Key Policy Interventions

Effective interventions to boost cooling efficiency range from regulatory measures, market and economic incentives, information tools, to support for innovation among others:

Strengthen building energy codes to reduce cooling loads and encourage efficient cooling systems by design. 

Building codes can require that new buildings meet a maximum energy-use intensity for cooling or incorporate specific efficiency measures, such as high insulation, reflective roofing, or efficient heating, ventilation and AC equipment.

For large commercial buildings, standards like ASHRAE or ISO efficiency benchmarks for chillers and HVAC systems can be mandated. Ensuring proper sizing of cooling equipment (avoiding oversizing) and requiring efficient control systems (thermostats and smart sensors) can be enforced through codes or certifications (e.g. green building ratings). Integrated design, such as efficient district cooling systems in urban developments, can also be promoted via planning guidelines.

By embedding efficiency at the building and urban scale, policymakers lock in lower cooling energy needs for decades.
 

See resources

Introduce mandatory energy efficiency labelling for cooling appliances to guide consumers to buy energy-saving products. 

Energy labels (using stars, grades, or colour codes) communicate the energy efficiency rating of an appliance in a simple format. When combined with public awareness campaigns, labelling can shift demand towards 5-star ACs or A-rated refrigerators, motivating manufacturers to improve products. Clear labels also enable sustainable procurement by institutional consumers (government agencies or businesses) to create market demand for top-rated models. 

Public awareness initiatives can extend to promoting simple practices (like setting AC thermostats at moderate temperatures and cleaning regularly filters), which enhance efficiency in use.

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Implement financial and economic incentive programmes to make efficient cooling equipment more affordable and attractive. 

Incentive options include rebates or tax credits for purchasing high-efficiency air conditioners or refrigeration units, on-bill financing schemes or low-interest loans for energy service companies. Smart subsidy programmes are key to overcoming the affordability gap, especially in developing countries. Bulk procurement programmes can aggregate demand and lower prices for super-efficient ACs, while utility rebate programmes can accelerate replacement of old units. The co-benefits include reduced peak load and avoided power capacity investments, which can justify the public expenditure.

Implementation can work alongside extended producer responsibility schemes that allow return and properly dispose of inefficient, older appliances and refrigerant substances. 

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Support the research and development as well as dissemination of next-generation cooling technologies. 

This includes funding research, providing rewards for ultra-efficient cooling innovations, pilot projects for new technologies, and alternative cooling solutions.

Governments can lead by example, deploying innovative cooling solutions in public facilities to demonstrate viability. Partnering with international initiatives can bring technical and financial resources. Over time, as cutting-edge technologies scale up, their costs fall, creating a virtuous cycle where ambitious efficiency targets become easier to meet. Innovation support thus complements regulations by ensuring a pipeline of ever-better cooling options in the market.

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Establish and regularly tighten MEPS for cooling appliances such as air conditioners, refrigerators, fans, and chillers. 

MEPS set the floor for energy performance, prohibiting market entry for devices that do not meet a certain threshold. MEPS influence not only equipment design but also regulate operating efficiency. Best-practice MEPS are updated every few years to reflect technological advances and push manufacturers toward continual improvement. 

Combined with refrigerant global warming potential limits and labelling, MEPS are a proven regulatory measure, used widely to drive improvements in energy efficiency of cooling.

See resources

Policy Resources

Policy area
CLASP

Practical Guidelines for Shipping Off-Grid Appliances

The Practical Guidelines for Shipping Off-Grid Appliances provide step-by-step guidance on preparing off-grid products for shipment, including a cost analysis, an overview of import and export regulations, and practical instructions. Covering small household appliances (e.g., TVs and fans), refrigerators, and solar water pumps, the guide helps manufacturers, distributors, and logistics providers reduce costs, avoid regulatory delays, and improve supply-chain efficiency. By outlining best practices, it supports greater market access for high-quality appliances and strengthens the off-grid energy sector.
Type of Policy
Information-based instrument
Market-based instrument
Target Group
Manufacturers
Importers
Retailers/small and medium-term enterprises (SMEs)
Value chain
Manufacturing/assembly
Sales and distribution
Document type
Guidelines / Handbook
Region
Global
Year
2020
Case studies

Examples from Kenya, Tanzania and Uganda demonstrating the uses and impacts of off-grid refrigerators.

