hardly going to be a problem.

The way to achieve adequate competition, and thereby the operating efficiency sought, is in this case all about the effective and neutral management of grids with open access for other electricity suppliers:
Another website (see Introduction) deals more in detail with future electricity distribution.
The point here is that such grid systems also achieves emission reduction on a grander scale, interconnectors giving larger grids to include suppliers of emission-free energy, with competition also between them.

Given their importance as emitters of CO2 and other gases, particular attention is given to power station emission reduction on a different website, a CO2 emission reduction achieved as a side benefit by implementing policies with their own inherent value.




Electrical Appliances

This of course includes light bulbs, as dealt with in detail later.
However, it should be noted that the same emission reduction principles apply to electrical appliances generally, such as washing machines, refrigerators, TV sets and computers.

"Banning light bulbs saves X million tons of CO2"
politicians the world over exclaim emphatically, extending the argument to other electrical appliances.
At the same time they give other data showing how the same emissions will be reduced anyway - and over the same time periods (typically quoted to 2020 or 2030, as in US and EU light bulb ban statements)
Talk about a lack of logic.

The energy and thereby the related emission savings wouldn't be there anyway, for reasons listed earlier, also remembering that electrical appliances don't even give out the CO2 in the first place - power plants might.
If there is a problem - deal with the problem....

The lack of correlation between appliance use and emissions also -and significantly- means that the increasing number of users of emission-free energy are unfairly denied electrical appliances that they might want to use (or indeed, that they obviously want to use, as with popular light bulbs).











Car Policies




The question is firstly if fuel efficiency or CO2 emission reduction are needed beyond what consumers voluntarily want on the market place,
and if that is so, then if such requirements can't be handled better by alternative policies to regulation.

Look at General Motors in the USA!
A company that went bankrupt.
Why?
Because they didn't make fuel efficient cars?
No, because they didn't satisfy consumers - who amongst other things happened to want fuel efficient cars.

General Motors, like any other private company, thrives by satisfying consumer demand not political demand.
Fuel efficiency is wrongly being imposed on General Motors and indeed all other auto makers, in proposed and implemented legislation - even if fuel efficiency is needed.

Also, as this was first written,
the US "cash for clunkers" program was coming into vogue:
It involved getting cash for fuel inefficient cars in buying efficient ones, and was extended in early August 2009.
Dealers were forced to destroy perfectly usable trade-in cars, with the considerable energy involved in the manufacture of new cars, a "sustainability" thinking that might be compared to the maintenance of older cars (as in Cuba!).
"Ah" someone says, "Old cars spewing out lots of CO2 emissions no doubt!"
Again, if emission reduction is needed, that can be secured too.




First some basic points as to why fuel efficiency regulations are wrong, whether to reduce fuel use or emissions, then more detailed argumentation.

Fuel efficiency is of course an advantage that consumers can consider when buying a car - and can compare with advantages that more fuel demanding cars can have (better acceleration from greater energy use, or greater safety because of greater weight, etc, as well as a probably lower price for standard saloon type vehicles of a given engine size, or they would be more fuel efficient already).

In turn, since setting standards to deny popular products is clumsy as a market mechanism, it creates unwanted side-effects.
The CAFE (Corporate Average Fuel Economy) standards were enacted in 1975 after the oil-price chock, to ensure minimum fuel efficiency standards of ordinary cars:
But in thereby restricting the availability of large passenger cars, the CAFE program has boosted consumer demand for even less fuel-efficient vehicles, such as vans and sport utility vehicles (SUVs), which fall into a less regulated vehicle category.

As far as a government is concerned, any oil shortage raises the gasolene (petrol) price and - guess what - increases demand for fuel-efficient cars anyway, no need to legislate for it.
Besides, as said earlier, fuel efficient cars effectively means cheaper gasolene use which in turn means the cars are used more (and may for example, reduce the use of public transport).
This reduces the supposed oil/gasolene savings from fuel efficiency regulations on cars.

Another reason against fuel efficiency regulations is in their use against emissions, if that is the main concern.
As research at Georgia Tech has shown (more below) - it is possible to process and filter gasolene and other hydrocarbon derived emissions, also removing CO2 gas (regardless of whether CO2 reduction makes any sense, lowered emissions can of course have their own benefit, for all the noxious sulphur etc substances that the emissions also contain)
If it is economical to make - or to retrofit current- gas-guzzling cars with emission processing then, again, there is no reason for government to try to lower the use of such cars.
A fuel-neutral emission tax on cars therefore makes more sense, to target emissions as and if required.

If oil/gasolene consumption remains a concern, a government can simply tax the fuel, or impose oil import duties. If it is nevertheless seen as necessary to target cars based on their fuel use, then a car tax based on fuel efficiency still has more advantages for all concerned than today's fuel usage based bans on cars
(tax giving government income, while also retaining choice for consumers, which might include cross-financed cheaper fuel efficient or electric cars).



To expand on this:

As argued earlier, overall for society, energy supply is not a problem, emissions might be.



Fuel efficiency regulation is not a good way to deal with CO2 or other emissions:

1. Different types of energy sources, including variations of hydrocarbon fuel (such as petrol/gasolene or diesel, or biomass alcohol and gas, and sub-classes within them) release different amounts of carbon emissions, for a given amount of fuel consumption.

2. In a similar way to applying "clean fuel" technology to power plants, including carbon capture and storage schemes, carbon removal can take place at various stages in using hydrocarbon fuel for cars.
Such carbon removal from car fuel is not just a theory:
Given on one hand the vested interest to keep combustion engine cars going, and on the other hand the increasing pressure to reduce emissions, it is not surprising that practical solutions have started to crop up.
An example is the Georgia Tech, Atlanta research in the USA.
This involves a process where carbon is filtered out and deposited at refilling stations, for later storage such as burial.
Notice how fuel efficiency regulation does not take such possibilities into account, unnecessarily hampering oil and combustion engine car industries.
Emission reduction legislation should be neutral legislation: It should be irrelevant what fuel is used, as long as emission targets are met.

3. Fuel efficiency regulation is simply another form of energy efficiency regulation, with all the disadvantages of such regulation as mentioned previously, in terms of consumer choice, and of actual savings achieved.




So, what about CO2 emission regulation on cars instead?
After all, if CO2 is a problem, deal with the problem, right?

To reduce CO2 emissions, CO2 emission regulations are obviously more specifically relevant than fuel efficiency regulation are.
However, as regulations, they still have a similar consumer choice disadvantage in terms of available cars:
Characteristics that might be desirable, as mentioned for "gas guzzlers" (like speed, or weight that increases safety) - since CO2 emissions are related to fuel usage, especially when mentioned CO2 processing is not seen as possible or practicable.

Compare regulations on consumer products like cars, with the same on industries and power plants:
Industrial buildings or power plants can be seen as just big boxes using energy and delivering say cement or electricity, that might be regulated for their energy use or emissions.



Any better way to ensure car emissions are reduced?
Yes - taxation.



For electrical products like light bulbs, product taxation has been mentioned as being better than regulation.
Still, taxation is still not seen as a good solution in such cases.
Why?
One reason is that any political intervention should be where the problem is.
Whether it's about coal fuel use or the release of CO2 emissions, that is by power plants - not by light bulbs.
Thereby also the unfairness of hitting users of emission-free energy with regulation or taxation of appliances that they might want to use.

Notice the difference with cars, in that they directly use fuel and directly release emissions.
Political intervention - by regulation or taxation - therefore directly deals with any supposed energy or emission problem, and taxation is a better choice, compared to regulation, whether on fuel or emission - always assuming that they need to be targeted in the first place!




Car Taxation versus Regulation

As made clear in website introductory sections, ideologically I favour neither regulation or taxes ahead of market competitive measures.
However, for those who nonetheless wish to specifically target products or services for energy/CO2 emission reasons, taxation is a superior instrument - remembering that the regulations are not for usage safety reasons, but simply to reduce energy consumption or CO2 emissions.

As covered earlier,
on the assumption that CO2 emissions in society need reduction,
then dealing with car emissions is more relevant than to deal with their fuel use,
also because an oil/gasolene tax (or oil import duty) is better, quicker, and more efficient at relevantly reducing oil use, than targeting cars is for the purpose.
So a car emission tax is in turn more relevant than a car fuel efficiency tax, and is therefore assumed here.
Nevertheless, what is said here about emission tax of course also applies in principle to fuel efficiency tax.

1. Consumers don't like taxation, but at least they can still buy the car they want.
2. With a high enough taxation, high emission car purchases are nonetheless significantly reduced, mimicking the effect of regulation.
3. Unlike regulation, governments gain direct income from taxation, income that can be used to further lower car emissions (via for example hydrogen/electric car project subsidies, or carbon removal funding), in turn lowering emissions more than any remaining high emission car use causes them.
4. There is also the simplicity of taxation, compared to working out complicated car phase-outs and replacements.
5. Taxation is also easily adjusted to give the mix of government income and purchase reduction required.
Note that overall sales taxation can also be reduced on low-emission cars, making them cheaper than today, in compensation for tax rises on high emission cars - helping in "selling the idea" to citizens (see below).
6. Car taxation is also easily adaptable to new conditions and new cars on the market.
7. Taxation can be relinquished if and when no longer needed, for example removed from high emission type cars that have carbon capture systems installed either in construction or by retrofit to existing models - without having affecting manufacture.
Compare with emission (or fuel) regulations: the manufacture of relevant advantegous high performance and/or heavy cars having ceased, it is then hard to start up again.



"In America noone likes taxation!"
Politicians anywhere are afraid to apply it, but it can't be too hard for either politicians to communicate, or consumers to understand, that
 a ban on a product is different from a tax on it,
 noone is forcing anyone to buy the taxed product, there are alternative choices,
 those alternative choices can be cheaper than today through tax reduction or subsidies, without net loss of government income.

The general advantages of taxation over regulation - and of free market competition to both of them - are more extensively illustrated in the later Light Bulb section, closing essay.

The point here is therefore not that tax is good:
Taxation is unjust for similar reasons to regulation, not defensible to reduce energy consumption, but possibly to reduce emissions, when applied directly to emission generators (like cars and power plants), and again conditional on the proven need for emission reduction itself.

The point is that tax is better than regulation if it is felt that fuel consumption or emissions must be reduced beyond what consumers want:
Better for all involved, and better for dealing with energy and environment problems, if the ability of free markets in this respect is rejected.















The Light Bulb Ban




Notes to the text:

For the sake of simple discourse, unless otherwise said,
Light bulbs = Ordinary light bulbs, as with regular incandescent type lights of GLS (general lighting service) type
CFLs = Compact Fluorescent "energy saving" Lights
LEDs = Light Emitting Diodes, a more recent form of household lighting
Emissions = Generally meaning Greenhouse gas emissions like carbon dioxide (CO2), but also what is more commonly called pollutants (soot, sulphur etc), that may be included.
Emission-Free energy = Nuclear or renewable energy (such as solar/wind/wave/tidal/hydro), with little or no gas emissions in usage.



