Coming to America

U.K.'s A-Gas Plans Expansion Into North America

A-Gas’s acquisitions in the U.S. will set it up for a significant expansion into North America, including the international rollout of its refrigerant reclamation technology.

This year, A-Gas celebrates its 20th year in business, but no time in those two decades has been quite as busy as last year. The past 12 months have seen intense activity as the Bristol refrigerant distributor and reclaimer bought two U.S. specialists, Coolgas and RemTec, and set up a fully fledged North American division. The firm has transplanted U.K. managing director Ken Logan to oversee the establishment of the U.S. operations for the next two years at least.

The acquisition of the U.S. businesses, plus a further distributor in Australia, Technochem, has seen the A-Gas Intl. group top £100 million turnover for 2012, with a worldwide headcount of 237.

Acquiring Assets

“A-Gas is now the largest independent refrigerant player outside of the U.S.,” said Jon Masters, European managing director. “Our core territories are in the U.K., South Africa, and Australia, in each of which we have a 30-35 percent market share. So we were keen to try and take that offering to the U.S. — it was the right opportunity in terms of the business and the regulatory framework.”

That framework is the U.S. phase out of HCFCs and the probable phase down of HFCs, expected to closely follow the European Commission’s proposed F-Gas model — although progressive states like California are already bringing in more stringent rules.

The particular attraction of RemTec is that its core business is halon reclamation. Although these are largely from fire suppressants, this offers the right range of skills and technology to allow an expansion into refrigerant reclamation. This is where A-Gas brings its own skills to bear, said Masters. “We can bring our reclamation knowhow, and the benefit of the U.K. experience of selling the reclaimed HCFC product. The U.S. market is maybe four or five years behind Europe, but it is rapidly developing, and the EPA [Environmental Protection Agency] has announced more cuts in HCFC volume.”

The plan is for the RemTec operation to be brought up to the same standard for refrigerant reclamation as A-Gas’s Bristol facilities by the end of this year.

The commercial implications of the rapid cuts should not be underestimated; in the U.S. over the past year, virgin R-22 has increased in price from $3 per pound to $15 per pound.

Coolgas, by contrast, is a conventional refrigerant distributor, but again the purchase is strategic, providing a foothold in the Southwest, from which A-Gas can build, with a brand name well known to the American market. It also holds all-important import rights to HCFCs.

A foothold in such a large territory is a big deal in its own right, but the potential is far bigger. “The U.S. business is roughly the same size as the U.K. business, but whereas in the U.K. that brings a 30 percent market share, in the U.S. it is only 2 percent of the market. It should be easier to double from 2-4 percent than from 30-60 percent.”

If the plans for reclamation at RemTec go well, it could be joined by other sites. While the U.K. can function well with a single reclamation site, the scale of the U.S. is likely to require a network of two or three more. With reclaimed HCFC expected to be useable in the U.S. beyond 2020, that is an attractive long-term target.

Reclamation Technology

In a relatively short time, refrigerant recovery and reclamation has become a serious business for A-Gas. Its environmental services operations now account for around 20 percent of turnover (refrigerants is the largest proportion at 60 percent).

U.K. business director John Ormerod said, “What we do falls into two areas: cleaning up dirty gas by removing contaminants and separating out gases from refrigerant mixtures.

“We probably lead the world in refrigerant reclamation. There is only one other company in the U.K. and three in the U.S. who can separate refrigerants like we do,” he said.

The separation facilities at Bristol have come on apace since the pioneering days when its technology could be housed in a corner of the warehouse. The original plant is still in situ, but it has been joined by Separator 3, located outside the warehouse and large enough to be able to accommodate tanker-sized volumes of refrigerant, with a capacity to process around 400 tonnes a year.

Although the precise technology is secret, both plants are designed to reclaim refrigerant to Air-Conditioning, Heating & Refrigeration Institute (AHRI) 700 standards, as well as being able to split mixed refrigerants into usable batches and to reclaim individual gases from cocktails of recovered refrigerant. The latter is where A-Gas claims distinctiveness, as “the only supplier who has both the technology and the capacity to provide this level of service.”

Content for the European Spotlight is provided courtesy of Refrigeration and Air Conditioning Magazine, London. For more information, visit www.racplus.com.

Publication date: 5/20/2013

Industry Encourages Cap Use on Refrigerants

Recent Deaths Demonstrate Dangers of Huffing R-22

By Peter Powell

 

This past March, Kristal Salcido, a 12-year-old seventh grader in Victorville, Calif., inhaled HCFC-22 from an air conditioning unit in the backyard of her grandmother’s home. She was later found passed out on the bathroom floor. Rushed to the emergency room, Salcido was pronounced brain dead. Four days later, her family decided to take her off life support.
She had used the R-22 in a ritual called huffing — the intentional inhalation of chemical vapors to attain a mental high or euphoric effect.
Refrigerants such as CFCs, HCFCs, HFCs, and propane are just part of that chemical basket of inhalants. Others are gasoline, paint thinners, nail polish, and nitrous oxide. According to the website www.inhalants.org, one in five students has inhaled a chemical to get high by the eighth grade.

