Walk into any electronics store in Korea and you’ll see it on every fridge, washer, and air conditioner: a big rainbow sticker on the front. Five arrows sweep from green to red, one of them stamped with a large number, and below that a column of Korean text and figures you’ve never seen before. You’ll spot the same sticker on the side of the wall-mounted air conditioner in your hotel or Airbnb.

It isn’t decoration and it isn’t advertising — it’s a government label required by law. Learn to read it and you can compare two products in 30 seconds at the store; live in Korea and it also explains why your summer electricity bill came out the way it did.

The Short Answer

  • The 1–5 grade sticker is called the Energy Efficiency Rating Label (에너지소비효율등급 라벨). It's a mandatory program running since 1992, and the smaller the number, the less electricity it uses.
  • The colors are fixed: Grade 1 green · Grade 2 light green · Grade 3 yellow · Grade 4 orange · Grade 5 red. This color system has been in place since 2008.
  • A Grade 1 model uses roughly 30–40% less energy than a Grade 5 one — for some products, over 50%.
  • It applies to 42 product categories (excluding cars). Of those, 23 carry the 1–5 grade label, while 17 others — fans, electric stoves, and similar, where efficiency can't really be graded — get a different-shaped label.
  • The grade is a relative ranking, not an absolute performance measure. The criteria are tightened periodically, so yesterday's Grade 1 can become today's Grade 3. That's why it's more accurate to compare the monthly energy consumption figure (kWh) than the grade number itself.
1992yr
The year the energy efficiency grade labeling program began
42 categories
Product categories subject to minimum efficiency standards (excluding cars)
30–40%
Energy a Grade 1 product saves versus Grade 5 (Korea Energy Agency)
₩20M
Maximum fine for producing or selling a product below minimum efficiency

What exactly is written on this sticker?

The label is a semicircle-plus-rectangle, 7 cm wide by 9.5 cm tall. It took its current shape in July 2016, in a redesign that made it bigger to put the thing shoppers care about most — money — front and center.

The top semicircle holds five arrows running from green to red, and only the arrow for the product’s grade carries a large number. The rectangle below lists the following, in order.

🏷️ What's printed on the Energy Efficiency Rating Label

FieldKorean wordingWhat it means
Efficiency grade1~5등급Color + number. 1 is the most efficient
Energy consumption월소비전력량 (kWh/month) or cooling efficiencyThe single most useful number for comparing products
Annual energy cost연간에너지비용 ○○○원Estimated one-year electricity cost under standard conditions
CO₂ emissionsCO₂ 배출량 g/hour, etc.Mandatory worldwide-first disclosure since 2009
Product detailscapacity, cooling capacity, etc.So you compare products of the same size class
Legal basis & effective date에너지이용합리화법 (Energy Use Rationalization Act)Which standard it was measured against

How to compare in 30 seconds at the store

  • First, line up products with similar capacity / cooling capacity from the product-details field. Comparing a 400L fridge's grade against an 800L fridge's is meaningless.
  • Then look only at the monthly energy consumption (kWh) figure. Even two Grade 1 products differ on this number.
  • Treat the annual energy cost as a rough reference. Korea's electricity pricing is progressive, so the real bill depends on your usage tier.

Is buying Grade 1 always a win?

No. This is the point Koreans themselves get confused about every summer.

Take air conditioners. Market data suggests that for a typical 18-pyeong (about 60 m²) model, the annual electricity-bill difference between Grade 1 and Grade 2 is roughly ₩50,000–60,000 — while the retail price gap between comparable units often runs into the hundreds of thousands of won. Do the simple math and recovering that difference through lower bills takes about 10 years.

The real question is "how long and how often do you run it?" A refrigerator or kimchi refrigerator runs 24/7, so the grade difference compounds every year and Grade 1 pays off. An air conditioner you only use for two or three summer months has far shorter running hours, so the payback period stretches out. In the government's 2025 rebate program, the most-claimed product was actually not the air conditioner but the refrigerator, followed by drum washing machines → kimchi refrigerators → TVs → clothes dryers.

In short:

⚖️ By product — is Grade 1 worth paying more for?