Regarding CFL nomenclature:
The name "energy saving light bulbs" of course has a simpler positive appeal to it than "fluorescent" light bulbs, or related neon lighting. This is just one example of how people's minds are changed by "adequate" nomenclature, as in calling the natural atmospheric CO2 gas "pollution" ("too much" CO2 certainly being bad, but so is "too much" water, or love, or peace, in the world), or in changing "global warming" to "climate change", warming still being seen as the main problem.
Yet, this also makes the relatively low sales of such bulbs more remarkable, compared with the popularity of ordinary incandescent light bulbs, and also in comparison with other products where price differences apply.
After all, who would walk in to a shop and ask for "An energy wasting light bulb, please"?

The further irony is that the "energy saving" is for many reasons not as great as supposed, either in usage, or, even less, in an overall life cycle consideration, as will be shown thoroughly.
Perhaps consumers sense this, in not adequately obeying all the "switch and save" official campaigns and dictats.






Summary


Light bulb energy usage regulations in the USA, EU, Canada (postponed), Australia and elsewhere aim to progressively prohibit the sale of ordinary light bulbs.

That not only means today's common simple incandescent light bulbs:
By 2016 (EU), 2020 (USA) all known types of replacement incandescent light bulbs will be banned, including similar looking Halogen types of bulbs that politicians say will "still be allowed".
Regulations and official references are here.



The official reason for the regulations,
is to save energy for society, emissions for the planet, and money for consumers.


Savings are small:
See previous sections regarding general effects, on prices, and usage savings, and the later specific savings rundown regarding light bulbs, leading to the compilation showing less than 1% overall society energy savings from the regulations (using USA, EU, Canada official sources).

As covered in part 1 of the website, energy and emission savings that are greater and more relevant are obtained by dealing with electricity generation and grid distribution and by alternative ways that reduce consumption, without stopping paying consumers from using what products they want.

Even in saving electricity, consumers hardly save money:
In assuming that people use less electricity, electricity utility companies are raising charges (and are being allowed to do so by regulators) giving bigger electricity bills, or are alternatively receiving subsidies with taxpayer money.
See the North America and UK examples in the Light Bulb Politics section.
No longer should it be seen as surprising that electricity companies happily dole out fluorescent bulbs that are supposed to reduce their income!




The less official reason for the regulations,
is to deliver more profits for light bulb manufacturers.

Electricity utility companies are not the only happy campers around:
Major light bulb manufacturers (GE, Philips, Osram etc) have actively cooperated in bringing about the ban on simple incandescent light bulbs, and welcomed its arrival.

Why do major light bulb manufacturers welcome this ban?
Would you welcome being told what you can or can't make?
If so - why?

Light bulb companies can now happily shift profitable expensive unwanted light bulbs, a process of course already started with taxpayer subsidies to make the bulbs cheaper (several CFL program examples in the politics section).
If people voluntarily bought the bulbs, no ban would be "needed".
Similarly, if the new LEDs are so "great", then people would presumably buy them anyway.
Other expensive product versions are routinely sold - without manufacturers looking for bans on cheap alternatives.
Even if price was an issue, a tax on incandescents could help pay for lowered prices on the alternatives, equilibrating the market and still keeping choice.
Market competitive policies are however better, also in the saving of energy, as described.





So what are the implications of the ban?


Choice:
All light bulbs have advantages, so also CFLs and LEDs, so also simple incandescents compared to temporarily allowed Halogen incandescents, as covered in the lighting descriptions from here onwards.
That said, the overwhelmingly most popular light bulb is the light bulb to be banned, a denial of choice that should not be taken lightly, given that people spend half their lives under artificial lighting.
Of course, there are no "big savings" from banning what people would not want to buy...

The libertarian ideological issue of "freedom of choice" is here often assumed to be "freedom to use simple incandescents", but the reverse also holds:
All those who sing the praise of energy saving bulbs, whether for personal money savings or CO2 emission or other justifications, are of course free to make that choice, but it does not mean having to force everybody else to do so too.


Safety and Environment:
Normally, products are banned for being unsafe to use.
The irony here is that the banned product is safer than the main proposed replacements:
CFL fire, mercury and radiation issues are covered from here onwards, while LED toxic content issues are covered here.
Even Halogen incandescents are filled with toxic Iodine or Bromine gases, albeit in quantities not deemed harmful.
Beyond breakage in the home, the issue is also about dump site leakage, and the use of rare mineral resources in the bulbs.
These issues are in turn related to the greater complexity of energy saving technology.
Old "obsolescent" incandescent technology also happens to be known, tried and trusted technology. We can welcome the new - it does not mean having to ban the old.


Local jobs:
There is a further point about old simple cheap technology compared to expensive complex and often profitably patented technology:
Simple products like simple light bulbs are more easily locally made and transported, good for local jobs as well as for the environment.
The EU Commission admits to thousands of local job losses (more), while many US plants have shut:
Yes, the jobs may have gone overseas anyway, but regulations hasten the move, and it should be noted that any new product manufacture, also of new lighting types, is made less likely when they must meet standards that make them more complex and difficult to make.


Market Issues:
Energy efficiency regulations, on light bulbs as on other products, render markets more inefficient - ironically giving less overall energy savings than could otherwise be achieved.
Market issues have been covered earlier, and are returned to in a concluding essay.





The need to have any lighting policy can therefore be questioned.
If nevertheless seen as needed, what are the policy alternatives?


Taxation:
For those who still favor a regulatory path, taxation offers advantages.
A modest light bulb tax on cheap bulbs would render a large government income even on reduced sales, based on pre-ban c.2 billion annual sales of targeted bulbs in the USA as in the EU, and correspondingly elsewhere.
Alternatively, a very large tax would effectively deliver a ban.
So pro-ban Governments win either way.
Moreover, taxes are easier to implement than bans, easier to change with new market conditions and new products, and easier to remove when no longer needed.

That is not all:
Such taxes can help cover CFL/LED subsidies, making them cheaper than today, so consumers are "not just hit by taxes", and the lighting market is equilibrated while still keeping consumer choice.

Therefore the repeated notion, in particular by American analysts, that "consumer price insensitivity" and "market failure of expensive energy efficient lighting" necessitate regulations is patently not true.
More on light bulb taxation, with examples, later.



Stimulated Market Competition:
More relevant and justifiable is simply to see that there is adequate competition among light bulb manufacturers, rather than to unfaily distort the competition by taxation, or to reduce the competition by regulations that ban the cheap bulbs.
This can also foster local jobs in making it easier to bring new bulbs to the market - including energy saving types, though any initial subsidies should not be prolonged, in being unfair to other manufacturers.
Increased competition ensures that manufacturers and transporting distributors keep down their costs, including energy usage, and increases their interest in market research that shows what people want, which has always included energy saving products:
Note that today's energy saving bulbs all arose before standards were set, and that in fact standards can only be set in regard to what already exists in energy saving lighting, or people might literally be "left in the dark".

Returning to the notion that people "don't buy expensive product alternatives", that clearly does not hold anyway among other consumer products, besides which simple incandescents have other advantages apart from being cheap.
The manufacturers could of course also imaginatively advertise "expensive products that save you money in the long run", just like battery and washing up liquid manufacturers do, rather than take the easier sales route of lobbying for bans on cheap alternatives.
If the market still really does fail to ensure the sale of a particular light bulb, expensive or not, then there might even - lo and behold - be a good reason for it.
Market competition policies in general were covered in the first part of the website, and are regarding light bulbs additionally covered in a later section.




In conclusion,
I return to the need for a better, more overall perspective of achieving energy efficiency in society, and any accompanying and necessary emission reduction.
In that regard, the reorganization of the electricity sector is much more important than the politically petty regulations on light bulbs that people want to use, regulations which serve to ban a simple safe technology that effectively, if not energy efficiently, delivers bright broad spectrum lighting much more easily than the pushed, complex, expensive, and questionably safe lighting alternatives.

Whether by choice or ignorance, politicians fail to see the bigger picture.

As for energy savings, apart from the relatively small amounts involved, the idea that "electricity supply side changes take too long" and that "it's easier to phase out certain light bulbs in the meantime", does not hold up for reasons already described, also noting that politicians present the supposed savings from light bulb regulations in a long term 2020-2050 time perspective, when more supply side changes would be accomplished anyway.









What is Banned and When



USA

Energy Independence and Security Act (EISA) of 2007

2 phases, based on 2012-2014 and 2014-2020.
[A third phase may begin 2020: "DOE is also required under the EISA 2007 to initiate a rulemaking in 2020 to determine whether the standards in effect for general service incandescent lamps should be increased.", from the DOE fact sheet linked below]
Aim: to reduce the allowed wattage for incandescent bulbs by 28 percent starting in 2012, becoming a 67 percent reduction by 2020, in accordance with the defined annual review procedures.
Effective January 1, 2020, at the latest, the Secretary shall prohibit the sale of such general service lamps that do not by then meet a minimum efficacy standard of 45 lumens per watt.

`(i) The term 'general service incandescent lamp' means a standard incandescent or halogen type lamp that—
`(I) is intended for general service applications;
`(II) has a medium screw base;
`(III) has a lumen range of not less than 310 lumens and not more than 2,600 lumens; and
`(IV) is capable of being operated at a voltage range at least partially within 110 and 130 volts.

List of exceptions: Appliance lamps, Black light lamps, Bug lamps, Colored lamps, Infrared lamps, Left-hand thread lamps, Marine lamps, Marine’s signal service lamps, Mine service lamps, Plant light lamps, Reflector lamps, Rough service lamps, Shatter-resistant lamps (including shatter-proof and shatter-protected), Sign service lamps, Silver bowl lamps, Showcase lamps, 3-way incandescent lamps, Traffic signal lamps, Vibration service lamps, G shape lamps with a diameter of 5” or more, T shape lamps that use no more than 40W or are longer than 10”, and all B, BA, CA, F, G16-1/2, G-25, G-30, M-14, or S lamps of 40W or less.

(Note, a long list of exceptions does not take away the objective to block sales of the most popular bulbs, otherwise no energy savings: No point in blocking sales of what people would not want to buy, the "dilemma" for the regulators!)

So, in the first phase beginning January 1 2012,
the manufacture and import - but not the sale itself - of general service incandescent lighting is progressively restricted, beginning with 100 W bulbs, but therefore with certain excepted classes (e.g. rough service, 3-way, and chandelier lighting).
Bulbs equivalent to 25W and below, and of 150-200W and above, are also not affected.
However: The sale of 150-200W (2,601-3,300 lumen) incandescents will be specially monitored,
and the Secretary is directed to prohibit them too, should sales exceed a certain quantity (more below).

