There is an exponential and proportional relationship between rapid expansion of real estate in any market in terms of built up carpet area and the demand of HVAC. As India’s urban centers expand rapidly there’s now a concomitant rise in demand for all kinds of HVAC systems ranging from split ACs to centralized air-conditioning systems. But the energy intensive footprint of HVAC products has put major riders by ISHRAE and BEE on products across the spectrum.
HVAC industry trends closely reflect the fluctuations within the buildings sector, as the latter provides the primary impetus to HVAC demand. Within this sector, the commercial, residential, and infrastructure subsectors extensively use HVAC systems for maintaining comfort conditions.
A comprehensive examination of the current building stock, growth potential, and direction of growth, is therefore, vital to this study. HVAC systems are also one of the major consumers of energy within a building – accounting for approximately 31 percent of energy use in commercial buildings and 7 percent in residential buildings. The use of a particular HVAC technology is contingent upon the size, location, and occupancy of a building.
Very few studies in India have attempted to estimate the total residential and commercial space that currently exists in the country. A study initiated by PACE-D TA Program reviewed the data from external sources and its own previous estimates to determine the growth projected for 2030. Total constructed is predicted to grow five-fold to reach around 10,400 million square meters in 2030.
According to “India HVAC Market Forecast & Opportunities, 2019,” the HVAC market in India is forecast to reach $3.97 billion by 2019 on account of changing lifestyle, increasing per capita income, and rising expenditure by consumers on comfort solutions.