Document KJBDz7Zwenp1ZDLY3r45N3eG6

HONEYWELL ADVANCED LIMITED RIVERVIEW HOUSE HARVEY'S QUAY APARTMENTS LIMERICK V94R3DE IRELAND 22 September 2023 PFAS REACH Annex XV Restriction Report 1ST Public Consultation (22 March - 25 September 2023) Heat pumps sub-uses of fluorinated refrigerants - information and requests for exclusion/derogation from the PFAS REACH Restriction Proposal Contents Executive Summary ...................................................................................................................................... 2 1. Role of heat pumps in EU decarbonization policies.............................................................................. 5 2. Absence of unacceptable risk within the meaning of REACH ............................................................ 10 3. Hazards and safety concerns of proposed alternatives ...................................................................... 13 4. Consequences of HFC/HFO substitutions in heat pumps sub-uses................................................... 18 4.1. Modeling study - energy efficiency and CO2 emissions savings of HFC/HFO vs alternative refrigerants in residential heat pumps applications in EU ........................................................................... 18 5. Future technologies will predominantly benefit HFC/HFO refrigerants over alternatives. .................. 22 6. Conclusions......................................................................................................................................... 23 Executive Summary Honeywell International Inc. (hereinafter - Honeywell)1 is a global manufacturer and importer of various fluorinated gases to the European Union (EU), including hydrofluorocarbons (HFC) and hydrofluoroolefins (HFO) refrigerants and their mixtures (blends), primarily used in commercial, industrial as well as domestic refrigeration, air conditioning and heat pumps (RACHP and heat pumps) applications. These "fourth generation" refrigerants/blends are supplied under the trademark Solstice .2 On 13 January 2023, the competent authorities of five EEA member states (Dossier Submitters) submitted to the European Chemical Agency (ECHA) the PFAS REACH3 Annex XV Restriction Report (Proposal).4 Honeywell submits the following information, comments and proposals to the ECHA 1st public consultation on the Proposal. Contrary to what the Dossier Submitters claim, there are a range of PFAS substances, including various fluorinated gases, that are not very persistent (vP) as such and do not degrade to vP substances in meaningful amounts. For instance, fluorinated gases HFC-125, HFC-143a, HFO-1234ze(E), HCFO1233zd(E), HFO-1336mzz(E), HFO-1336mzz(Z) and others degrade in the atmosphere to carbon dioxide (CO2), Hydrogen fluoride (HF), Hydrogen chloride (HCl) (in some cases) and insignificant amounts of the only PFAS arrowhead substance - trifluoroacetic acid (TFA).5 Also comprehensive conclusive scientific evidence, including from respective REACH registration dossiers, confirms that many PFAS (comprising, HFC/HFO) are low hazard gaseous substances that do not exhibit risks similar to PBT/vPvB substances under Article XIII REACH. Therefore, to group these gases with all other PFAS is contrary to REACH Regulations and ECHA Read-Across Assessment Framework (RAAF). According to the REACH registration dossier and Chemical Safety Report (CSR) for TFA6, although the substance fulfils criteria for persistency, it has scientifically established DNEL/PNEC thresholds and is not classified as PBT or vPvB substance under Annex XIII of REACH. It does not raise equivalent levels of concern under Article 57(f) REACH either.7 In this respect, ECHA already reviewed and evaluated the TFA dossier without concluding that there is a need for further regulatory actions.8 Moreover, according to the most recent 2022 UNEP/WMO report: "TFA abundance and its environmental impacts have been assessed in many previous Assessments (e.g., Montzka, Reimann et al., 2011; Montzka, Velders et al., 2018; Carpenter, Daniel et al., 2018). Previous Assessments concluded that the 1 See the list of acronyms and abbreviations (aligned with the Proposal) in Annex I below. 2 General descriptions and explanations at Next Generation Solstice HFO Refrigerants for Heat Networks. 