The immediate practical point regarding 2012-2014 regulations is therefore that sales of existing store stock of the targeted bulbs will still be allowed.

Additionally, the new January 1 2012 packaging requirement changes the way light bulbs are referred to. Instead of buying a "72 watt light bulb," one might purchase a "1500 lumens" light bulb.


The legal language relating to the subsequent phase-out to 45 lumen per Watt is more ambiguous, since the expressed aim is then to prohibit actual sale.
Even the Dept of Energy (below link) talks of a second stage ban: that it "may qualify as an outright “ban” on certain general service lamps"
This is in addition to the possible "prohibition" of 150-200W (2,601-3,300 lumen) incandescents, then to be sold only as 95 watt equivalents in 1-bulb packages, of which more shortly.


December 2011 amendment:
Amendment to Oversight Funding of Implementation December 2011 lasting until 30 September 2012 (see the blog posts for more) therefore does not affect the 2012 legality of sales:
It only affects the monitoring of legal manufacture and import.
In the time period to 30 September 2012, it is not likely to make much difference to the consumer:
Since retailers can sell what they have got, and many have probably stocked up well in advance of such a popular product, albeit that the consumer may have to look around and pay a little more.
(in the comparable situation in the EU after 1 September 2009, the bulbs were still available over the following year, although at higher prices and in fewer and fewer stores or online retailers, the main stores pushing CFL sales, as described elsewhere in the text).


Starting 2012 for General Service Incandescent Light Bulbs
(Basically then, according to the legislation, 100 Watt equivalent household light bulbs can be at most 72 Watts equivalent from January 2012, rated in lumens, and so on with increasing stringency):


Lumens today Watts allowed Watts min Lifetime Date Start
1490-2600 100 72 1,000 hrs 1/1/2012
1050-1489 75 53 1,000 hrs 1/1/2013
750-1049 60 43 1,000 hrs 1/1/2014
310-749 40 29 1,000 hrs 1/1/2014



Lighting section 321 of Energy Independence and Security Act of 2007 (pdf)
Application: DOE appliance standards homepage, details (pdf), details with list of exceptions, industry info.
The latter includes more information on "modified spectrum" (eg Halogen) type specification 2012-2014.
For more extensive information 2012-2014 including reflector lamps etc, with illustrations: 0sram-Sylvania document (pdf)
Latest Dept of Energy, Energy Information Administration update (December 2011)

The touted Halogen type incandescent replacements are therefore also banned by 2020 at the latest.
As the EIA (Energy Information Administration) puts it,
"essentially requiring general service bulbs to be as efficient as today's CFLs" by 2020.
Good comment by Greenwashing Lamps on the specifications here, with a 2012-2014 update here.



There are other interesting points:
Notice the anomaly that 75 W "dim" bulbs are allowed, but a 75 W "bright" bulb is effectively banned!
In other words, as the official sources confirm, incandescent bulbs are being banned on the basis of their "lumen" brightness - not on their energy use, bright bulbs being banned first.
So you can still buy a 100W incandescent bulb, if it's dim enough, which can sometimes be an attractive option, since dimmer incandescent bulbs of given wattages tend to have have longer lifespans (the trade off).
For example Aero incandescent manufacturer, 100W 20 000hr bulb, 1000 lumen, for $2 (Jan 2012).
That makes it pretty equivalent to an 1100 lumen 1000 hour standard incandescent 75W bulb.
While the Aero light bulb is allowed in 2012 anyway as a rough service bulb, with associated advantages, such bulbs would, bans apart, otherwise be more of a convenience measure for difficult to reach locations etc:
$2 dollar long life bulb plus 25 W extra energy cost for 20 000 hours, 25W x 20 000 hrs = 50 kWh, USA 12 cent per kWh average residential cost (EIA), 50 kWh x 12c = 600c or 6 dollars, + 2 dollar bulb cost = 8 dollars.
Box of twenty 75W regular bulbs, typically 10-12 dollars, so given that 1000 hrs is considered typical yearly use, it's pretty much the same, a couple of dollars over 20 years, more exactly depending on local electricity costs.


As also mentioned above, some 150W bulbs, but mostly 200W and upward bulbs, would still be allowed: on the basis of low current sales of such bulbs, noted in the original bill proposal.
However, the legislation provides for the monitoring of such bulb sales:
2,601-3,300 lumen general service incandescent lamps:
Effective beginning with the first year that the reported annual sales rate demonstrates actual unit sales of 2,601-3,300 lumen general service incandescent lamps in the lumen range of 2,601 through 3,300 lumens (or, in the case of a modified spectrum, in the lumen range of 1,951 through 2,475 lumens) that achieve levels that are at least 100 percent higher than modeled unit sales for that same year, the Secretary shall impose—
`(i) a maximum 95-watt limitation on general service incandescent lamps in the lumen range of 2,601 through 3,300 lumens; and
`(ii) a requirement that those lamps be sold at retail only in a package containing 1 lamp.
In other words, if sales go up, further restrictions arise, and only 1 lamp packages may be sold (buy several packages, or walk out the shop and back in again to buy another one: isn't bureaucracy beautiful :-) )



California ban started Jan 1 2011:
California Government info, LEDs Magazine article.
The specifications are the same as with the US federal 2012 standards (above), just being 1 year sooner in implementation for each stage.
 



Progress Track of US Federal and State Ban Repeal Bills

For federal bills I use http://www.govtrack.us/ links as having permanent URLs and being more comprehensive than the official http://thomas.loc.gov/ links = Links to the corresponding Thomas source are found anyway on bottom right of Govtrack pages.
The bills and their related issues are also covered and analyzed on the Freedom Light Bulb news blog that accompanies this website.


The House of Representatives:
Michael Burgess amendment AO75 (H.Amdt. 678) to Energy Bill H.R.2354 of July 14 2011: //passed 15 July 2011// Bill progress
Joe Barton modified relaunch as H.R.2417 of July 6 2011: //not passed 1st vote// progress
(First House vote July 12 233-193 for was not a 2/3 majority: The Hill report)
Michele Bachmann relaunch as H.R.849 of March 1 2011: progress
Joe Barton H.R.91 of January 5 2011: //modified// progress
Michele Bachmann H.R.5616 of March 13 2008: //stalled// progress

The Senate:
Mike Enzi S.395 of February 17 2011: //stalled// progress



Missouri:
Chuck Gatschenberger HB1146 of January 4, 2012: progress
(referred to the House Small Business Committee 01/19/2012)
More about the bill on the blog post

Virginia:
Bob Marshall HB66 of December 19, 2011: progress
(referred to the House Committee on Commerce and Labor 12/19/2011)
More on the bill, its background, and federal v state discussion on the blog post

Pennsylvania: // double legislative action //
Matt Gabler HB1622 of July 18, 2011: progress
(referred to House Commerce Committee 7/18/2011)
Also: Matt Gabler HR319 of July 18, 2011, memorializing Congress to repeal the ban: progress
(referred to House Environment and Energy Committee 7/18/2011)
RE the background to these legislative actions, see the blog post

Michigan: // passed House, now in Senate //
Tom McMillin HB4815 of June 23 2011: progress
(referred to House Committee on Energy and Technology 6/23/2011, passed in House 10/13/2011 vote:413-62, 10/13/2011, 10/18/2011 passed to Senate Committee on Regulatory Reform)
More on this in the blog post

South Carolina: //schedule issues, likely held to next session 2012//
Dwight Loftis H.3735 of February 23 2011: progress
(affirmed in House 4/7/2011, vote:76-20, passed to Senate)

Georgia: //on to House Sci Committee Jan 2012//
Barry Loudermilk SB61 of February 7 2011: progress
(affirmed in Senate 3/7/2011, vote:35-19, passed to House)

Texas: legislated
George Lavender HB2510 of March 8 2011: progress
(affirmed in House Energy Committee, 5/11/2011, vote:6-0, passed to Senate, affirmed in Senate Natural Resources Committee, 5/18/2011, vote 8-0, 5/24/2011 Senate vote 31-0, 5/26 sent to Governor, 6/17 Governor signs Bill)
More on this in the blog post

Minnesota://stalled//
Dean Urdahl (House Bill) HF 0094 of January 18 2011: progress
Dean Urdahl (House Bill) HF 3474 of March 8 2010: progress

Arizona://veto//
Frank Antenori HB2337 of January 19 2010: progress
(affirmed in House and Senate, veto Gov. Jan Brewer 5/11/2010, article, letter:
supports bill's aim, but since federal ban due to begin 2012, it would take too long to achieve, no bill defence from any "tungsten mining or processing" in Arizona - a seemingly illogical reason, since she the previous month signed the local Firearms act for locally made and distributed guns, similarly contravening federal regulations, and from a HB2307 similarly constructed bill - but no local iron ore mining or processing for the guns!)
More on the bill, and on other Federal v Arizona state legislation on the blog post







Canada

In parallell with the USA, an announcement by Environment Minister Baird was made in 2007 to phase out light bulbs starting 2012.
Research findings after that meant a re-evaluation, and in December 2008 following concerns a Federal investigation into the safety of CFLs was launched. .
In November 2011, after further consultation, the various switchover concerns have officially put a Canadian ban implementation on hold, at least until 2014.

The stated reason by the Canadian government for the delay was
"Delaying the date for compliance with Canada’s efficiency standards for general service lighting for 100/75/60/40W light bulbs (general service lamps) is required in order to strengthen communication activities, to allow for technological innovations and to consider the concerns expressed about the availability of compliant technologies and perceived health and mercury issues, including safe disposal for compact fluorescent lamps"

The proposed regulation implementation for General Service Incandescent Light Bulbs
(as with USA legislation, the ban applies to manufacture and import, so that stores can still sell their existing stock even after the relevant ban dates come into force)

Lumens Lamp Efficacy Watts (equiv) Lifetime CRI Date Start
1050-2600 ≥ 4.0357 ×ln – 7.1345 75+100 banned ≥ 1000 hours ≥ 80 1/1 2014
250-1049 ≥ 4.0357 ×ln – 7.1345 40+60 banned ≥ 1000 hours ≥ 80 12/31 2014

Notes to table: CRI = Color Rendering Index, ln (in lamp efficacy) = natural logarithm

Modified Spectrum (Halogen type) lamps have same requirements, except in lamp efficacy:
Lamp efficacy to be 75% or more of the efficacy of the reference standard spectrum lamps.

As seen, regulation specifications therefore differ slightly from USA in their definition.
In particular, the allowed bulb wattages are strictly speaking not defined for Canada, but as the linked details below shows, it is in practice a ban of 75W and 100W regular bulbs at the start of 2014 (as it stands!), increasing to a ban of 40W and 60W bulbs at the end of that year.

More on the regulations:
Energy efficiency, Lighting, Details
Blog post about the final decision.

More on the March 2011 proposal to delay implementation:
Official details, CBC report



British Columbia ban of 75W and 100W bulbs started Jan 1 2011:
CBC article, BC Government info (pdf)

The regulation therefore mirrors the Federal regulation, with different phase-out dates.