The Hazards of Huffing

In the case of the R-22, “When you inhale it, it kills your brain cells — that’s all,” said Ron Postoian, president of AC Plus Heating & Air of Hesperia, Calif., who was interviewed by television station KTLA for its story on a recent huffing fatality in his home state.
“People really don’t realize how dangerous this is,” said Dr. Craig Sanford, Tulsa, Okla., in a news report broadcast by NewsOn6. “Inhaling this substance prevents the body from getting oxygen and you can get frostbite from it, inside the tissues of your nose, mouth, and face.”
Postoian said that he’s serviced a number of condensing units where the refrigerant had suspiciously been used up.
That “missing refrigerant” aspect was echoed by Ryan Rentmeister, who owns Rentmeister Total Home Service of Salt Lake City. A few years ago in his hometown, people were turning on their air conditioners, but the machines were failing to provide cool air, due to absent refrigerant. “We’ve had four cases in the last week,” he said, suspecting huffing as the cause.
Ronda Szymanski of Advanced Air and Refrigeration Inc., Fort Myers, Fla., said a telltale sign is when service techs find a butter knife laying next to a central air conditioning condenser that has been depleted of refrigerant, with its service port visibly damaged.

Curbing the Problem

Regulators and many within the HVACR industry have been working hard to get a handle on this deadly situation. Both the International Mechanical Code 1101.10 and the International Residential Code M1411.6 have mandated that “refrigerant-circuit access ports located outdoors shall be fitted with locking-type tamper-resistant caps.”
Code requirements have been in place since 2009, but these requirements need to be codified by each state, said Gerry Spanger, director of HVACR engineered products for Rectorseal Corp.
So far, at least five states have adopted the codes, said Spanger. However, limiting more widespread acceptance, the codes are only related to new construction. He said eventually the codes will extend into retrofits and existing buildings. “It is not a question of ‘no, this won’t happen.’ It is just a question of how long it takes,” said Spanger.
Once state codes are in place, inspectors cannot sign off on a job until the locking caps are in place.
“The products are a must for companies and technicians to comply with local codes as well as liability concerns connected with refrigerants,” said Oscar Lopez, vice president of sales for JB Industries Inc., Aurora, Ill.
Spanger said that even as all the regulatory aspects eventually fall into place, there is still the possibility of abuse within the HVACR sector. He said he’d even heard of contractors buying the caps, locking them in place when required, and then removing them after an inspection for use in the next project.
“They don’t understand they are laying themselves open to liabilities,” he said.
He also said that even though the caps can only be sold to contractors who are U.S. Environmental Protection Agency (EPA)-certified to handle refrigerants, he had heard of instances of some wholesalers and contractors who sell the caps on websites, even though they may not be able to verify the certification status of the purchaser.
According to Jon Melchi, director of government affairs for Heating, Air-conditioning & Refrigeration Distributors International (HARDI), “Wholesalers and suppliers strongly believe that these products should not be available online. They should only be sold to licensed contractors. As an industry we must be diligent in making sure that the entire channel is aware of best practices regarding these products.”

Locked and Loaded

While controlling huffing remains a key aspect of locking caps, the devices have long been offered in the HVACR distribution channel for a number of applications. Even as regulations move toward the requirement of locking caps, the devices themselves are being fine tuned.
For example, this past February, Rectorseal Corp. introduced its GasGuard™, a tamper-resistant locking valve cap designed to help prevent refrigerant theft, leaks, and huffing. It screws and locks onto threaded refrigerant Schraeder valves.
“GasGuard restricts unauthorized access because it can only be installed or removed with a unique matching proprietary socket tool,” said Jerry Tomasello, director of marketing for RectorSeal. “It cannot be removed with a core remover or Allen wrench.”
JB’s Lopez also noted that his company is launching a new American-made refrigerant safety cap with greater security under the brand name The Shield.

Contractor Support

Numerous contractors, including Chase Tunnell, president, Dominion Service, Richmond, Va., are strong advocates of locking caps. For a number of years, Tunnell has been involved with the Substance Abuse Free Environment (SAFE) program, which encourages the use of locking caps.
“SAFE is still actively pushing it and Dominion Service is currently doing a public service campaign in the Hampton Roads, Va., area,” he said. “Our Richmond division has had huge success with the program but Hampton Roads has been a little slower to catch on. We are working on fixing that.
“We are currently installing 10-15 caps each week. We’re confident that number will increase significantly as the summer season hits.”

 

 

Update: Car engineers pour cold water on Daimler refrigerant fire claims

29 April 2013 | By Andrew Gaved

Car engineering research group SAE International has reported the conclusions of its extensive analysis of HFO 1234yf, calling the refrigerant “safe and effective to use in automotive applications” - free to view, simply register

The team on SAE’s Cooperative Research Programme, comprising most car manufacturers from Ford to Renault to Toyota, concluded that “the risk of passenger exposure to a vehicle fire associated with this refrigerant is exceptionally remote”.

The CRP was established to examine Mercedes owner Daimler’s claims that HFO 1234yf ignited in a staged head-on collision, whereas the previous refrigerant R134a, outlawed by the Mobile Air Conditioning directive, did not.

In the wake of lurid claims about the risk of flammability in the UK tabloid press, the SAE said CRP team members had again concluded that the refrigerant release testing conducted by Daimler is unrealistic, following numerous additional tests of various types to study ignition of an HFO 1234yf leak in a crash-damaged vehicle.

In another strongly worded statement, SAE said Daimler’s test “is not an appropriate test to verify the safety of refrigerant applications in vehicles. The Daimler testing did not include any actual vehicle collisions or the mitigating factors that occur in an actual collision.”

It said these factors include the quenching effect of front end compartment deformation, the extinguishing effect of steam released due to radiator breakage, and dispersion of the refrigerant from the condenser outside the engine compartment.

“Daimler’s refrigerant release apparatus and nozzle does not represent actual crash-damaged refrigerant lines, and was found to be artificial.”

The report was welcomed by Honeywell Fluorine Products, the manufacturer of the HFO, which emphasised that even those German manufacturers which have indicated they are in favour of using CO2 in the future cars had not found anything unsafe about the HFO.

