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FUTURE TRENDS – RECYCLING - REFRIGERANTS
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I have said in “The Race Continues” post of July 2016:
The race downhill between decreasing economic activity and decreasing oil and gas production
continues with decreasing economic activity in the lead. Next phase is stock market collapse
with substantial debt destruction. For the petrochemical and oil & gas industries, the result will
be increasing consolidation and bankruptcies.
Within six years it will be clear that the tight oil-shale gas revolution was no revolution but a
transition period. Energy conservation will become the primary concern of industry as the
survivors become caught in a vise between decreasing sales and increasing energy costs.
Waiting until then to respond will be fatal.
The Federal Reserve kept the stock market from crashing by delaying the measly 25 basis point
hike until Trump was elected. The Trump rally resulted from the latest injection of Hope laced
with Delusion into the desperate middle class and future Wall Street dinosaurs. That “trip” is now
over and the inevitable path to some type of economic disaster is resuming like the Titanic
headed for the iceberg.
The ultimate result will be a demolition derby of the petrochemical industry with most of the
destruction initially occurring in the upstream sector inhabited by hopeless tight oil and shale gas
ventures. How fast this destruction transpires depends on when the economic reset happens,
but it will happen early in Trump’s administration. What happens after that is a big question
mark. He may delay the transition yet again by placing Uncle Sammy in even more debt, which
could be the final slap in the head to the old man.
Regardless of what happens. The traditional petrochemical industry is on its way out. The Baby
Boomer Generation that propped it up for so long has blown both its ballooning credit account
and its hefty “allowance” from Mother Nature. This extremely fortunate generation’s influence will
continue to wane with Trump’s administration destroying the “Golden Calf” once and for all; then
“Moses” returns and it’s on to the new land, the land of less and more expensive. The X-
Generation has neither the same financial strength nor the same low cost oil and gas to power
up another “Enterprise”. This won’t be a journey to where “no man has gone before”. It will be
another long forgotten history lesson. The Millennial Generation will inherit “The Future”, and a
whole new economic playing field will be created.
What we will see develop slowly over the next ten years is a transitional state fostering “The
Future”. The younger businessmen and women will see the past failing and start looking for
ways to survive in “The Future”. One of the trends which has been in progress but again delayed
since 2009 by the Shale Gas Ponzi Scheme is the recycling movement.
During the next several years, some areas of the recycling movement will expand with
eventually all areas expanding to create the fastest growing industry in the transitional phase.
One of those areas is recycling refrigerants.
FUTURE TRENDS – RECYCLING - REFRIGERANTS
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Recycling and reclaiming refrigerants isn’t a new business. It has been ongoing since the early
1990s.
From Wikipedia:
The Montreal Protocol on Substances that Deplete the Ozone Layer (a protocol to
the Vienna Convention for the Protection of the Ozone Layer) is an international treaty designed
to protect the ozone layer by phasing out the production of numerous substances that are
responsible for ozone depletion. It was agreed on 26 August 1987, and entered into force on 26
August 1989, followed by a first meeting in Helsinki, May 1989. Since then, it has undergone
eight revisions, in 1990 (London), 1991 (Nairobi), 1992 (Copenhagen), 1993 (Bangkok), 1995
(Vienna), 1997 (Montreal), 1998 (Australia), 1999 (Beijing) and 2016 (Kigali), adopted, but not in
force)…
The two ozone treaties have been ratified by 197 parties, which includes 196 states and the
European Union, making them the first universally ratified treaties in United Nations history.
The treaty is structured around several groups of halogenated hydrocarbons that deplete
stratospheric ozone. All of the ozone depleting substances controlled by the Montreal Protocol
contain either chlorine or bromine (substances containing only fluorine do not harm the ozone
layer). Some ozone-depleting substances (ODSs) are not yet controlled by the Montreal
Protocol, including nitrous oxide (N2O) For a table of ozone-depleting substances controlled by
the Montreal Protocol see:
For each group of ODSs, the treaty provides a timetable on which the production of those
substances must be shot out and eventually eliminated.
The first step was to eliminate the production of chlorofluorocarbons, which had been in use
since the 1930s. From Wikipedia:
In 1930, General Motors and DuPont formed Kinetic Chemicals to produce Freon. Their product
was dichlorodifluoromethane and is now designated "Freon-12", "R-12", or "CFC-12". The
number after the R is a refrigerant class number developed by DuPont to systematically identify
single halogenated hydrocarbons, as well as other refrigerants besides halocarbons.
Chlorofluorocarbons (CFCs) Phase-out Management Plan
The stated purpose of the treaty is that the signatory states
"Recognizing that worldwide emissions of certain substances can significantly deplete and
otherwise modify the ozone layer in a manner that is likely to result in adverse effects on human
health and the environment. Determined to protect the ozone layer by taking precautionary
measures to control equitably total global emissions of substances that deplete it with the
ultimate objective of their elimination on the basis of developments in scientific knowledge"
FUTURE TRENDS – RECYCLING - REFRIGERANTS
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"Acknowledging that special provision is required to meet the needs of developing countries"
shall accept a series of stepped limits on CFC use and production, including:
from 1991 to 1992 its levels of consumption and production of the controlled substances in
Group I of Annex A do not exceed 150 percent of its calculated levels of production and
consumption of those substances in 1986;
from 1994 its calculated level of consumption and production of the controlled substances in
Group I of Annex A does not exceed, annually, twenty-five percent of its calculated level of
consumption and production in 1986.
from 1996 its calculated level of consumption and production of the controlled substances in
Group I of Annex A does not exceed zero.
There was a faster phase-out of halon-1211, -2402, -1301, There was a slower phase-out (to
zero by 2010) of other substances (halon 1211, 1301, 2402; CFCs 13, 111, 112, etc and some
chemicals were given individual attention (Carbon tetrachloride; 1,1,1-trichloroethane). The
phasing-out of the less damaging HCFCs only began in 1996 and will go on until a complete
phasing-out is achieved by 2030.
There were a few exceptions for "essential uses", where no acceptable substitutes were initially
found (for example, in the past metered dose inhalers commonly used to treat asthma and
chronic obstructive pulmonary disease were exempt) or Halon fire suppression systems used in
submarines and aircraft (but not in general industry).
The substances in Group I of Annex A are:
• CFCl3 (CFC-11)
• CF2Cl2 (CFC-12)
• C2F3Cl3 (CFC-113)
• C2F4Cl2(CFC-114)
• C2F5Cl (CFC-115)
From U.S. Environmental Protection Agency website:
Phaseout of Class II Ozone-Depleting Substances
“Class II” ozone-depleting substances (ODS) have a less than 0.2, and are all (HCFCs). HCFCs
were developed as transitional substitutes for Class I ODS and are subject to a later phaseout
schedule than Class I ODS.
