R-22 Phase Out & How It Impacts Your Investment
Dear Reiner Customers,
My partners at Reiner asked me to write you this letter explaining how Federal regulations have and will continue to impact the use of HCFC refrigerants (R-22) in the air conditioning industry.
Do a Google search with the phrase “R-22 phase out” and you will get 8,100,000 hits providing a perspective from every conceivable angle on the subject. This letter is not meant to provide advocacy or political views to the situation, rather I want to ensure that Reiner’s customers have the necessary information to make a logical and educated decision with regards to a significant investment in your home or business.
Oscar Wilde is credited with the quote “with age comes wisdom…”. In this case R-22’s invention allowed prior less environmentally friendly refrigerants to be “retired”. The wisdom gained in that innovation has turned the tables on R-22 and brought R-410a into the game. 410a is the new “gold standard” in the air conditioning industry. In fact, 410a invention has allowed some of the recent gains in system efficiency improvements.
Let me provide some “evidence” to convince you how certain Reiner is of the end of the R-22 era. Regulatory mandates have and will force the following production changes:
- 51 million pounds of R-22 was produced in 2014, in 2016 that amount is capped at 18 million (roughly a 65% decrease) by 2020 production must cease.
- New equipment containing R-22 was supposed to cease in 2010. Manufacturers “creatively” used a legislative loophole to continue production until February 2016 with “dry charge” units which use R-22 but are not pre-charged at the factory. There is NO further manufacturing of R-22 based equipment.
- Purchases of new virgin R-22 refrigerant are rationed to contractor, if you can find any.
- Since 2010, R-22 costs have more than tripled. This trend is certain to continue.
- Since 2010, R-410a prices have DECREASED by more than 50%
Now the answers to your obvious question…. What can I do about this? At Reiner we have taken several steps to try and mitigate the impact to our customers. A partial list of our actions:
- Reiner has stocked up on dry charge units. To be clear, when our inventory is gone, this option is also gone.
- Reiner has been re-purchasing our own used R-22 which is filtered, purified and able to be recycled into new equipment. This option not only saves our customers money but is also environmentally conscientious.
- With costs currently at $75/pound any leak repair can easily cost over $500. Reiner’s service tech’s are trained to ensure that our customers are well informed about the cost implications of repairing existing R-22 systems.
- Reiner’s technical engineers can provide a detailed estimate to install a new 410a system while doing a preliminary visual inspection of your existing system and make recommendations based on the age of the equipment.
- Reiner has partnered with vendors that can provide an array of no-interest or low monthly payment options for new equipment. See our website for details.
Thank you for working with Reiner, our goal is to earn your trust and loyalty during these very turbulent times in our industry. If you have any questions, please feel free to visit our website: www.reinerac.com or call me.
Tony Gasparovich, PE
Reiner Group Inc.
201-794-3700 x 319
Below are a few link regarding the R-22 phase out.