Changes in the HVAC Industry

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It will likely come as no surprise to you that the prices of almost everything have increased. With rising costs of daily household items to groceries, people across the country feel the pinch as the cost of living has skyrocketed. Unfortunately, the HVAC industry is not an exception.

Over the past couple of years, there have been significant price increases in the HVAC industry. This is due to many factors, including raw material costs, fuel and transportation costs, increased labor rates, etc.

With new regulations and efficiency standards, homeowners should expect to see changes in pricing on HVAC-related services. It is important to us at Standard to ensure that our customers are aware of these changes so they can be as prepared as possible. Here are some changes that you should expect.

New Energy Efficiency Standard

The HVAC industry has recently made some significant strides toward sustainability. One result of this initiative has been the new SEER regulations which began on January 1, 2023. SEER stands for Seasonal Energy Efficiency Ratio and is a standard for gauging an air conditioner’s efficiency. SEER2 requires that all HVAC equipment meet the minimum energy efficiency standards, and technicians can no longer install equipment that does not meet these requirements. While newer systems may cost more upfront, long-term energy and efficiency savings will benefit consumers in the long run.

AC Refrigerant Regulations

Next year, the Environmental Protection Agency will likely move to a class of refrigerants called A2L by 2025. To prepare for this transition, manufacturers are redesigning and testing HVAC units needed to support the new refrigerant. This new regulation is likely to also come with cost increases.

Inflation Reduction Act of 2022

The Inflation Reduction Act of 2022 is of great interest to homeowners. This Act was implemented to make homes more energy-efficient and to reduce energy costs. This one is certainly a win-win! New federal income tax credits are providing thousands annually to lower the cost of energy-efficient home upgrades by 30 percent. These financial incentives allow households, regardless of income, to stop energy waste and contribute to a cleaner planet.

Standard’s mission is to provide the BEST customer experience even with these changes. We are constantly working to provide the same service level at a value price point. If you have questions about how these new changes may affect you or would like to schedule your appointment with Standard, call us at (205) 386-4001.

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