HCFCs are used in a wide variety of applications, including refrigeration, air conditioning, foam
blowing, solvents, aerosols, and fire suppression. Although there are currently 34 HCFCs that
are subject to the phaseout, only a few are commonly used. Historically, the most widely used
include HCFC-22 (usually as a refrigerant), HCFC-141b (as a solvent and foam-blowing agent),
FUTURE TRENDS – RECYCLING - REFRIGERANTS
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and HCFC-142b (as a foam-blowing agent and component in refrigerant blends). Learn more
about common HCFCs and their uses.
Some HCFCs, like HCFC-22, are also a component in refrigerant blends. While these blends are
not listed among the 34 controlled HCFCs, they are subject to the same rules because they
contain Class II ODS. Common refrigerant blends that contain HCFC-22 include R-401A, R-
402A, R-408A, R-409A, R-414B, and R-502A.
The Phaseout of HCFCs
As a Party to the (phaseout), the United States must incrementally decrease HCFC consumption
and production, culminating in a complete HCFC phaseout in 2030.HCFC usage must be
reduced to at least 90 percent below baseline levels in 2015 and to at least 99.5 percent below
baseline levels in 2020.Section 605 of the establishes the U.S. phaseout targets for Class II
substances. In 1993, EPA established the phaseout framework and the "worst-first" approach,
which focused first on HCFC-22, HCFC-141b, and HCFC-142b because they have the highest
ozone depletion potentials of all HCFCs.
The U.S. schedule for meeting the Montreal Protocol phaseout requirements is summarized in
the following table.
U.S. Action to Meet the Montreal Protocol Phaseout Schedule
Year to Be Implementation of HCFC Phaseout Regulation Year to Be Percent Reduction in HCFC
Implemented Through Clean Air Act Implemented Consumption and Production
From Baseline
2003 No production or import of HCFC-141b 2004 35.0%
2010 No production or import of HCFC-142b and
HCFC-22, except for use in equipment
manufactured before January 1, 2010 2010 75.0%
2015 No production or import of any other HCFCs,
except as refrigerants in equipment manufactured
before January 1, 2020 2015 90.0%
2020 No production or import of HCFC-142b and
HCFC-22 2020 99.5%
2030 No production or import of any HCFCs 2030 100.0%
US
Common HCFCs and Their Uses
Common HCFCs include:
• HCFC-22: used as a refrigerant in several applications such as unitary air conditioners,
cold storage, retail food refrigeration equipment, chillers, and industrial process
refrigeration. Also historically used (in smaller quantities) as a blowing agent for certain
foam applications and as a propellant in aerosols.
• HCFC-141b: used as a blowing agent in rigid polyurethane foams and integral skim
foams and in aerosol solvent cleaning applications.
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• HCFC-142b: used as a blowing agent in extruded polystyrene board stock. Also used in
small quantities in refrigerant blends and as a retrofit refrigerant, such as in motor vehicle
air conditioners that previously used (CFC)-12.
• HCFC-123: used in centrifugal chillers and portable fire extinguishers.
• HCFC-124: used in some sterilant mixtures and as a component in some CFC-12 retrofit
refrigerants. Can be used as a retrofit to replace CFC-114 in some heat pumps and
special air conditioning equipment.
• HCFC-225ca and HCFC-225cb: used as a solvent and aerosol solvent. Also historically
used in small quantities in adhesives, coatings, and inks.
• HCFC-21: used as a refrigerant in highly specialized cooling loops
The increased concern about depleting the Ozone layer and the EPA’s response to it created a
new business opportunity. A few took advantage of this new opportunity in the early 1990s and
grew as the phenomenon grew. One of those was Hudson Technologies. I am not promoting
them but offering this as an example of responding early to changing events which are going to
increase in importance in the future. From the Hudson Technologies web site:
Refrigerants
If you need refrigerants, Hudson Technologies offers a full inventory selection of products that
meet or exceed ARI-700 purity standards from a nationwide distribution network.
For your convenience, our products are available in all standard industry sizes, including tanker
and ISO containers for bulk delivery.
Fast Turnaround
Over the past 20 years, we’ve provided hundreds of thousands of pounds of emergency, after-
hours shipments to get our customers up and running as quickly as possible.
We can be reached 24 hours a day, seven days a week for routine and emergency shipments.
In fact, even routine orders placed before 1 p.m. EST will be shipped that same day.
Easy Purchase Process
If you want to sell your refrigerants, we purchase virtually any used CFC, HCFC and HFC
refrigerants at a competitive price. The process is simple: we provide empty recovery cylinders
and shipping documents, and we’ll coordinate all freight arrangements for anywhere in the
United States
On-Site Refrigerant Services
When you have a refrigerant issue, we bring the solution to the source – right to your doorstep.
In fact, we pioneered this style of service with patented equipment designed and built for just this
purpose.
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Whether the refrigerant contamination problem is in a comfort cooling chiller, process
refrigeration system or large industrial system, we’ll complete the job effectively and in a fraction
of the time typically required. We also provide refrigerant and oil testing. Our test results include
a comprehensive analysis of both fluids and tailored service recommendations.
Refrigerant Recovery Service
We provide rapid refrigerant recovery services through our nationwide network of regional
service facilities. Whether routine maintenance or an emergency response is required, we can
mobilize our fleet of tankers and ISO containers to your location. We get the job done efficiently
and in a fraction of the time typically required.
Decontamination Services
We specialize in providing online and offline decontamination solutions for chiller problems. Over
the past 20 years, we’ve solved some of the most complex refrigerant contamination problems in
systems throughout the United States. You’ll find that our decontamination processes are faster
and more thorough than other industry methods.
Reclamation Services
With patented and proprietary technology, Hudson is the industry leader in refrigerant
reclamation services. We offer customized programs for a wide variety of customers.
From Wikipedia:
Refrigerant reclamation is the act of processing used refrigerant gas which has previously
been used in some type of cooling loop such that it meets specifications for new refrigerant gas.
In the United States, the Clean Air Act of 1990 requires that used refrigerant be processed by a
certified reclaimer, which must be licensed by the United States Environmental Protection
Agency (EPA), and the material must be recovered and delivered to the reclaimer by EPA-
certified technicians.
