Will air conditioner prices go up in 2023?

We hear so much talk about inflation and price increases, and it's usually easy to tune out. But if you think you might be in the market for a new AC system before the end of the year, you'll want to look sooner rather than later. Prices for new air conditioners will increase substantially on the first day of 2023 – and the main reason is NOT inflation.

New SEER2 AC Efficiency Standards For 2023

SEER stands for Seasonal Energy Efficiency Ratio, as measured by the U.S. Department Of Energy. It measures how much energy a system requires to produce cooling. The higher the SEER number, the less electricity an AC unit uses.

What’s different: Testing conditions were updated to more accurately reflect how equipment performs in the field instead of in laboratories. Current SEER testing does not accurately consider how ductwork affects results, for example.

  • SEER2 testing increases a key variable by a factor of five to address this.
  • Current HVAC equipment will have reduced ratings when measured by SEER2 standards. For example, a 15 SEER unit might register at 14.5 in SEER2.
  • Minimum SEER ratings for new equipment installations will increase to SEER 14 for the north region and to SEER 15 for southern states on Jan. 1, 2023.

Why it matters: Prices will increase substantially because manufacturers are redesigning HVAC system components to meet the new requirements before the end of the year.

  • The redesign includes matching components including furnaces, which also must meet new standards, and air handlers. In some cases, additional equipment may be required.
  • Supply, demand and materials cost increases will push up prices as well.

Legal compliance: There are no compliance requirements for consumers, but manufacturers, dealers, and contractors must follow the new standards or face legal penalties.

  • Manufacturers
  • cannot sell to dealers any equipment made to current standards after Dec. 31, 2022.
  • Dealers
  • will be able to sell their inventories as long as equipment is installed on Jan. 1 or later meets 2023 requirements.
  • Calculations
  • must use the “least efficient combination of indoor and outdoor units,” which also is referred to as the “coil only” rating posted on the energy guide on the product. Some current equipment will qualify, and some will not.

There’s Still Time To Save Big Money

A window of opportunity: If your current equipment is running well, you needn’t take any action. But if your AC is struggling or is getting more expensive to maintain, now is the time to act.

  • Manufacturers will be cutting back production of current equipment to avoid getting stuck with it at the end of the year. We have a good inventory now, but due to the unusually hot June, it is selling faster than usual.

Financing: We offer financing – you have a range of financing plans, whether you want to pay off fast or keep monthly payments low over a longer period.

What they’re saying: "I had a new install in the spring through Clark this spring- with quotes from 3 different companies, Clark was the most reasonably priced. They have since been out for routine maintenance for the warranty - all of which has been free (for the first year). The tech is informative, professional, and personable. We will recommend Clark Heating and Cooling to all of our family and friends for their HVAC needs."

Get a free estimate: We will be happy to schedule a free AC System estimate now before these changes go into effect.

gillettehvac.com/request-service/(opens in a new tab)

Heating, ventilation, and air conditioning (HVAC) equipment will take a big step forward in efficiency and eco-friendliness next year in the U.S.

Two significant changes will affect heat pumps and central air conditioners beginning in 2023. Gillette Heating and Air is here to help you navigate those changes in Utah. Our qualified technicians have your back whether you need equipment maintenance, repairs, replacement, or installation. We offer solutions tailored to your unique comfort and budget needs.

What Is Changing?

The U.S. Department of Energy (DOE) will raise the minimum efficiency standards for air-source heat pumps and central air conditioners starting next year. Systems sold in the U.S. beginning Jan. 1, 2023, must meet those minimum standards.

The seasonal energy efficiency ratio (SEER) describes cooling system efficiency. The higher the number, the more efficient the unit is. The number represents the unit’s output during the cooling season divided by the amount of electricity the unit used over that same period.

Currently, the efficiency baseline is 13 SEER for heat pumps and air conditioners installed in homes in the northern half of the U.S. and 14 SEER for equipment in the southern half.

Next year the minimum standard goes to 14 SEER for northern states and 15 SEER for southern states.

Heating Efficiency

The minimum rating for heating efficiency also will increase for air-source heat pumps. The heating seasonal performance factor (HSPF), which describes heat pump efficiency, will increase from 8.2 to 8.8.

The federal government will not require you to replace your older heat pump or air conditioner when the minimum standards change next year. However, if you decide to install new equipment in 2023, you will not be able to buy a 13 SEER model. Your new equipment must be rated 14 SEER at minimum. Your new heat pump also must carry an HSPF rating of 8.8.

How You Can Save Money

According to the U.S. Energy Information Administration (EIA), the new standards will result in huge savings on utility costs for consumers. The agency estimates that households with air conditioners or heat pumps collectively will save $2.5 billion to $12.2 billion over the next 30 years on energy bills.

If your air conditioner or heat pump is older than 15 years, consider upgrading to a high-efficiency model. New equipment offers more energy-saving features, such as two-stage and variable speed compressors and blower motors.

Single-stage compressors, for example, work at capacity all the time.

Two-stage and variable speed compressors operate at lower speeds and use less energy most of the time. They also can run at capacity when the temperature rises.

Our Gillette Heating and Air experts can help you determine which features fit your lifestyle and comfort needs. We are proud to offer Carrier products for your Spanish Fork home. 

New Refrigerants in 2023

The other significant HVAC change in 2023 involves the kind of refrigerant manufacturers will use in all new air conditioners and heat pumps.

Since 2010, residential cooling systems have contained a refrigerant called R-410a, a hydrofluorocarbon (HFC). This refrigerant has high global warming potential and could harm the environment if it leaks from a cooling system. For that reason, the U.S. Environmental Protection Agency (EPA) is phasing down the manufacture and importation of HFCs by 85 percent over the next 15 years.

Beginning next year, new cooling systems will contain a refrigerant with a lower global warming potential. Several manufacturers, including Carrier, will build heat pumps and air conditioners compatible with R-454b. This refrigerant is more environment-friendly than its predecessors but also mildly flammable. We cannot retrofit existing equipment to use the new refrigerant.

Although R-410a will be available for equipment repairs over the next few decades, no new air conditioners or heat pumps will contain R-410a beginning next year.

Purchasing a new cooling system with your preferred refrigerant is all in the timing. If you want a new unit with R-410a, buy it this year. You will start saving money immediately on utility bills by upgrading to a high-efficiency system.

If you prefer R-454b, called Puron Advance in Carrier products, wait until 2023. Our trained professionals can walk you through the pros and cons.

Improve Your Comfort Today

Upgrade the heat pump or air conditioner in your Spanish Fork, UT, home, and start saving money on utility bills. Gillette Heating and Air is ready to help. Call us at 801-465-7760 or request service online.

What is the new refrigerant coming out in 2023?

In 2010 when I started my venture into the HVAC industry, I was coming in during a time of transition. Our industry was changing from systems that had R-22 refrigerant circulating through their lines to R-410a.

What is the future of AC?

Current ACs aren't going to cut it Over the next few decades, the global demand for air conditioning is expected to skyrocket. According to the International Energy Agency, the number of AC units in buildings across the world should reach 5.6 billion by 2050, up from only around 2 billion units today.

What time of the year are air conditioners the cheapest?

When Is the Best Time for Air Conditioner Sales? Especially for central air conditioning sales that require installation by a HVAC professional, the best time to make the call is during fall through spring.

Is it worth getting a new AC?

The Case for Replace If your AC system is more than 10 years old and repair costs are more than half of its value, then sadly it's time to put “Old Yeller” down. Upgrading to a newer AC unit may not be cheap. But you will make that money back and then some in energy savings!