For 75 and 100 watt light bulbs: January 1, 2011
For 40 and 60 watt light bulbs: December 31, 2012

Late 2011, BC Government spokeswoman for the Energy and Mines Dept says the further ban of 60W and 40W traditional incandescents is now on hold, because of the federal delay.
More about this on a blog post.






The EU and Australia bans have already started, in 2009:

The EU

Energy efficiency, Ecodesign, Details (pdf, scroll to bottom)

The EU ban is the one where the most blatant industrial political motives are already seen in the regulation itself, and in its justification:
All frosted incandescent light bulbs, regardless of energy efficiency, were immediately banned in terms of manufacture and import on the basis that people could buy CFLs in their place (a substitution that was not always workable as it turned out, as with the lack of small bright replacement CFL bulbs, and in CFL bases often being too big).

See below comment section on the EU legislation
Also the post-ban EU FAQ with its belated correction of misleading argumentation, as covered at the end of the CFL section.
The politics behind the EU ban, including the undemocratic, shortened and shunted EU Commission-Parliament pathway, is described here, towards the end of the political section.




Australia

Energy efficiency, Lighting, Summary, Details (pdf)










Introduction


There are worldwide proposals and decisions to ban (and it is a ban) on ordinary light bulbs.

A ban on light bulbs that do not meet required energy usage:
Or rather, light bulbs that do not meet energy usage as defined in the narrow context of regulation specifications.



Whatever the energy savings, the logic behind the ban is questionable...

It's a strange world that bans safe-to-use products, when banning unsafe-to-use products was previously the norm.

It's a stranger world still, that here turns that idea on its head, so that it is the pushed replacement products that are questionably safe to use, while a safe product is banned.

More precisely, it is a ban on the simple safe versatile cheap quick responding bright broad-spectrum incandescent light bulb.

Why ban it then?

The political talk is as seen of enhancing the energy saving capability of a light bulb, of pushing manufacturers to make such better energy saving bulbs, to "everyone's advantage":

Forgetting that there is no free lunch,
that energy usage limitations compromise other characteristics,
usually increase price, and for many reasons do not give supposd savings.

And, as for the "stimulation of manufacturers to make better products"
that would instead arise out of increasing, not decreasing, competition,
and out of increasing, not decreasing, the variability of products on offer,
where a positive usage saving advantage can always be marketed with bulbs as it is with other products, as will be seen.
Overall, competition also delivers more - not less - energy savings than regulation does, as covered in a concluding essay.
Do politicians want to help consumers, or profit-seeking light-bulb manufacturing executives?
Because in "pushing manufacturers", why are the manufacturers so happy to be "pushed" by politicians who tell them what they can or can't make?

So why are the light bulbs being banned?

Because of their overwhelming popularity.
There is no point in banning an unpopular product.
There are no "Big Savings" from banning what people would not have bought anyway.

But should not the manufacturers be delighted to be selling popular bulbs?
No, not the major manufacturers:
Too easy to make and sell the cheap bulbs, for unwelcome local "upstarts" as it is for them.
Not so easy to make and sell the more profitable expensive bulbs, even when you get the cheapest Chinese labor you can to make them.
So if politicians wave funny bulbs around to show they are doing something to save the earth, the major manufacturers are not going to cry... on the way to the bank.

Again, as a decision supposedly "to save electricity" (ignoring the amount):
There is no foreseeable shortage of future electricity supply sources, that warrant a restriction on how the electricity can be used by those who pay for the electricity and how it is generated.
More and more electricity source alternatives, including emission free alternatives, are appearing.

Stranger still:
If there was a shortage, the price rise would make people use less electricity anyway.
More precisely, any shortage of finite fuel sources for electricity, such as coal, raises its price and reduces its use anyway.
Which also means what?
Which also means electricity saving products become more desirable to buy, just as more fuel efficient cars are sold when energy markets dictate it.
No need for regulations to achieve it, if and when such usage reduction is needed.

If there nevertheless is a problem, deal with the problem:
Light bulbs don't burn coal, and they don't release CO2 gas.
Power plants do.
Supposed savings are always given in 2020-2050 year terms, when more relevant and significant supply side changes can (and will) have taken place.

Stranger still:
The consumption savings are hardly there anyway, for many reasons, and even if they were, there are still other and better ways to reduce consumption.

Even if that was not true,
other lighting related policies (stimulated market competition, bulb taxation) not only increase the sales of energy efficient lighting at low prices, but competition in particular also promotes efficiency in a wider sense, while keeping choice for consumers.

But no!
Nearly all politicians, journalists, environmentalists agree!
The simple -overhelmingly popular- light bulb has to go!
Even the manufacturers, as seen, agree!
"Please pass laws that tell us what we can or can't make!"


Welcome to the mad world of the light bulb ban...




"We are not banning any light bulbs!
We are setting energy efficiency standards on them!
We stimulate manufacturers to make lights that save on electricity, and therefore:
We save energy for society,
We save money for consumers, and
We save CO2 emissions that helps save the planet!"



What can possibly be better?
Everybody wins!!

Actually, everybody loses, as covered previously in how energy efficiency regulations are wrong, with a lot more reasons than are given here.



Not banning light bulbs?
Setting energy efficiency standards is of course the same as banning light bulbs that do not meet those (narrowly defined) standards:
and unfortunately, as described, forcing a given product to save more energy in its usage, changes product characteristics and price - not necessarily what consumers want.

The message to worried North American consumers, just as it was in Europe, is:
You can still use energy efficient varieties of incandescents that are similar to ordinary bulbs, like Halogens!
Good CFL and LED alternatives will be available!


The "similar incandescents are still allowed" message is going to be repeated so much that it is covered more thoroughly in the section that follows.

Basically,
that replacement general service incandescents, like the touted Halogens, will gradually be banned too, since no known types can meet, and are unlikely to be able to meet, the EU/US requirement that they have to become similar to CFLs and LEDs in energy usage, that is, in energy usage as defined in the regulations.

But also,
that the replacement types have already existed for some time, and actually have several differences with simple incandescents, including a greater expense for marginal savings, which is why neither consumers, or ban proposing politicans like them very much.
Post-ban EU and Australia also sees a lack of replacement variety and availability anyway, the push to use CFLs (and no doubt in future, LEDs) also being related to the greater manufacturer profits involved with them.



The idea - as the US Energy Information Administration also reiterates - is to stimulate manufacturers to make new energy efficient lighting which might include new incandescent forms that pass the allowable standard.

To begin with, there is obviously no guarantee that such incandescents can be made.
The world thereby loses the advantages that such lighting can have (more later), whatever about any extra energy consumption in usage, voluntarily paid for.
Also, even if such incandescents were possible to make, the demands from the energy efficiency standards alter their characteristics, and likely raises their price even higher than that of today's Halogens.

Most importantly, for manufacturers it's all about making what is most profitable arising from the regulations - not what a government hopes they will consider making, and since the cheap (and unprofitable) competition from incandescent bulbs has been wiped out, rather than fiddling around and wasting research money trying to boost incandescent energy efficiency, the door is opened for the "significant market share" of profitable expensive CFLs and LEDs, that people would not otherwise buy.

The simple question is:
Why do major light bulb manufacturers lobby for, and welcome being told what they can make and sell?
Would you welcome it?
If so, why?




Secondly,
the lack of logic when regulation proponents talk about
"Good CFL/LED/Halogen alternatives":

If new/alternative light bulbs are so good, then people will presumably voluntarily buy them, if marketed properly: so why ban the simple incandescent bulbs?
(No point, little energy is saved)
New forms of lighting will probably still cost more than the ordinary bulbs - but, for example, as described, new flat panel LED and OLED lighting will also offer a completely different usage experience.

Conversely: If new/alternative light bulbs are not good, so people wouldn't want to buy them - why ban the simple incandescent bulbs?
(No point, since they are seen as better)
Think about it.

Somewhat ironically, ordinary bright cheap 100W light bulbs are the first to go in most jurisdictions - given that low cost brightness is such a problem with both CFLs and LEDs.



All lights have advantages and disadvantages:
None should be banned purely on energy consumption, even if the supposed savings were there, given that consumers pay for the energy they use and that there is no present or future shortage of electricity supply options.





Stimulation of manufacturers?
Politicians should by all means stimulate the establishment of new lighting companies, whether of energy saving lighting or other lighting, to provide competition for existing companies, thereby ensuring the availability of the most desired lighting at the lowest price.
Competition - not regulation - stimulates the production of products people actually want, including energy saving products that saves people money in running costs.

So manufacturers do not have to be "stimulated" to make energy saving products:
On the contrary, history shows that energy saving products have continually been developed and appreciated, as seen in say farming machinery or transport, and whatever the energy origin, human, animal, fuel, or otherwise.

In fact, the appropriate energy saving alternatives have to already have been developed so that regulations can then ban the alternatives, rather than the other way round:
Otherwise people would be left in the dark by light bulb regulations!

As for regulations stimulating future light bulb development:
Setting an arbitrary "magic standard" that must be passed, means that you will never see a better-than-today bulb that did not quite reach that standard - while bulbs that already pass the magic standard are not necessarily improved further, since the competition of cheaper bulbs below the standard has been demolished at the stroke of a pen.
The "regulations stimulate manufacturers" arguments are further dealt with on the website introductory and energy regulation sections, and also, more specifically related to light bulbs, in the later essay outlining market and taxation policy alternatives.





Energy savings?
Both the overall and comparative energy savings from a ban will be seen to be marginal, but it's important to note that a ban is wrong even if the supposed savings were there.

There is no energy supply shortage, and if there was, the price rise would simply lead to increased purchases of energy efficient products anyway- no need for politicians to interfere.

Consumers - not politicians - pay for the electricity supply and any power stations (power plants) needed, just like they pay for factories and shops supplying other goods they need, and even accepting the savings figures given, power plants are not saved for the reasons listed.
We can deal positively with energy supply and any emission criteria that needs to be put on it - and we can take the negative cut down and save route, the ultimate logic of which is to go and live in caves and use candles. That would indeed actually save "billions of dollars/euros" of lighting and other expenditure and "megatons of gas": as long as we don't bring any cows with us....



Which brings us to Emissions:
Light bulbs don't emit gases - power plants might, and their emissions can be dealt with as described, to the extent considered necessary, and not always at great expense in time or money.

Any supposed need to stimulate the provision -and use- of energy efficient products to also lower emissions, can be met by competition increasing measures, or taxation (more below).

All ban-or-tax targeting of electrical products for emission reasons is of course unfair on users of emission-free electricity, who will steadily increase in numbers, and who with bans are prevented from buying products they obviously want to use, from the sales statistics.




