Conditioning a cool behavioural move

Economic Times

11-06-2025

Agencies In a warming India, ACs are a necessity. Yet, only about 7% of households own one. That's changing fast. 14 mn units were sold last year alone, and residential ownership is projected to grow 9x by mid-century. This surge could require tripling electricity production. But before that, the grid needs protection. In a welcome step, GoI announced on Tuesday that it plans to soon mandate temperature settings between 20° C and 28° C for all ACs - residential, commercial, and even those in vehicles. The move aims to improve energy efficiency, smooth out demand spikes and cut consumer power bills. Many ACs allow settings as low as 16° C and as high as 30° C, encouraging energy waste.By 2050, air conditioning could account for a quarter of India's GHG emissions and nearly half of nationwide peak electricity demand, according to UNEP's Cool Coalition. Yet, India has so far declined to sign the coalition's Global Cooling Pledge, which seeks to reduce the sector's climate impact. There is, however, some good news. Consumers are increasingly opting for energy-efficient, star-rated ACs. But high prices remain a significant barrier, especially for lower- and middle-income buyers. A CEEW report, 'Do Residential AC Buyers Prioritise Energy Efficiency?', recommends measures like tax breaks, bulk procurement and cross-brand incentive programmes to improve affordability and encourage wider adoption.
The report also highlights another crucial, but often overlooked, factor: good servicing practices (GSPs). Buying an energy-efficient AC is not enough. Without regular servicing, performance declines over the unit's 7-10-year lifespan, undermining expected energy and cost savings. To promote GSPs, awareness campaigns must stress their impact on efficiency. Without this behavioural nudge, tech and policy efforts may not deliver their full potential. Elevate your knowledge and leadership skills at a cost cheaper than your daily tea. Benchmarked with BSE 1000, this index fund will diversify your bets. But at a cost.
Yet another battle over neem; this time it's a startup vs. Procter & Gamble
Warren Buffett-fan Pabrai is betting big on Edelweiss' Rashesh Shah. Will it pay off?
Move over tariffs, China wields rare earths in an economic war of a different kind
Stock Radar: MGL trades above upwards sloping trendline, reclaims 100-EMA; check target & stop loss
F&O Radar | Deploy Bull Call Spread in GAIL to play a bullish bet
These 7 banking stocks can give more than 20% returns in 1 year, according to analysts
Being an Amul shareholder is not possible; the next best dairy sector bets: 4 stocks, different market caps, upside potential is incidental