ProductUsage patternGrade 1 premium
Refrigerators & kimchi fridges24/7 year-roundBig. The surest investment
Clothes dryers3–5×/week, heavy per-use drawBig
Air conditionersConcentrated over 2–3 summer monthsDepends on your usage hours
Washing machines3–5×/weekMedium
TVs2–4 hours/daySmall. Screen size matters more
Air purifiers & dehumidifiersHighly seasonal/variableMedium

Why are Grade 1 air conditioners so hard to find lately?

Every few years, Korean news runs a story along the lines of “not a single Grade 1 model among the 100+ air conditioners released this year.” The products didn’t get worse — the measurement standard changed.

The system is designed like this: as technology improves and the Grade 1 share climbs toward half the market, the government re-tightens the grading criteria to shrink the Grade 1 share back to around 10%. Overnight, yesterday’s Grade 2 performance becomes today’s Grade 3. Confusing for shoppers, but it’s a device to keep manufacturers competing on technology.

So keep this in mind

The grade label is a set of relative coordinates telling you "where this product sits in the Korean market right now." A Grade 1 air conditioner bought in 2019 and a Grade 1 bought in 2026 passed different test standards. That's why, when buying a used appliance, you should check the manufacture date and the grade together.

This relative grading has its critics. Because the Grade 1 share varies wildly by category, some argue it’s unfair. Air purifiers and refrigerators, for instance, had very different Grade 1 shares, and there were stretches when large TVs had no Grade 1 models at all. Critics also point to blind spots: power-hungry products like desktop computers and servers sat entirely outside the system.


Which products carry it — and why do fans have no grade?

There are 42 legally covered product categories. But not all of them get the 1–5 grade label. Only 23 carry the grade label; the rest get a separate, grade-less label.

❄️
Air conditioners & heat-pump units
The label travelers meet most often at their accommodation, stuck to the side of wall-mounted and floor-standing units.
🧊
Refrigerators & kimchi refrigerators
24/7 operation means the grade matters most here. The kimchi fridge is a Korea-only category.
🌀
Washing machines & dryers
Dryers draw heavy power per cycle, so the grade shows up immediately in your bill.
📺
Televisions
The bigger the screen, the harder it is to earn a top grade.
🍚
Electric rice cookers
With long "keep warm" hours, a surprisingly heavy power consumer in Korean homes.
🪟
Window sets
Not an appliance but window glass and frames. The grade shows up in apartment sales ads.

📋 Which products get the 1–5 grade label vs. not

GroupRepresentative products
23 with the grade label (1–5)Refrigerators, kimchi refrigerators, air conditioners, heat-pump (cooling/heating) units, washing machines, clothes dryers, dishwashers, dehumidifiers, air purifiers, electric rice cookers, vacuum cleaners, televisions, electric ranges, home gas boilers, gas water heaters, window sets, multi-type electric heat-pump systems, commercial refrigerators, and more
17 with a separate, grade-less labelElectric fans, incandescent bulbs, fluorescent lamps, self-ballasted lamps, three-phase induction motors, adapters/chargers, transformers, electric fan heaters, electric stoves, set-top boxes, monitors, computers, freezers, air compressors, pumps, signage displays, garment care machines

Why space heaters have no grade

Devices that make heat by electrical resistance — electric stoves, fan heaters — turn almost all their power draw into heat. Efficiency converges on essentially 100%, so you can't rank them on a scale. Instead, only the minimum efficiency standard applies. By contrast, heat-pump devices (air conditioners, reverse-cycle units) put 1 unit of electricity in and move 3–5 units of heat, so efficiency gaps widen dramatically — which is why they carry a grade.


Why does a traveler see this sticker?

On a trip around Korea you’ll meet this label in three places.

1. Your room’s air conditioner. Stuck to the side of the wall unit or the outdoor unit in hotels, guesthouses, and Airbnbs. If the number is 4–5 (orange/red) and the manufacture date is old, it’s generally safe to assume the room takes a while to cool down in summer. On a long stay — a month or more — where electricity is billed separately, it becomes genuinely useful information.

2. Appliance stores. Hi-mart, ET Land, department-store appliance corners, Yongsan Electronics Market — it’s mandatory on every product everywhere. It’s a more honest comparison tool than the price tag on the shelf.

3. Apartment and officetel sales ads, and real-estate listings. Because window sets are a covered product, “Grade 1 windows” gets used as a marketing phrase. If you’re house-hunting in Korea, window grades tie directly to your winter heating bill.

