ACs to get expensive from July 1; What will change for buyers

If you are planning to buy a new air conditioner, you had better get it right away. This is clearly due to the recently announced energy rating rules for air conditioners. According to the notification from the Office of Energy Efficiency (BEE) on April 19, the energy rating rules for air conditioners will change from July 1, 2021.

The new rule was initially expected to take effect in January 2022. But, at the request of manufacturers, the government offered a six-month grace period for companies to liquidate their inventory. Now let's explain how the rule will affect consumers in the long run.

India's new energy efficiency rating standards require the energy rating of existing air conditioners to be lowered by one star. This means that a 5-star ACs rating will be immediately reduced to 4 stars starting July 1. Due to the new energy efficiency rating guidelines, AC prices in India are expected to increase by 7 to 10 percent in the future, as per a report by the Economic Times. However, the air conditioner manufacturers have not clarified many details about how they will implement these guidelines from next month.

The guidelines also require AC manufacturers to slightly change their model designs. These manufacturers must work to increase the airflow, and the surface area of the copper tubes, and also offer a more efficient compressor to increase energy efficiency.

BEE needs air conditioners available in India to be smarter in energy or electricity consumption and consume less power than older models. Once these changes take effect, the energy rating of all ACs that are manufactured before June 30, 2022, will expire. This means that these ACs will be rated one step lower than they originally were. BEE mentioned in a circular, "Please note that all the existing models are valid only till 30th June 2022 and will expire automatically after the expiry of the validity period." So, new air conditioners manufactured after June 30, 2022, will earn a five-star rating that meets the updated standards.

BEE's notification also highlighted that the new energy efficiency standard will be applicable from July 1, 2022, to December 31, 2024, after which 5-star rated appliances will drop to 4 stars. Once the next rule expires, BEE will likely update the guidelines and bring a new set of rules for these manufacturers.