MINUTES OF MEETING

Name of the Committee Date & Time Venue

11 Technical Committee Meeting for 19th March 2019
th
Conference Hall, West Block-2,
Room air conditioners 3:00 PM- 4:30 PM BEE.

BACKGROUND

11th Technical Committee meeting for Room air conditioners was held on 19th March 2019 at
Conference Hall, West Block-2, BEE. Welcoming the participants Shri. Sameer Pandita, Director
informed that this meeting had been convened primarily to discuss further scope of improvement in
the existing energy efficiency level, since the validity of existing star rating table for both Window and
Split type air conditioner is going to expire on 31st December 2019.
DISCUSSIONS

1. The agendas for the meeting are as follow:-

a. Production trend of Air conditioners at each star level.
b. Review/Ratcheting up of the existing star rating table for air conditioners.
c. Expansion of Cooling capacity present in the S.O. 2528(E), which is 9000KCal/hr
(10,465watts / 2.978 tonne) until 18,000 watts and inclusion of 3 phase units in line
with IS 1391 part 2(amended last on 2018).
d. Sample size of the test units for registration under BEE star labelling program of air
conditioners.
e. 24 ° C default temperature setting in air conditioners.
f. Deep freezer star labelling program in terms of recommendation of India Cooling
Action Plan (ICAP).

2. BEE stated that the analysis of production data submitted by manufacturers, indicate that 7.6
million of room air conditioners were produced in the financial year 2017-2018. Almost 70 %
of the room air conditioners produced in the FY 2017-18 were fixed type AC and the remaining
30% produced were inverter type AC.

3. The market for Room air conditioners has steadily increased from FY 2011 to 2017 with a
CAGR of 18%. The weighted average of ISEER has also increased from 2.80 (in FY 2011) to
3.70 (in FY 2017). About 87% of the market share in FY 2017-18 is still split type, 12% unitary
type and 1% consists of ceiling mounted (cassette) and floor standing AC.

4. The 3 star rated AC continues to dominate the market with a share of about 66%, followed by
5 star 18%, 2 star having 7 %, 1 star having 6 % and 4 star having the least market share of 3%.
5. Based on the analysis of 5 star inverter split type AC data, the maximum ISEER value reported
by the manufacturers and the corresponding production data for each of the capacity/tonnage
for the FY 2017-18, were reported to the members of the Technical committee as given below.

Sl. No. Tonnage category Maximum ISEER Number of units

produced

1 <1 TR 4.80 1200

2 1 TR 5.80 7000

3 >1 TR to < 1.5 TR 5.20 33000

4 1.5 TR 5.33 4000

5 >1.5 TR 4.95 600

6. During the meeting, BEE reported that few manufacturers have declared and registered some
of the models with much higher ISEER value, which makes the case stronger to make the
efficiency level more stringent even though the production for these models reported is less for
FY 2018-19

Sl. No. Tonnage category Model with Maximum ISEER

1 <1 TR 5.40

2 1 TR 6.15

3 >1 TR to < 1.5 TR 5.20

4 1.5 TR 5.60

5 >1.5 TR 5.40

7. BEE stated that as per the recommendation of India Cooling Action Plan, BEE has to devise
a suitable action plan for ratcheting up the energy efficiency levels of room air-conditioners as
early as possible, followed by periodic review based on the market feed-back as well as
emergence of new technology innovations in future.

8. During discussion it emerged, that EESL along with BEE recently launched a program for the
procurement and deployment of about half a million RAC with a minimum ISEER value of
5.2.
9. Chair mentioned that the Global Cooling Prize, under Mission Innovation, with a prize money
of 3 million US dollar, is expected to have an impact and provide necessary breakthrough in
terms of a commercially viable prototype of super-efficient AC, which would not only be about
four times efficient than the present RAC’s sold in Indian market but also five times more
environmental friendly.

