NEMA Premium efficiency motor rebate program in U.S. energy bill
“Crush for credit” program rewards buyers with rebate, reduced power consumption and improved system reliability. See new products, photo, and market expansion estimates.
U.S. Senate Energy and Natural Resources Committee had adopted a NEMA-advocated provision that creates a premium energy-efficient motor rebate program, also known as a “crush for credit” program, according to a March 31, 2009, announcement from the National Electrical Manufacturers Association (NEMA). The high efficiency motor market is expected to triple by 2011, says one research firm, and manufacturers continue to introduce compliant motors, including additional models from AutomationDirect, described below.
By unanimous support, Senator Blanche Lincoln (D-AR) successfully offered the amendment to the Senate's draft comprehensive energy bill, NEMA reported. This legislation creates a new energy-efficient motor rebate program for the purchase of NEMA Premium efficiency electrical motors.
The program provides a $25 per horsepower rebate and a $5 per horsepower rebate for the disposal of the old motor. The latter program is needed to offset the cost difference between new, more expensive, efficient motors and the lesser cost to repair the older, more inefficient motors, NEMA says. Once signed into law, this program allows the federal government to spend $350 million in incentives for the wide-spread adoption of NEMA Premium motors.
According to NEMA President and CEO Evan R. Gaddis, this represents a step toward energy independence. “Senator Lincoln has consistently been an advocate for energy efficiency, and the senator's forward-thinking amendment will move America one step closer towards energy independence. Not only does Senator Lincoln recognize the importance of making our buildings, factories and industries more competitive through energy-efficiency, but she also realizes the needs of manufacturers in her home state and manufacturers across America.
Gaddis said he was “thrilled” that the Senate Energy Committee approved the measure, which will “save energy, reduce greenhouse gas emissions, and and create much needed jobs in the United States.” www.nema.org
Market for premium efficiency induction motors will triple by 2011
Two significant factors are affecting the worldwide ac induction motor market over the next five years, according to market research firm IMS Research. The first factor is the rapid slowing of growth in the worldwide economy. The worldwide market is forecast to contract more than 7% in 2009. This decline is offset in part by positive, though much slower, growth in China. The EMEA and the U.S. are seeing much slower growth.
IMS Research says government-led movements towards higher efficiency motors will contribute to what it expects will be 300% growth in the use of NEMA Premium efficiency induction motors by 2011.
Government actions and voluntary industry agreements “will dramatically shift the market away from EPAct and EFF2 motors to higher efficiency motors,” says analyst Steve Odom. “The U.S. government has been a leader with the passage of the Energy Independence and Security Act of 2007 (EISA). This law will require that beginning December 19, 2010, all general purpose motors of at least 1 hp and not more than 200 hp will have to meet or exceed NEMA Premium motor efficiency levels.” Governments and trade bodies in the EU, China, Korea, and Australia have enacted similar legislation or agreements.
Odom said three-quarters of the world’s industrial ac induction motors being sold each year do not meet the efficiency standards that will be required under these new agreements.
New efficient motor introduced
Separately, AutomationDirect announced that it now offers Marathon NEMA premium efficiency XRI inverter duty motors, which meet or exceed NEMA Premium ratings for optimized motor system efficiency, reduced electrical power consumption and improved system reliability. These TEFC 1 hp to 10 hp motors (also called inverter duty motors) have rolled steel construction and C-face rigid base mounting, utilize ball bearings, and are electrically reversible. They are UL recognized, CSA certified, and have a three year warranty. Prices start at $310, and a wide variety of other Marathon ac variable speed inverter and vector duty motors aare available.