R22 is commonly used in AC systems pre-dating 2004 and its ban will have a major effect on air conditioning costs. From 1st Jan 2015, EC Regulations made it unlawful for anyone to top up an conditioning system with an R22 refrigerant gas. The refrigerant gas in your Air Conditioning system is pressurised so if it is using R22 and a leak occurs then your system will fail and be rendered unserviceable.
R22 Phase out what this means for you…
Firstly you need to establish if your Air Conditioning, Chiller’s or refrigeration plant use R22 refrigerant Does my system use R22? this may be recorded on the AC Compressor manufacturer plate or the buildings asset register if you are unsure then we can advise or carryout a site visit.
R22 Your Options
If your system(s) are running on R22 then you have the following options:
R22 phase out Option 1: Do Nothing
If you are considering doing nothing to your system you should consider its purpose and its function within the business, we advise clients to upgrade or replace strategic systems that are important to business functions (server rooms, refrigeration etc). If a systems function is critical then this option should not be adopted as failure will have a serious impact. If you leave these R22 systems and they break down or it leaks refrigerant gas it cannot be repaired and you will be faced with either of the following options.
R22 phase out Option 2: Conversion
In some cases it may be possible to convert your system using a drop-in refrigerant, if your equipment is well maintained and hasn’t been previously converted, converting your system could be a solution. However you need to consider the age of the system as the mechanical nature of air conditioning systems mean that their functional performance deteriorates with age.This leads to loss of efficiency and increased running costs that could end up costing you more than the long term savings of the new energy efficient air conditioning system running on R410A for example.
R22 phase out Option 3: Replace
It is quite likely that the systems under review using R22 refrigerant are around 10 to 15 years old so replacement is the best option to consider. However this can present a major capitol outlay and with limited time to meet the phase out deadline be a real problem.
Project Skills Solutions can offer a range of lease purchase options to spread the cost of your replacement equipment over 2, 3 or 5 years.
Immediate Acquisition of Equipment Acquire the equipment that is needed now, not when the cost meets capital budgeting requirements;
Conserve Working Capital The additional leasing facility will release valuable working capital for alternative projects within the business;
Tax Advantages 100% of all rentals paid can be offset against the corporate tax liability of the company;
Planned Budgeting Payments are fixed and structured to compliment the budgetary requirements of the company;
Upgrading Equipment Leasing affords the opportunity to upgrade or settle the agreement at any time throughout the period of the lease;
Protect Existing Lines of Credit Use leasing as an alternative to your existing funding facilities and protect established lines of credit.
Additionally our engineers can also recommend the latest energy efficient equipment that will not only help reduce your companies effect on the environment but can also save a huge amount on your energy bills (often the cost savings with new efficient systems offset the install within an estimated 3-4 years). A further consideration is how many changes to the buildings layout have taken place since the system was installed, building use, changes layout and headcount can all be effecting the cooling and heating requirements. A new system can be designed to accommodate these changes.
Act Now and we can help you plan the Air Conditioning R22 phase out
- Free site survey, our engineers can advise on conversion and replacement options.
- Review, plan and run your complete R22 phase out including removal and recycling of all materials.
- Design and install the new systems to meet your requirements
- Discuss and provide lease purchase options.