A proposal by the Environmental Protection Agency that calls for less production of the most-used refrigerant in residential air conditioners in the next couple of years has sent its price soaring as much as 100 percent in a couple of weeks.
The jump has led some area service companies to hold off buying any more cylinders of R-22, sold under brand names including Freon, to see whether prices settle. Even so, companies are limited as to how much they can buy.That's not good news for Texas homeowners, who will switch on their units during the next couple of months and when scorching weather starts to take its toll. Consumers can expect higher R-22 cost to be passed along to them."Yes, it's high," said Randy Walker, an independent heating and air-conditioning contractor in Arlington. "My cost more than doubled last week. I don't know where this is going to go."R-22 is being phased out in the U.S. as part of the federal EPA's ban on ozone-depleting substances. It contains hydrochlorofluorocarbons, which long-standing studies have shown damage the ozone layer and the air. Newer air conditioners use another refrigerant that is not compatible with units made for R-22.R-22's use is expected to be mostly gone by 2020, when production is due to be halted. Millions of homeowners still have air conditioners that use R-22. Convenience and grocery stores also have refrigerators that use it.Supplies and production have been dwindling for several years as part of the reduction program.But in January, the EPA proposed rule changes that call for 2012 allowances to be reduced from about 90 million pounds to 55-80 million pounds. Industry experts say producers are expecting the 55 million figure to be approved. In 2011, 100 million pounds of R-22 were manufactured.Production would decline 11 percent in 2013 and again in 2014 under the EPA's proposal."Unfortunately, until the EPA publishes a final rule, we will not know how deep the eventual cuts will be," DuPont, a leading maker of R-22, says on its website. "The industry must plan for significant reductions."Mike Cudmore, service manager at Hightower in Arlington, said the higher prices result from the EPA proposal."It's a commodity and it's in short supply," he said. "I expected this to happen years ago. It just never did."Prices are said to have risen 500 percent since 2003.Airgas, a nationwide supplier of industrial, medical and specialty gases, won't talk about current R-22 pricing, spokeswoman Nicolette Milholin said.A recent online check of R-22 prices shows them up to $270.50 for a 30-pound cylinder, up in less than a week from $248.50. One website is selling a cylinder of the DuPont brand for $309.Some distributors are limiting purchases to 20 cylinders. Cylinders hold 30 pounds. Residential air conditioners hold 6-15 pounds."I wouldn't be surprised if [the price] tripled," said James Baker, purchasing manager at AirCo in Hurst, an air-conditioning, heating and plumbing company. Baker said he has enough to meet demand for a couple of months.But that's because not many air conditioners are running now. When units are turned on and a leak is discovered, the cost to fill up a system may be shocking. Some companies are recommending that customers change out their systems now rather than continue to pay for repairs and the high R-22 price.Lonny Hull, who owns a service company in Watauga, said the prices may put some homeowners in a bind. Those who have held off replacing leaking parts like evaporator coils that cost as much as $1,500, may have to."They've been telling me to fill it up and they'll get it fixed during the winter months," Hull said. "Those days are about to change."Sandra Baker, 817-390-7727Twitter: @SandraBakerFWSTHave more to add? News tip? Tell us