Honeywell European managing director Paul Sanders said: “Pretty much all of the car industry has said publicly it can use 1234yf safely, including all members of the [German carmakers group] VDA, apart from Daimler. Opel had its test programme undertaken by engineering body TUV (above), which is globally respected.”

Following the report, Mr Sanders said Honeywell was now calling for the European Commission to censure Daimler for continuing to defy the MAC Directive. If strictly applied, the EC could forbid the registering of non-compliant cars, such as the Mercedes A and B class models which are still being produced with R134a, in contravention of the directive.

He said: “All we can ask is that the law is adhered to. The MAC directive is unequivocal that non-compliant cars should not be registered. The car industry has had seven years to make a compliant vehicle. HFO 1234yf is available today, it meets the MAC directive and it is cost-effective.”

Mr Sanders also claimed that Daimler’s preferred refrigerant carbon dioxide – which it has asked the EC for more time to develop – is not as environmentally friendly as HFO 1234yf across the lifetime of a vehicle.

He said: “CO2 is a smokescreen and it is three to five years away at best. As it is an asphyxiant it would need significant changes to car designs and the service charges would be higher, since if it was to leak, it would all leak at once.”

He warned that the Commission needed to take action against Daimler or risk appearing ineffectual: “It sets a dangerous precedent for the forthcoming F-Gas regulations if one company is allowed to go its own way and flout the law. Allegedly Daimler is saving 50 euros a car for not using 1234yf.  It is not a safety issue, it is a political issue.”

Products Helpful in Recovery, Reclamation

By Peter Powell

April 8, 2013

While the reclamation process may not be meeting industry expectations, numerous manufacturers are offering equipment and devices that make the process easier than ever before. Listed below are a few of the industry’s newest products and technologies benefiting recovery and reclamation.

Atlantic Chemical & Equipment Co.’s (www.atlanticchemical.com) ACESeal AC/R and HVAC/R leak solutions seals small (up to 300 microns) leaks in condensers, evaporators, and refrigerant lines. The AC/R can handle up to 1.5 tons while the HVAC/R can handle up to 5 tons. The AceSeal is not a polymer-based sealant, so no drying agent is required. In addition, it does not require evacuation of refrigerant to input sealant, and the sealant blends with oil/refrigerant mix to travel to the leak. The oil and refrigerant escape through the lead while larger molecules in the sealant bond together to seal.

Fieldpiece Instruments’ (www.fieldpiece.com) SMAN4 is a four-port, wireless digital manifold that has a 3/8-inch port for evacuations and recovery. The four ports allow technicians to evacuate a system, pull a vacuum, add refrigerant, and dial in the charge at one time without having to hook or unhook any hoses.

Fluke Corp.’s (www.fluke.com) CNX Wire System wirelessly connects multiple measurement modules and sends simultaneous readings to a master device up to 20 meters away, allowing users to troubleshoot problems. The customizable tool set allows users to choose various measurement modules based on their specific troubleshooting scenario to read the measurements outside the arc flash zone.

General Tools & Instruments’ (www.generaltools.com) digital refrigerant leak detector (RLD400), which features a semiconductor sensor lifespan of more than 300 hours of operation or 10 years normal use. Three sensitivity levels let users choose the right level for specific environments.

Hilmor’s (www.hilmor.com) electronic gauge with vacuum sensor is a hybrid gauge with both analog and digital readouts with lights color coordinated to the selected refrigerant. It also features a micron gauge, self calibration, and is accurate to within 1 percent. The company also recently introduced a dual readout thermometer with thermocouple clamps that can be attached to any manifold using the hook provided. The tool features two digital temperature readouts so calculating superheat and subcool no longer requires multiple tools. An aluminum manifold has a forged aluminum body with rubberized handles, protective gauge boots, replaceable stainless steel valve stems, and a pressure indicator ring that allows users to mark a spot with a marker.

Polar Technology (www.refrigerantauthority.com) recently introduced TrakRef®, a proprietary and comprehensive refrigerant management program. As explained by the company, the product is designed to provide comprehensive and transparent tracking and management of refrigerants throughout their entire lifecycles. This includes from the time of purchase to deployment throughout maintenance cycles, through recovery and reclamation, to their final destruction at the end of the lifecycle. When the program is incorporated among the participating points in the supply chain, more of the original refrigerant is kept within the supply chain, ownership of the refrigerant can be accounted for, and regulatory compliance is inherently managed. It is available in three customized versions for contractors, distributors, and system owners.

Refco Mfg. Ltd.’s (www.refco.ch) Enviro is a one-knob operation refrigerant-recovery machine. It allows for recovery of all popular CFC, HCFC, and HFC refrigerants using an oil-less, air-cooled compressor. The Enviro is equipped with a self-purging mode as well as a built-in filter.

RefTec Intl. Systems LLC‘s (www.reftec.com) BullDog recovery/recycle/reclaim unit is available in three sizes, the unit processes R-22, R-134a, R-410A, R-11, R-123, and other common refrigerants with the same unit. It processes gas at speeds of 600 pounds per hour. Features include zero cross contamination of compressor oil to gas, portable design so it fits through standard 36-inch doorways, and single power source for unit and controls. The 80 percent tank-full float switch and 12-foot float cable ensure cylinders are not being overfilled.

