The Federal Trade Commission has issued a final rule that amends the Appliance Labeling Rule to revise the design and content of the EnergyGuide label that is required on most new appliances sold in the U.S. This yellow label helps consumers compare the operating costs of competing models and identify high-efficiency models that will reduce their energy use. The information on the label also must appear in catalogues from which covered products can be ordered. Manufacturers of furnaces, central air conditioners and heat pumps also must provide energy information in either fact sheets or an industry directory. The ALR applies to the following appliances: refrigerators, refrigerator-freezers, freezers, dishwashers, water heaters, clothes washers, room air conditioners, furnaces, central air conditioners, heat pumps, fluorescent lamp ballasts, plumbing products, lighting products and certain types of water heaters.

The ALR contains specific requirements for the content and format of the EnergyGuide labels. Manufacturers must use a yellow label with the EnergyGuide headline and provide information in the format and type prescribed. Additionally, manufacturers cannot place any information on the label other than that specifically allowed by the ALR. In 2000, the FTC issued an exemption allowing manufacturers to include the "ENERGY STAR" logo on the EnergyGuide label for covered appliances. The ALR also includes certain reporting requirements that direct manufacturers of most covered products to file reports with the FTC both annually and when they begin manufacturing new models.

The ALR has different labelling requirements for non-appliance consumer products. Specifically, manufacturers of shower heads, faucets, toilets and urinals must disclose water usage information on their products, packaging and labelling. Manufacturers of certain incandescent bulbs, spot and flood bulbs and screw-base compact fluorescent bulbs must disclose light output in lumens, energy used in watts, voltage, average life and number of bulbs on their packaging. They also must explain how purchasers can select the most energy efficient bulb for their needs.

Under this final rule, estimated yearly operating costs will be the primary disclosure on the EnergyGuide label for refrigerators, refrigerator-freezers, freezers, dishwashers, clothes washers, water heaters and room air conditioners. The FTC states that this information will provide consumers with a clear context to compare the energy efficiency of different appliance models and help them assess trade-offs between the energy costs of their appliances and other expenditures. The new label design will continue to display energy consumption information (e.g., annual electricity use) as a secondary disclosure for most labelled products. Requirements related to the placement of the label have also been modified.