Example links from case study:

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Supporting policies
Product registration systems, quality assurance frameworks, harmonization of import and export standards, tariff incentives, capacity building for customs authorities, consumer awareness initiatives
Tags
Off-grid appliances
shipping
logistics
imports
exports
refrigerators
solar water pumps
cost analysis
energy access
CLASP

International Benchmarking Analysis of Air Source Heat Pump and Chiller Standards

This study provides a technical comparison of how the world’s three largest markets; China, the European Union, and the United States, define, measure, and regulate the cooling efficiency of air-source heat pumps and chillers. By mapping differences in testing procedures, performance metrics, and efficiency requirements, the analysis highlights opportunities for greater alignment and harmonization. Policymakers, regulators, and manufacturers can use the insights to strengthen national efficiency standards, support trade and compliance, and accelerate market transformation toward climate-friendly, high-efficiency cooling technologies.
Type of Policy
Information-based instrument
Target Group
Governments
Policymakers
Manufacturers
Energy planners and analysts
Value chain
Product design
Manufacturing/assembly
Sales and distribution
Document type
Case study
Benchmarking tool
Region
Global
Year
2025
Case studies

Examples across China, EU, and US illustrating different approaches to efficiency standards and their implications for global markets.

Example links from case study:

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Supporting policies
Energy labelling, product registration systems, minimum energy performance standards (MEPS), consumer awareness campaigns, public procurement
Tags
Heat pumps
chillers
benchmarking study
energy efficiency standards
MEPS
harmonization
cooling
international trade policies
CLASP

Guide to Building Sustainable Testing Capacity in ECOWAS

This guide offers step-by-step instructions for establishing sustainable and effective testing capacity in ECOWAS states to support energy efficiency programmes. It helps stakeholders assess whether to build national test laboratories or pursue alternatives (e.g. outsourcing) and provides tools (including a financial evaluation tool) for evaluating cost, demand, and institutional requirements. The guide is particularly useful for regulators and programmes in early stages, helping them avoid underutilized or unsustainable investments, ensure credible compliance testing, and bolster market surveillance of regulated products.
Type of Policy
Information-based instrument
Market-based instrument
Target Group
Governments
Policymakers
Donors
Energy planners and analysts
Value chain
Sales and distribution
Product design
Document type
Guidelines / Handbook
Benchmarking tool
Case study
Region
Africa
Year
2021
Case studies

Examples from ECOWAS member states demonstrating the application of this guide.

Example links from case study:

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Supporting policies
Energy labelling, product registration systems, minimum energy performance standards (MEPS), consumer awareness campaigns, regional harmonization initiatives, public procurement
Tags
Testing capacity
verification
product compliance
ECOWAS
Energy efficiency
laboratory evaluation
market surveillance
CLASP

Market Surveillance for Air Conditioners: Voluntary Guidelines for ASEAN Member States

The Market Surveillance for Air Conditioners: Voluntary Guidelines for ASEAN Member States provide practical guidance for governments and compliance authorities on how to design, implement, revise, and strengthen national market surveillance programmes. These guidelines help ensure that air conditioners placed on the market meet energy performance and labelling requirements, safeguard consumer trust, and support policy objectives related to energy efficiency and climate change mitigation. By outlining best practices, the guidelines enable ASEAN countries to improve compliance monitoring, prevent the circulation of inefficient products, and foster regional harmonization of energy efficiency policies.
Type of Policy
Information-based instrument
Market-based instrument
Target Group
Governments
Policymakers
Public sector
Importers
Regional organizations and NGOs
Utility providers
Energy planners and analysts
Urban planners and developers
Value chain
Sales and distribution
Operations and maintenance/use phase
Manufacturing/assembly
Document type
Guidelines / Handbook
Model code / Regulation
Region
Asia-Pacific
Year
2020
Case studies

Examples from ASEAN member states eg Malaysia demonstrating implementation of the guidelines.