Continuing with Hudson Technology services:
Platinum Reclamation Program
Designed for wholesalers and distributors, this all-inclusive program has no hidden fees, no
excluded services and no hassles. For one low fee, we include a cylinder exchange program,
freight arrangements, cylinder maintenance, refrigerant disposal and a summary report. The
entire process is extremely convenient, and can be customized to meet your specific needs.
FUTURE TRENDS – RECYCLING - REFRIGERANTS
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Separating Refrigerants
If you need to separate mixed refrigerants or separate refrigerants contaminated with chemicals,
we have laboratory systems and expertise to handle the task. If you prefer, we can purchase
cross-contaminated refrigerants at a competitive price.
Cylinder Testing
At Hudson, we also offer hydrostatic testing and cylinder maintenance. By law, refrigerant
recovery cylinders must be tested and recertified every five years. We make the process easy,
and can save you from costly penalties for using out-of-date cylinders. We’ll arrange all shipping,
perform thorough testing and any necessary repairs and provide you with recertification
documentation.
Energy and Carbon Services
Our professional staff of engineers performs energy efficiency and carbon assessments,
engineering and feasibility studies and project development for commercial and industrial
customers. Our expertise serves numerous system areas, including chillers, refrigeration, steam,
combined heat and power (CHP) and waste heat recovery.
Best Practices Training
We offer customized training for your operating and maintenance personnel from DOE- and
UNIDO-certified experts in their fields.
On-Site Assessments
With a high-level, in-depth assessment of your equipment and processes, we pinpoint energy
efficiency and cost-savings opportunities. We can also identify projects and maintenance
activities that save you money and help you avoid costly unplanned emergencies.
ChillSMART™
We provide a state-of-the-art Performance Evaluation based on actual chiller operating data
along with a fluid (refrigerant, oil and water) chemical analysis to optimize your packaged chiller
systems and keep the units operating reliably and efficiently.
If they can do this, others can also. Then it becomes who can do it in the cost efficient way. That
is what capitalism is all about – competition at the highest level. The stronger players stay on the
playing field; the weaker ones are driven off. We will return to this simple rule soon as the ability
of the Federal government and Federal Reserve to rig the game slowly diminishes.
I believe there is opportunity for growth in the number of players in this business as it, along all
other businesses, becomes regionalized. A path that Hudson Technologies seems to have
taken, which involves a sort vertical integration of services, is the way to go all in. It is an initial
FUTURE TRENDS – RECYCLING - REFRIGERANTS
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use to grave management system for refrigerant consumers where the expertise and solutions
are concentrated in fewer organizations. This concentration makes expertise and solutions
easier to access, even if it is on a much smaller scale than Hudson Technologies. It might
develop something like the following.
The initial use to grave refrigerant management system consists of distinguishable, individual
steps in building up, fast or gradually, to a one stop service system. Each step should be well
thought out with a focused eye on the eventual final overall operation and its physical layout.
The overall operation consists of individual sub operations which can be completed one at a
time. These operations are as follows:
Refurbishing and recertifying existing refrigerant cylinders.
This operation consists of removing contents of the refrigerant cylinder, which may contain
refrigerants of various types and vapor pressures, oil, and air. Once the cylinder is cleaned ,
then it is painted and tagged with the proper DOT tag. Next it is hydrotested to the proper
maximum allowable working pressure as described on the vessel tag.
This cylinder essentially is a portable pressure vessel and should be handled as such.
Obviously, moving cylinders around becomes a potential safety hazard and certainly is labor
intensive so logistics is very important and distances between evacuating the cylinder step, the
painting step, and finally the hydrotesting step should be short and well thought out.
Recovering unused, uncontaminated refrigerant.
There are two types of cylinders. One type of cylinder returned has unused refrigerant and can
be refilled with new refrigerant. These cylinders have residual refrigerant that can be reclaimed
since they haven’t been contaminated with oil. Another type of cylinder is a recovery cylinder
that has been used to recover refrigerant from an air conditioning unit or a chiller. This cylinder
has some unknown residual refrigerant, probably compressor lubricating oil, and air in it.
The residual unknown refrigerant has to be either identified and recovered or transferred to an
off spec tank for transport to an offsite incinerator or incinerated on site. Reclaiming refrigerants
is also a possibility in the future. The recovered compressor oil has to be incinerated also or sent
to a lubricating oil recycling center. Here is where we get into more of a chemical production
operation with all the potential safety and environmental hazards.
Careful consideration of logistics will prevent installing and then having to move equipment more
than once. The same goes for buying equipment and having to replace it because it is not
adaptable for expansion of the operation. Avoiding cross contamination of refrigerants will be
consideration in the design of this step.
FUTURE TRENDS – RECYCLING - REFRIGERANTS
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Filling clean cylinders with refrigerant.
This is what a new refrigerant production plant does. This reused refrigerant handling is just as
intensive a process than the original refrigerant production process, which like most
petrochemical processes is highly automated and getting more automated in the future.
Refrigerant banking and strategic reserve.
Halocarbon Banking & Strategic Reserve Programs are offered to customers that require their
Halocarbons to be stored off site at a secure facility. A Strategic Reserve Program also supplies
customers with fully refurbished, recharged system bottles that are available 24 hours a day.
Obviously, this requires a lot of storage space, and has to be closely coordinated logistically with
the other operations.
Reclaiming contaminated refrigerants.
There are two things you can do with contaminated refrigerants – reclaim them through a
distillation process or incinerate them to destruction. Reclaiming refrigerants is going to be a big
business in the future as the price of new refrigerants increases and the supply continues to
decrease. This step will be the most capital intensive requiring significant detailed engineering.
On-Site services
This service negates the necessity of the customer to hire personnel for maintenance. Any
personnel the customer hires will probably be both less knowledgeable and more subject to
economic downturns. This also eliminates the customer’s necessity for constant training and
“human resources” expense. This way the customer can purchase what he needs, when he
needs it. The ability to shop around for the best service will still exist.
Chiller chemistry and chiller performance consulting
Energy conservation based on both consistent chiller refrigerant chemistry and chiller operating
performance will be a major concern for users, and will be the number one on-site service that
can be provided.
Design- Build-Own-Operate Chilled Water Systems.
This is a concept that will become popular in the future. Each hospital, hotel, municipal building
and other large facility has a central chilled water system that is maintained by employees or
outside contractors. Many of these facilities are poorly maintained and inefficiently designed and
operated. I believe design-build-own-operate chilled water systems will be an important
FUTURE TRENDS – RECYCLING - REFRIGERANTS
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movement in the future. Taking control of existing systems will also become popular. This idea
seems to me to fit in with a logical extension of a refrigerant reclaim business.
