Poor-Quality HVAC Installs Are Costing Us. A Solution Is Within ... - NRDC (Natural Resources Defense Council)

California has ambitious goals for transitioning to clean, all-electric appliances to eliminate building emissions. But meeting these goals will require action on a little discussed, yet critical issue: HVAC permitting compliance. 

Heating, ventilation, and air conditioning (HVAC) is responsible for 24 percent of electricity use and 40 percent of gas use in California buildings, with households spending over $1,000 on HVAC alone each year.

Without a doubt, these systems have significant impacts on energy costs and home comfort. That is why HVAC installations are required by law to be permitted and comply with the California Building Code's quality installation requirements. 

Yet, today, most HVAC installations in California are completed without a permit. In fact, only about 10 percent of residential HVAC replacements are permitted, resulting in about 315,000 unpermitted HVAC installations every year. Widespread, unpermitted HVAC installation wastes energy, worsens indoor air quality, and hinders the transition to clean, electric appliances. The California State Legislature can and must improve HVAC permitting compliance by passing Senate Bill (SB) 795 this year. 

Permit noncompliance is costing us

Today, only about 10 percent of residential and 25 percent of commercial HVAC replacements are permitted and inspected to ensure compliance with California's quality installation requirements.

This permit noncompliance is increasing households' energy bills. Installing an HVAC unit properly can reduce energy use by 30 to 40 percent by preventing energy waste from leaking ducts, oversized units, poor insulation, and refrigerant leaks. As a result, quality installation can save households hundreds of dollars each year on their energy bills. 

Energy wasted by unpermitted HVAC systems also adds to California's peak electricity demand-- straining the grid and costing utility customers millions. The Sacramento Municipal Utility District (SMUD) alone, serving less than 5 percent of California's population, estimates that it spent an extra $1.1 million dollars over 3 years due to unpermitted HVAC installations.

Poor quality HVAC installations result in health and safety risks. Leaky ducts, which are a feature of low-quality HVAC installations, create an effect called "back drafting": as pressurized air escapes through holes in ducts, make-up air gets pulled from the attic, crawlspace, or wall cavity into the air conditioned space. This introduces mold or pollutants from these spaces into the living area, deteriorating the building's indoor air quality.