Consumerscope : TV Energy Regulations Will Harm Innovation
Regulations will kill jobs.
December 2009 By Gary Shapiro
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T he California Energy Commission late last month passed regulations to restrict energy used by TVs. The delayed vote came following a last-minute 91-page objection filed by the Consumer Electronics Association.
"Green is good, but simply calling any onerous new regulatory proposal 'green' does not make it good for the environment or good for consumers," wrote CEA president and CEO Gary Shapiro. Here's the opinion piece Shapiro wrote in conjunction with the objection:
How much energy does the average flat-panel TV use? Given the intensity of the California Energy Commission's efforts to ban many popular big-screen televisions from California homes, you might be surprised to learn that the average flat-panel TV uses less energy (142 watts) than two regular 75-watt household lightbulbs.
Listening to the commission's rhetoric over the last few months, you also might believe that your entertainment center is causing an energy crisis.
The truth of the matter is that important projects to generate new supplies of power, such as power plants and renewable energy transmission lines, are incredibly difficult to build in California. Rather than tackle these challenges head-on, the commission is pursuing rigid regulations that will harm California's economy and stifle innovation.
The proposed regulations set arbitrary limits on TV energy use, thereby banning the sale of TVs that do not meet the standards. An economic study by LECG estimates that it will cost California $47 million a year in lost tax revenues and destroy more than 4,000 jobs, largely tied to local retailers, installers and distributors. With California facing its highest unemployment rate since World War II, job-killing measures should not be up for discussion.
The some 700 TV models banned for sale would still be available for sale online and in all other 49 states. Televisions serve as the hearth of the home, and these onerous regulations would simply push many sales online and across state lines, sending critically needed tax revenue outside of California.
Product development requires flexibility, not regulatory limits, and time, not timetables. The regulations could delay or prohibit new products and technologies—like 3-D HDTV and Internet-enabled TVs—if they cannot comply with these regulations.
A Zogby International survey found that 57 percent of Californians are against the proposal, and 59 percent believe that picking a television should be the consumer's choice, not the government's decision. Americans already buy $1.2 billion energy-efficient TVs and other consumer electronics products through the nationwide EPA-run Energy Star program.
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