CLIMATE LEGISLATION AND ITS IMPACT ON NEW YORK CITY BUSINESSES

Climate legislation has become a central issue in recent years, with environmental protection taking center stage. As natural disasters make headlines, it is clear that businesses must adapt to the changing landscape. For companies in New York City, particularly in industries like commercial real estate management, healthcare, data centers, and financial sectors, adapting to these changes starts with making informed decisions about HVAC systems and energy solutions.

What to Know About the Refrigerant Phasedown and Its Impact on NYC Businesses

In 2020, the AIM Act was passed to phase out hydrofluorocarbons (HFCs), a potent greenhouse gas commonly used in refrigeration and air conditioning systems. This legislation affects companies across industries, from commercial office spaces to healthcare facilities, which rely on HVAC systems for efficient climate control. The move to phase out HFCs is part of a global effort to mitigate climate change, aiming to reduce HFC production and consumption by 80-85% by 2047. For New York City businesses, aligning with these changes will not only reduce their environmental impact but also enhance operational efficiency.

REFRIGERANT R-454B: A NEW ALTERNATIVE FOR NYC BUSINESSES

As part of the transition, R-454B is being recommended as the new refrigerant for HVAC systems. R-454B is a mix of R-1234yf, a hydrofluoroolefin (HFO), and R-32, a hydrofluorocarbon (HFC). This refrigerant offers a lower Global Warming Potential (GWP) alternative to traditional refrigerants like R-410A.

Benefits of R-454B for NYC Businesses:

A GWP of 466, which is 78% lower than R-410A’s GWP

Improved energy efficiency

compared to R-410A, leading to lower operational costs.

Decreased energy bills

and reduced carbon footprint, resulting in cost savings and more sustainable operations.

For businesses in industries like healthcare, media, financial services, and education, these benefits translate into long-term sustainability, financial savings, and a smaller environmental footprint.

HOW THE SWITCH TO R-454B BENEFITS DONNELLY’S CLIENTS

Increased sustainability:

As more businesses prioritize environmental responsibility, switching to R-454B aligns with corporate sustainability goals and climate legislation compliance.

Environmentally-friendly:

With no ozone depletion potential (ODP), R-454B is safer for the environment, helping businesses minimize their ecological impact.

Cost-effective:

Improved energy efficiency means businesses can lower their operational expenses, creating significant savings that can be reinvested into other areas of operations.

What Businesses Should Consider When Making the Switch

For facility managers and business owners, the transition to R-454B will require some important considerations. Donnelly Mechanical ensures that every client is guided smoothly through this change by focusing on their unique needs. It’s important to understand that while older HVAC equipment can still be used with R-454B, upgrading certain components such as coils will likely be necessary to fully optimize systems.

Additionally, the phasedown is still evolving, meaning regulations around the use of R-454B are not yet fully established. Businesses should be prepared for some flexibility in purchasing and implementing new systems, including the ability to purchase components separately rather than complete systems.

Are Certifications Changing for HVAC Technicians?

As part of this transition, technicians working on R-454B systems will need to be EPA-certified. Donnelly Mechanical’s technicians undergo rigorous training to stay up-to-date with the latest certifications, safety protocols, and technology changes. Through our training programs, we ensure that HVAC systems are serviced and maintained with the utmost care and expertise.

For businesses in industries such as commercial real estate, healthcare, or data centers, working with Donnelly Mechanical means that your HVAC systems are being handled by trained professionals who understand the specific needs of your facility. Whether you operate in a financial institution or a medical center, we offer tailored service solutions to minimize disruption and maximize efficiency.

WHY NEW YORK CITY BUSINESSES NEED TO STAY INFORMED

As climate regulations continue to evolve, it is essential for New York City businesses to stay informed about the latest refrigerant technology and environmental regulations. By switching to R-454B and working with experienced HVAC professionals, businesses can help reduce their carbon footprint while improving operational efficiency. Donnelly Mechanical is here to guide clients through the changing landscape, providing innovative solutions that ensure their HVAC systems perform optimally and meet new environmental standards.

01

Further Reduction of HFCs

The EPA is reducing hydrofluorocarbon (HFC) production and consumption by 40% below baseline levels starting in 2024 and will continue tightening restrictions.

The next major reduction phase happens in 2029, reaching a 70% reduction.

02

Impact on HVAC Refrigerants

Common refrigerants like R-410A, R-134a, and R-407C will see increasing costs and limited availability.

Newer low-GWP (Global Warming Potential) alternatives such as R-32, R-454B, and R-1234yf are gaining traction.

03

Equipment Transition to Low-GWP Refrigerants

New HVAC systems are being designed to use A2L refrigerants (mildly flammable, requiring safety considerations).

Retrofitting older systems may not always be viable; in some cases, full system replacement is needed.

04

Maintenance and Servicing Impacts

Refrigerant costs will rise as supply tightens.

Refrigerant recycling and reclamation will become more critical for servicing older units.

Technicians need training on handling A2L refrigerants due to their flammability.

05

Compliance and Regulations

The EPA’s Technology Transition Rule is phasing out high-GWP refrigerants in new equipment by 2025-2026.

States with stricter rules (e.g., California, New York) may require compliance ahead of federal timelines.

Action Plan for Facility Managers

  • Audit existing HVAC equipment to identify systems using phased-out refrigerants.
  • Budget for potential upgrades or replacements to comply with new standards.
  • Ensure HVAC contractors are certified in handling newer refrigerants.
  • Develop a refrigerant management plan (tracking usage, leakage, and reclamation).
  • Stay updated on state and federal regulations for compliance.

For more information on the phasedown, call Donnelly today!

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