On October 20, 2020, the California Air Resources Board (CARB) staff released their Initial Statement of Reasons (ISOR) regarding California’s proposed limits on the use of HFC refrigerants in commercial refrigeration larger than 50 pounds and stationary air-conditioning. The ISOR included the following proposals:
- Commercial Refrigeration: All new facilities installing commercial refrigeration with more than 50lbs of refrigerant must transition to a refrigerant below 150 GWP starting on January 1, 2022. Existing facilities must reduce their GHG potential or their weighted average GWP as they retrofit existing facilities.
- Stationary air-conditioning: Ban on sale of air-conditioning equipment using refrigerant greater than 750 GWP manufactured after January 1, 2023. For manufacturers that cannot meet the 2023 date, an alternate compliance option is being considered that would allow manufacturers a two-year delay to develop equipment using refrigerants below 750 GWP. To offset this delay, manufacturers will need offset the initial charge of equipment using refrigerant higher than 750 GWP and any lifetime service charge within 5 years. Additionally, manufacturers will be required to show a contractual agreement to ensure reclaimed refrigerant is entering the market. CARB will require a third-party verification of these activities.
The alternative compliance option is similar to proposals from the industry to delay the implementation date for stationary AC. HARDI is waiting for additional information on the alternative compliance option to be released to determine the impact on California distributors.
View the public hearing notice and ISOR on CARB’s HFC rulemaking page.
We will continue to update you as we receive more information. Please reach out to Alex Ayers with any questions.