Document NXY8K5GBqnBv6GgdRz2XbMqQ

ASSOCIATION 0 4 H M * appliance uFcro 1111 I9th Street DW " Suite 402 ' Washington, DC 20036 1202,872.5355 ?202 672.9354 wAv,aham.t>rg January 18, 2018 The Honorable William Wehram Assistant Administrator Office of Air and Radiation Environmental Protection Agency 1200 Pennsylvania Avenue, NW Washington DC, 20460 Dear Assistant Administrator Wehmm: The Association of Home Appliance Manufacturers (AHAM) is requesting EPA's Office of Stratospheric Protection Division, Significant New Alternatives Policy Program (SNAP) to amend two rules to modify the transition deadlines for alternative substances for refrigerants and foam blowing agents in household refrigerators and freezers products. SNAP Rule 20 banned the use of certain high Global Warming Potential (GWP) foam blowing agents in rigid polyurethane appliance insulating foam as of January 1, 2020. SNAP Rule 21 banned the use of certain high GWP refrigerants in new household refrigerators and freezers as of January 1, 2021. We write to urge your office to amend these two SNAP rules to ensure an orderly transition to acceptable alternative refrigerants. The appliance industry is pleased to submit to EPA its consensus agreement to transition out of highGWP refrigerants and foam blowing agents. This approach will help realize the policy goals of the two SNAP rules in a cost effective manner without detracting from the rules' environmental goals. Our plan is a tiered approach that recognizes different product categories based on technical feasibility. Our members have agreed to transition beginning with a transition out of high-GWP refrigerant and foam blowing agents beginning on January 1, 2021 in certain refrigeration products and completing phase-out in all other refrigerator/freezer categories by January 1, 2023. Below is AHAM's petition to EPA to amend the two SNAP rules consistent with this industry agreement, the SNAP Program's policy objectives, and protection of the environment. We look forward to working with the SNAP program to advance the recommendations contained in this petition. Please do not hesitate to contact me if you have any questions or need any further information. Sincerely, Charlotte Skidmore Senior Director, Environmental & Sustainability Policy Sierra Club v. EPA 18cv3472 NDCA Tier 7 Leadership > Krmwmci:.w > km ocaikm ED 002061 00183260-00001 Petition to EPA's Significant New Alternatives Policy (SNAP) Program to Amend Regulations to Change Transition Deadlines for Acceptable Substitutes for Household Refrigeration Products for Refrigerants and Foam Blowing Agents January 18, 2018 Introduction and Overview The Association of Home Appliance Manufactures (AHAM) petitions the U. S. Environmental Protection Agency's (EPA) Significant New Alternatives Policy Program to amend its regulations to allow for the home appliance manufacturing industry's consensus voluntary commitment to transition out of high global warming potential refrigerants and foam blowing agents for all household refrigerators and freezers products (see below). The petition applies to household consumer refrigeration products, including refrigerators, refrigerator-freezers, freezers, coolers and combination coolers. The home appliance manufacturing industry has committed to voluntarily transition away from the use of high Global Warming Potential (GWP) refrigerants and foam blowing agents in residential consumer refrigeration products. This commitment synchronizes the insulating foamblowing agent and refrigerant transition timing to reduce repetitive redesign and retooling costs, thereby also reducing consumer product cost. This is an aggressive, environmentally responsible, cost-effective, and tiered transition