Update on R32 Air-conditioning and Heat Pump Manufacturing and Sales

-Progress Since Last OEWG in Bangkok 2012-

29.6.2013 Mark Stanga

Daikin Industries Ltd.

Contents

•  Progress in Japan •  Progress in India •  Progress in Europe •  Daikin’s Contributions and Future Challenges

Looking back Daikin's Presentation 2012

•  Diversity of Refrigerant Choice •  Evaluation of R32

–  Safety Comparison –  Energy Efficiency –  Total Emissions (LCCP comparison) –  Comprehensive Comparison

•  Superior Performance of R32 –  Potential Down Sizing by R32 Compared to R22 –  Higher Cooling Capacity by R32

•  Patent Release for Developing Countries •  Barriers for R32

–  Research of Local Regulation in India –  Distribution of R32 Gas in India

•  R32 Technical Training Trial •  Daikin's Challenge

Progress in Japan

Launching R32 Room AC in Japan

Daikin launched the world’s first air conditioners to use HFC32 into the Japanese market on November 1, 2012.

2.2kW

2.5kW

2.8kW

3.6kW

4.0kW

5.0kW

5.6kW

6.3kW

7.1kW

8.0kW

R32 RAC Line-up Expansion

Capacity

Basic Model Premium Model

Today : 53 models November, 2012: 4 models

Full replacement of R410A models

Refrigerant

Refrigeration Capacity

R410A

R32

20 ton 3 ton

Why is Current Progress for Small Capacities?

Standard installation procedure

Refrigeration Safety Regulations for Air Conditioners

Special authorization required

Risk Assessment of Mildly Flammable Refrigerant in Japan -Introduction of Progress Report by JSRAE-

Progress in India

Capacity Building in India

R32 Service Technician Training in India • Project conducted under Feasibility Study Program on Bilateral Offset Credit Mechanism

• Daikin established a technician training program to expand the Indian servicing network for R32

• 3,600 local installers were trained in this project Through this project India is developing the necessary expertise to

service R32 equipment throughout the country.

R32 Installation and Service Manual

Sales Promotion in India (November 2012)

Chennai Delhi Mumbai

India

Distribution of R32 Gas in India

Japan

Step III Near future Cooperation with local manufacturers in India

Refilling

ISO tank

Factory

Step I

Step II Ton Cylinder

R32

Service Center Installation Site

Distribution Company

R32

China

Infrastructure Building now

Control authority : Petroleum and Explosive Safety Organization Department of Industrial Policy & Promotion (PESO) •  Explosive Rules 2008 •  Gas Cylinder Rules 2004 License required over 200kg storage •  Static & Mobile Pressure Rules (SMPV) 1981 License required over 1000kg pressure vessel Control authority Factory Advice Service and Labor Institutes •  Factory Act 1948

Storage Charging Transportation

Scope of SMPV Over 1000kg pressure vessel

Scope of Gas Cylinder Act Cylinders over 200kg

Out of Scope of Gas Cylinder Act Gas Cylinder Act

Isolation of fire Anti explosion of electric facility

Research of Local Regulation in India

Should be cleared without significant investment

License required

R32

Progress in Europe

First Launching of R32 in Europe in Autumn 2013

Daikin’s Contributions and Future Challenges

Japan’s Contributions to HPMPs in 2012

Japanese manufacturers shared technical knowledge with delegates from A5 countries such as Algeria, Bangladesh, Brazil, India, Indonesia, Laos, Malaysia, Philippines and Vietnam

Kobe Symposium November 2012 New Refrigerant and Environment Technology 2012

JRAIA organized refrigerant conference in Kobe Japan November 8-9 2012 Most updated and significant research results have been reported

Daikin's Challenges

•  Further research for risk assessment for larger refrigerant charges •  New Product development with R32 •  Support adoption of A2L in safety standards, transport rules and

building codes •  Capacity building for R32 installation and servicing •  Develop R32 refrigerant supply and distribution infrastructure •  Continue patent release offer and negotiations in A5 countries •  Continue supporting HPMP development in A5 countries who are

adopting R32

Thank You!!