3 Regulation (EC) No 1907/2006 of the European Parliament and of the Council of 18 December 2006 concerning the Registration, Evaluation, Authorisation and Restriction of Chemicals (REACH), establishing a European Chemicals Agency, amending Directive 1999/45/EC and repealing Council Regulation (EEC) No 793/93 and Commission Regulation (EC) No 1488/94 as well as Council Directive 76/769/EEC and Commission Directives 91/155/EEC, 93/67/EEC, 93/105/EC and 2000/21/EC (REACH or REACH Regulation). 4 On 22 March 2023, ECHA published the PFAS REACH Annex XV Restriction Report in the Registry of restriction intentions until outcome and started the 1st Annex XV report consultation with a final deadline for comments on 25 September 2023. 5 TFA yields rates (molar), see section 3.8, Fig. 12 and pages 314-319 of the Environmental Effects of Stratospheric Ozone Depletion, UV Radiation, and Interactions with Climate Change, EEAP 2022 Assessment Report; Please also see detailed EFCTC position paper Published evidence supports very low yield of TFA from most HFOs and HCFOs. 6 Trifluoroacetic acid, EC number: 200-929-3, CAS number: 76-05-1 7 See e.g., Mammalian toxicity of trifluoroacetate and assessment of human health risks due to environmental exposure, Wolfgang Dekant, Raphael Dekant, 17 February 2023 8 E.g., in 2017-2021, ECHA concluded comprehensive dossier evaluation of Trifluoroacetic acid, without indications of the need for further actions. 2 environmental effects of TFA due to the breakdown of HCFCs and HFCs are too small to be a risk to the environment over the next few decades based on the projected future use of hydrocarbons, HCFCs, and HFOs."9 The most recent EEAP 2022 Assessment Report also concludes that "based on projected future use of these precursors of TFA [incl. HFC/HFO], no harm is anticipated" and that TFA "is unlikely to cause adverse effects out to 2100".10 In this regard, Q&A 10 of Addendum to the EEAP Assessment Report also confirmed that "Now and in the distant future, predicted TFA concentrations in surface waters and terminal basins are thousands of times less than thresholds of concern for human or environmental health." 11 Detailed analysis on HFC/HFO degradation products and relevant hazard, exposure and risks assessments of TFA is provided in the Honeywell submission reference no: 76bb3d12-2101-4390-82cf-3498b47e8015. In addition, many HFC/HFO gases, including in heat pumps uses, are already comprehensively/adequately regulated in EU and beyond, including via effective Risks Management Measures (RMMs) under the EU FGas Regulation12, Industrial Emissions Directive13 and other legislation. These laws mandate inter alia progressive limitations on placing on the market (e.g., HFC (F-Gas) quotas and certain equipment bans, incl. heat pumps), comprehensive containment measures (leaks controls, servicing certification for HFC/HFO, incl. in heat pumps), RACHP equipment (eco-)design and safe use standards (e.g., ISO 136121 and 2:2014, EN 14511-1 and 2:2022, AHRI Standard 700 series, disposal and end-of-life requirements (e.g., recuperation and re-use of F-gases)). In particular, the ongoing revision of the EU F-Gas Regulation will extend containment and end-of-life measures (i.e., recuperation, recovery, recycle, reuse or distraction) to unsaturated HFC/HFO gases used in RACHP sector, including heat pumps. This important change will ensure that all these fluorinated refrigerants are well contained and can be recovered at their end of life. Heat pumps as the Electrical and Electronic Equipment (EEE) fall within the scope of the EU WEEE Directive, Waste Framework Directive (WFD)14 and national waste related legislation of the EU member states. These regulations provide detailed frameworks for respective waste management and could be amended at any time to accommodate appropriate handling of PFAS contained waste streams within any sector (collection, disposal, recycle, reuse, etc.), if warranted. These will be more proportionate and effective risk management options (RMO) than the restriction (i.e., bans) envisaged in the Proposal as far as use of fluorinated refrigerants in all types of heat pumps are concerned. Therefore, even those HFC/HFO gases that degrade to TFA in substantial rates, such as HFO-1234yf, HFC-134a or HFC-227ea, should be excluded from the PFAS restriction scope due to the absence of unacceptable or not adequately controlled risks within the meaning of Articles 68 and 69 REACH. 9 Page 137,Scientific Assessment of Ozone Depletion: 2022, GAW Report No. 278, 509 pp.; WMO, 2022. 10 See pages 25 and 259 of the EEAP 2022 Assessment Report. 11 Q&A 10, Questions and Answers about the Effects of Ozone Depletion, UV Radiation, and Climate on Humans and the Environment, EEAP 2022 Assessment Report. 