E3 Gas Committe Cost-Benefit Analysis: Proposal to Introduce a Minimum Energy Performance Standard for Gas Water Heaters

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Summary

This report was prepared in June 2007 by Syneca Consulting, for the Equipment Energy Efficiency Gas Committee (E3 Gas Committee) and aims to communicate to stakeholders the most important issues and questions relating to the regulatory proposal and to seek stakeholder comment and industry/market data to better inform the development of the regulatory proposal.

This document is called a 'Cost-Benefit Analysis' (CBA) and has been issued by the Equipment Energy Efficiency (E3) Committee reporting to the Ministerial Council on Energy of the Australian federal, state and territory governments and the New Zealand Government. The CBA is a discussion draft providing the rationale for the regulatory proposal. The CBA and stakeholder responses to it will be used to prepare a regulatory impact statement (RIS) (see http://www.obpr.gov.au for RIS requirements) on the introduction of Minimum Energy Performance Standards (MEPS) for domestic gas water heaters imported and sold in Australia and New Zealand. The proposal will be considered by the Ministerial Council on Energy and, if endorsed, will result in Australian state and territory legislation and New Zealand legislation being amended to prohibit from sale products that do not meet the standards.

In particular, this CBA document contains various assumptions on gas water heater technologies, sales, industry and market structure, etc. In the absence of other data from stakeholders, these assumptions will form the basis of the next phase in the regulatory process, which is the Consultation RIS. The Consultation RIS and any further stakeholder responses will then be used to prepare the Decision RIS considered by the Ministerial Council on Energy.

This page last modified 30 January 2008