On the adoption of stricter energy efficiency standards for residential air conditioners: Case study Guayaquil, Ecuador.

Space cooling is the fastest-growing energy end-use in buildings worldwide, and Ecuador is no exception. Nevertheless, the last update of the Minimum Energy Performance Standards (MEPS) for air conditioners was in 2013 (EER 3.2W/W); since then, no new standards have been proposed in Ecuador. This study is the first assessment of stricter MEPS and estimation of benefits for the consumers and society of the residential sector in Guayaquil, Ecuador. The life cycle cost, payback time, net present value, electricity savings, and CO2 mitigation are the outputs from the Policy Analysis Modeling System (PAMS) methodology followed. The analysis considers future economic scenarios until 2035. Also, a new engineering approach based on linear optimization defines ACs designs in compliance with the proposed MEPS at the lowest cost. Therefore we can avoid setting less ambitious energy-efficiency targets when efficiency options are limited in the market (this is the Ecuadorian case). The analyzed MEPS are those proposed by UNEP and by the renewal program of inefficient equipment of the Ecuadorian Government. Our estimates show that AC demand can reach 17.3% of the total residential electricity demand in the business-as-usual scenario and 21.4% in the high economic growth scenario until 2035. Furthermore, the results show a significant gap between the proposed MEPS which can be progressively bridged. The best standard from the consumer perspective is EER 4.3W/W, while from the societal perspective, it is EER 5.5W/W. Stricter MEPS can reduce AC electricity demand and energy-related emissions between 5.7% and 31%, depending on the selected scenario. Therefore, stricter MEPS for AC represents a cost-effective option to reduce energy needs and emissions from air conditioners and a concrete action to support the national energy efficiency policies and nationally determined contributions for the residential sector.