Robinair (www.robinair.com) introduced the RG3000 Cube, a compact and lightweight refrigerant recovery machine from Promax. It is designed for liquid and vapor recovery of commonly used CFC, HFC, and HCFC refrigerants including R-410A. Equipped with a high-pressure shift-off switch, the machine automatically shuts off if pressure rises above 550 psi, helping to prevent pressure building in a tank or machine. The high-efficiency, cross-flow airflow design allows for more efficient refrigerant recovery leading to shorter cycle times, the company said. The company also displayed a refrigerant recovery, recycle, evacuate, and recharge machine. It can be used for multiple refrigerants. The portable machine’s microprocessor-controlled functions prompt the user through programming and signal preventive maintenance. The float chamber auto adjusts from liquid to vapor. The lockout panel prevents mixing of refrigerants. The heavy-duty filter drier removes moisture and acid from the refrigerant; it can handle 300 pounds between changeovers. The Promax® Cube™ refrigerant-recovery machine is capable of recovering both liquid and vapor refrigerant. The machine has a 1/3-hp, single-cylinder oil-less compressor.

Spectronics Corp.’s (www.spectroline.com) Optimax 400 leak-detection flashlight features power comparable to high-intensity, 150-W lamps, and an inspection range of up to 25 feet.

SuperCool’s (www.supercoolsliderule.com) Slide Rule is an R-22 and R-410A charging and duct calculator that performs superheat, subcooling, and duct calculations in one tool. Fixed meter-device charging is provided for R-22 and R-410A. TXV charging is also provided for R-22 and R-410A.

Superior Signal Co. LLC (www.superiorsignal.com) introduced the AccuTrak® VPE-GN ultrasonic leak detector with a 9 ½-inch gooseneck. The unit is sensitive to the ultrasonic sound of a turbulent gas leak. Using a technology called heterodyning, it translates the sound to a lower frequency which human ears can interpret, said the manufacturer. The device maintains the original sound characteristics, making it possible to distinguish leaks from other background sounds. The leak detector is designed to pinpoint leaks in air conditioning and refrigeration systems, acknowledging present air, vacuum, refrigerant, or gas leaks.

Testo AG’s (www.testo.com) testo 316-3 is a refrigerant-leak detector that includes a sensor head, transport case, calibration certificate, batteries, and a filter. It has one-button operation and the high/low sensitivity adjustment allows users to pinpoint the leak source. The company also offers the testo 310 and testo 320. The 310 is a residential combustion analyzer with a built-in condensate trap. The 320 is a high-definition combustion analyzer for both residential and commercial applications. There are many features with the 320, including its full-color, high-definition screen.

Universal Enterprises Inc. (www.ueitest.com) introduced the DRS220 digital refrigerant scale, which measures weight in both metric and English units, is programmable, and has a built-in alarm to indicate a programmed threshold has been exceeded.

Publication date: 4/8/2013

Peter Powell is Refrigeration Editor. E-mail him at peterpowell@achrnews.com.

Reclamation Looking for Jumpstart

By Peter Powell

April 8, 2013

A fractional distillation tower in Ohio.
(Photo courtesy of A-Gas RemTec.)

Reclamation is in a rut. Shortly after the arrival of the Montreal Protocol, 25 years ago, came the 3 R’s: Recover, Recycle, and Reclaim. Service technicians would recover refrigerant to avoid fines for illegal venting. They’d then run the gas through an on-site recycling machine to clean it up a bit. But if they were not sure how pure the stuff they were planning to put back into the system was, they would put a virgin version of the same refrigerant into the system and send the old stuff to off-site reclamation facilities, to be brought back to the certified highest level of purity — ARI 700. The reality is that in 2012, and thus far in 2013, few technicians and contractors are bringing R-22 back for reclamation despite an abundance of capacity at many reclamation facilities. “Based on the U.S. Environmental Protection Agency (EPA) report, the amount of R-22 reclaimed year over year has remained relatively flat for the past five to six years, hovering around 5 or 6 percent of HCFC-22 demand,” said Debra D. Goodge, refrigerant reclaim programs manager for DuPont. “Beginning in 2010 with the issuance of the Final Rule (regarding phase out of R-22), there was an expectation that reclaim would be needed to fill a projected R-22 supply-demand imbalance — somewhere in the neighborhood of 27.5 million pounds each year. For the past two years, there has not been an uptick in the amount of reclaimed R-22 going through reclaimers. It’s remained steady around 8 million pounds.” Christopher Foutz, marketing manager, Honeywell Refrigerants, said, “The amount of R-22 reclaimed in 2011 was similar to the amount of R-22 that was reclaimed in 2006.”

What’s the Problem?

“One of the major contributors to the flat or declining recovery rate is that many R-22 users have adopted a practice of reusing their recovered refrigerant,” said Gordon McKinney, vice president and COO, ICOR Intl. “Even though some might be making an attempt to recycle (filter out particulates and/or separate out oils), without properly analyzing the recovered gas to determine composition and quality, the user and equipment owner are rolling the dice.”

Walt Baker, vice president of sales and marketing, Polar Technology, said, “A lot of this can be attributed to the commodity nature of refrigerant gases. Supplies are plentiful and prices reflect the availability of supplies. Therefore, the role of reclaim has been relegated to philosophies regarding environmental stewardship.”
Then there is the economics of reclamation for the contractor, said Ken Beringer, senior vice president of Airgas Refrigerants Inc. “The industry has not seen a significant increase in returned R-22 because, in my opinion, the majority of the product is harvested in small batches which do not have a great deal of value. Until January 2012, the returned gas had very little value and, in many cases, there was a disposal charge when the product was returned.”

Patti Conlan, who manages the reclaim program for Arkema, said, “In the past, the volume of reclaim has been low due to monetary gains not being passed down to the contractor level as an incentive to reclaim, as well as the possible legal and illegal reuse of R-22.”

Yet awareness is growing, said James Sweetman, president, Consolidated Refrigerant Solutions. “We have seen heightened awareness among contractors regarding the need to become involved in a viable reclaim program.”