Long - Term Potential for Refrigerant Recycling
In the United States, ozone-depleting substances (ODS) are regulated as class I or class II
controlled substances. Class I substances have a higher ozone depletion potential and have
been completely phased out in the U.S.; with a few exceptions, this means no one can produce
or import class I substances. Class II substances are all hydrochlorofluorocarbons (HCFCs),
which are transitional substitutes for many class I substances. New production and import of
most HCFCs will be phased out by 2020. The most common HCFC in use today is HCFC-22 or
R-22, a refrigerant still used in existing air conditioners and refrigeration equipment.
The replacement for R-22 was R-134a; however, that has been banned in Europe for
automobiles since 2013. The ban for automobiles in the U.S. will eventually happen, probably
before 2020. The next generation of refrigerant is R-1234yf, a refrigerant with a much less global
warming potential than R-134a.
R-134a will be around for a long time even though new production will decrease rapidly in the
next decade. That means reclaiming R-134a will be an important business in the next decade.
Also, reclaiming R-1234yf will become important also. The business will continue to grow rapidly
from then on.
The above might be a good starting point for a presentation to investors.
The various players in the refrigeration and air conditioning industry should stick to what they are
good at because they will have a tough enough time keeping up with the changes that are
ongoing with respect to refrigerants. The refrigerant producers like Honeywell and Chemours are
spending development money and plant capital revisions to develop the new refrigerants – the
Chemours “Opteon” line and the Honeywell “Solstice” line. Most talk is centered on the newest
“mobile” refrigerant, R-1234yf, which is a replacement for R-134a in automotive air conditioning
systems, but the chillers and other refrigeration equipment also have new refrigerants. Modified
from Honeywell website:
Summary Table: New Honeywell Solstice Refrigerants for Stationary Equipment
Solstice Product Designed to Replace End-Use Application Benefits
Solstice zd
(R1233zd) R123 Centrifugal chillers Non-ozone-depleting GWP of 1; 99%
lower than HCFC-123 and 99.9% lower
than R134a Non-flammable (ASHRAE A1)
FUTURE TRENDS – RECYCLING - REFRIGERANTS
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Solstice Product Designed to Replace End-Use Application Benefits
Solstice ze
(R1234ze(E)) R134a Chillers and Non-ozone-depleting GWP of less than 1,
refrigeration equip. 99.9% less than R134a
Solstice N13
(R450A) R134a Chillers and medium- Non-ozone-depleting GWP is 60% lower
Temp. refrigeration Than R134a Non-flammable (ASHRAE
A1)
Solstice N40
(R448A) R404A Low- and medium- Non-ozone-depleting GWP is 66% lower
temp. refrigeration than R404a 5-16% lower energy
consumption in end-use applications
Non-flammable (ASHRAE A)
The equipment manufacturers have their own problems. From Hussman:
Hussmann's products include refrigerated and non-refrigerated display merchandisers, specialty
display cases, self-contained display cases, LED lighting, glass doors and lids, refrigeration
systems and other related products.
Overview, August 10, 2015:
Two Federal Regulatory Agencies, the Department of Energy (DOE) and the Environmental
Protection Agency (EPA), are revising existing standards for manufacturers of commercial
refrigeration equipment. These standards will have an impact on food retailers as early as 2016.
The DOE standards have been legally challenged by manufacturers in the commercial
refrigeration industry.
DOE 2017
The DOE has published final rules, effective in 2017, that impact two sectors of the commercial
refrigeration industry – display cases and walk in coolers/freezers. In spite of concerns formally
expressed to the DOE by Hussmann and other equipment manufacturers, the DOE has
produced final rules that are not always technologically feasible and may significantly impact the
ability to offer certain model configurations and accessories.
DOE energy regulations: In 2017, DOE will greatly reduce the energy allowance for remote and
self-contained cases based on reduction calculations specific to models and categories.
Depending on the case type, some models must meet energy reductions greater than 70%. Self-
contained cases with glass doors bear the greatest burden for energy reductions, but nearly all
remote and self-contained models are impacted.
FUTURE TRENDS – RECYCLING - REFRIGERANTS
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DOE - How equipment manufacturers may react: Manufacturers will need to redesign cases to
use less energy, eliminate models, eliminate features, or discontinue complete product lines.
Thus, some of today’s models are at great risk of not being available in the future.
DOE - Implications for retailers: Retailers will have a more limited assortment of display cases
from which to choose. Some glass door models may disappear from the market due to the
extreme energy reduction targets that apply to these models. Retailers will see fewer display
innovations as manufacturers spend finite resources complying with regulations.
Walk-in coolers and freezers: For walk-in coolers and freezers, a negotiated settlement to legal
challenges has been agreed upon by those involved. During the challenge process, Hussmann
intervened on technicalities. The intervention identified errors in the calculations of the multiplex
system standards and procedural errors in the development of the dedicated low temperature
system standards. In the settlement, DOE agreed to rework all of the standards that Hussmann
specifically challenged. The date for compliance for refrigeration standards related to walk-in
cooler/freezer equipment (condensing units and evaporators) has been extended to January 1,
2020. The performance standard for energy reduction in walk-in cooler and freezer doors and
panels is unchanged and compliance is required on June 5, 2017.
The refrigeration and HVAC system engineers/designers still have the same problem of
choosing the most appropriate refrigerant for the operational circumstances. See Figure 1,
“Properties of Various Refrigerants for Refrigeration, Air Conditioning, and Heat Pump
Applications”. From “Why R-32 May Be the Refrigerant of the Future” by Don Prather, January 9,
2017:
In conclusion, per this limited perspective, HFO blends appear to be the answer. It looks like the
next generation of replacement refrigerants will come from new HFO blends, and — once U.S.
codes are updated — R-32. Additionally, ammonia-based absorption systems may have some
niche markets where natural gas is cheap and readily available. Contractors and other industry
practitioners should regularly monitor which alternative refrigerant producers and equipment
manufacturers are planning on releasing.
My best guess is that common sense will prevail, the industry will work to get our existing codes
to approve the use of R-32, and it will become the refrigerant of choice over the more expensive
HFO blends.
Honeywell and Chemours won’t like that. Also, carbon dioxide and ammonia-carbon dioxide
refrigeration systems are still gaining interest. Anyway, it is a fast changing business. It’s a good
place to be if you are energetic and ready to fill a growing opportunity. However, you better not
be afraid of competition.
