By HOWARD FINE
A business coalition recently formed to fight an impending California Energy Commission regulation restricting the sale of big-screen TVs.
The regulation, due to be considered within the next couple months, sets energy output standards for televisions made after Jan. 1, 2011, with the aim of reducing energy output from televisions by a third as of 2011 and by half as of 2013.
Many big-screen plasma televisions made today would not meet the standards.
The coalition, called Californians for Smart Energy, consists of electronics retailers, repair shops and business groups. They claim the regulation would effectively ban the sale of roughly a fourth of all big-screen TVs now on the market, cutting into the bottom lines of retailers and electronics repair shops. They are seeking to stop the regulation entirely. Failing that, they are hoping for a delay.
The first phase of the regulation that takes effect Jan. 1, 2011, “would take 25% of the televisions we currently sell off the shelves because they don’t meet the standards,” said Mike McMaster, president of Wilshire Home Entertainment in Thousand Oaks, a coalition member. “It puts me at a competitive disadvantage if potential customers can buy the television sets from an out-of-state online retailer.”
He added that 80% of the 35 television models he currently sells would not meet the regulation’s 2013 threshold, though he acknowledged that many newer compliant models likely would be on the market by then.
McMaster said he was especially concerned that many of the larger plasma screen models would be banned under the regulation because many of his customers desire the brighter pictures with richer colors offered by plasma TVs.
Adam Gottlieb, Energy Commission spokesman, said many of the claims made by the electronics retailing industry are exaggerated.
“No existing televisions will have to be taken off store shelves,” Gottlieb said. “There are televisions of virtually every size and type that meet the standards today, and even more will meet the standards before they take effect in 2011.”
Gottlieb noted that Irvine-based flat screen TV maker Vizio Inc. has agreed to respect the standards, as have television component manufacturers 3M Co. and Agoura Technologies.
Also, he said, commission staff workers are in discussions with the International Consumer Electronics Association to address their concerns.
Gottlieb added that consumers now are demanding more energy-efficient televisions and manufacturers are listening to them.
“Just look at how Samsung is marketing its new LED televisions,” he said.
The newly formed coalition will get a chance to make its case at a public hearing held by the energy commission sometime in September or early October.
Fee Increase
Due to the state budget deficit, California employers soon will be paying an additional $70 million through their workers’ compensation premiums to fund two programs at the Department of Industrial Relations.
About half of the assessment will fund various occupational safety and health programs to make up for a $40 million cut in the state budget allocation. The other half will go to fund a new labor code enforcement program to beef up workplace inspections.
Erika Monterroza, Department of Industrial Relations spokeswoman, said that these additional assessments will result in an increase of a fraction of a percent on most employers’ workers’ compensation premiums. A small employer with a $2,300 annual premium would see an increase of about $5, while a large employer with a premium of $1 million would see an increase of about $2,200.
Gas Station Relief
Gov. Arnold Schwarzenegger earlier this month signed into law a measure allocating $8 million in additional financing for gas station owners struggling to comply with an Air Resources Board regulation to install new vapor recovery systems.
The law,AB 96 by Assemblyman Ira Ruskin,diverts $8 million from an existing program to replace underground petroleum storage tanks into a special fund. Gas station owners can then apply to the fund for money to help pay for the vapor recovery upgrades, which can cost anywhere from $25,000 to $75,000 per station, depending on the number of pumps.
The air board’s regulation, initially passed in 2000, requires the owners of 11,000 gas stations across the state to install systems to recover fuel vapors that might escape into the atmosphere between underground storage tanks and individual gasoline dispensing pumps.
The bill was introduced because many gas stations missed an April 1 deadline to install vapor recovery equipment because they couldn’t get financing.
Fine is a staff writer at the Los Angeles Business Journal
