Decarbonization Policies Affecting HVACR
Decarbonization policies are driving significant changes in the heating, ventilation, air conditioning, and refrigeration (HVACR) industry. These policies aim to reduce greenhouse gas emissions and improve energy efficiency, which affects the refrigerants and technologies used in HVACR systems.
Decarbonization Content
ONE MAJOR INITIATIVE IS THE
Phasedown of hydrofluorocarbons (HFCs)
Which are high global warming potential refrigerants. The American Innovation and Manufacturing (AIM) Act, supported by the HVACR industry, mandates a gradual reduction in HFC production and consumption, promoting the use of low-GWP alternatives. This shift is fostering innovation and the development of more environmentally friendly refrigerants and technologies in the industry.
Energy efficiency is another key focus of decarbonization policies.
Governments and industry standards increasingly demand higher energy efficiency in HVACR systems, pushing for the adoption of advanced technologies, better system designs, and smart controls to optimize energy use. Most recently, one of the major efforts to decarbonize the heating sector is the incentives for electrification included in the Inflation Reduction Act. Learn more about the incentives available to consumers through our IRA learning module and toolkit.
Additionally, some states are implementing policies that ban natural gas hookups in new constructions. For instance, Washington State's HB1589, signed into law by Governor Jay Inslee, lays out a framework for transitioning to clean energy, reducing reliance on natural gas. By 2027, large utilities like Puget Sound Energy (PSE) must achieve electrification of end uses currently served by natural gas. States and municipalities implementing similar policies aim to phase out natural gas in favor of electric heating sources.
Such bans on natural gas hookups are part of broader efforts to decarbonize building energy use and promote electrification. These policies can drive up initial costs for homeowners and builders due to the need to switch to electric systems and upgrade infrastructure. While HARDI supports incentives for consumers to switch to heat pumps, our policy is to support technology-neutral laws and protect consumer choice.
Decarbonization policies are reshaping the HVACR industry by promoting low-GWP refrigerants, enhancing energy efficiency, and pushing for electrification, particularly through bans on natural gas hookups in new buildings. These changes are impacting HVACR distributors and the systems they sell.