FUTURE TRENDS – RECYCLING - REFRIGERANTS
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FIGURE 1
Properties of Various Refrigerants for Refrigeration, Air
Conditioning, and Heat Pump Applications
R-744 = Carbon Dioxide
R-717 = Ammonia
R-290 = Propane

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Future Trends - Recycling Refrigerants

  • 1. FUTURE TRENDS – RECYCLING - REFRIGERANTS Page 1 of 13 I have said in “The Race Continues” post of July 2016: The race downhill between decreasing economic activity and decreasing oil and gas production continues with decreasing economic activity in the lead. Next phase is stock market collapse with substantial debt destruction. For the petrochemical and oil & gas industries, the result will be increasing consolidation and bankruptcies. Within six years it will be clear that the tight oil-shale gas revolution was no revolution but a transition period. Energy conservation will become the primary concern of industry as the survivors become caught in a vise between decreasing sales and increasing energy costs. Waiting until then to respond will be fatal. The Federal Reserve kept the stock market from crashing by delaying the measly 25 basis point hike until Trump was elected. The Trump rally resulted from the latest injection of Hope laced with Delusion into the desperate middle class and future Wall Street dinosaurs. That “trip” is now over and the inevitable path to some type of economic disaster is resuming like the Titanic headed for the iceberg. The ultimate result will be a demolition derby of the petrochemical industry with most of the destruction initially occurring in the upstream sector inhabited by hopeless tight oil and shale gas ventures. How fast this destruction transpires depends on when the economic reset happens, but it will happen early in Trump’s administration. What happens after that is a big question mark. He may delay the transition yet again by placing Uncle Sammy in even more debt, which could be the final slap in the head to the old man. Regardless of what happens. The traditional petrochemical industry is on its way out. The Baby Boomer Generation that propped it up for so long has blown both its ballooning credit account and its hefty “allowance” from Mother Nature. This extremely fortunate generation’s influence will continue to wane with Trump’s administration destroying the “Golden Calf” once and for all; then “Moses” returns and it’s on to the new land, the land of less and more expensive. The X- Generation has neither the same financial strength nor the same low cost oil and gas to power up another “Enterprise”. This won’t be a journey to where “no man has gone before”. It will be another long forgotten history lesson. The Millennial Generation will inherit “The Future”, and a whole new economic playing field will be created. What we will see develop slowly over the next ten years is a transitional state fostering “The Future”. The younger businessmen and women will see the past failing and start looking for ways to survive in “The Future”. One of the trends which has been in progress but again delayed since 2009 by the Shale Gas Ponzi Scheme is the recycling movement. During the next several years, some areas of the recycling movement will expand with eventually all areas expanding to create the fastest growing industry in the transitional phase. One of those areas is recycling refrigerants.
  • 2. FUTURE TRENDS – RECYCLING - REFRIGERANTS Page 2 of 13 Recycling and reclaiming refrigerants isn’t a new business. It has been ongoing since the early 1990s. From Wikipedia: The Montreal Protocol on Substances that Deplete the Ozone Layer (a protocol to the Vienna Convention for the Protection of the Ozone Layer) is an international treaty designed to protect the ozone layer by phasing out the production of numerous substances that are responsible for ozone depletion. It was agreed on 26 August 1987, and entered into force on 26 August 1989, followed by a first meeting in Helsinki, May 1989. Since then, it has undergone eight revisions, in 1990 (London), 1991 (Nairobi), 1992 (Copenhagen), 1993 (Bangkok), 1995 (Vienna), 1997 (Montreal), 1998 (Australia), 1999 (Beijing) and 2016 (Kigali), adopted, but not in force)… The two ozone treaties have been ratified by 197 parties, which includes 196 states and the European Union, making them the first universally ratified treaties in United Nations history. The treaty is structured around several groups of halogenated hydrocarbons that deplete stratospheric ozone. All of the ozone depleting substances controlled by the Montreal Protocol contain either chlorine or bromine (substances containing only fluorine do not harm the ozone layer). Some ozone-depleting substances (ODSs) are not yet controlled by the Montreal Protocol, including nitrous oxide (N2O) For a table of ozone-depleting substances controlled by the Montreal Protocol see: For each group of ODSs, the treaty provides a timetable on which the production of those substances must be shot out and eventually eliminated. The first step was to eliminate the production of chlorofluorocarbons, which had been in use since the 1930s. From Wikipedia: In 1930, General Motors and DuPont formed Kinetic Chemicals to produce Freon. Their product was dichlorodifluoromethane and is now designated "Freon-12", "R-12", or "CFC-12". The number after the R is a refrigerant class number developed by DuPont to systematically identify single halogenated hydrocarbons, as well as other refrigerants besides halocarbons. Chlorofluorocarbons (CFCs) Phase-out Management Plan The stated purpose of the treaty is that the signatory states "Recognizing that worldwide emissions of certain substances can significantly deplete and otherwise modify the ozone layer in a manner that is likely to result in adverse effects on human health and the environment. Determined to protect the ozone layer by taking precautionary measures to control equitably total global emissions of substances that deplete it with the ultimate objective of their elimination on the basis of developments in scientific knowledge"
  • 3. FUTURE TRENDS – RECYCLING - REFRIGERANTS Page 3 of 13 "Acknowledging that special provision is required to meet the needs of developing countries" shall accept a series of stepped limits on CFC use and production, including: from 1991 to 1992 its levels of consumption and production of the controlled substances in Group I of Annex A do not exceed 150 percent of its calculated levels of production and consumption of those substances in 1986; from 1994 its calculated level of consumption and production of the controlled substances in Group I of Annex A does not exceed, annually, twenty-five percent of its calculated level of consumption and production in 1986. from 1996 its calculated level of consumption and production of the controlled substances in Group I of Annex A does not exceed zero. There was a faster phase-out of halon-1211, -2402, -1301, There was a slower phase-out (to zero by 2010) of other substances (halon 1211, 1301, 2402; CFCs 13, 111, 112, etc and some chemicals were given individual attention (Carbon tetrachloride; 1,1,1-trichloroethane). The phasing-out of the less damaging HCFCs only began in 1996 and will go on until a complete phasing-out is achieved by 2030. There were a few exceptions for "essential uses", where no acceptable substitutes were initially found (for example, in the past metered dose inhalers commonly used to treat asthma and chronic obstructive pulmonary disease were exempt) or Halon fire suppression systems used in submarines and aircraft (but not in general industry). The substances in Group I of Annex A are: • CFCl3 (CFC-11) • CF2Cl2 (CFC-12) • C2F3Cl3 (CFC-113) • C2F4Cl2(CFC-114) • C2F5Cl (CFC-115) From U.S. Environmental Protection Agency website: Phaseout of Class II Ozone-Depleting Substances “Class II” ozone-depleting substances (ODS) have a less than 0.2, and are all (HCFCs). HCFCs were developed as transitional substitutes for Class I ODS and are subject to a later phaseout schedule than Class I ODS. HCFCs are used in a wide variety of applications, including refrigeration, air conditioning, foam blowing, solvents, aerosols, and fire suppression. Although there are currently 34 HCFCs that are subject to the phaseout, only a few are commonly used. Historically, the most widely used include HCFC-22 (usually as a refrigerant), HCFC-141b (as a solvent and foam-blowing agent),