10. Having presented the existing market and energy performance scenario, new star rating tables
for split and unitary AC’s were proposed during the meeting for discussion and views of the
members on the proposed star rating tables were sought out. The tables are as follow:-

Proposed star rating plan for split AC labeling program effective from 1st January 2020 to 31st
December 2021 with one star upgradation for 2 years.

Star level ISEER Band

1 Star 3.30-3.49

2 Star 3.50-3.99

3 Star 4.0-4.49

4 Star 4.5-4.99

5 Star ≥ 5.0

Proposed star rating plan for split AC labeling program effective from 1st January 2022 to
31st December 2024 with one star upgradation for 3 years is as follow:-

Star level ISEER Band

1 Star 3.50-3.99

2 Star 4.00-4.49

3 Star 4.50-4.99

4 Star 5.00-5.49

5 Star ≥ 5.50
 Proposed star rating plan for unitary type air conditioner labeling program effective from 1st
January 2020 to 31st December 2024 with one star upgradation for 5 years is as follow:-

Star level ISEER (Min)

1 Star 2.70-2.89

2 Star 2.90-3.09

3 Star 3.10-3.29

4 Star 3.30-3.49

5 Star ≥ 3.50

Thereafter, a detailed deliberation regarding further scope or avenues to improve the energy
efficiency value of window/unitary room air-conditioner, it emerged that there is not much
scope to go for higher efficiency level due to size constraint and very slow growth rate.

11. Subsequently, RAMA made a presentation highlighting the existing market trends of 5 star
RAC. It was emphasized, that since the inception of Star labelling program for air conditioner,
RAMA has supported BEE star labelling program, which resulted in a steady improvement in
energy efficiency level of RAC, since the launching of the program, on a voluntary basis.

12. RAMA stated that the share of 5 star rating has considerably gone down and the market share
of 3 star has shown an increasing trend. It was further submitted that the overall production of
RAC across all star-rating band in the financial year 2018-19 was expected to be lower as
compared to 7.6 million units in the FY 2017-18. RAMA submitted that due to the ratcheting
up of the energy efficiency standards, and the increase in taxes and import duty on major
components, the RAC prices have gone up and thereby influencing the sales volume.

13. Taking a note of manufacturer’s concerns presented by RAMA, BEE clarified that, ratcheting
up of energy efficiency levels alone would not have a direct bearing on the market price of the
RACs. There are other major factors, which plays a vital role in controlling the market price,
such as the market dynamics, consumer demand and other factors which are beyond the area
of work of BEE or Ministry of Power eg. levy of GST on air conditioning appliances. It was
further mentioned that the total production data of AC’s for FY 2018-19, during the last quarter
are yet to be submitted by the manufacturers and only once the complete year data is available,
the scenario might look different, so it is still quite early to speculate the decreasing sale trends
with the production data.
 14. RAMA proposed that the existing star table may be extended for next two years and the
subsequent star table may be finalized at a later stage. Responding to this, BEE stated that
members were given sufficient advance information about the TCM and the proposed agenda
and therefore the manufacturers had sufficient time to do their homework and come out with
specific proposal on the star rating level beyond December, 2019. After detailed deliberations,
BEE requested RAMA and all other TCM members to submit individual proposals particularly
on the star rating level and the proposed timelines, supported by technical justification within
7 days of the issue of minutes.

DECISIONS

Based on detailed deliberations with the technical committee members, following decisions were
taken: -

1. BEE requested that the members from manufacturing organizations and RAMA might either
concur with the proposal presented or else provide inputs on the proposed star table directly to
BEE, within seven days from the date of issue of minutes. It was requested that these inputs
should be supported by adequate justifications. BEE assured that the inputs shared by the
manufacturers would be treated as strictly confidential. RAMA committed to give the inputs
on the proposed table within 15 days i.e. by 4th April 2019.

2. It was agreed that, all RAC’s sold in the market should have a default temperature setting at
24 °C. Members from the industries appreciated and supported the decision of GOI and agreed
to comply with the same as early as possible in the national interest.