Which brings us to Money Savings:
It should first of all be noted that whatever the energy savings, whatever the future bulb price and electricity savings, ordinary Joe is unlikely to see much of the "billion dollar savings" that instead end up with manufacturers and electricity companies.
Yes, using a particular bulb may still save him in electricity bills - but not neccessarily compared to what he would have been paying before a ban takes place.

The issue of electricity companies directly (higher bills) or indirectly (government payments) getting more money from consumers to compensate for reduced sales is returned to in the upcoming politics section, with examples.


But there are other considerations too.
Any savings from a ban on the simple bulbs is as said just a reflection of their popularity:
Around 8-9 out of 10 times consumers in the EU, USA, and elsewhere, prefer to buy ordinary light bulbs.
Therefore any "great money savings" for people is by stopping them from buying what they want, no "great savings" from banning what people wouldn't buy in the first place.

Actually - and just from usage factors - consumers can easily lose rather than save money:
See listings of general and specific reasons for this.

Regulating politicians think that everyone buys light bulbs just because they are cheap, and would be happy with using fluorescent lights instead.
Certainly light bulbs are cheap -no crime- but people don't keep buying a product that does not satisfy their requirements:
Ordinary light bulbs have a wide appeal also because of appearance simplicity, a broad spectrum light quality, versatility with dimmers and auto-switches, a brightness also in small sizes, and other reasons as described.

Conversely, people don't avoid fluorescent "energy saving" lights (CFLs) just because they are more expensive - any more than they avoid expensive alternatives of other products on the market place.

So: If such lights, or LED lamps, are so great, then imaginative advertising - like with expensive but long lasting batteries or washing up liquids - can emphasize that fact on the market place. But of course, it's easier for manufacturers just to have the cheap non-profit alternatives banned.


As it happens, sales statistics show that most EU and US households have indeed already bought a few such lights, and maybe don't like them enough to want to buy more:
But even if the lights were fantastic, you don't necessarily want all your 45 (USA) or 20 (EU) household lights to be the same type.
The widespread slogan "Switch all your lights and save money!", is rather like saying "Eat only bananas and save money!"





If a policy on lighting is nonetheless needed:

Stimulated market competition would be the first choice, as described earlier and in the concluding comparisons of lighting policies.

Taxation would be the second choice, if a direct light bulb targeting was really required:
The taxation on current 2 billion annual sales of the relevant bulbs in the USA alone (similar 2 billion pre-ban sales in the EU) being more advantageous than bans, for governments, for citizens - and for the environment.
Again, see the concluding lighting policy comparisons.



People spend half their lives under artificial lights.
Perhaps it's time for governing politicians to show a little consideration for citizens and the choices they make, of lighting, as of other products, and instead to deal directly with any energy and emission problems faced.


The Save the Bulb website has useful background documentation, links and updates.







The "Similar bulbs will still be allowed" deceit

Consumers are deceived in many ways with the light bulb policy they are told will be so good for them.

As just mentioned, not least in that the money savings they were supposed to get, money instead happily absorbed by light bulb manufacturers, and by electricity companies, the latter getting government compensation for reduced sales, or simply raising the electricity bills.


However, one should particularly note the main defence tactic that will be employed by American politicians and agencies, exactly like in Europe and Australia, when the governments there were faced with concerned citizens...

"We don't wan't to have to use the dim unsafe mercury-containing squiggly bulbs with their unnatural light!"
"Don't worry! Energy efficient incandescent light bulbs, similar to ordinary incandescent light bulbs, will still be allowed!"

To begin with,
Replacement Halogens have a whiter light type and like all replacement incandescents have constructional differences with simple regular bulbs, apart from costing much more for relatively small energy savings, which is why neither consumers or governments like them, since they have been around for a while now without being sold much.


Thereby that in the USA, as in the EU, all currently known incandescent replacement bulbs, Halogen or otherwise, will only temporarily be allowed - as in the regulation references above.
Only if they become as energy efficient as CFLs and LEDs would they be allowed:
Not just unlikely, but if it did occur, it would involve constructional compromise and cost that made them even more different from simple regular bulbs - notwithstanding that any such lighting, like all lighting, would of course have its own advantage too.

Moreover, in post-ban 2011 Europe (as in UK, Ireland, Scandinavia, Germany and Italy) and Australia, replacement energy efficient incandescents are only available in limited replacement range, regarding sizes and wattages compared to the pre-ban range of simple regular cheap bulbs.
Also, they are hardly available in general stores and supermarkets, which push CFL sales:
Replacement Halogen types are usually only available in specialist shops, and since LEDS are unsuitable as replacements for regular bulbs (too high a price, especially for omni-directional bright replacements), what is seen in supermarkets and general stores is not just the almost sole availability of CFLs, but also the in-store enticement to buy them, marketed as as "saving consumers a lot of money".

Hardly surprising...
As always, one has to understand where the profits are.
Not with incandescents, simple or energy efficient, but with CFLs, and coming LEDs.
CFLs are of course already being pushed and subsidized in the USA, as covered in the political section, with several US state government programs.
Put it this way:
When was any American last offered a government-sponsored Halogen rather than CFL deal?


U.S. Energy Information Administration (EIA), even in talking about the continued future of incandescents, March 23 2011:
"As the standards start to take effect in 2012, the Annual Energy Outlook 2011 projects that CFLs and LEDs gain significant market share"
No great Halogen uptake envisaged, then...

"The second tier of efficiency improvements becomes effective in 2020, essentially requiring general service bulbs to be as efficient as today's CFLs"
This mirrors EU regulatory requirements, as defined at the end of the technical specification covered earlier.
Given the world dominant importance of US and EU markets (jointly over 9 billion household lighting points), it is unlikely that there is much future for incandescents then, Halogen or not, at least from global manufacturers.


The light bulb ban is not - and never was - anything carried out to favor consumers, whether in their choice or their savings.

But why should you believe that, compared to what reputable politicians, their agencies, and their media friends keep telling you?
Next section....











Shining a Light on Politics and Light Bulbs

Ordinary light bulbs are being banned around the world, not so much for any fault of their own, as for the political backers to show "they are working with lighting manufacturers to help save the planet", a token ban with minimal savings that just happens to push the sales of more profitable lighting...



Why should so many governments be so keen to ban light bulbs?
After all, as seen in the text, their own institutions - and sometimes even the ban proposing departments themselves, like the US Department of Energy - have data denying the supposed savings and other reasons given for the ban.
This is not a ban on a product dangerous to use, like lead paint.
Why then this ban?

Some politicians may suspect that it is a token ban, but are happy for the supposed "green credentials" it gives them among their voters, other politicians may have been convinced by arguments from government agencies working with manufacturers, manufacturers who in turn just happen to gain greatly from a ban - and admit it.

As will be seen, it is not really about banning light bulbs, it's rather about pushing the sales of CFLs and LEDs, for which a ban is just another step on the way.
That's true of the EU as well as the USA, where, as a side-note, it might not be surprising that energy secretary Steven Chu is so much in favour of the compact fluorescent light... after all his lab developed it, as he points out.




First of all:
What is a Good Light Bulb?

Economically speaking, what do consumers, politicians, manufacturers and electricity companies want in any light bulb?

Leaving aside the issue of lighting quality and characteristics until later, the 3 key economic features are price, running cost and lifespan.
To simplify, let's equate running cost with the cost of energy use, the electricity use.
So: price, energy use and lifespan.

In those terms:
What do consumers want in a light bulb?
What do politicians want?
What do electricity companies want?
What do light bulb manufacturers want?

Do they all want the same?
No Sir.
And that, in a nutshell, is how we get the politics behind banning bulbs.



Let's begin with the consumer:
What do you want in a light bulb?
You want it cheap, using little energy, and lasting a long time, for given quality and characteristics.

What do light bulb legislating politicians want?
Primarily, a bulb that saves energy: price and lifespan matters less.
That said, the politicians also seek to satisfy manufacturer and utility "stakeholders" in their decisions (consumers should of course also be treated as "stakeholders" in political decision making, but rarely are).

Now it begins to get interesting.

What do utilities, the electricity generating companies, want?
As with ban-proposing politicians, energy use is of greater interest than price and lifespan.
This time, unlike with such politicians, the apparent logic would be that these power plant companies prefer "energy demanding" incandescent light bulbs:
After all, they are selling energy.

Yet some power plants are happily pushing their customers to buy "energy saving" fluorescent lights (CFLs).
How can that be?

There are 4 basic reasons:
1. That CFLs themselves involve power plants making more money than at first might seem.
2. Electricity grid dominance and captive customers allows for raising electricity prices without increasing supply: Regulators monitor this, but they are themselves under oversight by pro-CFL governments.
3. CFLs are politically pushed and subsidized, not just for manufacturers, but also for the often directly state controlled utilities and retailers, as covered later.
4. Electricity generating costs increase at peak times, early evenings when lights are often on, which is not reflected by ordinary domestic meters (but will alter with new smart metering).

The point is that CFLs, the main pushed replacement, does not save you as much energy or money as it first might appear: This is not just because they aren't as long-lasting or bright as lab-tested ratings imply, but because your common CFL consumes twice as much power (energy) in the power plant than what your meter tells you.

How so?
Basically, common unbalanced CFLs have a low "power factor", causing phase differences between the voltage and current drawn, not measured by your meter.
Industrial users are penalized if they don't draw phase-balanced energy from the power plant - domestic users are not:
Phase-balanced CFLs are expensive - and are therefore not politically pushed like cheap unbalanced CFLs.
That's just the start of it:
Unfortunately the phase imbalance also sets up what is called harmonic distortion in grids that are not normally set up to counter it, particularly for domestic supply and particularly for the supply to 45-light (average) American households, similarly applying to Canada with larger per-household lighting use than Europe.
See later New Zealand research references into such effect on grids - and New Zealand happen to have abandoned their planned ban on incandescents.
[ There is an odd parallell with wind energy: the intermittent supply involves substantial electricity grid changes to accomodate it, the cost of which is rarely mentioned when promoting such energy, whatever its other advantages ]

There is also an issue that meters themselves may be affected:
CFLs generate high frequency transients that are said to cause ordinary induction disk electric meters to read higher than they should.

More about the extra costs relating to CFL energy usage here, with US Department of Energy and other references.

Another factor is the room heating lost by switching from hot incandescents has to be made up by electric, or other, heating - so more energy has to be paid for, payment which may go to the utility company.
A full account of why switchovers don't save you as much money as pro-ban politicians say, is given here, and a summary of the small overall savings, again referenced, here.


So:
As seen in the documents and letters that follow, the idea is to get everybody to switch lights by emphasizing the "big savings" for them:
Once the switch is achieved, never mind what they have to pay later.
The beauty of real power plant energy usage and other such hidden cost factors is that no-one is ever the wiser - you will never know that you could have paid less for your future electricity supply.


To clarify:
You still -certainly- save money in metered usage for lighting, when switching to CFLs.
But in overall utility and society terms, the energy saved by a switchover is less than 1%, as explained here for the USA and the EU.





