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Residential and Commercial Variable Capacity and Variable Refrigerant Flow (VRF) Air Source Heat Pumps and A/C
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Definition of Variable Capacity Air Source Heat Pumps and VRF
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Inverter-driven air source heat pumps and air conditioning (A/C) systems utilize a variable frequency drive (VFD) to modulate the compressor output to match changing demand. Variable refrigerant flow (VRF) systems also utilize an inverter-driven compressor, but additionally have the capability to modulate the flow of refrigerant to each individual fan coil within the building. Some VRF systems also have the ability to provide simultaneous heating and cooling across zones through heat recovery at a central distribution point. This study covers inverter-driven multiple-zone systems for residential and small commercial applications, as well as VRF systems that have the capability of simultaneous heating and cooling.
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TechnologyDefinition
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BaselineNon-modulating air source heat pump (ASHP) systems
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Multi-split heat pump systemsMultiple zone mini-split or multi-head heat pump (HP) systems
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Variable refrigerant flow heat pump systemsMultiple zone variable refrigerant flow (VRF) HP systems
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VRF HP with HRMultiple zone VRF HP systems with heat recovery HR capabilities
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Table 3-6
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Summary of Incremental Equipment and Labor Costs by Technology
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System TypeIncremental Costs per Ton Cold Weather PerformanceCost Adders
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Multi-split $2,360 $2,990 Cold Weather Adder17%
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VRF$2,860 $3,580 Heat Recovery (HR) Adder on Full Cost203%
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VRF with heat recovery (HR)$7,230 $8,690 HR Adder on Incremental Cost253%
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Table 3-5
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Summary of Installed Costs by Technology
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System TypeAverage Costs per Ton NotesVRF Labor costs$/Ton
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Baseline$1,370 Average from case study and published dataEfficiency Maine$1,795
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Multi-split $3,730 Average from manufacturer dataDaikin$2,519
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VRF$4,230 Average from manufacturer, and secondary dataAverage$2,160
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VRF with heat recovery$8,600 Average from manufacturer data, and case studies
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Table 3-2
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Summary of Installed Costs Provided by Manufacturers
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ManufacturerMulti-Split ($/ton)VRF ($/ton)VRF w/HR ($/ton)
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1$3,330 $8,800 $10,600
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2$4,000 $5,000 $7,000
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3$3,780 $5,480 $10,330
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4$3,800 $6,120 $8,860
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Data Summary and Calculation of Results
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Data SourcesInstalled Costs
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Year of DataStudyLocationBaseline ($/Ton)Multi-split ($/Ton)VRF ($/Ton)
VRF W/ HR ($/Ton)
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< 2011EES study for BPAhttp://rtf.nwcouncil.org/subcommittees/vchp/BPA_VRF_Measure_Report_Final_R1.pdf$950$1,548
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< 2011PNNL study for GSAhttp://www.gsa.gov/portal/mediaId/197399/fileName/GPG_Variable_Refrigerant_Flow_12-2012.action $0$0
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< 2011EMS Case Studieshttp://www.emsenergy.com/uploads/pdfs/West-Energy-Management-Congress-VFD-Can-Save-30-of-Your-HVAC-Cost-June-2013.pdf $950
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2011Efficiency Maine Case StudiesDirect program data$3,665$4,186$6,195
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2011Energy Efficiency Emerging Technologies (E3T)http://e3tnw.org/ItemDetail.aspx?id=200$0$0
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2012SCE13HC036Could not find online but have document$1,355$2,100$2,700
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2014NEEP Incremental Cost Studyhttp://www.neep.org/incremental-cost-study-phase-3-report $1,285
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Feb-16Manufacturer 1$3,330$8,800$10,600
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Feb-16Manufacturer 2$4,000$5,000$7,000
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Feb-16Manufacturer 3$3,780$5,480$10,330
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Feb-16Manufacturer 4$3,800$6,120$8,860
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Average Installed System Full Cost$1,370$3,730$4,230$8,600
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Average Installed System Full Cost With Cold Weather Adder$4,360$4,950$10,060
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Incremental Cost Results$2,360$2,860$7,230
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Cold Weather Incremental Cost Results$2,990$3,580$8,690
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Cost Trends
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It's expected that costs will reduced another 5% to 15% over the next 1 to 2 years
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Competition between the major manufacturers in recent history has been the biggest driver of cost reductions
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Moving forward it is expected that cost reductions will be driven by the move to manufacturer equipment domestically compared to that shipped from overseas.
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All manufacturers agree that costs have nearly plateaued in recent months
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Additional cost reductions will come from familiarity of the installing contractor
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Cost Factors
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A wall unit is less expensive than a cassette by about 20%. Couple of different reasons, one being that these are the most common type of unit. In part likely because of recognition they bring. A lot of flexibility being brought to the market in the type of indoor units available
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Approximately 30% adder for the heat recovery option
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Indoor units usually account for approximately 40% of the total cost
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The number of zones per ton is the biggest driver of cost per ton
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One of the incremental cost drivers is that mini-splits are usally flared while VRF are usually torched which last a lot longer
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The accessibility of the refrigerent line paths and how the outdoor air is delt with are the biggest drivers of cost
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Table 3-3. Manufacturer 1 Installed Costs
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System TypeTonnageZonesInstalled Cost ($/ton)
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Multi-split1.72$3,750
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Multi-split43$2,900
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Multi-split w/ cold weather capability1.72$4,560
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Multi-split w/ cold weather capability43$3,290
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VRFN.D.N.D.$8,800
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VRF with HRN.D.N.D.$10,600
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Table 3-4 Manufacturer 3 Installed Costs
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System TypeTonnageZonesEquipment Cost ($/ton)Labor cost ($/ton)
Installed Cost ($/ton)
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Multi-split 33$1,751 $2,028 $3,780
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VRF44$2,811 $2,064 $4,875
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VRF106$2,612 $3,462 $6,075
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VRF with HR1614$3,717 $6,612 $10,330
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