3. BEE proposed to expand the scope of the existing schedule beyond 10.5 kW cooling capacity
of split type AC to 18.0 kW and to include 3 phase air conditioners in accordance with the
scope of revised version of IS 1391(Part 2). While the manufacturers agreed in principle for
inclusion of higher capacity RAC under BEE star labelling program, they expressed difficulty
in complying with the existing star rating level for higher capacity ratings. After examining
various technical issues, it was decided that it would be technically justified to develop a
separate star rating plan for RACs with capacities in excess of 10.5 kW. Manufacturers were
requested to share data on performance and energy efficiency of RAC’s with capacities in
excess of 10.5 kW for both single and three phase applications including the sales data
preferably for both domestic and imported RACs, which was agreed by the manufacturers.

4. Manufacturers mentioned that as per the present RAC notification, there is an ambiguity
regarding the number of samples required to be tested for registering an air conditioner model
under star labelling program. BEE clarified that manufacturers must submit test reports of two
samples while registering under S&L program. All the stakeholders agreed to provide test
reports of two samples for registration of an AC model under Standards and Labelling
program.
5. Chair informed that as per the recommendation of India Cooling Action Plan, voluntary star
labelling program of Deep freezer has to be launched immediately. BEE sought the support of
all the stakeholders and requested RAMA, and all the manufacturers in the committee to
provide the list of manufacturers and their contact details both in large and MSME sectors, in
the deep freezer segment. RAMA and the members from industries on the committee agreed
to provide the required details to BEE, within 15 days from the issue of minutes of the meeting.
 ANNEX A
LIST OF MEMBERS PRESENT IN THE MEETING

Sl. No. Name Designation Organization

1 Mr. Sameer Pandita Director BEE
( Chair)
2 Mr. T P Ashwin Project Engineer BEE
3 Ms. Deepshikha Wadhwa Project Engineer BEE
4 Ms. Archana Walia Director CLASP
5 Mr. P K Mukherjee Sr. Advisor CLASP
6 Mr. Kishore Kumar Senior Associate CLASP
7 Ms. Neha Dhingra Manager CLASP
8 Mr. Anurag Jassal Sales leader Trane
9 Mr. RK Mehta Secretary RAMA
10 Mr. Bimal Tandon Director Engineering RAMA
11 Mr. JM Bhambure Advisor Technical RAMA
12 Mr. Inder Jeet Singh DGM LG
13 Mr. C Haridas VP-sales and marketing Bluestar
14 Mr. N B Panth R&D, IFB CEAMA
15 Mr. Manish Tyagi Manager Highly compressors
16 Mr. Nilesh Shah Manager JCH-IN
17 Mr. Amit GM-sales ETA general
18 Mr. Farokh Director- Marketing Carrier
19 Mr. Vasu Sr. GM Voltas
20 Mr. Deepak Baid GM Havells India
21 Mr. S. Sundaramoorthy Dy. Manager Panasonic
22 Mr. Ashok Kumar D K Sr. Manager Samsung India
23 Mr. Balvinder Arora Business & operations Intertek india
22 Mr. Vippan DGM Samsung
24 Mr. Sandeep Verma GM-design JCI-Hitachi
25 Mr. B N Tripathi Manager -Regulations DGM
26 Mr. Rohit Koul DM-Marketing Mitsbushi
27 Mr. Khushboo Kindo Scientist – B BIS
28 Mr. D. Venkatesh Engineering -officer CPRI
29 Mr. Santosh Salian Assistant Vice President Godrej
30 Mr. Gaurav Mehtani AGM Diakin
31 Mr. Rahul Gupta Sr. Manager Carrier Midea
32 Mr.Jitender AGM-R&D Carrier- Midea
33 Mr. Krishna Singh DM-applications Emerson

There being no other business, the meeting ended with a vote of thanks to the Chair.