  • 4. FUTURE TRENDS – RECYCLING - REFRIGERANTS Page 4 of 13 and HCFC-142b (as a foam-blowing agent and component in refrigerant blends). Learn more about common HCFCs and their uses. Some HCFCs, like HCFC-22, are also a component in refrigerant blends. While these blends are not listed among the 34 controlled HCFCs, they are subject to the same rules because they contain Class II ODS. Common refrigerant blends that contain HCFC-22 include R-401A, R- 402A, R-408A, R-409A, R-414B, and R-502A. The Phaseout of HCFCs As a Party to the (phaseout), the United States must incrementally decrease HCFC consumption and production, culminating in a complete HCFC phaseout in 2030.HCFC usage must be reduced to at least 90 percent below baseline levels in 2015 and to at least 99.5 percent below baseline levels in 2020.Section 605 of the establishes the U.S. phaseout targets for Class II substances. In 1993, EPA established the phaseout framework and the "worst-first" approach, which focused first on HCFC-22, HCFC-141b, and HCFC-142b because they have the highest ozone depletion potentials of all HCFCs. The U.S. schedule for meeting the Montreal Protocol phaseout requirements is summarized in the following table. U.S. Action to Meet the Montreal Protocol Phaseout Schedule Year to Be Implementation of HCFC Phaseout Regulation Year to Be Percent Reduction in HCFC Implemented Through Clean Air Act Implemented Consumption and Production From Baseline 2003 No production or import of HCFC-141b 2004 35.0% 2010 No production or import of HCFC-142b and HCFC-22, except for use in equipment manufactured before January 1, 2010 2010 75.0% 2015 No production or import of any other HCFCs, except as refrigerants in equipment manufactured before January 1, 2020 2015 90.0% 2020 No production or import of HCFC-142b and HCFC-22 2020 99.5% 2030 No production or import of any HCFCs 2030 100.0% US Common HCFCs and Their Uses Common HCFCs include: • HCFC-22: used as a refrigerant in several applications such as unitary air conditioners, cold storage, retail food refrigeration equipment, chillers, and industrial process refrigeration. Also historically used (in smaller quantities) as a blowing agent for certain foam applications and as a propellant in aerosols. • HCFC-141b: used as a blowing agent in rigid polyurethane foams and integral skim foams and in aerosol solvent cleaning applications.
  • 5. FUTURE TRENDS – RECYCLING - REFRIGERANTS Page 5 of 13 • HCFC-142b: used as a blowing agent in extruded polystyrene board stock. Also used in small quantities in refrigerant blends and as a retrofit refrigerant, such as in motor vehicle air conditioners that previously used (CFC)-12. • HCFC-123: used in centrifugal chillers and portable fire extinguishers. • HCFC-124: used in some sterilant mixtures and as a component in some CFC-12 retrofit refrigerants. Can be used as a retrofit to replace CFC-114 in some heat pumps and special air conditioning equipment. • HCFC-225ca and HCFC-225cb: used as a solvent and aerosol solvent. Also historically used in small quantities in adhesives, coatings, and inks. • HCFC-21: used as a refrigerant in highly specialized cooling loops The increased concern about depleting the Ozone layer and the EPA’s response to it created a new business opportunity. A few took advantage of this new opportunity in the early 1990s and grew as the phenomenon grew. One of those was Hudson Technologies. I am not promoting them but offering this as an example of responding early to changing events which are going to increase in importance in the future. From the Hudson Technologies web site: Refrigerants If you need refrigerants, Hudson Technologies offers a full inventory selection of products that meet or exceed ARI-700 purity standards from a nationwide distribution network. For your convenience, our products are available in all standard industry sizes, including tanker and ISO containers for bulk delivery. Fast Turnaround Over the past 20 years, we’ve provided hundreds of thousands of pounds of emergency, after- hours shipments to get our customers up and running as quickly as possible. We can be reached 24 hours a day, seven days a week for routine and emergency shipments. In fact, even routine orders placed before 1 p.m. EST will be shipped that same day. Easy Purchase Process If you want to sell your refrigerants, we purchase virtually any used CFC, HCFC and HFC refrigerants at a competitive price. The process is simple: we provide empty recovery cylinders and shipping documents, and we’ll coordinate all freight arrangements for anywhere in the United States On-Site Refrigerant Services When you have a refrigerant issue, we bring the solution to the source – right to your doorstep. In fact, we pioneered this style of service with patented equipment designed and built for just this purpose.
  • 6. FUTURE TRENDS – RECYCLING - REFRIGERANTS Page 6 of 13 Whether the refrigerant contamination problem is in a comfort cooling chiller, process refrigeration system or large industrial system, we’ll complete the job effectively and in a fraction of the time typically required. We also provide refrigerant and oil testing. Our test results include a comprehensive analysis of both fluids and tailored service recommendations. Refrigerant Recovery Service We provide rapid refrigerant recovery services through our nationwide network of regional service facilities. Whether routine maintenance or an emergency response is required, we can mobilize our fleet of tankers and ISO containers to your location. We get the job done efficiently and in a fraction of the time typically required. Decontamination Services We specialize in providing online and offline decontamination solutions for chiller problems. Over the past 20 years, we’ve solved some of the most complex refrigerant contamination problems in systems throughout the United States. You’ll find that our decontamination processes are faster and more thorough than other industry methods. Reclamation Services With patented and proprietary technology, Hudson is the industry leader in refrigerant reclamation services. We offer customized programs for a wide variety of customers. From Wikipedia: Refrigerant reclamation is the act of processing used refrigerant gas which has previously been used in some type of cooling loop such that it meets specifications for new refrigerant gas. In the United States, the Clean Air Act of 1990 requires that used refrigerant be processed by a certified reclaimer, which must be licensed by the United States Environmental Protection Agency (EPA), and the material must be recovered and delivered to the reclaimer by EPA- certified technicians. Continuing with Hudson Technology services: Platinum Reclamation Program Designed for wholesalers and distributors, this all-inclusive program has no hidden fees, no excluded services and no hassles. For one low fee, we include a cylinder exchange program, freight arrangements, cylinder maintenance, refrigerant disposal and a summary report. The entire process is extremely convenient, and can be customized to meet your specific needs.