Fine - but what about the key "stakeholders", the actual makers of the light bulbs:
The manufacturers?
Certainly, on a free market under competitive pressure, they seek to satisfy consumer desires:
But what are their own desires?
How would the manufacturers steer markets, if they could?
This time, the energy use of the light bulbs isn't of much interest.
Rather, to have expensive and short-lasting light bulbs.
For more on the general desire of manufacturers to make short-lasting products, as part of "planned obsolescence" and as exemplified with light bulbs, see the Standards and Markets section.

Let us now compare consumers and manufacturer desires, and the outcome it tends to give:
Consumers want a low price, a low energy use and a long lifespan.
Manufacturers want a high price and a short lifespan.

Price is the most visible, concrete sales feature,
followed by energy use, as often labelled, and politically pushed,
with lifespan a distant third.

It is therefore hardly surprising that, on free markets, manufacturers seek profits from turnover rather than price:
Consumers win on price, manufacturers on lifespan, whatever the light bulb type.
[Of course light bulb regulation now means that the manufacturers win on price as well! Encouraged competition - rather than regulation - is what serves to keep prices down and lifespans up, as covered in the mentioned Standards and Markets essay].



It is therefore, again, hardly surprising that complaints are arising that neither CFL or LED last anywhere near as long as they are supposed to (CFLs typically being said to last for 8 years, LEDs for 25 years, on 1000 hour per year usage basis).
Shorter-than-supposed lifespans are also borne out by research and test reports, referenced later in the relevant CFL and LED sections:
Manufacturers rarely lie directly, it's that lab standards and measurements are set in ways that do not reflect real use, for example CFL lifespan is measured in 3 hour on-off cycles, given that a more normal on-off switching practice reduces their life, as do many other factors.



But suitably setting lab measurements is only one subtle part of the manufacturer armory.

Remember: Price and lifespan...
Not only have the manufacturers today won on price, in getting governments worldwide to agree to ban popular but cheap and unprofitable incandescents, but they already won on lifespan years ago, getting a cartel 1000-hour limit, subsequently set as a standard also by governments.
Why then be surprised when your CFL or LED conks out after a year or two, when history shows how light bulb manufacturers have colluded on this before, to maximize their profits...


The Phoebus Cartel
Set up in 1924, this agreement among manufacturers to limit light bulb lifespan lasted for decades, and the effects are still felt today.
There have been recent American and German research revelations that show just how far it went.


Let's begin with the American side.

This aspect of the Phoebus agreement has been well researched by Michael P Leahy in the amusingly yet informatively well written short account I, Light Bulb (with contributions by lighting designer Howard Brandston, July 2011), slightly edited excerpt, highlights:
During World War I, the War Industries Board was a government-authorized, industry-staffed effort engaged in industrial planning. General Electric executives such as Gerard Swope participated:
By so doing, and by watching Hoover in action in the sister agency, the Food Administration, they got the idea that by participating in such government authorized planning efforts, they could keep out competitors, control the market, and maximize their profits.

When Swope was named president of General Electric in 1922, he immediately set about applying those principles to the electrical lighting market.
Swope knew that the tungsten patent [vital to well-working light bulbs] would expire in 1927.
How was he going to maintain his monopoly?
In the free market, the only way to maintain continued dominance was to continue to innovate...

The Phoebus Cartel
In 1924, General Electric, along with several major European corporations, and with the implicit blessing of Secretary of Commerce Herbert Hoover, formed a cartel
- a cooperative group of competing firms who agreed to fix prices, share technology, establish production standards, and use common marketing practices.
By sharing incandescent light bulb patents that kept competitors out, and by agreeing on exclusive geographic spheres of influence, the member companies could maintain high market shares and high profits.
Called "The Phoebus Cartel" after the Swiss company Phoebus, they set out to keep track of all their activities around the world.

Under the agreement, General Electric got the United States, Associated Electrical Industries got the United Kingdom, Osram got Germany, Philips got Holland, and Tungsram got Eastern Europe. The European companies got to share the British overseas territories, and they all could compete in the rest of the world. General Electric was guaranteed that none of the other major manufacturers of incandescent light bulbs would enter the American market.
When the agreement began, General Electric had a 90 percent market share.
When it ended fifteen years later, General Electric still had a 90 percent market share.

Only a few dozen small, scrappy Japanese manufacturing companies dared to enter the American market and take on General Electric:
They ignored General Electric and related Phoebus Cartel patents, copied what they could, and shipped their less expensive, shorter-lasting incandescent bulbs into the United States. When they began to show some increase in sales, General Electric got its friends in Congress to slap a tariff on imported incandescent bulbs, and the price advantage disappeared. Japanese inroads were stopped.

When the cartel was first organized, the life span of the average bulb was 1,000 hours. Fifteen years later, when the cartel came to an end due to World War II, it remained the same.
This is not the kind of progress you would expect if the full engineering and research capabilities of General Electric had been tasked with expanding the life span.
Word in our family has always been that this was intentional:
Every 1,000 hours, you had to buy a new incandescent light bulb. Why expand the life span to 2,000 hours? You would just cut your sales in half...



Revelations by European reseachers:

Recently, German researchers Peter Berz, Helmut Höge and Markus Krajewski discovered hitherto unknown documentation uncovering the extent of this worldwide collusion:
Already in the early part of the 20th century, it was not hard to make 2,500 hour lasting regular light bulbs.
But from 1924, for several decades, Philips, Osram, General Electric and other manufacturers did not just operate the mentioned cartel, but had a specific 1000 hour life committee that ostracized any upstart trying to sell longer lasting bulbs, and imposed heavy fines.

Of course all that is over... or is it?:
Why is 1000 hours still the common standard and indeed applied to the 2012 USA and Canada light bulb regulations that major manufacturers (more shortly) were involved in setting up?
Notice that 1000 hours is also the minimum requirement for new lighting types, that might well be expected to exceed it.
But longer lifespans would of course not help profits...

Returning to the German researchers,
they also uncover a lot else that is murky about light bulb industrial politics, past and present.
While much is in German and not available online, the authors can be contacted for relevant documentation and references.

Osram now acknowledges (pdf document) the cartel's existence quite openly.
A dramatic TV programme video, in German, shows how manufacturers have tried to keep light bulb and other product lifespans down, also covering the Phoebus cartel and its greater than expected extent, as uncovered by the mentioned German researchers. Version in English here.


It should therefore not be too surprising to see light bulb manufacturers once again cooperating to push more profitable light bulbs, this time CFLs....
as for example the Philips / Osram international engagement with the UN to sell off CFLs unwanted by western consumers to third world countries, or the many EU subsidised (and USA/Canada state-sponsored) municipal "projects" that allow the manufacturers to pocket more profits from lighting that would otherwise be unwanted at the price (or presumably the municipalities and end-users would pay for it themselves) - more of which below.



So, rather than regulating what products that light bulb manufacturers or others can or can't make, politicians should focus on there being adequate competition, supporting new inventions and new local manufacturers (with local jobs) as required, which can of course specifically include energy saving lighting too, also with prizes and the like (eg the American "L-Prize"), temporarily supported in launches to market where such free competition is also the best way to ensure energy efficiency, as covered for products and services earlier and returned to in a concluding essay comparing free market and taxation policy alternatives to regulation, specifically for light bulbs.







The push to use CFLs..and LEDs

To be clear:
Manufacturers should of course be consulted in any political measures that affect them.
Manufacturers should not be blamed for seeking profits.
Manufacturers should not be blamed for subsidies or bans that politicians decide on.
Politicians themselves, in turn, have been motivated by energy and emission saving concerns in regulating what people can or cannot buy.
They have also come under pressure by "green" environmental groups, to institute bans on light bulbs and other products.
Again, most national media, at least outside North America, has not been overtly critical, more often than not media has been openly supportive of such measures, at least when such regulations or subsidies were originally announced.

The point here is therefore to show up the manufacturing policy for what it is, in an underlying criticism of politicians for playing along.

That said,
for those who go through this complete section, there can be no doubt that manufacturers have gone way beyond mere "stakeholder" consultation in seeking the ban on simple incandescents:
Seizing the opportunity for profitable sales, one might say.




The Playbook of Major Light Bulb Manufacturers

1. Profit-seeking global executives join hands with anti-profit non-global green activists and sing happy songs to the politicians about all saving the earth together.

2. Politicians wave funny-looking light bulbs around, to show they are "actually doing something" to save energy, save emissions, save money, save the planet... whatever.

3. Thereby, legislative decisions that support a switchover away from unprofitable cheap simple light bulbs on which any patent you ever had has expired - a switchover either by subsidised replacement programs, or by outright bans on the incandescents - or both.

4. In turn, that the legislative standard supports your own profitable expensive patented light bulb, as far as possible.

5. Licence your patented product, on the one hand, and use lots of legal muscle to defend patent infractions, on the other hand, to keep the money rolling in.

6. Don't make the product last too long... fewer future sales.

7. Get involved with the UN and other do-good organizations, to get a good image for yourself, and in turn via the UNEP "en.lighten" and similar international Light Bulb switchover programs allow more local politicians in Asia, Africa and Latin America to wave funny bulbs to show they are doing something (doing something to fill your pockets) etc etc...



This will all become obvious in the following.
The section end, with plenty of post-ban revelations and links, will also confirm it.
Of course, on for example patent issues the reader can simply type in "GE" "Osram" or "Philips" + "CFL" or "LED" + "patent" in any online search - and get plenty more.

To take just Philips as an example,
and an early CFL battle with Mirabella a dominant Australian light bulb manufacturer:
In 1995, Mirabella challenged Philips world registered patent for compact fluorescent lamps. After long-drawn-out legal battles, including two appeals by Philips, the High Court ruled Philips’ patent to be invalid causing repercussions worldwide within the CFL manufacturing industry.
Philips CFLs have also involved patent licensing from an aggrieved inventor (judged unjustifiably aggrieved, it should be said), while they in turn now also control patents on LEDs that they seek to license out, and get UN sponsoring for, while fighting any infringements.

Normal enough practices of any profit-seeking business, but politicians who claim to be acting in the interest of consumers should not choose to ignore them.

It will also be seen how much of the Phoebus cartel mentality lives on - much of what is true for GE activities in the USA (and towards Congress) is mirrored by Philips/Osram on the European market they dominate (and towards the EU Commission).




So Consumers get Screwed Several Times:

1. They have reduced choice, from the effective standard based banning of simple safe cheap lighting technology, the most efficient technology to manufacture not only bright omnidirectional lighting, but lighting of good broad spectrum light quality.

