ESCANABA - Michigan is one of several states now offering a Cash for Clunkers program on appliances as a way to save energy and boost the economy. Local retailers report having success with the program, which offers rebates to consumers who trade in for energy-efficient appliances.
Michigan received $9.5 million from the U.S. Department of Energy to run the Michigan Energy Efficient Appliance Rebate Program (MEEARP) - its version of the Cash for Clunkers program, which started Feb. 10.
Unlike the federally-run Cash For Clunkers program, the appliance rebate programs are state-run, which means there are no uniform rules. Each state decides which appliances will qualify, the size of the rebate, and when the purchase must be made.
Eligible products in Michigan include Energy Star labeled refrigerators, clothes washers, dishwashers, propane condensing water heaters, propane storage water heaters, propane tankless water heaters, solar water heaters, oil furnaces and propane furnaces.
Rebates range from $25 to $100 on clothes washers, dishwashers and refrigerators, and from $100 to $300 on propane water heaters and propane and oil furnaces. Solar water heaters can fetch up to $1,200.
Local retailers say consumers seem to be responding positively to the program and the opportunity for a rebate.
"At least a good 50 percent or more of our customers are asking about it and getting involved in the program," said Dan DeRouin, Pioneer TV & Appliance store manager. "People are happy the government is doing something to compensate for the energy savings."
Sears store manager Keith Boucher reports the store has sold approximately 100 Energy Star appliances since the start of the program.
"I think it's helped put the sales to bed," he said.
Whether the program will boost the appliance market as much as Cash for Clunkers boosted the auto industry, is questionable. Though the rebate incentive does help seal the deal on a sale, said Boucher.
"People aren't coming in just for that, they're coming in for other things and this is just a perk on top of it," he said. "It's definitely helped complete the sales."
Boucher said for customers who are looking to replace an appliance and want to go the energy-efficient route, the appliance rebate program is a win-win.
"It helps on the total purchase of the appliance," he said. "When you think about it, if you're going to replace an appliance, it's a no-brainer."
Obtaining the rebate is a simple process, and many retailers will assist customers in filling out the rebate form. All customers have to do is put a stamp on it and send it in, said Boucher.
The Department of Energy has stated, more than 70 percent of the energy used in our homes is for appliances, refrigeration, space heating, cooling and water heating. Replacing old appliances and equipment with those that are Energy Star labeled can help American families save significantly on their utility bills.
Like energy-efficient vehicles, energy-efficient appliances are usually pricier than those that aren't, but the appliance is paid off in energy savings before long, said Boucher.
"If you buy a new energy-efficient washer, you're going to save 40-60 percent," he said. "If it costs $300, you'll save $25 a month in energy and in one year, you'll have it paid off."
