Country Report for Marshall Islands
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1 IIEC International Institute for Energy Conservation Country Report for Marshall Islands Northern Marianas Marshall Islands Guam Palau Federated States of Micronesia Kiribati Papua New Guinea Nauru Solomon Islands Tuvalu Tokelau Cook Islands French Polynesia Samoa American Vanuatu Samoa Wallis and Futuna Fiji Tonga Niue Pitcairn New Caledonia Technical Analysis of Appliance Markets to Support the Pacific Appliance Labelling and Standards (PALS) Programme Prepared for Renewable Energy and Energy Efficiency Partnership (REEEP) By International Institute for Energy Conservation Asia (IIEC Asia) th 12 Floor, United Business Center II Building, 591, Sukhumvit Road Wattana, Bangkok 10110, THAILAND November 2012 Data submitted herein is intended for the sole use of the Client in evaluating the Consultant s offer and is considered proprietary to the Consultant. Pages containing this proprietary data are annotated with reference to this paragraph
2 CONTENTS 1 ACKNOWLEDGMENTS INTRODUCTION Country Background Objective FINDINGS Import Statistics Market Penetration of Electrical Appliances (Census 2011) Market Characteristics Energy Labels CONCLUSION REFERENCES... 8 FIGURES Figure 3.1 Electrical Appliance Shop in Marshall Islands selling Air Conditioner with Brazilian Energy Label... 5 Figure 3.2 Electrical Appliance Shop in Marshall Islands selling Refrigerator, Freezer and Air Conditioner with US Energy Star and US Energy Guide Labels... 6 TABLES Table 2.1 General Information on Marshall Islands... 2 Table Ownership of Selected Household Appliances in Marshall Islands... 3 Table 3.2 Brand, countries of manufacture and origin of most common electrical appliances in Marshall Islands... 4 Table 3.2 Proportion of Electrical Appliances with Energy Labels... 5 November 2012 i
3 1 ACKNOWLEDGMENTS The Technical Analysis of Appliance Markets to Support the Pacific Appliance Labeling and Standards (PALS) Programme covers 17 Pacific Island Countries and Territories (PICTs). The report and research were conducted by Mr. Sommai Phon-Amnuaisuk and Mr. David Morgado from the International Institute for Energy Conservation (IIEC). It was prepared for the Renewable Energy and Energy Efficiency Partnership (REEEP) with overall guidance from Mr. Tom Thorsch Krader. The IIEC would like to show its appreciation for the kind support and contributions from the PALS country focal point (Mr. Walter Myazoe) and the Secretariat for the Pacific Community. November
4 2 INTRODUCTION 2.1 Country Background Neighbouring Countries Capital City Currency Population Size (habitants) Number of Households - Table 2.1 General Information on Marshall Islands Nauru, Federated States of Micronesia, Guam (US), Northern Mariana Island, Kiribati, Hawaii (US) Majuro United States dollar (US$) 50,840 (1999 Census) Electrification Rate (%) 72.3 (2007) Status of S&L Scheme Source: Marshall Islands Planning and Statistics Office; SPC, Objective Policies and regulations need to be reviewed by the government to allow for the development of a S&L Programme. The government has removed import duties on appliances with any kind of energy efficiency label. The objective of this study is to analyse the characteristics of major appliance and lighting products and markets in Marshall Islands, in order to inform and support decision making on the most effective Standards & Labelling (S&L) strategy for Marshall Islands. The study focuses on the following electrical appliances: Refrigerators Freezers Air Conditioners Lamps including incandescent, linear fluorescent and compact fluorescent Televisions Other relevant products. November
5 3 FINDINGS 3.1 Import Statistics According to Mr. Walter Myazoe, Energy Officer at the Energy Planning Division of the Ministry of Resources and Development in the Marshall Islands, the large majority of electrical appliances in Marshall Islands are imported from China and the United States (US) including Guam. For the duration of this project no customs data was provided by the Statistics Office in Marshall Islands. An on-site survey was conducted to enable a better assessment of the main countries of origin for electrical appliances in Marshall Islands (see section 3.2 and 3.4). 3.2 Market Penetration of Electrical Appliances (Census 2011) A Household Income and Expenditure Survey (HIES) was carried out in Marshall Islands in 2007 and provided details on the ownership of selected household appliances. These are summarized in Table 3.1. Table Ownership of Selected Household Appliances in Marshall Islands Appliance 2007 (%) Refrigerator 43.8 Freezer 38.0 Television 66.1 Video/DVD Player 62.8 Microwave Oven 23.2 Washing Machine 51.1 Source: Marshall Islands HIES 2007 Based on typical unit power consumptions, operating hours and estimated number of appliances currently in use, the priority electrical appliances for a S&L Programme in the Marshall Islands include: Refrigerator, Freezer, Television, Washing Machine, Rice Cookers, Electric Fan, Air Conditioners and Lighting Products. 3.3 Market Characteristics The data presented in this section is based on an electric appliance survey of five major retailers and wholesalers in Majuro, Marshall Islands conducted by IIEC during June The data gathered includes information on appliance brands, country of manufacture and origin. Note that the information of electrical appliance brands and country of manufacture is not comprehensive. The country of manufacture of certain appliances is not easily identifiable and in some cases could only be found through the product s user manual. November