2. They have reduced choice also from new product technology, since the major manufacturers muscle out those they regard are infringing on patent rights.
Biggest bullying elephant wins.
While some such reduced choice would take place regardless of light bulb regulations, it is easier to out-muscle fewer rather than more competing manufacturers and technologies, especially when anyone can make the incandescents on which patents have expired (and for that matter invent new bio-luminescent or other competing lighting technology that might have usage advantages, without fear of having them banned from competition by governments, on energy usage grounds)

3. They have to buy light bulbs that cost much more - and with questionable savings.
The supposed savings for doing so don't hold up, as covered elsewhere, notably here because manufacturers - with politicial support - opt for cheaper more easily sold CFLs, that are "unbalanced", that is, have a lower "power factor" such that the power plant typically uses twice as much energy to drive your CFL than your electricity meter will tell you (Dept of Energy and Sylvania linked explanations here), but which you of course have to pay for eventually - just one of many conveniently hidden costs to consumers.

4. The light bulbs will not last as long as supposed - and have questionable brightness and other specifications.
No light bulb manufacturer backs with a guarantee/warranty that their CFLs or LEDs will last as long as they say.
Lab tests not corresponding to real life use play up lifespan, brightness and other data, data happily repeated by well-meaning-but-very-easily-duped politicians and journalists.
The reason why manufacturers do not make long lasting products is of course releated to turnover profit, as covered above.
And who is going to prove that the CFL does not actually last 6 or 8 years, or the LED 20-30 years? Even if someone complains - easy to blame other causes for light failure!
Of course, "planned obsolescence" is everywhere, but the issue is particularly relevant with light bulbs, since the supposed lifespan is a big justifying factor in convincing politicians and in turn consumers to buy the much more expensive bulbs.



CFLs (Compact Fluorescent "energy saving" Lights) are the current main suggested replacement of ordinary incandescent light bulbs, and so most examples relate to them, but it can be seen that similar policies are developing regarding LED (light-emitting diode) replacements.

The following is loosely done historically and geographically, after the introduction focusing on the American situation, with later European and (other) International observations, but I do not strictly stick to that, both for the sake of discourse clarity, and if some particular issue can be confirmed by cross-referencing.



Development of the relations between manufacturers and politicians

The German scientist and film-maker Professor Klaus Stanjek has an historical overview of the CFL push by manufacturers.
This was part of a general ecological impact assessment of CFLs made for Greenpeace Hamburg in Germany, so it is hardly research biased in favour of ordinary light bulbs (slightly condensed quotation):

"Fluorescent lamps have been subject to criticism ever since they were introduced in the 1930’s. Physicians, ergonomists and trade unionists repeatedly reported various forms of discomfort of employees who constantly had to work under fluorescent light: eyestrain, inflammations, headaches, and loss of performance.
The lighting industry have always rejected this criticism and continued the distribution of these lamps. In the 1980’s they even managed to put through the use of fluorescent lamps in residential use – without much objection by those affected.
Essentially this was accomplished on the basis of one single argument: the customers could save money. While the campaigns admitted that customers would pay much more per lamp, this would supposedly still be cheaper [in running costs] considering the lifetime and energy consumption of the lamps.
Campaigns also targeted the ecological conscience of customers.
Through a clever information strategy Osram and other lamp manufacturers convinced many newspapers and magazines to print their argumentation, and they gained the support of Stiftung Warentest [equivalent to “Which?”], “Globus” (a TV programme on environmental issues), the German Federal Environmental Agency, and even critical organisations such as the B.U.N.D. (German Association for the Preservation of the Environment and Nature). By now the ministries even prompt their administrative offices to install “energy saving lamps”. These fluorescent lamps were not even assessed by others than the manufacturers themselves."
Also see the 2011 update coverage, including an interview clip with Professor Stanjek, and other problems around the switchover to CFLs, on Youtube (in German from main German TV channel ARD 1): video



In the USA too, politicians and manufacturers have worked hand-in-hand.
Brian M. Carney is an editor, journalist and member of the Wall Street Journal Editorial Board. This is what he has to say in a 2008 article, my emphases:

Representatives of Philips and General Electric, two of the biggest lightbulb makers, say there's nothing to be concerned about.
And Larry Lauck of the American Lighting Association says, "I think everyone's pretty happy" with the new law.
But then, the lighting industry has no reason not to be:
People will need light, whatever the law says--according to Randy Moorehead of Philips, there are four billion standard-size (or "medium base") light sockets in America alone.

So if you're GE or Philips or Sylvania, the demise of the plain vanilla lightbulb is less a threat than an opportunity--an opportunity, in particular, to replace a product that you can sell for 50 cents with one that sells for $3 or more.
Yes, the $3 bulb lasts longer. Yes, it cuts your electricity bill.
Mr. Moorehead says that when every one of those four billion light sockets has an energy-saving bulb in it, the country will be saving $18 billion a year on its electric bill. That's $4.50 per bulb--and the bulb makers are standing by to make sure a substantial portion of those "savings" get transformed into profits for them.
Now it may be that those bulbs are worth more--because they last longer, etc. But some of those bulbs, like compact fluorescents and Philips' new "Halogena-IR" bulb, are already available. Currently they command all of 5% of the lightbulb market.
That means that, whatever value proposition GE and Philips are selling, consumers aren't buying. What we bulb buyers needed, it seemed, was a little nudge. Or, if you want to be cynical about it, the bulb business decided to migrate its customers to more-expensive--and presumably higher-margin--products by banning the low-cost competition.
"I was kind of involved at the very beginning" of this legislation, Mr. Moorehead says modestly.
Indeed, in December 2006, Philips announced a campaign to encourage governments all around the world to phase out low-cost bulbs by 2015.
What's remarkable about this bit of market interference is that there is, basically, nothing wrong with the present-day, Edison-style lightbulb.
It's not a lawn dart or a lead-painted toy or a magnet that will perforate your kid's intestines if he swallows it. It is what it is, and for most people in most applications, it was good enough. So the lightbulb makers and the environmentalists convinced Congress to ban them for no better reason than they believed everyone would be better off with something else.

Note that the lightbulb makers shouldn't need a ban to convince consumers to "upgrade." Microsoft, Dell, Apple and any number of other companies manage to convince the Joneses that they need a better "one"--whatever it is--every few years.
If Philips wanted a Halogena-IR bulb in every socket, it had only to put them on the market at a price that made them irresistible compared to the 50-cent bulb of yore. Likewise with the much hailed compact fluorescent. They have been on the market a good deal longer than Philips's fancy new incandescent. The prices have come down and the quality has gone up. But not, apparently, enough for 95% of the bulb-buying public.
A few years back, one could have argued with a straight face that consumer awareness of the benefits of CFLs was inadequate.
No more.
The sticking point lies at that ineffable nexus between price and quality--with all that "quality" implies, whether it be service life, the delay between flicking the switch and full power, or color temperature or the look of the thing.

There are billions to be made--and spent--figuring out how to get consumers to pay more for something.
This year Steve Jobs convinced a million people to pay $400 for a cell phone in a market in which many people believe that the phone should come free with a service contract.
But why worry about making a product so good people feel they have to have it, when you can instead get the government to tell them they have no choice?


Moreover, lighting designer Howard Brandston, as also covered elsewhere, has actually been directly involved in background talks around light bulb legislation from the start, lately also in the March 2011 Senate hearing:
He again clarifies how light bulb manufacturers actively sought the ban (not just passively welcoming it) - also before the 2007 Energy Independence and Security bill contained any light bulb ban mention...

From the I, Light Bulb account he co-wrote, published 2011 (slightly edited, highlights):
Meanwhile the NEMA (National Electrical Manufacturers Association) Lamp Subcommittee was conducting its own research and internal hearings that culminated in a recommendation to ban the incandescent light bulb.

The NEMA Lamp Subcommittee was composed of General Electric, Osram Sylvania, and Phillips, the same industrial giants who formed the old Phoebus Cartel back in 1924.
When I asked NEMA for help in fighting the incandescent light ban, I was politely told that they could not be involved in any research program like that.
In April 2007, ahead of Congress hearings, NEMA then announced its support for energy efficient lighting policy...
The respected Investors Business Daily confirms in a December 2011 article
In 2007, Philips urged an incandescent ban as a way to force the market toward high-efficiency bulbs, complaining that without such laws, "purchase price and functional performance often take precedence over environmental concern."
Hello Philips... low price and functional performance, what is wrong with that?!
Of course, the "price resistance" that ban proponents love to talk about does not hold for other expensive products, you don't keep buying cheap products that don't satisfy you,, and the bulbs could as a last resort be taxed anyway and help to pay for price reduction of energy saving alternatives... no excuse even on "liberal" ideology to ban simple safe products, as covered more extensively in a later section.



In 2009, Tim Carney writing in the Washington Examiner also covered how General Electric also closed down American incandescent manufacturing plants after they got a favorable decision - and has followed up with further articles on the topic since.
Extracts:
Why did GE, founded by Thomas Edison, support a bill that killed the traditional incandescent light bulb?
The company said in 2007 it wanted to make sure it was working under a single federal efficiency standard, rather than a patchwork of state regulations. GE also touts its compact fluorescents as one of the green products in its “eco-magination” initiative.
So, GE gets environmentalist brownie points for selling “clean” light bulbs, and they also get to charge more for their bulbs. But there’s another advantage—they save on labor with fluorescents, because they make the fluorescents in China.
Not only are wages lower there, but so are the regulatory burdens, both environmental and labor. The Times of London recently reported, “Large numbers of Chinese workers have been poisoned by mercury, which forms part of the compact fluorescent lightbulbs.”
The original article had to be toned down (guess why), a footnote reads:
"The original version of this article stated that GE “lobbied to kill the incandescent bulb.”
This was imprecise. In 2007 GE opposed proposals to explicitly outlaw incandescents. Instead, the company advocated simply setting efficiency standards for all bulbs, regardless of what type of bulb. This had the known effect of outlawing all traditional incandescents, but leaving open the possibility of high-efficiency incandescents."
In covering GE lobbying, US loss of jobs, and ties with Government on light bulbs and other matters, Freedom Action Network also notes that
"the CEO of General Electric, Jeffrey Immelt, sits on Obama’s Economic Recovery Advisory Board..... Jeffrey Immelt is the chairman of President Obama’s Jobs Council"



The collaboration has been confirmed by other sources, such as Bloomberg:
"Companies such as Amsterdam-based Royal Philips Electronics NV, the world's largest light-bulb maker, and GE... helped Congress develop the lighting standards that will end the sale of incandescent light bulbs within a decade."


The question might well be asked why GE, Philips and other manufacturers did not just stop local manufacturing of the less profitable bulbs anyway:
After all, other manufacturers continually stop selling certain lines of products, and go over to more profitable ones, without seeking bans on the less profitable versions!
Two obvious reasons:
Firstly, that the incandescents were still profitable, albeit less so.
Secondly and more importantly, that as major manufacturers they had recourse to make more complex bulbs (including outsourcing and/or parts assembly and/or rebranding of Chinese manufactures), that smaller incandescent-only manufacturers did not. In other words: Any upstart cheap bulb competing manufacturer would be stopped.
Sounds familiar? Sure. The Phoebus cartel philosophy, again.
In place of "stopping any long life bulb" competition, read "stopping any cheap bulb" competition.
Not as explicitly sought, to be sure, but a happy bi-product of seeing the bulbs banned, which they were of course aware of.