12 Regulation (EU) No 517/2014 of the European Parliament and of the Council of 16 April 2014 on fluorinated greenhouse gases and repealing Regulation (EC) No 842/2006 (as amended and currently under review, available here). 13 Directive 2010/75/EU of the European Parliament and of the Council of 24 November 2010 on industrial emissions (integrated pollution prevention and control) (Recast) 14 Directive 2008/98/EC of the European Parliament and of the Council of 19 November 2008 on waste and repealing certain Directives. 3 Furthermore, contrary to the requirements of Part II, Section 3 of Annex XV REACH Regulation, the Proposal is missing an objective, credible and specific assessment of "information on the risks to human health and the environment related to the manufacture or use of the alternatives"15 as well as on consistency of these alternatives within wider-EU decarbonization and sustainability policies (including, Fit for 55, REPowerEU, Renovation Wave for Europe, etc.), including proper cost-benefit analysis. This assessment is particularly important as far as the EU plans for decarbonization of heating and cooling are concerned. In the meantime, "careful and impartial" assessment of all available information, including information submitted by stakeholders during two Calls for Evidence (CfE) preceding the Proposal,16 unequivocally demonstrates the lack of availability of safe and sustainable alternatives for many uses of HFC/HFO fluorinated gases, including in certain heat pump applications. Bans on such uses as suggested in the Proposal will result in very high costs for society and the environment (climate change) and will be contrary to wider-EU policies as well as principles of the EU law. In this respect, alternative refrigerants (often misleadingly called "natural refrigerants", including CO2 (R744), ammonia (R717) and certain hydrocarbons (e.g., propane (R290)) are suggested in the Proposal as technically and economically feasible alternative refrigerants (e.g., for heat pumps see page 296 of Annex E or page 94 of the Proposal). However, the Proposal is missing adequate assessments of corresponding safety risks, such as flammability, toxicity, very high operating pressures, and other important limitations of their uses in many heat pumps applications. In the meantime, objective assessments of their intrinsic properties and reported incidents involving those refrigerants (Annexes II-IV) demonstrate (see section 3 below) that respective risks are considerably higher, and often cannot be adequately controlled, when compared to "fourth generation" HFC/HFO refrigerants specifically designed to be safe for the respective uses. In the meantime, the study described in section 4 below demonstrates that uses of HFO based refrigerants, only in the residential heat pump segment (based on the number of units in 2021 and projected by 2041), would provide energy savings in the amount of 5.5 TWh/year and avoid over 3.4 MMt/year CO2 emissions in comparison with propane (R290) based refrigerant (i.e. suggested as an alternative in the Proposal (page 94)) used in the same number of heat pumps units. Limitations on skilled/trained personnel needed for installation and maintenance of such potentially dangerous/explosive equipment would additionally impede the green transition in the largest segment of the EU heat pump market. In this respect, derogations for uses of fluorinated refrigerants provided in the Proposal (points 5.i and j of the Restriction Option 2) are insufficient to mitigate existing safety risks and impacts on the EU decarbonization/climate policies due to the deployment of heat pumps with alternative refrigerants (manly, hydrocarbons) envisaged in the Proposal. Therefore, bans on HFC/HFO uses in heat pumps envisaged under the Proposal would result in additional heavy financial burdens on society, combined with elevated risks of potential losses or damages from grave incidents (see above), and would considerably impede EU decarbonization and energy saving policies. This approach to alternative refrigerants is clearly against wider EU policies on climate change, decarbonization and sustainable energy adoption. Considering all available information, Honeywell requests that the following HFC/HFO fluorinated refrigerants should be excluded from the scope of the Proposal: HFC-125, HFC-143a, HFO-1234ze(E), 15 Appendix E.2 contains only basic general information on alternative substances (e.g., CAS number, harmonised CLP classification and similar). 