After Sales Nearly Doubled in 2022, Demand for Refra’s Propane Chillers and Heat Pumps Has Kept Growing

Refra offers a comprehensive portfolio of heat pumps utilizing propane [R290] and isobutane [R600a] as well as chillers based on propane and propylene [R1270]. Notably, 100% of Refra’s chiller and heat pump solutions are designed to operate with natural refrigerants, reflecting the company’s full commitment to environmentally responsible technologies.

Refra’s natural refrigerant chillers and heat pumps are deployed across a broad spectrum of commercial and industrial applications, including manufacturing facilities, office buildings, educational institutions, HVAC systems, the automotive industry, district heating networks, processing plants and medical facilities.

Demand for these solutions has increased significantly over the past three to five years. Notably, 2022 marked a major inflection point, with sales of propane-based chillers and heat pumps increasing by approximately 40 to 50% compared to the previous year, a near doubling of volume. We’ve seen steady growth in subsequent years driven by rising demand for energy-efficient and sustainable solutions as well as evolving regulatory requirements.

The adoption of natural refrigerant systems has been influenced by several key factors. Even prior to formal regulatory changes, market demand was driven by the superior energy efficiency and sustainability profile of these systems as well as rising costs and volatility associated with traditional heating fuels.

Additionally, growing awareness of the environmental impact of synthetic refrigerants and alignment with broader initiatives such as the European Green Deal have played a significant role. Following the latest updates to f-gas regulations, regulatory compliance has become an increasingly decisive driver, further accelerating adoption.

Several challenges continue to influence the wider adoption of natural refrigerant systems. Safety concerns, particularly regarding the flammability of refrigerants such as propane and propylene, as well as the high operating pressures associated with CO₂ systems, have been the primary barriers. However, these concerns can be effectively mitigated through strict adherence to established safety standards, the integration of advanced safety mechanisms and a strong focus on manufacturing quality.

Another consideration is the higher initial investment compared to systems using synthetic refrigerants. While lifecycle cost benefits often offset this, upfront cost remains a factor in decision-making. Additionally, retrofitting existing infrastructure to accommodate natural refrigerant systems can present technical and logistical challenges. Addressing these barriers requires continued technological innovation, education and industry alignment on best practices.

Refra has long positioned itself as a highly flexible solutions provider with a core focus on delivering customized cooling and heating systems tailored to specific customer requirements. As such, high-capacity systems are a well-established area of expertise for the company.

In recent years, Refra has also introduced standardized product lines to reduce lead times and streamline procurement. These standardized units are designed with scalability in mind and can be modularized or configured in cascades to meet higher capacity demands. This hybrid approach, combining customization with modular standardization, enables Refra to efficiently address growing market needs in the 500kW [142TR] to 1MW+ [284TR+] range.

Refra is closely monitoring the growing demand for high-temperature heat pumps utilizing natural refrigerants, particularly in the context of district heating applications. The company places strong emphasis on delivering verified, real-world performance, ensuring that systems can reliably achieve and sustain required outlet temperatures over extended periods rather than relying solely on nominal or catalog values. As a result, significant investment is being directed toward the development of robust, high-performance solutions capable of delivering consistent and uninterrupted heating.

In parallel, Refra is actively following developments in data center cooling, recognizing it as a rapidly evolving segment with increasing relevance for natural refrigerant technologies. These trends are directly shaping the company’s product development roadmap and innovation priorities.

The next major disruption will likely be commercial building heating retrofits, especially hotels, offices, healthcare facilities, schools, public buildings and mixed-use properties moving from gas boilers and HFC chillers to R290 heat pump/chiller platforms.