Arkema’s Conlan is also predicting an uptick. “As the EPA has anticipated, we have just recently started to see an increase in reclaim coming back with the increasing price of R-22.” Said Beringer, “With the phaseout of HCFCs, the amount returned should increase as the price of used gas continues to rise. The very rapid appreciation in new product pricing may have led to the illegal practice of filtering used product and introducing it into the system of a different owner.” Ken Logan, president of A-Gas U.S. Holdings Inc., agrees, stating that “Currently the decreasing availability of virgin product is starting to make a difference. Over time the gap will widen further and the two will become inversely proportional.”

The HFC Factor

Also entering the equation is the industry’s focus on the use of HFC refrigerants as retrofits into systems originally designed for R-22. Owners of large amounts of equipment can move recovered R-22 around to not-yet-retrofitted systems and may or may not look at the reclamation option.

Honeywell’s Foutz said, “Retrofit HFC refrigerants have been available for several years. To date, the availability of the retrofit HFC refrigerants has not stimulated significant growth in R-22 reclamation. As R-22 supplies tighten, the economic incentive should stimulate retrofits to HFC refrigerants and stimulate R-22 reclamation growth.”

ICOR’s McKinney looks at the HFC retrofit from a historical perspective. “If given the opportunity, equipment owners will squeeze the most life out of their systems as possible. It was R-12-alternative HCFC refrigerants that played the most significant role in closing the supply/demand gap during the CFC phase out. Based upon the tremendous market shift in the last few months to HFC alternatives, history is set to repeat itself.”

He noted, “In the near future the R-22 supply — virgin and reclaimed — will be set aside for critical applications where alternative refrigerants are not suitable, such as flooded chillers and systems that have highly sophisticated refrigerant-specific controls.”

For A-Gas’s Logan, this can be iffy. “Keep in mind, retrofitting a system to a refrigerant it wasn’t initially designed for normally involves compromises and not everything is capable of retrofit. The industry itself will decide what can and cannot be retrofitted successfully. Retrofit activity will help conserve supplies of reclaimed R-22 overall.”

Jump Start

What will jump start the sector?

DuPont’s Goodge said, “It is a matter of supply-demand dynamics. If R-22 supply is limited, or the price increases dramatically, there is added incentive to manage the R-22 asset. A major element of a refrigerant management plan is extracting value from the installed R-22. Options include using recovered R-22 to do one or more of the following: gain access to lower-cost R-22 to continue to service equipment that remains on R-22, lowering the cost to retrofit existing equipment to an alternative HFC refrigerant, and/or reducing equipment replacement costs by extending the life of R-22 equipment by using either reclaimed R-22 or an HFC alternative.”

Airgas’s Beringer said it is a matter of economics, “People do not waste what is valuable. If the EPA had more enforcement, and made people accountable for their used product, then the culture would change. Higher pricing should help.”

As will awareness, said Consolidated’s Sweetman. “We believe that there is sufficient interest within the cooling and refrigeration industry to support increased reclamation. Companies that, for years, have been ‘kicking the can down the road’ or ‘dragging their butts’ are really starting to get on the ball. These contractors that have been conducting business as usual are finally reaching out to us for a more viable reclaim option.”

Publication date: 4/8/2013

Peter Powell is Refrigeration Editor. E-mail him at peterpowell@achrnews.com.

A-Gas Acquires RemTec and Refrigerant Reclamation Technologies

Refrigerant Updates

Converting Away From R-22

Editor’s Note: The following article was prepared by ICOR International and references some technologies and products specific to the company.


With the impending phaseout of R-22 looming, the price and availability of the product will soon make it impractical to use.

With virtually tens of millions of R-22-designed a/c systems in operation, refrigerant users and equipment owners will need to employ a number of alternative options to satisfy their cooling needs. Due to the special application designs and cooling requirements found in multifamily structures, there are a unique set of challenges in maintaining cooling equipment and fewer practical options.

It is illegal to purposely vent any refrigerant. All refrigerant users must possess an EPA 608 certification (required by law under The Clean Air Act) to recover all refrigerants. Recovered refrigerants are to be recycled or returned to an EPA-registered reclaim service provider (one example of which is Refri-Claim [www.refri-claim.com]).

The law does allow equipment owners to recycle and reuse refrigerants in their own equipment without processing it through a reclaim company. However, this practice adds additional costs in the form of equipment, labor, and energy, and, if done improperly, can create additional service problems and even equipment failures.

Equipment Replacement

HFC-410A is the non-ozone depleting replacement of choice by new equipment manufactures. Since R-410A operational pressures are much higher than that of R-22, R-410A-designed systems incorporate unique materials and components. For this reason users cannot use R-22 in an R-410A-designed system, or use R-410A in an R-22-designed system. The refrigerants must be segregated and used only in systems designed for their unique characteristics.

Even though R-410A is a highly efficient refrigerant and the equipment’s physical footprint does not pose any new challenges, the cost of replacing an existing R-22 designed system with an R-410A system may be impractical. With most multifamily systems, the evaporator (indoor unit) has a much longer lifespan than does the condenser (outdoor unit). However, R-410A pressures require the replacement of the outdoor unit as well as the indoor unit. And since R-410A systems require the use of a product specific lubricant — POE oil — the system piping (line sets) must be flushed with a special solvent to remove any build up along the piping walls.

Refrigerant Conversion

For equipment owners with a restrictive budget, full equipment replacement to R-410A may be impractical.

The simplest and least costly option to maintaining an existing piece of R-22 equipment is to convert the system to a direct replacement refrigerant. For example, HFC-422B (marketed by ICOR International as NU-22B) is a non-ozone depleting, nontoxic, and nonflammable direct replacement that nearly duplicates the operating characteristics of R-22. System conversions to R-422B do not require the use of any product-specific materials or components. Therefore decision-makers can extend the lifespan of both the indoor and outdoor units and avoid any costs associated with flushing or replacing system piping.