To be clear:
Light bulb manufacturers should of course be consulted, as "stakeholders", in any regulations affecting them.
But they have therefore also clearly pushed for, and been involved in, the regulations beyond such consultation.
Anyone who doubts this, can of course look at it the other way round:
Why do the major light bulb manufacturers welcome the regulations?
Why would any manufacturer welcome being told what they can or can't make?
Are they just "glad to be involved in saving the Earth"?

November/December 2011 update note: The EU section below,
now has a lot more about the manufacturer lobbying ahead of the regulatory decision, and how it way beyond mere polite "stakeholder" consultation.

Meanwhile, more on how Philips sought USA legislation, to increase their profits...
thank you to Jeff Jacoby at the Boston Globe for informing me about this article, which also brings LEDs into the equation.
New York Times article by Andrew Rice, June 2011, excerpts, highlights:
So some years ago, Philips formed a coalition with environmental groups including the Natural Resources Defense Council to push for higher standards.
“We felt that we needed to make a call, and show that the best-known lighting technology, the incandescent light bulb, is at the end of its lifetime,” says Harry Verhaar, the company’s head of strategic sustainability initiatives.

Philips told its environmental allies it was well positioned to capitalize on the transition to new technologies and wanted to get ahead of an efficiency movement that was gaining momentum abroad and in states like California. Other manufacturers were more wary, but they also understood the downside to selling a ubiquitous commodity:
the profit margin on a bulb that sells for a quarter is negligible. After much negotiation, the industry and environmental groups agreed to endorse tightening efficiency by 25 to 30 percent.

“It’s a different sale than we’re used to,” said Ed Crawford, a top executive in Philips’s lighting division. Over lunch at its corporate offices in Somerset, N.J., near Edison’s old lab, Crawford told me he started out with the Philips subsidiary Norelco, retailing electric razors. “The sale is really the same,” he said. You can buy a razor for a dollar that you can use to shave your face — or you can buy an appliance. An Ambient LED will last as long as an electric razor, and while that means Philips will be giving up many disposable-bulb sales, the comparatively high prices (and 20 to 30 percent margins) currently prevailing in the L.E.D. marketplace will make the tradeoff extremely profitable, at least in the short term....



So, CFLs (and LEDs) lasting longer does not stop their relative profitability being greater than with incandescents:
More on this later, including more about how manufacturers themselves admit the profitability issue.
Besides, quoted product lifespans and their measurements open to doubt from several angles, as covered earlier in general, and specifically for lighting products later.

It should also be noted that even if the profitability over bulb lifetime was not greater, light bulb companies also of course get a short term big burst in revenue from Americans and others being forced to switch their lighting, which most companies would prefer to slower future revenue feeds.


More:
It's not just about intrinsic profitability, profitability from expensive lights themselves:
It is also about getting subsidies to make them, more money for the manufacturers.

This is not least seen with all the new LED manufacture support springing up.

Again, to be clear:
It is right that new inventions by new manufacturers should get temporary help to get established, whatever the product - increasing marketplace competition, and helping to give new local jobs.
But that is very different from ongoing help to established manufacturers, sucking taxpayers dry for products not otherwise bought voluntarily.
As for light bulb manufacture, it is easier to set up if the complexity around having to meet energy usage standards is avoided - not just for existing incandescents, but for any new lighting invention. See the local jobs section earlier.

June 2011, President Obama praising local LED manufacture...
Washington Examiner article by Tim Carney, highlighted extracts:
President Obama on Monday was scheduled to give a pep talk for American manufacturing at a factory in Durham, N.C., where Cree Inc. makes LED light bulbs. Cree embodies Obama-era capitalism: profiting from government grants, political connections, revolving-door lobbyists and regulations that force people to buy your product.
From its 10-Q: "Historically, government agencies have funded a significant portion of our research and development activities. In addition, government agencies have purchased products directly from us and products from our customers for which we supply components."
Since 2001, Cree has received more than $78 million in federal grants, according to USASpending.gov, and more than $96 million in federal contracts. And overseas, the Chinese government is Cree's biggest customer. State and local governments also subsidize the company.
Company Vice President Greg Merritt spoke about the LED boom in April 2009 at a green-tech conference. "We are in a perfect storm in some respects," he said. After talking about new manufacturing efficiencies, Merritt added, "The political environment for sustainable technologies and energy efficiency is perhaps more favorable today than it's been for quite a while."
Merritt should know -- he and his colleagues helped shape that "political environment." Merritt lobbied Congress on the 2007 energy bill, "Specifically, provisions related to energy-efficient lighting." That is, Merritt and Cree's other lobbyists supported the law that will effectively outlaw the [much more popular] incandescent bulb, thus creating unwilling demand for their more expensive LED bulbs.
President Obama doesn't see this as the regulatory robbery it is.
He sees it as stimulus.
After all, the regulation has helped Cree hire new workers....
Well, except for the hundreds of former General Electric factory workers who used to make the old incandescents in factories in Winchester, Va., Niles, Ohio, and Lexington, Ky. Those factories closed last summer thanks to the same law that is benefitting Cree. (Don't cry for GE, though -- the company's lobbyists also supported the regulations, which will drive business to their more profitable fluorescents and LEDs.)

Another loser: the American consumer, who loses the freedom of choice...
More coverage about this, with more revelations from different sources, on Uncoverage.net



What holds for the USA also holds for Europe and Australia.
German science journalist Klaus Heck in a well researched article (Telepolis Technology Journal), quotes and references statements by Osram and Philips regarding Europe and Australia, in the greater profitability of CFLs and in welcoming the ban on simple incandescents, and also the "cooperation" (lobbying) with the German Energy Agency Dena (Dena Website: "Dena is a key partner for the efficient use of electricity in cooperation with partners from business and science"), concluding
With such great endorsement on the industrial side to a political program [that tells the manufacturers how they must manufacture], the suspicion is therefore gradually aroused if it might not also be the other way round:
The globally ruling industry wants a ban, since they have been unable to influence buyer behavior to their satisfaction, and politicians compliantly follow along...

The industrial politics behind the ban in the EU, including manufacturer involvement and profits, is further covered towards the end of this section.



The political push to use CFLs (and, increasingly, LEDs) is therefore about government and lighting manufacturer collaboration through publically paid public campaigns and publically paid subsidies to keep down CFL prices reaching the nuclear option of simply banning the alternatives that people would have bought if they could, hailing the savings kindly made for those consumers, too stupid to know their own good.


There is little point here in listing all the worldwide campaigns and subsidies and handouts of CFLs that have taken place, and continue to take place - the reader can in all likelihood just check with his/her local government energy and environment departments and their agencies.
The point here is rather to highlight the anomalies and lesser known policies involved.

To give an idea "where we are at", have a look at the current United Nations cooperation agreement with Philips and Osram, as referred to a couple of times in the text.

UNEP en.lighten initiative:
Private sector and the UN in partnership to en.lighten the world [their words]
The UNEP en.lighten initiative was created in 2009 as a partnership between UNEP, Philips Lighting and OSRAM, with support of the Global Environment Facility (GEF) [more on GEF follows].
The initiative addresses the challenge of accelerating global market transformation to environmentally sustainable lighting technologies by developing a global strategy in support of the gradual phase-out of inefficient lighting.

• the development of a global policy strategy to gradually eliminate inefficient and obsolete lighting products;
• the promotion of high performance and efficient lighting technologies in developing and emerging nations;
• the substitution of traditional fuel-based lighting with efficient alternatives.

The en.lighten initiative has created global taskforces where international experts from developing, emerging and developed countries and sectors are working on a global approach to phase out inefficient incandescent lamps.

In the words of Rudy Provoost, CEO of Philips Lighting and Martin Goetzeler, CEO of OSRAM
"Market forces are not sufficient to achieve the rapid transformation needed in the lighting market to respond to the climate change challenge.
Instead, a multi-stakeholder global partnership is required to support countries as they embark upon efficient lighting transformation programmes.
As two of the biggest lighting manufacturers in the world, we have chosen to focus our efforts on transforming the lighting market in partnership with UNEP through its en.lighten initiative.
With its unparalleled global network, UNEP can provide leadership by inspiring and enabling nations to prioritise efficient lighting and reap the benefits of lowered energy costs."
More on en.lighten via their portal site:
An "Efficient Lighting Toolkit" will be available in early 2012.
It will provide comprehensive guidance to countries on how to transform their markets to efficient lighting.
[I wonder how...and "efficient" is of course not necessarily "energy efficient", in product performance etc]

They also invite partners to participate...
lots of saving consultancy schemes are offered, with an invitation to contact the en.lighten secretariat.
A footer confirms that "The en.lighten initiative is a partnership supported by the Global Environment Facility (GEF), OSRAM AG, Philips Lighting and the National Lighting Test Centre, China (NLTC)".

The National Lighting Test Centre, China, has over the years "built professional relationships with its wide range of international and domestic clients, providing them with tailor-made solutions for either purchase from or entrance into the Chinese lighting market."

And the GEF?
Yet another funding facility bailing out manufacturers who can't sell (or can't be bothered to market and sell) their expensive wares on the open market:
The Global Environment Facility (GEF) unites 182 member governments — in partnership with international institutions, civil society organizations (CSOs), and the private sector — to address global environmental issues.
Established in 1991, the GEF is today the largest funder of projects to improve the global environment.


So, having laid the groundwork, lets dig into some meat...

The focus to begin with is on the USA, because of its importance, also as a role model, and because of ease of USA information access and references in the commonly understood English language, along with the fact that a ban has yet to be implemented there: but, as always, the principles apply everywhere.
In any case, I do then continue with the European and worldwide situation as they have unfolded, finishing up with some "illuminating" cases and background stories...








The push to use CFLs in America

Let's begin with a "State of the Nation" US Dept of Energy look at the American CFL Market and what can be done about it (dated 2009, but the last and still operative assessment in late 2011 as referred to on the Dept of Energy site).

"CFL household saturation is still low throughout the United States, even in regions with successful and long-standing energy efficiency programs.... the residential sector contains 90 percent of CFL-appropriate sockets, but has only 11 percent CFL saturation. Thirty percent of households still own no CFLs, and 64 percent of households that own CFLs have five or fewer."
Interestingly, that of course contradicts the commonly stated idea that "people don't buy CFLs because they cost more": Rather, that an overwhelming 70% majority of households have tried CFLs and simply don't like them enough to want to use them more, even when given them for free in handouts, as just mentioned (also see below about sales on EBay of California handouts)
In the EU, most households have also tried - and rejected - the