The refrigeration landscape is undergoing a shift, driven by the phasedown of hydrofluorocarbons (HFCs) under the American Innovation and Manufacturing (AIM) Act. These changes aim to reduce greenhouse gas emissions and transition the industry to more sustainable technologies. Here’s a breakdown of the key updates and their implications.
The AIM Act: Driving the Change
Enacted in December 2020, the AIM Act empowers the Environmental Protection Agency (EPA) to phase down HFC production and consumption. HFCs, widely used in refrigeration and air conditioning systems, are greenhouse gases with global warming potentials (GWPs). The phasedown aligns with global climate initiatives and includes:
- Reducing HFC production and consumption to 30% of historical baseline levels by 2029.
- Introducing sector-based restrictions in the coming years to encourage the adoption of lower-GWP substitutes.
Key Compliance Dates and Sector-Specific Changes
2025: Packaged Refrigeration Products and Self-Contained Units
Starting January 1, 2025, packaged products—functional upon leaving the factory—must meet GWP limits. Key examples include:
- Retail food refrigeration (stand-alone units): Capped at a GWP of 150.
2026: Individual Systems and Cold Storage Warehouses
For field-assembled systems and large-scale operations:
- Cold storage warehouses and retail with remote condensing units
- Systems with a refrigerant charge of 200 pounds or more must use refrigerants with a GWP of 150 or lower.
- Smaller systems (less than 200 pounds) have a limit of 300 GWP.
- Industrial process refrigeration: Different GWP limits apply based on refrigerant temperatures entering the evaporator, with some systems capped at 150, 300 or 700 GWP.
Legacy Systems: Maintenance vs. New Installation
While the new regulations focus on transitioning to sustainable technologies, they allow continued use and servicing of existing systems. This distinction ensures minimal disruption.
Legacy systems: Existing systems can be repaired and maintained using compatible components. The EPA defines maintenance of legacy systems as follows:
- Replacing less than 75% of evaporators (by number)
- Replacing less than 100% of the compressor racks, condensers and connected evaporator loads of an existing system.
Systems requiring replacement of more than the allowed amount will need to comply with the updated GWP limits in a new system.
Looking Ahead
The refrigeration industry is entering a new era of sustainability, driven by the AIM Act’s phasedown of HFCs. These changes, taking effect between 2025 and 2028, mark a step toward mitigating climate change while fostering innovation in refrigerant technologies. By transitioning to lower-GWP alternatives, the industry can align with global environmental goals and provide long-term benefits for businesses and consumers alike.
Experts Ready to Assist
As the industry-leading manufacturer of insulated panel systems, KPS Global is prepared to meet the latest refrigeration regulations, ensuring full compliance with EPA standards. With our deep industry expertise and commitment to innovation, we provide solutions that align with the latest requirements while supporting your operational goals. Contact us today to learn how we can help you navigate these changes with confidence.