Energy Efficient
Check List

ENERGYGUIDE labels can save money. Although many energy-efficient products are more expensive to purchase, these products will cost less to operate over the lifetime of the appliance. Consider the following example of comparing labels when shopping for a refrigerator. These steps will calculate how long it will take for the more expensive and energy-efficient refrigerator to pay for itself. Model A’s purchase price is $775 and costs $100 per year to operate. Model B’s purchase price is $600 and costs $150 per year to operate. 
1. Subtract the purchase price of the cheaper refrigerator (B) from the price of the costlier model (A): $775 - $600 = $175. 
2. Subtract the lower annual operating cost ($100) from the higher ($150): $150 - $100 = $50. 
3. Divide the difference in purchase price (Step 1) by the difference in the annual operating expense (Step 2) to come up with the number of years it will take Model A to recoup the difference in the initial purchase price: $175 / $50 = 3.5 years. 
In just a little over three years, Model A, the more efficient refrigerator, will cancel out the difference in the original price in energy savings. And at a savings of $50 per year in operating expenses (Step 2), $750 will be saved over the 15-year life of the refrigerator! Since Model B is $175 cheaper than Model A, subtract that from the $750 energy savings to find out how much will be saved with Model A — it’s still $575 over the lifetime of the appliance.