  • 7. FUTURE TRENDS – RECYCLING - REFRIGERANTS Page 7 of 13 Separating Refrigerants If you need to separate mixed refrigerants or separate refrigerants contaminated with chemicals, we have laboratory systems and expertise to handle the task. If you prefer, we can purchase cross-contaminated refrigerants at a competitive price. Cylinder Testing At Hudson, we also offer hydrostatic testing and cylinder maintenance. By law, refrigerant recovery cylinders must be tested and recertified every five years. We make the process easy, and can save you from costly penalties for using out-of-date cylinders. We’ll arrange all shipping, perform thorough testing and any necessary repairs and provide you with recertification documentation. Energy and Carbon Services Our professional staff of engineers performs energy efficiency and carbon assessments, engineering and feasibility studies and project development for commercial and industrial customers. Our expertise serves numerous system areas, including chillers, refrigeration, steam, combined heat and power (CHP) and waste heat recovery. Best Practices Training We offer customized training for your operating and maintenance personnel from DOE- and UNIDO-certified experts in their fields. On-Site Assessments With a high-level, in-depth assessment of your equipment and processes, we pinpoint energy efficiency and cost-savings opportunities. We can also identify projects and maintenance activities that save you money and help you avoid costly unplanned emergencies. ChillSMART™ We provide a state-of-the-art Performance Evaluation based on actual chiller operating data along with a fluid (refrigerant, oil and water) chemical analysis to optimize your packaged chiller systems and keep the units operating reliably and efficiently. If they can do this, others can also. Then it becomes who can do it in the cost efficient way. That is what capitalism is all about – competition at the highest level. The stronger players stay on the playing field; the weaker ones are driven off. We will return to this simple rule soon as the ability of the Federal government and Federal Reserve to rig the game slowly diminishes. I believe there is opportunity for growth in the number of players in this business as it, along all other businesses, becomes regionalized. A path that Hudson Technologies seems to have taken, which involves a sort vertical integration of services, is the way to go all in. It is an initial
  • 8. FUTURE TRENDS – RECYCLING - REFRIGERANTS Page 8 of 13 use to grave management system for refrigerant consumers where the expertise and solutions are concentrated in fewer organizations. This concentration makes expertise and solutions easier to access, even if it is on a much smaller scale than Hudson Technologies. It might develop something like the following. The initial use to grave refrigerant management system consists of distinguishable, individual steps in building up, fast or gradually, to a one stop service system. Each step should be well thought out with a focused eye on the eventual final overall operation and its physical layout. The overall operation consists of individual sub operations which can be completed one at a time. These operations are as follows: Refurbishing and recertifying existing refrigerant cylinders. This operation consists of removing contents of the refrigerant cylinder, which may contain refrigerants of various types and vapor pressures, oil, and air. Once the cylinder is cleaned , then it is painted and tagged with the proper DOT tag. Next it is hydrotested to the proper maximum allowable working pressure as described on the vessel tag. This cylinder essentially is a portable pressure vessel and should be handled as such. Obviously, moving cylinders around becomes a potential safety hazard and certainly is labor intensive so logistics is very important and distances between evacuating the cylinder step, the painting step, and finally the hydrotesting step should be short and well thought out. Recovering unused, uncontaminated refrigerant. There are two types of cylinders. One type of cylinder returned has unused refrigerant and can be refilled with new refrigerant. These cylinders have residual refrigerant that can be reclaimed since they haven’t been contaminated with oil. Another type of cylinder is a recovery cylinder that has been used to recover refrigerant from an air conditioning unit or a chiller. This cylinder has some unknown residual refrigerant, probably compressor lubricating oil, and air in it. The residual unknown refrigerant has to be either identified and recovered or transferred to an off spec tank for transport to an offsite incinerator or incinerated on site. Reclaiming refrigerants is also a possibility in the future. The recovered compressor oil has to be incinerated also or sent to a lubricating oil recycling center. Here is where we get into more of a chemical production operation with all the potential safety and environmental hazards. Careful consideration of logistics will prevent installing and then having to move equipment more than once. The same goes for buying equipment and having to replace it because it is not adaptable for expansion of the operation. Avoiding cross contamination of refrigerants will be consideration in the design of this step.
  • 9. FUTURE TRENDS – RECYCLING - REFRIGERANTS Page 9 of 13 Filling clean cylinders with refrigerant. This is what a new refrigerant production plant does. This reused refrigerant handling is just as intensive a process than the original refrigerant production process, which like most petrochemical processes is highly automated and getting more automated in the future. Refrigerant banking and strategic reserve. Halocarbon Banking & Strategic Reserve Programs are offered to customers that require their Halocarbons to be stored off site at a secure facility. A Strategic Reserve Program also supplies customers with fully refurbished, recharged system bottles that are available 24 hours a day. Obviously, this requires a lot of storage space, and has to be closely coordinated logistically with the other operations. Reclaiming contaminated refrigerants. There are two things you can do with contaminated refrigerants – reclaim them through a distillation process or incinerate them to destruction. Reclaiming refrigerants is going to be a big business in the future as the price of new refrigerants increases and the supply continues to decrease. This step will be the most capital intensive requiring significant detailed engineering. On-Site services This service negates the necessity of the customer to hire personnel for maintenance. Any personnel the customer hires will probably be both less knowledgeable and more subject to economic downturns. This also eliminates the customer’s necessity for constant training and “human resources” expense. This way the customer can purchase what he needs, when he needs it. The ability to shop around for the best service will still exist. Chiller chemistry and chiller performance consulting Energy conservation based on both consistent chiller refrigerant chemistry and chiller operating performance will be a major concern for users, and will be the number one on-site service that can be provided. Design- Build-Own-Operate Chilled Water Systems. This is a concept that will become popular in the future. Each hospital, hotel, municipal building and other large facility has a central chilled water system that is maintained by employees or outside contractors. Many of these facilities are poorly maintained and inefficiently designed and operated. I believe design-build-own-operate chilled water systems will be an important