Example links from case study:

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Supporting policies
Energy labelling, product registration systems, minimum energy performance standards (MEPS), consumer awareness campaigns, regional harmonization initiatives, public procurement
Tags
market surveillance
compliance
Energy efficiency
ASEAN
cooling
policy enforcement
labelling
MEPS

Value chain approach

Ways to apply these policies for better outcome and climate impact.

Integrated approaches

  • Building energy codes and cooling design standards
  • Energy labelling and consumer awareness
  • Financial incentives and bulk procurement
  • Innovation, R&D, and bulk technology deployment
  • Minimum Energy Performance Standards (MEPS)
Building energy codes and cooling design standards
Establish mandatory energy efficiency building codes Update safety standards to reflect new technologies Integrate energy efficient design and passive cooling Show all tooltips Disposal / Destruction Reuse Buildings / Cities Operation & Maintenance Sales & Distribution Manufacturing / Assembly Refrigerant Production Electricity Generation Fossil Fuel Renewables Encourage proper recovery during retrofits Ensure safe removal during retrofits/ demolitions Promote reuse of efficient components Reuse Ensure environmentally safe management at the end of life and destruction Disposal / Destruction Raise awareness on building code benefits Train architects and engineers Provide incentives for code- compliant retrofits Integrate AC efficiency into building permits Enforce compliance through certifications and permits Build capacity for enforcement agencies and energy auditors Buildings / Cities Issue guidelines on efficient system operation Mandate certification of servicing technicians Increase awareness towards behaviour change Operation & Maintenance Provide guidance tools for builders and buyers Implement bulk procurement Sales & Distribution Align product design with building codes Ensure the supply energy efficient products Manufacturing / Assembly Phase out ODS Phase down HFCs Refrigerant Production
Energy labelling and consumer awareness
Mandate third party verified energy efficiency labels on appliances that meet MEPS Include refrigerant GWP value on labels Integrate energy efficiency aspects into life cycle-based ecolabels Conduct campaigns for public awareness and behavioural change (e.g. recognition scheme such as Energy Star or rating schemes) (e.g. Blue Angel) Show all tooltips Disposal / Destruction Reuse Buildings / Cities Operation & Maintenance Sales & Distribution Manufacturing / Assembly Refrigerant Production Electricity Generation Fossil Fuel Renewables Introduce extended producer responsibility schemes Facilitate take-back programmes Reuse Introduce extended producer responsibility schemes Facilitate take-back programmes Disposal / Destruction Implement strategies for reducing cooling load including through passive cooling Promote alternative cooling technologies Manage electricity demand through demand response programmes for consumers (e.g direct load control or critical peak pricing) Buildings / Cities Implement strategies for reducing cooling load including through passive cooling Promote alternative cooling technologies Manage electricity demand through demand response programmes for consumers (e.g direct load control or critical peak pricing) Ensure compliance with installation and servicing standards Educate consumers on energy efficiency, servicing practices Make it easy to find a certified technicians Set mandatory thermostat limits Operation & Maintenance Maintain product registration system Mandate energy efficiency labels on appliances Run in-store consumer awareness campaigns Provide digital comparison tools (apps/QR codes) Train retailers to explain labels Conduct awareness campaigns Provide incentive schemes for consumers Use labels as verification for public and bulk procurement Sales & Distribution Ensure supply of appliances compliant with MEPS Establish third party verification systems for compliance with standards for awarding labelling Manufacturing / Assembly Phase out ODS Phase down HFCs Refrigerant Production
Financial incentives and bulk procurement
