Penalty set for energy labeling violations

Electrical equipment producers and importers would incur a maximum penalty of VND50 million if they do not stick energy labels on certain products from the beginning of 2013, said a legislation official.

Le Dai Ha, deputy head of the Department of Economic-Civil Legislation at the Ministry of Justice, told a workshop on energy labeling in HCM City on Thursday that household electrical appliances would be subject to the new rules first.

These include lighting devices, electric fans, air conditioners, refrigerators, electric cookers, washing machines and TV sets. Certain industrial electrical equipment like distribution transformers and electric motors, will also be required to have energy labels, Ha told the workshop held by the HCM City Department of Industry and Trade and the general Department of Energy.

Those not labeling these compulsory products will receive cautions for their first-time violations, and have to pay fines of VND10-20 million for the second time and VND30-50 million for the third time.

Moreover, producers and importers that put improper energy labels on certified products will face penalties of VND50-70 million. Providing inaccurate information on energy labels is subject to VND30-50 million penalties.

According to the general Department of Energy under the Ministry of Industry and Trade, there are two types of energy labels, namely certification label and comparison label.

The certification label, also known as Vietnam energy star label, is used for national-standard performance products of high energy efficiency such as bulbs and ballasts.

The comparison label, on the other hand, is applied to the products with energy performance ranging from grade 1 to grade 5 under the national standards. Grade-5 products are those with the highest energy performance, such as electric fans, air conditioners, refrigerators, electric cookers and washing machines.

Before they are labeled, electrical products must be certified to meet the standards on energy efficiency at the laboratories authorised by the trade ministry. Then, producers will send application documents to the trade ministry to be granted energy labels.

The entire process takes around two months, said the energy department.

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Category: Legal