16 Call for evidence supporting an analysis of restriction options for PFAS - May-July 2020, and 2 Stakeholder Consultation on a Restriction for PFAS - August-October 2021. 4 HFO-1336mzz(E), HFO-1336mzz(Z), HFC-245fa, HFO-1234yf, HFC-134a, HFC-227ea or their uses in all heat pump applications should be subject to a time-unlimited derogation, in accordance with the provisions of Articles 68 and 69 REACH. In line with previous practices, this derogation should also cover maintenance/repair, refitting and reselling activities involving all second hand RHVAC systems already placed on the market/installed. This derogation could be also conditional (progress-limited) to allow the industry to work towards development of alternatives with a transitional review (re-assessment) by ECHA/Commission by the end of e.g., 2035.17 1. Role of heat pumps in EU decarbonization policies. 1.1. Overview of heat pumps uses. A heat pump utilizes technology similar to that found in refrigerators and air conditioners. Its function involves extracting heat from various sources such as the surrounding air, geothermal energy from the ground, or nearby water sources and waste heat from industrial processes. The extracted heat is then amplified and transferred to the desired location. Compared to traditional heating methods like boilers or electric heaters, heat pumps are significantly more efficient because they primarily transfer heat rather than generate it. This increased efficiency often leads to lower operating costs. The heat pump's energy output in the form of heat is typically several times greater than the energy required to power the pump, usually in the form of electricity. For instance, a typical household heat pump has a coefficient of performance (COP) of around four, meaning that the heat pump produces four times more heat energy than the electrical energy it consumes. Consequently, current heat pump models are approximately 3-5 times more energy efficient than gas boilers. Heat pumps can also be combined with other heating systems, such as gas, in hybrid configurations. The heat pump comprises two main components: a compressor and a heat exchanger. The compressor facilitates the movement of a refrigerant through a refrigeration cycle, while the heat exchanger extracts heat from a heat source. The extracted heat is then transferred to a heat sink through another heat exchanger. In buildings, the heat can be distributed using forced air systems or hydronic systems like radiators or under-floor heating. Heat pumps can also be connected to a tank to produce hot water for domestic use or enhance flexibility in hydronic systems. Additionally, many heat pumps have the capability to provide cooling during summer months, in addition to meeting heating requirements in winter. Heat pumps are an increasingly important sub-market in the much larger but stagnating market for RACHP heating, ventilation and air conditioning (HVAC). This market can be segmented according to new buildings and renovation, and in turn, further segmented into residential and non-residential building categories. For both new buildings and the renovation segments, non-residential (commercial) heat pumps have a minor share in currently sold devices, while residential: single/double family homes is by far the largest mass market already and residential: multifamily residences (or district heating - DHC) is currently a small but developing segment. In industrial settings, heat pumps serve various purposes such as delivering hot air, water, or steam, as well as directly heating materials. Industrial heat pumps are also often called High Temperature Heat Pumps - HTHP. Large-scale heat pumps used in commercial (non-residential), industrial, or district heating (DHC) applications require higher input temperatures compared to residential applications. These higher 17 See Example 5, Examples of conditional derogations, pages 58-62, Guidance for the preparation of an Annex XV dossier for Restrictions; see also para. 7 of entry 72, para. 8 of entry 50 or paras. 3 and 10 entry 68 of Annex XVII REACH. 