Is It Worth Installing an Energy-Efficient AC Unit?

With Texas summers bringing sweltering temperatures to the High Plains every year, an energy-efficient AC unit can be a game-changer for Amarillo homeowners. The upfront investment is quickly offset by the long-term benefits, especially when your current air conditioning system is showing its age.

As energy costs continue to rise and environmental concerns grow, an increasing number of Texas homeowners are interested in upgrading to a modern, high-efficiency cooling system. Find out how energy-saving HVAC upgrades last longer and can save you money over the long term. 

What Makes an AC Unit Energy Efficient?

Newer AC units are more energy efficient due to several advanced technologies and design improvements. The Seasonal Energy Efficiency Ratio (SEER) indicates how much cooling output an AC system provides per unit of energy consumed. The minimum SEER rating for AC units in Texas today is 15. However, high-efficiency units can achieve SEER ratings of 20 or more. 

Variable speed technology

Variable-speed compressors adjust their output based on your home’s cooling needs, running at lower speeds for longer periods rather than constantly cycling on and off. This maintains more consistent temperatures while using less energy.

Advanced refrigerants

Newer energy-efficient AC units use environmentally friendly refrigerants that transfer heat more effectively than older R-22 refrigerants. These modern chemical compounds perform better and comply with current environmental regulations, making them a smarter long-term choice.

Smart thermostats

Installing an AC system that integrates with programmable thermostats and zoning controls allows you to cool only the areas you’re using. This targeted approach can significantly reduce energy consumption compared to cooling your entire home. 

Are Newer AC Units More Energy Efficient Than Older Models?

When deciding on an AC replacement, homeowners can’t overlook the substantial efficiency gap between older and newer units. According to the U.S. Department of Energy, modern air conditioners can save up to 50% on energy costs compared to units from the 1970s. Even AC units from the 1990s and early 2000s consume significantly more energy than today’s models. 

If your AC unit is 10 years old, replacing it with a high-efficiency AC unit could reduce your cooling costs by as much as 40%. In Amarillo’s climate, where air conditioners work hard for several months each year, these savings add up quickly. A 20-year-old system typically operates at a SEER rating of 10 or less, making it significantly less efficient than modern units.

How Much Can You Save With an Energy-Efficient AC?

Are you wondering how much your AC unit impacts your electric bill? The reality is that older, inefficient units certainly do. Air conditioning can account for around 20% of a home’s annual energy costs in Texas, making it one of the largest contributors to your electric bill. 

Reduced cooling costs

An Amarillo homeowner replacing their 15-year-old AC unit with a newer, more efficient model could see up to $600 in annual cooling costs. Over the system’s 20-year lifespan, these savings can total up to $12,000 or more, often covering a significant portion of the upgrade cost.

Tax credits and rebates

Available tax credits for energy-efficient central air conditioners are another factor to consider when replacing your AC. The federal government can offer thousands of dollars in tax credits for qualifying ENERGY STAR central air conditioners. Many utility companies also provide rebates for high-efficiency installations, further reducing your net investment.

Increased home value

Investing in an energy-efficient AC unit can increase your home’s resale value. Prospective buyers often prioritize homes with newer, efficient HVAC systems, knowing they’ll face lower utility bills and fewer repair issues. 

Energy-Saving HVAC Upgrades to Consider

Beyond replacing your air conditioner, several complementary energy-saving HVAC upgrades can work together to create a more efficient cooling system that maximizes your total savings.

Ductwork improvements

Sealing and insulating your ductwork can significantly improve the efficiency of your HVAC system. Many older homes have leaky ducts that waste conditioned air, forcing your system to work harder and consume more energy.

Programmable and smart thermostats

Modern thermostats can learn your family’s schedule and preferences, automatically adjusting temperatures when you’re away or sleeping. Gain insights with detailed reports and leverage zoning controls to reduce cooling costs through optimized temperature management.

Enhanced insulation

It’s not just conditioned air leaking through your ducts. Proper insulation and air sealing can help prevent cooled air from escaping to the outside and block outdoor hot air from entering your home. These improvements ultimately reduce the load on your AC system, allowing it to operate more efficiently with less wear and tear.

Is It Worth the Cost to Upgrade Your AC System?

Deciding on an AC replacement involves weighing upfront costs against long-term benefits, while also considering the condition and performance of your existing system. If your system is over 15 years old and experiencing frequent breakdowns, replacement often makes more financial sense than continued repairs.

The payback period for an energy-efficient AC unit ranges from five to 10 years, on average, depending on your current system’s efficiency, local energy rates, and available incentives. With the blistering heat of Amarillo summers, where cooling systems work hard for extended periods, the payback period tends to be even shorter. 

An experienced HVAC contractor can perform a detailed analysis of your current setup to determine potential savings and recommend the best steps. This assessment takes into account your specific situation, including the size of your home, the insulation, and your cooling needs.

Upgrade to an Energy-Efficient Cooling System With Amarillo Air

Installing an energy-efficient AC unit is a smart investment for many Amarillo homeowners, particularly those with aging cooling systems over 10 years old. The combination of lower utility bills, improved comfort, fewer repairs, tax credits, and increased home value quickly justifies the upfront investment.

At Amarillo Air Conditioning, we’ve helped Texas families upgrade to energy-efficient cooling systems since 1955. Our technicians will handle your professional AC installation from start to finish. Contact us today for a free estimate and find out how much you could save with an energy-efficient AC upgrade for your Texas Panhandle home.