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Aimed at tackling energy overuse and environmental strain, the policy is particularly relevant during India’s scorching summer season when AC demand spikes.

Published on: June 12, 2025

Edited on: June 12, 2025

New Delhi: The Indian government has proposed regulating air conditioner temperatures nationwide in a significant move to promote energy conservation and tackle rising carbon emissions.

The new directive will set the operational range of air conditioners between 20°C and 28°C, said Union Minister of Housing and Urban Affairs and Minister of Power, Manohar Lal Khattar.

The policy aims to combat excessive electricity usage and reduce environmental impact, particularly during the intense summer months when air conditioning demand surges across Indian households and offices.

The Ministry’s proposal responds to growing concern over the strain air conditioners place on India’s power grid. Many consumers tend to lower AC temperatures to as low as 16°C, leading to steep energy consumption and contributing to greenhouse gas emissions due to the refrigerants used in these units.

A report by the International Energy Agency (IEA) states that around 2 billion AC units are in use globally, with cooling systems consuming nearly 20 percent of energy used in buildings worldwide. This makes AC usage a major contributor to energy demand and carbon output.

According to the Energy and Resources Institute (TERI), operating ACs at 27°C can significantly reduce electricity consumption compared to lower settings such as 18°C.

Their research shows that setting air conditioners at 24°C can lead to considerable energy savings and help lower carbon emissions. Additionally, data from the Bureau of Energy Efficiency (BEE) indicates that raising the AC temperature by just 1°C can reduce electricity consumption by around 6 percent, with a total 30 percent savings possible by shifting from 18°C to 24°C.

Research by the India Energy and Climate Centre (IECC) reveals that India installs between 10 to 15 million new AC units annually. This number is expected to reach 130–150 million additional units over the next decade.

ac usage
Rep Image| Image Credits: Freepik

Without policy intervention, this surge in usage could create a peak power demand of 120 GW by 2030 and 180 GW by 2035, accounting for nearly 30 percent of India’s expected energy needs.

Further, TERI estimates that improving the energy efficiency of India’s AC stock by 30 percent from 2015 levels could cut annual CO2 emissions by 180 million metric tons by 2030.

While older AC systems relied on Chlorofluorocarbons (CFCs), which severely damaged the ozone layer, modern systems use Hydrochlorofluorocarbons (HCFCs) and Hydrofluorocarbons (HFCs).

If implemented effectively, this measure could not only ease pressure on the national power grid but also help India achieve its long-term environmental and energy efficiency goals.

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