beginning in 2021 and concluding by 2023. Over the last 30 years, the appliance industry in the US and globally has undergone several transitions of cooling and insulation systems in ways that have enhanced environmental protection. Since the mid-1980s, the industry has made costly, but environmentally beneficial, transitions from CFCs to HCFCs and to non-ozone-depleting and very energy efficient compounds such as FIFOs and, more recently, to hydrocarbons FIFOs. Our industry has already largely transitioned out of HFC foam blowing agents. For example, less than 30% of current household refrigerators sold contain HFCs as a foam-blowing agent. PRODUCT SCOPE: Residential Consumer Refrigeration Products are within the scope of this petition (as defined in the Federal Code of Regulations at in 10 CFR 430.2), which include Refrigerators, Refrigerator-Freezers, Freezers, Coolers, Combination Coolers. CONTINGENCY: The voluntary agreement to transition from high-GWP refrigerants and foam is contingent on EPA's final rule authorizing an increase in the allowance for the use of R600a refrigerant charge size to 150 grams. Without this final rule, many products will not be able to transition. TRA N SITIO N DATES: Residential Consumer Refrigeration Products will be fully transitioned out of high-GWP foam blowing agents and p 2 Sierra Club v. EPA 18cv3472 NDCA Tier 7 ED 002061 00183260-00002 refrigerants based on the below schedule. Many refrigeration products will transition prior to these timeframes. January 1, 2021: Compact Refrigeration Products (Not Built-Ins) Refrigerators, Refrigerator-Freezers, Freezers, Freestanding Compact Cooler, Compact Combination Coolers January 1, 2022: Full-Size Refrigeration Products (Not Built-ins) Refrigerators, Refrigerator-Freezers, Freezers, Freestanding Cooler, Combination Coolers January 1, 2023: Built-In Refrigeration Products Refrigerators, Refrigerator-Freezers, Freezers, Built-in Compact Cooler, Built-in Cooler, Built-in Combination Coolers SNAP Regulations Current SNAP regulations designate certain substitutes for refrigerants as unacceptable for new household refrigerators and freezers as of January 1, 2021 (SNAP 21) and certain substitutes for foam blowing agents as unacceptable as o f January 1, 2020 (SNAP 20). The transition to alternative chemicals, some of which are flammable, is a feasible but complex technical undertaking for manufacturers, particularly domestic manufacturers requiring substantial capital and product investments at numerous stages of the production process. AHAM is requesting EPA to amend the two SNAP regulations to change the applicable deadlines to ensure a smooth transition from high-GWP HFCs in refrigerants and foam in accordance with the transition dates in this petition. This approach will provide manufacturers additional time to transition to flammable refrigerants in all covered products. A phased approach is necessary to ensure the safe use of these alternative refrigerants in all covered products. Our Petition seeks to modify slightly the current SNAP rule transition dates. Our voluntary plan, however, is reasonable, has no material environmental impact and provides certainty to stakeholders. Foam Blowing Agents - Comparison of Dates for Transition to Lower GW P Based on AHAM analysis of industry data, the chart below compares the percentage of products shipped with low GWP foam blowing agents under the current EPA SNAP regulatory requirements compared to the dates recommended in this petition. It shows that just 19.2% of the remaining estimated shipments will transition to low GWP foam blowing agents after 2019 with most of the final transition occurring just one year later in 2020. Sierra Club v. EPA 18cv3472 