If you're thinking of taking an appliance overseas

  • Korea runs on 220V 60Hz. Even in 220V 50Hz countries, products with motors or compressors (fridges, washers, air conditioners) can have problems from the frequency difference.
  • In 110V countries, big appliances are basically not recommended even with a transformer.
  • The grade label is efficiency information under Korean test standards only — it doesn't guarantee overseas compatibility or after-sales service.
  • For small appliances (hair dryers, rice cookers, beauty devices), check the rated voltage and frequency printed on the back before buying.

If you live in Korea — read it together with the progressive tariff

You can’t predict an electricity bill from the grade label alone, because Korea’s residential pricing is progressive: the more you use, the higher the unit rate.

⚡ Residential low-voltage energy rates (Korea Electric Power Corporation)

TierStandard monthsJul–Aug summerApprox. unit rate
Tier 1up to 200kWhup to 300kWh≈ ₩120/kWh
Tier 2201–400kWh301–450kWh≈ ₩214/kWh
Tier 3over 400kWhover 450kWh≈ ₩307/kWh
Super-userover 1,000kWh≈ ₩736/kWh

Adding the same 100kWh costs about ₩12,000 inside Tier 1 but over ₩30,000 once you cross into Tier 3. The moment the energy grade’s value shows up most is exactly at these tier boundaries — whether a Grade 5 air conditioner pushes you into Tier 3, or a Grade 1 keeps you in Tier 2, multiplies your savings several times over.

For a sense of scale: swapping a refrigerator from Grade 5 to Grade 1 can save 30–45% of its electricity, a widely cited figure that works out to roughly ₩35,000 a year. For air conditioners, there are reported cases of a 100–120 kWh monthly consumption gap between Grade 1 and Grade 3, which translates to ₩6,000–25,000 per month depending on the tariff tier.

Telling it apart from the other similar-looking marks

Korean appliances carry several labels. Here are the three people most often mix up.

🔖 Three energy-related marks on Korean appliances

MarkOfficial nameTypeWhat it certifies
Rainbow arrows + numberEnergy Efficiency Rating LabelMandatoryThe product’s efficiency rank within its category (1–5)
Blue energy-saving markStandby Power Reduction program (Energy-Saving Mark)VoluntaryLow standby power drain when switched off
High-efficiency equipment markHigh-Efficiency Energy Equipment CertificationVoluntaryGovernment-certified efficiency above ordinary products (mostly industrial/building)

The KC mark is a safety certification, unrelated to energy — that’s a separate story. Electrical goods sold in Korea carry the KC mark independently.


Grade 1 purchases have sometimes come with cash back

The Korean government has periodically run cash-rebate programs for Grade 1 appliances. The most recent large-scale one was the Best-Efficiency Home Appliance Rebate Program.

10%
Rebate rate on the purchase price (₩300,000 cap per person)
1.85M claims
Rebates actually paid out (₩234.8 billion)
48.3GWh
Estimated annual electricity saved — roughly the usage of 12,861 four-person households

A 2025 supplementary budget of ₩267.1 billion funded rebates of 10% of the purchase price for the top-efficiency-grade products in 11 categories — TVs, refrigerators, air conditioners, washing machines, and more — bought between July 4 and December 31, 2025, with applications closing on January 16, 2026. A notable feature this round was that appliance rentals (subscriptions) were also eligible.

Can I still apply now?

That program has ended. Separate tracks for vulnerable households and small-business high-efficiency equipment support are sometimes run with their own budgets, and the government tends to reshuffle and reopen similar programs every year. The accurate move at purchase time is to check Korea Energy Agency notices and KEPCO's efficiency-improvement program pages. Most programs target Korean residents and businesses — short-term visitors are not eligible.


The whole thing on one page

How to read the label, in order

  • Color and number → green Grade 1 is the most efficient, red Grade 5 is the least
  • Capacity / cooling capacity → check you're comparing the same size class first. Comparing grades across size classes is meaningless
  • Monthly energy consumption (kWh) → this is the number to actually compare. Even two Grade 1s differ
  • Annual energy cost → reference only. Progressive pricing means it can differ from your real bill
  • Manufacture date → the standard changes, so an old Grade 1 is not today's Grade 1

Sources