Provide financial incentives targeting consumers to increase uptake of MEPS compliant products Use bulk procurement to reduce price per unit Use MEPS as specifications in tenders for bulk and public procurement Use labelling certification for compliance verification Show all tooltips Disposal / Destruction Reuse Buildings / Cities Operation & Maintenance Sales & Distribution Manufacturing / Assembly Refrigerant Production Electricity Generation Fossil Fuel Renewables Provide incentives for returning and exchanging inefficient models (e.g. discounts, consumer rewards) Reuse Ensure environmentally sound management of the end of life and destruction Disposal / Destruction Offer incentives for energy efficient retrofits Conduct bulk procurement for public buildings Promote incentives for smart cooling management systems Provide user replacement schemes for large users Buildings / Cities Mandate certification of servicing technicians Include the use of certified technicians for installation and servicing Promote servicing business models (e.g. cooling as a service) Operation & Maintenance Maintain product registration database for products entering the market Display third party certified energy efficiency labels on products Provide low-interest loans for consumers Introduce programmes for returning old appliances at purchase Sales & Distribution Ensure supply of appliances compliant with MEPS Offer grants/loans for upgrading production lines Support SMEs to access finance and technology Manufacturing / Assembly Phase out ODS Phase down HFCs Refrigerant Production
Innovation, R&D, and bulk technology deployment
Invest in R&D of efficient cooling and alternative cooling Deploy proven technologies in public facilities Support local manufacturing and innovation ecosystems Facilitate international technology transfer and partnerships Show all tooltips Disposal / Destruction Reuse Buildings / Cities Operation & Maintenance Sales & Distribution Manufacturing / Assembly Refrigerant Production Electricity Generation Fossil Fuel Renewables Recover and reuse refrigerants Innovate recycling methods Reuse equipment and components Reuse Ensure environmentally safe management at the end of life and destruction Disposal / Destruction Deploy smart controls and sensors Integrate hybrid cooling or heating solutions Scale up efficient building design Buildings / Cities Continuously upgrade certification curriculum for new technology Apply digital monitoring and predictive maintenance Operation & Maintenance Procure efficient appliances in bulk Launch large-scale technology deployment Showcase innovations through demonstration Sales & Distribution Redesign appliances to continuously improve efficiency Implement pilot demonstration projects Revise MEPS regularly Standardize testing and certification for new technology Manufacturing / Assembly Phase out ODS Phase down HFCs Refrigerant Production
Minimum Energy Performance Standards (MEPS)
Set mandatory MEPS for appliances’ design, operation and servicing Include refrigerant GWP value in MEPS Update standards regularly to reflect technological advances Harmonize MEPS regionally to reduce trade barriers Ensure interoperability of testing, verification and certification for mutual recognition Show all tooltips Disposal / Destruction Reuse Buildings / Cities Operation & Maintenance Sales & Distribution Manufacturing / Assembly Refrigerant Production Electricity Generation Fossil Fuel Renewables Mandate proper recovery of substances Establish extended producer responsibility schemes Implement life cycle refrigerant management Ensure environmentally sound management and destruction Disposal / Destruction Integrate MEPS compliance into building codes and permits Promote MEPS-compliant equipment in construction Implement strategies for reducing cooling load including through passive cooling Introduce alternative cooling technologies  Buildings / Cities Maintain product registration system Mandate certification of servicing technicians Introduce regular checks on installation, servicing and recovery  Conduct information campaigns on energy efficiency, servicing practices and behavioural change Promote servicing business models (e.g. cooling as a service) Operation & Maintenance Maintain product registration system Display MEPS-compliance labels on appliances Restrict sale of non-compliant products Train sales staff to explain MEPS requirements to consumers Include MEPS in bulk and public procurement and use labels for verification Provide financial incentives to consumers Sales & Distribution Design products to meet or exceed MEPS Certify compliance with MEPS through accredited labs Support industry transition (fiscal and financial  incentives, demonstration projects, rewards, support  to SMEs) Manufacturing / Assembly Phase out ODS Phase down HFCs Refrigerant Production Mandate proper recovery of substances Establish extended producer responsibility schemes Implement life cycle refrigerant management Reuse