NDCA Tier 7 o J ED 002061 00183260-00003 Comparison of Forecasted Shipments between Current EPA Rule and Petition Dates for Transition to Lower GWP Foam Blowing Agents CURRENT EPA SCENARIO w 10M 0 S Cd: Tu a; jx: v. CM o hi W .... CL cm PETITION SCENARIO US cD W E KM SS cP ^ 5 p P CM u. cm 208 2019 202 2022 :023 ss Low GWP i'Oisr- ss- High GWP Rxirc This petition, therefore, would have a negligible impact on GHG emissions as it relates to foam blowing agents. During the recycling of these products, much of the foam blowing agent is captured. There are a few studies in this area, but ICF International completed research for the Appliance Research Corporation and found that about half (48.7%) of the most commonly used foam blowing agent in the landfill scenario (see scenario 1 in Exhibit 1) is emitted, and even less for the other scenarios (15.09% and 5.01%).1 1ICF International, Assessment o fRefrigerator/Freezer Foarn End-of-Life Management Options, December 2010. p 4 Sierra Club v. EPA 18cv3472 NDCA Tier 7 ED 002061 00183260-00004 Exhibt 1:: Sum m ary o f BA E m ission P rofites at EOL f%) b y Scenario In addition, the California Air Resources Board (CARB) funded a study in 2016 that showed waste appliance insulation foam, once landfilled, is not a very significant source of GHG emissions.2 The research results show that with bioremediation and in modem landfills with methane collection and combustion systems, the blowing agent emissions are quite low, ranging as low as 0.06% (see Table 1.9 from CARB study below). 2Yesiller et at, Emissions o fPotent Greenhouse Gasesfrom Appliance and Building Waste in Landfills, CARB Agreement Number 11-308, May 31, 2016. p 5 Sierra Club v. EPA 18cv3472 NDCA Tier 7 ED 002061 00183260-00005 Table 1.9 - Summary of Predicted BA Emissions from the Landfill Environment at End of Ufa Reference Scheut? et al. (2003a) Fredenstond et a. 2D05) fitodeling Period (years') 2 20 2 20 20 20 In&ai! Release foWFft Agent Campaccn w HiA CFC-IA HLA HCFC- HLA 541b HiA CFC-11 10 3 Short Term Feiease Microbici Inactive Pedcd (%) N/A biA HiA. WA 3 to 39 0 Fraciicn iMictobtofiy Degraded fS" So 99.7 0 ta 90.7 0 to 89.7 3o 97 7 io 36 40 te 80 Frechem Remaining io LencM m 0.3 te M . 1te S.8 8 to 09 0.8 to 35.3 5 to 21 10 to 20 Fraction 0? Long Term Release with LFG %) 0.2 to 32 0.2 to 91: 2.2 to' 11 2.4 to 54 0 to 2 1 to 4 Fraction of Release tolto LeCneto i\ <0,01 to' .0S <0.01 to 0.24 0.03 to 0.03 to ..75 HiA HiA Fraetioh Released to Atmosphere (%)5 0.06 to 8 .5 to 23 0.8 to 2.8 0.6 to 15.3 0 to 0 5 0.25 to 1 Fraction Ftotessed after CtMTiOUStioh by Gas System i% r 0.61 to 1.4 0.01 ia 4 0.1 to 2.5 0.11 to 3 0 to 0. ! 0,08 to 0.2 CfC-11 94 to 99 0.5 to 1 0.5 to 5 HiA. 0.13 to 1.28 0.02 to 0.23 Scheute ei ah(2007c) HCFC" 20 141 b CFC-12 HiA HCFC22 HCFC" 141 b iCF{2011)3 1 HFC' 134a 19 RFC' 245fa WA 48 to 32 2 to 33 80 te 92 0 to 2 43 te as 0 48 23 HiA 0 0 8 9 6 to 22 8 to 40 12 to 9? too 100 HiA 1.5 to 7.25 0.3 to 1.3 HiA 15 to 10 0.3 to 2 HiA 3 to 14.3 O S so 3 HiA 3 2.35 WA 100 WA 10 8.1 1Calcutetod from long term LF6 retesse assuming a e je c tio n efficiency of S \ iSCS .308) 2 Calculated frsm tong term LFG release assuming a desiructkm e ftidencf ot y4v* Ci_mcia<efi3 and Baergeau 2002, Greer and Ciancjarelfi 2003) 3Study assumed a eoiji5Stonefficiency of 90%.. and dsetruchoh etikteccv ''iiS (ECf- l'1i' 1) 4 Fraction m toroblafe degraded inetodes the nx.idefion in the c o ver soil e ra ^ n i t jd v d e g r u le fie n to the vcaete dyers HiA: n o t applicable to study ratal Fimsstoes from: Lehdfilt at tod of Life {%) 0.06 to 94 .6to2? 