The Conversion Process

Here is the conversion process using R-422B as an example:

1. Recover all of the R-22 from the system following EPA regulations.

2. Complete all necessary system services and repairs.

3. Pressurize system and performance leak check.

4. Pull system into a vacuum.

5. With the system off, initially charge R-422B in the system to 80 percent of the original R-22 charge as a liquid. Note: Charging a system with R-422B as a vapor will reduce system performance.

6. Start system and allow pressure to stabilize.

7. To maximize system performance on a fixed orifice system, check compressor superheat; on expansion valve units check system subcooling. Adjust charge as necessary. Note: Refer to the original equipment manufacturer’s superheat and subcooling specifications.

8. Leak check the system and establish preventive maintenance schedule.

A special note: For large-tonnage equipment or unique systems, and or applications, contact ICOR’s Tech-2-Tech department for conversion assistance. Do not use R-422B or any other 400 Series refrigerant in a flooded evaporator application.

Global Expansion Continues With US Deal

The Bristol Post
Michael Ribbeck
August 8 2012

A-Gas buys disposal specialist

A company based in Portishead which specializes in supplying gases used in refrigeration has just completed its fourth takeover this year.

A-Gas has gone on its acquisition spree as part of a strategy to expand into international markets.

The firm is already one of the world's largest suppliers of refrigerated gases, environmental services and specialty gases and chemicals.

The company, which also has offices in Bristol, has bough United States based RemTec International in its latest deal. The firm specializes in disposing of harmful gases.

The value of the deal was not made public but it took place with support from private equity specialist LDC, which invested in the firm in April 2011.

RemTec was set up in 1986 and provides products and services inolved in managing Ozone Depleting Substances (ODS) and substances high in Global Warming Potential (GWP) across the world. 

As part of the expansion plan A-Gas has now got a presence in the Middle East, China, Australia and India as well as Latin America.

RemTec has contracts with organizations all over the world to remove, recycle and remarket halocarbons.

The acquisition of RemTec follows on from similar acquisitions of Australian-based Technochem in March and SA Rural in May, and UK based A-Zone Technologies in April.

John Rutley, chairman of A-Gas International, said, "The acquisition of RemTec is another great example of our ambition to grow the business on a global scale."

"RemTec brings a market leadership position in Halons and a strong platform for growth in refrigerants; we believe that there is real scope to build further upon RemTec's success to date in North America, whilst also driving value across the enlarged group."

Ian Podmore of LDC added: "2012 has been an exceptionally busy year to date for A-Gas. RemTec is the fourth strategic acquisition completed by the business this year and not only strengthens their existing position in the global refrigerant market but also gives the business real scale within the USA."

"The transaction brings many strategic benefits to A-Gas and is part of an agreed strategy to rapidly expand and build the business both through organic investment and bolt-on acquisitions. We will continue to work closely with the team to drive their amitious growth plans."

Yann Souillard, managing director of LDC South Region, added: "LDC's South team has worked in close conjunction with the management team to support their ambitious 'buy and build' growth strategy. As part of our investment commitment, LDC works closely with our investment portfolio to provide expertise and follow-on funding when the right target companies become available."

West Gas Firm Expands With Buying Spree

Western Daily Press
9 August 2012

A company based in Portishead which specializes in supplying gases used in refrigeration has just completed its fourth takeover this year.

A-Gas has gone on its acquisition spree as part of a strategy to expand into international markets.

The firm is already one of the world's largest suppliers of refrigerated gases, environmental services and specialty gases and chemicals.

The company, which also has offices in Bristol, has bough United States based RemTec International in its latest deal. The firm specializes in disposing of harmful gases.

The value of the deal was not made public but it took place with support from private equity specialist LDC, which invested in the firm in April 2011.

RemTec was set up in 1986 and provides products and services inolved in managing Ozone Depleting Substances (ODS) and substances high in Global Warming Potential (GWP) across the world. 

As part of the expansion plan A-Gas has now got a presence in the Middle East, China, Australia and India as well as Latin America.

RemTec has contracts with organizations all over the world to remove, recycle and remarket halocarbons.

The acquisition of RemTec follows on from similar acquisitions of Australian-based Technochem in March and SA Rural in May, and UK based A-Zone Technologies in April.

John Rutley, chairman of A-Gas International, said, "The acquisition of RemTec is another great example of our ambition to grow the business on a global scale."

The Coalition for Responsible Fire Protection September Conference

RemTec International: Full Service Halon, Refrigerant & Clean Agent Specialist

RemTec Launches New Website!

Check out RemTec's new website! We have updated the look and and usability for the convenience of our customers and future customers. Thanks for visiting!
www.remtec.net

California Home Service Contract Association Reports: Value of Home Service Contracts Increases in Wake of EPA Proposal to Reduce Allowances of Freon(R)

VAN NUYS, Calif., May 17, 2012 (BUSINESS WIRE) -- As a steady increase in the price of a common air conditioning refrigerant prompts a spike in maintenance costs for homeowners across California and the nation, the California Home Service Contract Association (CHSCA) reports home service contracts are increasing in value.

On Jan. 1, 2010, the Environmental Protection Agency (EPA) placed a ban on the manufacture of new air conditioners using R-22, a refrigerant more commonly known as Freon(R), because of its ozone depleting effects. The use of R-22 was not banned, but allowances were dictated on its future manufacture and in order to service existing home air conditioners.

