Business booming for AC companies as temperatures soar and outages continue

BY ANNELIA NIXON

TRIBUNE Business Reporter

anixon@tribunemedia.net

BAHAMIAN air-conditioning companies are reporting a sharp increase in demand this summer as record heat, prolonged power outages and unstable electricity supplies drive homeowners and businesses to repair, replace and upgrade cooling systems.

Industry operators say the combination of extreme temperatures and repeated outages is creating a double burden for consumers. They reported that Bahamians are relying more heavily on air conditioning while also facing costly damage to equipment caused by power fluctuations.

Nikieva Wallace of Absolute Comfort AC & Refrigeration said the company has seen a 30 to 40 percent increase in servicing requests this summer, much of it linked to electrical surges following BPL outages.

“We have been seeing a lot of requests for servicing because most times when there are outages, because the HVAC systems have like boards and inverters, they’re very sensitive to those high and low surges,” she said. “So a lot of times, those surges can cause issues, and we have to go and repair these systems.”

Craig Bethel, owner of Absolute Comfort, said the increase in business is also being driven by consumers seeking relief from the heat.

“Both of those are contributing factors, so it’s an increase in spending for comfort…” he said.

Ms Wallace said the prolonged heat has also changed the way many Bahamians view air conditioning, with the appliance increasingly being regarded as a necessity rather than a luxury.

“I would say that a lot of people feel like air conditioning is not a luxury,” she said. “It’s definitely a necessity now, especially with the heat wave because people are more prone to heat strokes.”

She added that the demand extends beyond people, with some customers seeking smaller units to keep pets cool.

“We’ve even had people come in and ask if we had like smaller units so that they could have an area for their pets, their animals, because it’s just so bad,” Ms Wallace said.

However, the surge in demand is coming at a time when consumers and businesses are facing higher equipment and operating costs. Ms Wallace said refrigerants used to service air-conditioning systems have become significantly more expensive as the industry transitions away from older gases toward alternatives considered more environmentally friendly.

“At one time, you could have bought a tank of Freon, probably maybe for like $120, $130, and today they’re going for $450 something a tank,” she said.

Those higher input costs are ultimately affecting consumers.

“It’s increased,” Ms Wallace said when asked whether the company has had to pass higher costs on to customers.

Mr Bethel said Absolute Comfort has also raised prices on some products, although the company has attempted to absorb some of the increases. Shipping and fuel costs have added another layer of pressure. Mr Bethel said rising fuel costs caused a slight increase in shipping expenses, although those costs now appear to be stabilising.


In Eleuthera, however, Albreeze Air Conditioning, Refrigeration & Mechanical Contractor owner Paul Albury said the impact of power instability has become particularly severe. Mr Albury said the transition to newer refrigerants and constant power outages are the two major factors affecting air-conditioning systems.

“But mostly it’s electricity,” he said. “One hundred percent of the persons who receive any electricity from BPL, they don’t have anything in their system to tell them when they’re getting too much current or when it’s not enough current.”

Mr Albury said the unstable electricity supply is ultimately shortening the lifespan of both air-conditioning and refrigeration equipment.

“They’re definitely responsible for shortening the lifespan of the air conditioning, and household refrigeration equipment,” he said.

The problem is occurring during what Mr Albury described as the industry’s busiest period of the year.

“Peak season for us is literally between June and late August,” he said. “Right now, every air-conditioning refrigeration technician, and more so the ones who are doing air conditioning, they are swamped.”

The increased demand is also being seen in New Providence. Leandor Albury of Albreeze Air Conditioning, Refrigeration & Mechanical Contractor said the company typically sees an influx of customers during the summer because consumers use their air conditioners less during cooler months.

He also pointed to a broader issue with appliance maintenance among Bahamian consumers.

“Bahamians when it comes to any appliances, we don’t really maintain,” he said.

Rodney Evans, owner of Arctic Air, reported an even larger increase in business, estimating that activity had risen by 50 to 70 percent.

But while demand is rising, consumers are also making difficult decisions about what equipment they can afford.

Ms Wallace said higher-efficiency, high-SEER inverter systems can reduce electricity consumption, but their higher upfront cost is pushing some consumers toward cheaper units.

“The high SEER inverter units, they tend to burn less electricity,” she said. “But people are not interested. They just want the cheapest thing to hook up and go.”

Ms Wallace warned that cheaper, lower-SEER systems can draw more electricity, potentially placing additional pressure on an already strained power grid during the summer.

“For our community, we’re already pulling a lot of amperage from it being summer alone,” she said. “I feel like people are opting out of the higher SEER systems. They don’t want to pay the highest SEER price. They want the more affordable prices, which in the long run for us as a community, it’s not good.”

Consumers are also facing higher costs when specialised parts have to be imported. Mr Evans said import duties on some specialised air-conditioning parts can reach between 60 and 80 percent, with many companies charging the full 80 percent.

For homeowners looking to protect their investments, Mr Albury recommends a layered approach to electrical protection.

“I’ve suggested to a number of my clients to purchase what they call a whole-house surge protector,” he said.

He also recommends individual protectors for appliances, arguing that a whole-house surge protector alone does not provide complete protection.

As temperatures remain high and the country’s electricity infrastructure continues to experience reliability challenges, air-conditioning companies expect demand for cooling, repairs and electrical protection to remain elevated.

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