0.7 to 3.3 0.71 to 18.3 0 to 85 5.7 to 6.3 0.15 to 2 to 0 2 to 52 3.5 to 17.3 5.35 100 18.1 The CARB funded study also found that only 0.08% of CO2 equivalent emissions were attributable to HFC-245fa, which is the predominantly used foam blowing agent in residential refrigerator/freezers prior to transitioning to low GWP alternatives (see Table 3.52 below). Table 3.51 - Total CO2 Equivalent Emissions of the Test Gases (Annual) with CO2 Compound CFC-11 CFO-1:2 CFC-113 CFC-114 HCFC-21 HCFC-22 HF-14lb HCFC-142b HCFC-151a HPC-134a NFC-152a HFC-245fa Total F"6as Emissions ch4 CO2 Total Surface Emissions (F-Gases + CH4+ CO2) Surface Emissions (CCbeq Tonnes) Minimum % Maximum %: 6.23E+02 2.52 2.40E+3 2.40 5.53E+01 0,22 1.56E+02 0 16 1.20E+00 0.Q 2.29E+0 0.00 168E+01 0,07 3.45E+01 0.03 2.3015+01 1.11E+1 0.0 9.26+1 0.00 0,04 2.37E+1 0,02 191 +02 0,77 4,21 E+2 0,42 1.28E+1 0,05 1 .88E+1 0,02 HiA HiA N/A N/A 4.52E+01 0,18 1.40E+02 0,11 4,51 +00 0.02 1.68E+1 0.02 2:, 17E+1 0.09 S.41E+1 , 11E+03 4,06 3.36E+03 3,35 1..89E+4 6.84E+03 08,31 27.63 7J4E+Q4 1J3 & 4 77.34 19,30 2.47E+04 100.00 1.OOE+OS 100.00 0 D Sierra Club v. EPA 18cv3472 NDCA Tier 7 ED 002061 00183260-00006 As a result, the table below shows that the total estimated additional GHG emissions attributable to the petition's timing versus the current regulations related to foam blowing agents is only 1.33 MMTCO2. These emissions estimates use EPA 's Vintage Model rates for loss at manufacturing (4%) and leakage (3.75%). We assumed that 25% of the foam blowing agent would be emitted during recycling. According to EPA 's 2015 U.S. Greenhouse Gas Emissions, of the total GHG emissions of 6,587 MMTCO2, fluorinated gasses were just 3% of that total or 197.6 MMTCO2.3 Therefore, this petition's impact of 1.33 MMTCO2 does not even represent a rounding error at only 0.02% of the total GHG emissions or 0.67% of fluorinated emissions. However, importantly, it provides much needed flexibility to manufacturers in an industry already experiencing extensive cumulative regulatory burden. Additional Carbon Emissions For Petition Senario for Foam (MMTC02) Product 2020 2021 2022 Refrigerators / Freezers Total 0.97 0.29 0.08 Cumulative Total (all years) 1.33 MMTC02 Refrigerants - Comparison of Dates for Transition to Lower GW P Based on AHAM analysis of industry data, the chart below compares the percentage of products shipped with low GWP refrigerants under the current EPA SNAP regulatory requirements and under the dates recommended in this petition. It shows that the just 24.4% of the remaining estimated shipments will transition to low GWP refrigerant after 2020 with most of the final transition occurring just one year later in 2021. 3EPA, Overview o f Greenhouse Gases, https://www.epa.gov/gfogenrissions/ovewiew-greeiriwnse-gases. accessed January 9, 2018. p7 Sierra Club v. EPA 18cv3472 NDCA Tier 7 ED 002061 00183260-00007 Comparison of Forecasted Shipments between Current EPA Rule and Petition Dates for Transition to Lower GWP Refrigerants CURRENT EPA SCENARIO v .! I " IGI PETIT!ON SCENARIO 2018 2019 202H 2021 SSLow GVOP Lteft ig - iW ii ssHigh HW8 Rofngoron 2022 This petition also would have a negligible impact in greenhouse gas (GHG) emissions as it relates to refrigerants. Venting high GWP refrigerants into the atmosphere is illegal under EPA 's regulations. Therefore, no emissions should be occurring when the product is recycled. Nevertheless, as the table below shows, the total estimated additional GHG emissions attributable to the petition's timing versus the current regulations related to refrigerants is only 1.65 MMTCO2. These emission estimates use EPA's Vintage Model rates for loss at servicing, which includes leakage (0.6%). We also assumed that 60% of the refrigerant is improperly vented into the atmosphere during recycling even though it is illegal. According to EPA 's 2015 