Then on Jan. 4 of this year, the EPA proposed a rule that, if adopted, would significantly reduce production and distribution of Freon(R) by as much as 50 percent. This has significantly increased, and in many cases, more than doubled the price of Freon(R) in recent weeks, according to the CHSCA.

"The majority of the time our industry repairs an existing air conditioning system, R-22 is involved in that repair," Jeff Powell, chairman of the CHSCA, said. "That means the cost of repairing air conditioners has gone up significantly. However, because home service contracts cover service and repair to existing systems, and providers have generally not increased the price of those contracts, the value to consumers has increased."

Home service contracts generally provide service, repair or replacement for items such as dishwashers, ovens, disposers, electrical and plumbing systems -- and most importantly, heating, ventilation and air conditioning systems. Many home service contract providers also offer a menu of optional items such as pool and spa equipment, well pumps, and free standing appliances such as refrigerators and clothing washers and dryers for an additional fee. Contracts do not cover pre-existing conditions, but provide service, repair or replacement for failures arising due to normal wear and tear during the contract period.

To learn more about home service contracts and providers in California, please visit http://www.homeservicecontract.org/california.htm .

About CHSCA
Members of the new CHSCA, which provide approximately 95 percent of all home service contracts in California, include 2-10 Home Buyers Warranty, American Home Shield Corporation, BPG Home Warranty, Fidelity National Home Warranty Company, First American Home Buyers Protection, HMS National/Cross Country Home Services, Inc., Home Security of America, Inc., Home Warranty of America, Inc. and Old Republic Home Protection Co., Inc.

About the National Home Service Contract Association
The NHSCA is a non-profit 501((C)) (6) industry trade organization of member companies serving home service contract providers and consumer interests throughout the United States. To learn more about the NHSCA and to find answers to the most common questions regarding the purchase of home service contracts, visit www.homeservicecontract.org .
SOURCE: California Home Service Contract Association

        
        For California Home Service Contract Association 
        Jeff Powell, 818-374-7477 
        Art Ansoorian, 805-653-1648

Refrigerant shortage driving AC repair costs up

Shortage of R-22 refrigerant driving costs up; could require new AC units for some

By Bruce Henderson
bhenderson@charlotteobserver.com 

The soaring cost of some refrigerants will mean sharply higher air-conditioner repair costs this spring, experts say, adding a bit of gloom to this week’s early bloom.

The refrigerant known as R-22 is being phased out because it eats Earth’s protective ozone layer. R-22 air conditioners were made until 2010, and millions still operate.

But owners who need to replace leaked refrigerant this year are in for a nasty surprise: R-22 prices have tripled since January. Homeowners who would have paid $100 to recharge an R-22 system last year can now expect to pay $300 to $350, says an industry group, the Air Conditioning Contractors of America.

It could get much worse, as Charlotte’s Tracy Lee found Friday.

An evaporator coil rusted in one of his home’s cooling units, installed in 2005, and leaked its refrigerant. The repair technician “said the most expensive part of the repair was the refrigerant,” Lee said.

He barely exaggerated. The $1,958 estimate included five pounds of R-22 at $188 a pound, nearly half the repair cost.

Industry officials expect the price spike to smooth out over time – but not before July, in the depths of hot weather.

“In the meantime, I’m going to be caught in the crosshairs,” said Lee, whose house has two other air conditioning units of the same vintage.

AC service companies are scrambling to make sure they can serve their customers.

“For customers, it means they’re going to pay a lot more than they did last year,” said Morris-Jenkins owner Dewey Jenkins, “and going into the summer no one knows, there might not be enough” R-22.

Jenkins’ company, sensing trouble, stockpiled enough R-22 to take care of its customers who are under maintenance contracts. Jenkins estimated that a typical service call might cost an extra $80 to $120 this year.

Replacing a unit’s full R-22 charge with the newer alternative called R-410A, he said, would cost $1,000 to $1,200.

Brothers’ Roger Costner said his company is still working on pricing, but estimates a typical service call might cost an extra $50 this spring. He does not expect suppliers to run out of R-22 because he anticipates it to be increasingly recycled.

But AC experts say some customers will be faced with hard choices about older R-22 units with serious problems such as leaking components.

“Our thinking is if they do have a major issue with their system, they really should consider paying for a new system,” Costner said. New units will cool more efficiently and are likely to have longer warranties than older ones, he said, helping recoup their costs.

Josh Franks learned Friday that he falls into that unfortunate group. Franks paid $289 to recharge the R-22 in his 12-year-old air-conditioning unit, for the second time in two years.

With a slow leak in the unit, Franks said, “it looks like I’ll have to spend a whole lot more to put in a whole new system.” The repairman quoted a new system at $5,500.

The industry has known for years that R-22 supplies would slowly shrink under terms of a 1987 international agreement on ozone-depleting chemicals. The Environmental Protection Agency sets new manufacturing limits about every five years.

But even a year ago, the refrigerant was plentiful and selling at record lows.

“Nobody really knows how much is out there, or how we got from a glut to uncertainty” about supplies, said Charlie McCrudden, vice president for government relations at the Air Conditioning Contractors of America.

Last August the EPA, prompted by a lawsuit, proposed reducing manufacturing volumes this year. In December, the agency proposed cutting manufacturing capacity by up to 47 percent for 2012 to 2014, in part to encourage reuse of existing stocks.

That created “a frenzy” that drove prices upward, McCrudden said. He predicts it will be July before the issue is settled.

“I think everybody got spooked,” he said. “I don’t think EPA intended to create this type of price spike and upheaval.”