6 Table 3.2 Brand, countries of manufacture and origin of most common electrical appliances in Marshall Islands Electrical Appliance Brand Countries of Origin Countries of Manufacture Air Conditioners (all sizes) Domestic Washing Machines Compact Fluorescent Lamps Electric Fans Linear Fluorescent Lamps Freezers Incandescent Lamps Refrigerators Rice Cookers Televisions Comfort-Aire, Takashimaya, Haier, Do It Best, Fujitsu, Westpoint, Frost, Island Avanti, Whirlpool, Daneng, Kenmore, Takashimaya, Toshiba, Sharp, Air-spin, Maxwell Westinghouse, GE, ACE, Western Family, Lights of America, Eco Bulb, Chinese Brand Ace, SB, Optimus, Comfort Zone, Lasko, Do It Best, 02 Cool, Mercury, Deluxe, Midea ACE, GE, Do It Best, Feit Electric Company, TFC, Hitachi, Philips Avanti, Whirlpool, Takashimaya, Frigidaire, Crosley, Kenmore, Midea ACE, GE, Western Family, Sterlite, Chiyoda Avanti, Whirlpool, Frigidaire, Takashimaya, Crosley, Tatung Edelweiss, Galanz, Alpine Cuisine, Jinn Hsin, Tatung, Sunpentown JVC, Sceptre, Vizio, Naxa, Island (majority) US, Taiwan US US US China (majority), Thailand China, Mexico, US, Japan China (majority) US, Canada, China, Indonesia, Thailand, Taiwan, Japan China, Mexico, US, Indonesia China, Mexico China China, Thailand Overall, electrical appliances originate mainly from two countries China and US. Table 3.2 identifies a range of international brands including Chinese brands which are directly imported from China to the Marshall Islands. The survey indicates that majority of the electric fans, air conditioners and incandescent lamps are likely to be imported from China. The refrigerators and freezers seem to be imported from US and to lesser extent from China but without customs data it is not possible to verify the exact share of imports. 3.4 Energy Labels The data presented in this section is based on an electric appliance survey of five major retailers and and wholesalers in Majuro, Marshall Islands conducted by IIEC during June The objective of the the survey was to compile information on the proportion of energy labels for each type of electrical appliance and the respective country of origin of these labels. Table 3.3 Proportion of Electrical Appliances with Energy Labels Electrical Appliance % with Energy Labels Types of Energy Label Air Conditioners (all sizes) 51% - 75% US Energy Star, US Energy Guide, Association of Home Appliance Manufacturers (AHAM). One air conditioner had a Brazilian Energy Label (Figure 3.1) November
7 Compact Fluorescent Lamps 51% - 75% US Energy Star Linear Fluorescent Lamps 0% - 25% US Energy Star Domestic Washing Machines 0% - 25% US Energy Star, US Energy Guide Freezers 76% - 90% US Energy Star, US Energy Guide Refrigerators 76% - 90% US Energy Star, US Energy Guide, AHAM Televisions 26% - 50% US Energy Star Majority of electrical appliances in Marshall Islands have US Energy Star or US Energy Guide Labels (Figure 3.2). The table also indicates that the Chinese appliances do not have any Chinese Energy Labels. only provides information on the electrical appliances which had affixed any type of energy label. Electrical Appliance Table 3.3 Proportion of Electrical Appliances with Energy Labels % with Energy Labels Types of Energy Label Air Conditioners (all sizes) 51% - 75% US Energy Star, US Energy Guide, Association of Home Appliance Manufacturers (AHAM). One air conditioner had a Brazilian Energy Label (Figure 3.1) Compact Fluorescent Lamps 51% - 75% US Energy Star Linear Fluorescent Lamps 0% - 25% US Energy Star Domestic Washing Machines 0% - 25% US Energy Star, US Energy Guide Freezers 76% - 90% US Energy Star, US Energy Guide Refrigerators 76% - 90% US Energy Star, US Energy Guide, AHAM Televisions 26% - 50% US Energy Star Majority of electrical appliances in Marshall Islands have US Energy Star or US Energy Guide Labels (Figure 3.2). The table also indicates that the Chinese appliances do not have any Chinese Energy Labels. November
8 Figure 3.1 Electrical Appliance Shop in Marshall Islands selling Air Conditioner with Brazilian Energy Label November
9 Figure 3.2 Electrical Appliance Shop in Marshall Islands selling Refrigerator, Freezer and Air Conditioner with US Energy Star and US Energy Guide Labels November
10 4 CONCLUSION The lack of customs data and the findings of only one survey do not enable an adequate assessment of the main countr(ies) of origin for electrical appliances in the Marshall Islands. Before consideration of any S&L scheme, the Marshall Islands Government should consider compiling customs data on electrical appliances based on country of origin covering a period of three to five years (i.e to 2011). Based exclusively on the limited information above, majority of high energy consuming appliances such as refrigerators, freezers and air conditioners, originate from China and the United States. Note that the development of a S&L programme for the Marshall Islands needs to take into account market demand and supply trends, as well as a range of other factors bearing on the design and effectiveness of S&L programmes. Furthermore, it should allow for the energy efficient appliances to enter the market at an affordable price, irrespective of origin or manufacture. November
11 5 REFERENCES Secretariat for the Pacific Community (SPC), Statistics for Development, 2011, Marshall Islands Bureau of Statistics, 2012, November
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