U.S. Greenhouse Gas Emissions, total GHG emissions were 6,587 MMTCO2 and fluorinated gasses were just 3% of that total or 197.6 M MTCO2 4 Therefore, this petition's impact of 1.65 MMTCO2 does not even represent a rounding error at only 0.025% of the total GHG emissions or 0.84% of fluorinated emissions. However, importantly, it provides much needed flexibility to manufacturers in an industry already experiencing extensive cumulative regulatory burden. Additional Carbon Emissions For Petition Scenario for Refrigerant (MMTC02) Product 2020 2021 2022 Refrigerators / Freezers Total 1.08 0.48 0,10 Cumulative Total (all years) 1.65 MMTC02 4EPA, Overview o f Greenhouse Gases, https://www.epa.gov/gfogenassions/overview-greeiriwnse-gases. accessed January 9, 2018. o 8 Sierra Club v. EPA 18cv3472 NDCA Tier 7 ED 002061 00183260-00008 Costs for M any Previous Transitions The appliance industry has been at the forefront of taking progressive actions with respect to the environment. We already have transitioned our refrigeration products from CFCs to HCFCs to HFCs. There have been double investments for foam and refrigerant. Now our industry is dedicated to moving beyond high GWP HFCs. As noted in AHAM comments to the previous SNAP rule, substantial progress in that area in refrigerator foam occurred well before EPA required it. While the appliance industry is moving to replace FCFC refrigerants in our products and has in fact produced and sold hundreds of millions of units safely around the world using hydrocarbon (HC) alternatives, this transition process is expensive and time-consuming, and in the United States carries additional safety requirements. The industry's experience in Europe, Asia and elsewhere has shown that HC refrigerants can and have been used safely for years. Similarly, in the U.S., substantial numbers (around 80%) of compact refrigerators (7.75 cubic feet in volume or less) are currently sold with hydrocarbon refrigerant. Full size models are also in transition. Compacts represent 15% of total refrigerator shipments. The industry's voluntary progress on these products should be recognized and considered when amending the SNAP regulations for a full transition of the sector away from HFCs. The chart below indicates the substantial transition costs ($200 million) the industry has already incurred to transition to lower GWP foam blowing agents and refrigerants and compares costs between the current EPA scenario and the recommended petition scenario. The total savings, based on industry data, attributable to a more rational phase-out period is approximately $23 million. $ 10OM Cost Comparison EPA Scenario vs. Petition Scenario $1SM .iSrr. >t ~~ < M P etition Scenario 1 C urrent SPA Scenario 50 V 2015000 2020 202 i. Vest EPA SNAP Appeal Status and Timing Due to the recent DC Circuit Court decision on August 8, 2017, there is increased uncertainty how the SNAP program will be implemented. Despite the request by intervenors for a rehearing by the original panel and a rehearing en banc in September 2017, there is no court rule requiring p9 Sierra Club v. EPA 18cv3472 NDCA Tier 7 ED 002061 00183260-00009 a deadline for the court to respond or act on the request further adding to the uncertainty for manufacturers. As of this petition, the Court has not acted upon the request for further review of its decision. Manufacturers must move forward and prepare for the upcoming deadlines and need EPA consideration and action on the AHAM petition to amend the regulations to accommodate the industry agreement. It is critical that EPA act quickly to change these dates so that manufacturers can properly plan their investments. Sierra Club v. EPA 18cv3472 NDCA Tier 7 -10 ED 002061 00183260-00010