As summer simmers, AC sales boom rising environmental, economic concerns

Mumbai: As scorching temperatures continue to plague India, the demand for air conditioners (ACs) has skyrocketed, providing relief for millions but exacerbating climate concerns. The surge in AC sales reflects the increasing incomes and rising temperatures in populous countries like India, China, Indonesia, and the Philippines.

However, the reliance on ACs poses a significant threat to the environment due to the harmful coolants used and the energy inefficiency of the units.

In recent weeks, the sweltering heat in India has pushed the limits of human survival, resulting in numerous deaths, overcrowded hospitals treating heatstroke symptoms, and the closure of hundreds of schools. With temperatures expected to reach a scorching 45°C (113°F) across the northern plains this weekend, the urgency for a cooling solution is paramount.

Economists have identified a tipping point in AC sales when annual household incomes are near $10,000.

According to a Bloomberg report, many of the world's hottest regions, including the Philippines and Indonesia, have already reached this threshold, while India is expected to surpass it this year.

Access to ACs is seen as a path out of poverty, improving public health, well-being, and economic productivity. Hotter countries, often the poorest ones, face challenges such as sleep deprivation and impaired cognitive performance due to extreme heat, which in turn affect productivity.

However, the rapid expansion of AC coverage presents a double-edged sword. Most AC units currently rely on refrigerants that are significantly more harmful to the environment than carbon dioxide. Additionally, the countries experiencing the highest demand for ACs are heavily dependent on coal-fired power, exacerbating the carbon footprint.

To combat these challenges, wealthier countries have implemented stricter regulations on ACs, focusing on improving energy efficiency and reducing the use of toxic coolants. While these measures contribute to public health and environmental preservation, they often make AC units less affordable in regions where economic considerations are paramount.

As the demand for ACs continues to rise, cooling companies are striving to improve energy efficiency without pricing out their largest markets. G-20 nations, including India, have introduced labelling systems to rate AC efficiency, resulting in a 15% reduction in energy use from appliances in recent years.