  • 10. FUTURE TRENDS – RECYCLING - REFRIGERANTS Page 10 of 13 movement in the future. Taking control of existing systems will also become popular. This idea seems to me to fit in with a logical extension of a refrigerant reclaim business. Long - Term Potential for Refrigerant Recycling In the United States, ozone-depleting substances (ODS) are regulated as class I or class II controlled substances. Class I substances have a higher ozone depletion potential and have been completely phased out in the U.S.; with a few exceptions, this means no one can produce or import class I substances. Class II substances are all hydrochlorofluorocarbons (HCFCs), which are transitional substitutes for many class I substances. New production and import of most HCFCs will be phased out by 2020. The most common HCFC in use today is HCFC-22 or R-22, a refrigerant still used in existing air conditioners and refrigeration equipment. The replacement for R-22 was R-134a; however, that has been banned in Europe for automobiles since 2013. The ban for automobiles in the U.S. will eventually happen, probably before 2020. The next generation of refrigerant is R-1234yf, a refrigerant with a much less global warming potential than R-134a. R-134a will be around for a long time even though new production will decrease rapidly in the next decade. That means reclaiming R-134a will be an important business in the next decade. Also, reclaiming R-1234yf will become important also. The business will continue to grow rapidly from then on. The above might be a good starting point for a presentation to investors. The various players in the refrigeration and air conditioning industry should stick to what they are good at because they will have a tough enough time keeping up with the changes that are ongoing with respect to refrigerants. The refrigerant producers like Honeywell and Chemours are spending development money and plant capital revisions to develop the new refrigerants – the Chemours “Opteon” line and the Honeywell “Solstice” line. Most talk is centered on the newest “mobile” refrigerant, R-1234yf, which is a replacement for R-134a in automotive air conditioning systems, but the chillers and other refrigeration equipment also have new refrigerants. Modified from Honeywell website: Summary Table: New Honeywell Solstice Refrigerants for Stationary Equipment Solstice Product Designed to Replace End-Use Application Benefits Solstice zd (R1233zd) R123 Centrifugal chillers Non-ozone-depleting GWP of 1; 99% lower than HCFC-123 and 99.9% lower than R134a Non-flammable (ASHRAE A1)
  • 11. FUTURE TRENDS – RECYCLING - REFRIGERANTS Page 11 of 13 Solstice Product Designed to Replace End-Use Application Benefits Solstice ze (R1234ze(E)) R134a Chillers and Non-ozone-depleting GWP of less than 1, refrigeration equip. 99.9% less than R134a Solstice N13 (R450A) R134a Chillers and medium- Non-ozone-depleting GWP is 60% lower Temp. refrigeration Than R134a Non-flammable (ASHRAE A1) Solstice N40 (R448A) R404A Low- and medium- Non-ozone-depleting GWP is 66% lower temp. refrigeration than R404a 5-16% lower energy consumption in end-use applications Non-flammable (ASHRAE A) The equipment manufacturers have their own problems. From Hussman: Hussmann's products include refrigerated and non-refrigerated display merchandisers, specialty display cases, self-contained display cases, LED lighting, glass doors and lids, refrigeration systems and other related products. Overview, August 10, 2015: Two Federal Regulatory Agencies, the Department of Energy (DOE) and the Environmental Protection Agency (EPA), are revising existing standards for manufacturers of commercial refrigeration equipment. These standards will have an impact on food retailers as early as 2016. The DOE standards have been legally challenged by manufacturers in the commercial refrigeration industry. DOE 2017 The DOE has published final rules, effective in 2017, that impact two sectors of the commercial refrigeration industry – display cases and walk in coolers/freezers. In spite of concerns formally expressed to the DOE by Hussmann and other equipment manufacturers, the DOE has produced final rules that are not always technologically feasible and may significantly impact the ability to offer certain model configurations and accessories. DOE energy regulations: In 2017, DOE will greatly reduce the energy allowance for remote and self-contained cases based on reduction calculations specific to models and categories. Depending on the case type, some models must meet energy reductions greater than 70%. Self- contained cases with glass doors bear the greatest burden for energy reductions, but nearly all remote and self-contained models are impacted.
  • 12. FUTURE TRENDS – RECYCLING - REFRIGERANTS Page 12 of 13 DOE - How equipment manufacturers may react: Manufacturers will need to redesign cases to use less energy, eliminate models, eliminate features, or discontinue complete product lines. Thus, some of today’s models are at great risk of not being available in the future. DOE - Implications for retailers: Retailers will have a more limited assortment of display cases from which to choose. Some glass door models may disappear from the market due to the extreme energy reduction targets that apply to these models. Retailers will see fewer display innovations as manufacturers spend finite resources complying with regulations. Walk-in coolers and freezers: For walk-in coolers and freezers, a negotiated settlement to legal challenges has been agreed upon by those involved. During the challenge process, Hussmann intervened on technicalities. The intervention identified errors in the calculations of the multiplex system standards and procedural errors in the development of the dedicated low temperature system standards. In the settlement, DOE agreed to rework all of the standards that Hussmann specifically challenged. The date for compliance for refrigeration standards related to walk-in cooler/freezer equipment (condensing units and evaporators) has been extended to January 1, 2020. The performance standard for energy reduction in walk-in cooler and freezer doors and panels is unchanged and compliance is required on June 5, 2017. The refrigeration and HVAC system engineers/designers still have the same problem of choosing the most appropriate refrigerant for the operational circumstances. See Figure 1, “Properties of Various Refrigerants for Refrigeration, Air Conditioning, and Heat Pump Applications”. From “Why R-32 May Be the Refrigerant of the Future” by Don Prather, January 9, 2017: In conclusion, per this limited perspective, HFO blends appear to be the answer. It looks like the next generation of replacement refrigerants will come from new HFO blends, and — once U.S. codes are updated — R-32. Additionally, ammonia-based absorption systems may have some niche markets where natural gas is cheap and readily available. Contractors and other industry practitioners should regularly monitor which alternative refrigerant producers and equipment manufacturers are planning on releasing. My best guess is that common sense will prevail, the industry will work to get our existing codes to approve the use of R-32, and it will become the refrigerant of choice over the more expensive HFO blends. Honeywell and Chemours won’t like that. Also, carbon dioxide and ammonia-carbon dioxide refrigeration systems are still gaining interest. Anyway, it is a fast changing business. It’s a good place to be if you are energetic and ready to fill a growing opportunity. However, you better not be afraid of competition.
  • 13. FUTURE TRENDS – RECYCLING - REFRIGERANTS Page 13 of 13 FIGURE 1 Properties of Various Refrigerants for Refrigeration, Air Conditioning, and Heat Pump Applications R-744 = Carbon Dioxide R-717 = Ammonia R-290 = Propane