Must Read – Important Regulation Changes for HVAC Systems

If you have an older HVAC system that may fail and need replacement in the next 6-12 months, it is critical that you read this article. There are huge changes coming at the end of 2024 leading into mandated changes for Jan 1, 2025. In summary, we recommend not waiting until 2025 if you might need a new system. Continue reading for details. 

What’s Changing?

It has long been understood that refrigerants released into the atmosphere (where they inevitably end up) are a major contributor to climate change. Governments across the world have been working to minimize this impact by improving efficiency standards, but also by moving away from the most harmful refrigerants. The first move began about 15 years ago (became official in the US on 1/1/13) with the transition of R22 (Freon) to R410a (Puron). This change happened relatively gradually and at least in hindsight didn’t cause any major disruptions.

Beginning January 1, 2025 all newly manufactured systems will use “A2L” refrigerant, which is a classification that is mildly flammable, mildly toxic, and has low impact on global warming. This change is happening rapidly over the last quarter of 2024. This isn’t just about filling the existing systems with new refrigerant. The new refrigerant requires a significant redesign in the equipment.

So What’s Wrong?

What’s wrong is the supply chain has barely recovered from Covid era challenges, and some might say it still hasn’t. Over the last 4 years the HVAC industry has experienced limited supply of equipment and components and a noticeable degradation in quality. 

Now the supply chain is having to adapt to a wholesale redesign of products to use the new refrigerant including new equipment and components, tools, and even workforce training. The industry will adapt within a year, but it’s already getting messy.

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Here are a few reasons not to wait until your system breaks down to replace it.

Drawbacks to Waiting for the New A2L Standard

1. Increased Pricing – The new equipment cost manufacturers a lot of money to reengineer and produce. On top of that new requirements include additional sensors and complications. We have not received pricing yet on the new systems but all indications are that it will be at least 15-20% more expensive to the homeowner. 
2. Reduced Tax Incentives – There is speculation that the huge tax incentives (up to $2,000) may be canceled in 2025. That’s all we know right now.
3. Equipment Shortages – As manufacturers and suppliers convert to the new standard we are already seeing equipment and parts shortages. This will get much worse before it gets better. Our suppliers have told us they won’t begin shipping the new equipment until all the old equipment is substantially sold. This means as we get later into 4th quarter and well into 2025, you might not be able to get the parts or equipment you want. In a worst case scenario we might not have the parts or equipment to provide heating or cooling in your home.
4. Repair Part Availability – Just because you buy a new system, it doesn’t mean it won’t need any parts. In fact the new equipment is likely to be less reliable initially than the previous generation. We anticipate that until the repair parts catch up with the new equipment, getting repair parts will be extremely difficult.
5. Untested Equipment – Everyone knows you don’t want the first model year of a new car. I think it’s safe to say you don’t want the first few months of the new equipment either. New production lines, new training, new sensors. We recommend letting the issues shake out if you can help it.
6. Higher Complexity – The new systems require new sensors and other electronic changes to meet the new standards. More parts = more opportunities for failure.
7. Inexperienced Labor – The HVAC industry is an aging industry. There are already significant shortages of skilled field workers in the industry. A new standard requires training and experience that doesn’t happen overnight. 

Conclusion

It’s probably safe to say after reading all the negatives to waiting for new equipment, if you think your equipment may fail soon there’s not a lot of upside to waiting even if all you care about is the cost. If you have additional questions or concerns about the upcoming transition and your options we’re here to help. Call 919-Monster or contact us.