potrero view

August 2009

Refrigerator Shopping: Do Energy Savings Matter?

By Kerry Fleisher

During an economic downturn that’s prompting many of us to test out our grandmothers’ secret recipes – who knew tongue could be so tasty – rather than dine out, it isn’t surprising that the Best Buy near the Potrero Hill Shopping Center has strategically placed “No Interest for 18 Months!” signs all along their shiny row of KitchenAide and Frigidaire refrigerators.  If there’s extra money to go around, replacing an old fridge may be one of the few shopping indulgences that can be fun and pragmatic.

Many of the refrigerators on offer at Best Buy feature bright yellow tags promoting futuristic-sounding features: humidity controlled crispers, spill-proof glass shelves, and fresh-lock hydrators.  Gone are the days when a crushed and cubed ice maker was the gold standard.  The new mark that you’ve made it, in the refrigerator department any way, is a French-door behemoth with an adjustable temperature deli drawer.

Other signs hang less prominently on these show room fridges:  small, less brightly yellowish notices are often tucked inside, sometimes stowed away in the freezer drawer.  Inside one high-end Samsung model, priced at $2,399, a yellow Energy Guide reads, “Estimated Yearly Operating Cost $65.  540 Kwh estimated yearly electricity use.”  And in smaller print: “Your cost will depend on your energy rates. Based on 2007 national average electricity cost of 10.66 cents per Kwh.”  Omitted from the signage is that the average rate Pacific Gas and Electric Company’s residential customers pay for electricity is almost 40 percent higher than the national average:  14.8 cents per Kwh.

Alongside a sticker that radiantly explains how the “Fans Cool Freezer and Fridge Separately—No Flavor Mix,” the Energy Guide seems, and is, government-issued.  Following the instructions to “Ask about energy star,” a suggestion that appears on a handful of fridges that feature the Energy Star logo, an inquiry is made to Best Buy sales representative, Scotty.  According to Scotty, to qualify for an Energy Star rating, a refrigerator must use 10 percent less electricity than the federal standard, an average kilowatt use that depends on the amount of space the fridge is cooling.

According to the female end of a couple plying the refrigerator aisle, who were searching for a coupon offering free fridge disposal and delivery, “size and style is really important,” not energy savings.  Her husband, upon reflection, disagrees.  “If the fridges were different models but roughly the same price I would most likely go with the one with energy savings,” he said.

    Scotty asserts that shoppers looking for larger, more expensive fridges – as well as hefty households whose family members open the doors frequently – seem more inclined to ask about Energy Star savings.  Best Buy sales representative Jeremy related that roughly 30 percent of the store’s customers inquire about energy savings.  “Overall, between different models in the same price range, it’s not a huge difference, maybe $5 to $15 a year,” he said.  Jeremy typically communicates savings as an annual amount, even though most shoppers ask him how much they might save monthly.  He also asserted that using the humidity controlled crisper, and producing a ton of ice for a party, doesn’t trigger significant electric utility bill impacts.

A closer look at the Energy Guides provides a sense of how a consumer’s utility bill might change over the course of a year depending on what fridge model they buy.  The annual utility cost to operate new low- to mid-cost fridges ranges from roughly $42 to $60.  More expensive models might cost from $57 to $80 annually.  For example, a Frigidaire refrigerator that costs $549 will trigger about $51 a year in utility bills, compared to similar models which might cost $42 a year to run.  Saving $10 a year seems like small beans compared to the upfront cost of upwards of $1,000 for a new appliance.  But if the refrigerator last a decade, the savings add up, to $100, or 10 percent of the original cost.  

While the energy savings may be modest when compared to similarly-sized new refrigerators, when the comparison is between a brand new fridge and an old, energy-hogging appliance the outcome changes entirely.  According to Dogpatch-based nonprofit San Francisco Community Power, a 1989 Hotpoint refrigerator, which they found at a low income Mission District household, consumes 800 kilowatts-hours a year.  Over a 12-month period the frugal family of two – who barely used any electrical devices – paid only $85 for electricity, but almost 80 percent of that amount was to power the frig.  Replacing the Hotpoint with an energy efficient appliance would cut the families’ electricity bill by roughly 40 percent.

SF Power estimates that there are 25,000 fridges located in low income San Francisco households that could be cost-effectively replaced.   If these appliances were swapped out for more efficient models, net savings would amount to more than $300,000 a year, with almost 9 million Kwh saved annually.  The reductions in electricity use would also avoid 6,000 tons of CO2 emissions a year.  

Mission District resident Omar Estrada lives in a household of four.  His mother constantly complains about their leaking refrigerator, which they can’t afford to replace.  According to Estrada, the family doesn’t use heat during the winter, despite bad drafts, because they need to direct every dollar toward food and rent.  Their Hotpoint refrigerator consumes roughly 700 kilowatts a year; the family spent $207 on energy bills last year.   A more energy efficient frig, that consumes 383 kilowatts a year and costs $450, would reduce the family’s energy bills by 18 percent.   

SF Power’s calculations likely under-estimate savings.  The calculations are based on kilowatt use for Hotpoint refrigerators that are brand new.  According to a recent U.S. Department of Energy report, frig efficiency likely declines by 10 percent when the appliance is between five and ten years old; 20 percent when fridges are between ten and fifteen years old; and 30 percent when the appliance is older than fifteen years.

Whether a stainless steel French-door refrigerator has an alarm lock and temperature-controlled fruit and vegetable drawer may be a selling point for some, but for others who are cutting corners to make ends meet, an energy efficient refrigerator could free up some money to go toward more important monthly expenditures.

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