Henderson: 704-358-5051

Read more here: http://www.charlotteobserver.com/2012/03/16/3104020/refrigerant-shortage-driving-ac.html#storylink=cpy

Read more here: http://www.charlotteobserver.com/2012/03/16/3104020/refrigerant-shortage-driving-ac.html#storylink=cpy

EPA Expected to Reduce R-22 Refrigerant Allocation

Maintenance Insider

While the EPA is not expected to issue a final allocation determination until later this summer, R-22 allocations will likely be reduced between 11 percent and 47 percent from the previous level.

Property managers have recently received information from their service providers informing them that the supply of R-22 refrigerant is uncertain and prices have escalated sharply as a consequence.

NMHC’s Eileen Lee says that it has been implied that the Environmental Protection Agency (EPA) has accelerated the phase out of this refrigerant, thus causing the supply disruption. While EPA has temporarily reduced the allocation (the amount of R-22 that is able to be produced or imported), this is an interim measure based in part on the oversupply of R-22 in the marketplace. The final allocation levels of R-22 will be issued later this year, and supplies are expected to be available to meet demand.

Background: R-22 is a member of a class of ozone-destroying chemicals (HCFCs) that is regulated under an international agreement. As of 2010, manufacturers were prohibited from importing R-22 for use in new equipment and, after 2020, R-22 will no longer be permitted to be manufactured or imported. Only R-22 that is recycled from other sources will be available for servicing existing equipment.

EPA sets an allocation level for the amount of R-22 that can be produced or imported. EPA and equipment manufacturers expect that the phase-out timetable for R-22 will enable the servicing of existing equipment throughout its useful lifetime. EPA is not accelerating the phase-out schedule of R-22, Lee says.

However, last year, EPA found that there was an oversupply of R-22 in the marketplace. A trade organization representing the manufacturers and importers of R-22 supported these claims, and advocated for a 20 percent reduction in allocations (the amount able to be produced or imported) for 2012-2014. Additional information on R-22 is available at www.epa.gov/ozone/title6/phaseout/22phaseout.html.

Current Situation: In January, EPA issued an interim proposal that reduced allocations for the current period by 45 percent. This reduction caused concern within the air conditioning/ refrigeration service industry. While EPA is not expected to issue a final allocation determination until later this summer, R-22 allocations will likely be reduced between 11 percent and 47 percent from the previous level, Lee says.

Air-conditioning service providers did not anticipate the current supply disruption. NAA/NMHC have consulted with colleagues at the Air Conditioning Contractors Association for an explanation of the current marketplace situation. They have provided a memorandum at www.naahq.org/governmentaffairs.

Best Practices: See www.epa.gov/ozone/title6/phaseout/22phaseout.html for the description of the preferred common-sense approach at a technician level. It will help to properly diagnose a problem with an air-conditioning system and repair the system to maintain the smallest amount of R-22 possible. “When it is time to replace the system, recover the R-22 in such a way as it can be reused onsite to reduce the amount of R-22 needed to be purchased. This type of response ensures the smallest financial impact on the community regardless of the supply and price of R-22 in the future,” says Paul Rhodes, National Safety & Maintenance Instructor, NAA Education Institute.

You’ll need cold cash to service your air conditioner

By Jim Weiker

Air-conditioner repairs could leave central Ohio homeowners hot and bothered this spring.

This winter, the cost of the refrigerant used in older air-conditioning units jumped more than 200 percent.

That means homeowners who used to pay $150 or $200 to recharge their air conditioners for the summer could pay twice that amount this time around.

“If you’ve got a leaker and need a couple pounds (of refrigerant) to get you through the summer, it’s going to cost you a whole lot more this summer than it has in the past,” said John Frary, service manager with the Favret Co., a Columbus heating and air-conditioning firm.

The price of R-22, the refrigerant used in many older air conditioners, skyrocketed on Jan. 20 after the U.S. Environmental Protection Agency ordered that manufacturers cut production of the material by 45 percent this year.

The wholesale price then “went off the charts,” said Rod Essig, with Carr Supply, a Columbus company that supplies the heating and air-conditioning industry.

The cost of a 30-pound tank instantly leapt from about $150 to about $400. Homeowners who traditionally have paid about $20 a pound during a service charge could now pay about $50 a pound.

The jump is so severe that at least one company, Sears Heating and Cooling in Columbus, might start charging by the ounce.

“We have customers who regularly ask us to add refrigerant every year because they have a small leak,” said Sears Heating owner Paul Schwerling. “But this will be so expensive by the pound.”

The EPA is phasing out R-22 by 2020 because it damages the ozone layer that protects Earth. Most air conditioners built in the past five years, and all air conditioners built in the past two, use a different refrigerant, called R-410A.

Still, an estimated 70 million — as much as 75 percent — of existing home air conditioners rely on R-22, according to industry sources.

January’s EPA announcement prompted such a run on R-22 that many distributors, including Carr, limited the amount that contractors could purchase. Distributors typically don’t stock a lot of R-22 until weather and demand heat up in the spring.

“We got caught with our pants down, along with many other distributors,” Essig said.

Some industry officials worry that air-conditioning contractors could end up without R-22 altogether this summer, although Talbot Gee, executive vice president of a trade group that represents heating and cooling suppliers, said he thinks there will be enough to meet demand.

Gee’s organization, Columbus-based Heating, Airconditioning & Refrigeration Distributors International, has joined others in an effort to raise R-22 production limits this year. Still, the long-term outlook on R-22 is clear: It will become more scarce and expensive until it vanishes altogether in eight years.

Manufacturers are promoting alternatives to R-22, although Gee said that using them could void warranties.

Industry officials think the rising cost to repair older air conditioners could fuel sales of new units, which can run $3,000 to $5,000.

“If you have a leak and need a refrigerant repair, it may be advantageous to upgrade your system because of cost,” Frary said.