5 temperatures can be obtained by utilizing waste heat from industrial processes, data centers, or wastewater, thus enhancing the overall efficiency and sustainability of the heat pump system. Heat pumps provide comfort in space and water heating, and with superior efficiency. But collectively, all installed heat pumps have more beneficial effects: First, the industry is a big contributor of labor, as the products and its components have to be manufactured, installed and maintained (many SMEs involved). Second, due to its efficiency, the stock of heat pumps produces renewable energy, saves energy consumption and avoids GHG (CO2) emissions. An increasing number of residential heat pumps are now designed to provide heat up to temperatures of 65C which makes them an easy replacement for existing household boilers. In parallel, hybrid systems combining air-water heat pumps with a new or existing boiler enable the use of heat pump technology in the building stock maintaining efficiency, integrating renewable energy solutions, and providing a costefficient solution which decreases the energy intensity of current residential building stock. Also, DHC networks are well established in the EU meeting more than 8% of total heat demand. Finland, Denmark, Sweden and Baltic countries have the highest penetration of district heating in Europe.18 Nonresidential (commercial) heat pumps account for a small proportion of all heat pump sales globally.19 Industrial high-temperature heat pumps should produce heat at temperatures over 90-160 C. The use of an internal heat exchanger (IHX) becoming a standard component for this type of heat pumps, mainly for increasing the cycle performance and reaching higher temperatures of steam/air outputs needed in many industries such as food processing, pulp and paper, and steel to name a few. In industrial heat pumps, the required heat source is driven by the waste heat that would have been otherwise rejected to the environment with the use of additional electricity from exhaust fans. Therefore, heat pumps allow the recirculation of heat within the same industrial complex. The result is to enhance energy efficiency, and reduce CO2 and harmful emissions, helping to drive the decarbonization of the industrial sector.20 1.2. Heat pumps and European decarbonization policies According to the latest European Heat Pump Market and Statistics Report 2023, EU sales of heat pumps grew by +38.9% in 2022 (3.00 million units sold). Assuming a life expectancy of approx. 20 years, the current European heat pump stock amounts to 19.79 million units. With 115-120 million buildings in Europe, the heat pump market share in the building stock is over 16%.21 REPowerEU, Green Deal Industrial Plan and EU Heat Pump Action Plan provide for the "heat pump accelerator" aimed at an additional deployment of 60 million heat pumps across Europe by 2030.22 The European Commission identified heat pumps as a key net zero European industry that needs special support.23 The European manufactures of heat pumps and components are world leaders in this technology. All heat pumps that were sold and installed in 2022 provided 28.39 TWh of renewable heat. The heat pump stock, 18 See at EUROPE DISTRICT HEATING MARKET SIZE & SHARE ANALYSIS - GROWTH TRENDS & FORECASTS (2023 - 2028), and also How can district heating help decarbonise the heat sector by 2024?, Part of Renewables 2019. 19 Is The Market For Heat Pumps In Commercial Buildings Heating Up? 20 Estimating the potential of industrial (high-temperature) heat pumps for exploiting waste heat in EU industries, George Kosmadakis, 2019. 21 Page 27, European heat pump market and statistics report 2023, European Heat Pump Association (EHPA), 2023. 22 The future EU Energy Performance of Buildings Directive (EPBD), would further enhance respective process and plans, see e.g., at Commercial heat pumps are essential to the EU sustainability movement. 23 Sections 2.1 and 2.2, European heat pump market and statistics report 2023, European Heat Pump Association (EHPA), 2023. 6 which includes all units that were sold and installed in the last 20 years, contributed 205.2 TWh of green energy in 2022 (11% of RES target).24 Comparing the energy demand of heat pumps with the best available alternative - gas condensing boilers - would lead to an increase in energy demand. All heat pumps installed in 2022 have saved 36.41 TWh of final and 15.77 TWh of primary energy. The stock of heat pump units in operation across Europe by 2022 saved 262.6 TWh of final and 117.6 TWh of primary energy. Saving for final energy in Millions of Euros - 3 658 for units sold in 2022 and 26 270 in all stock in 2022.25 Generating energy from fossil fuels creates GHG (CO2) emissions. Hence, if heat pumps can save energy, they also save emissions. Based on the sales volume 2022, 7.24 Mt of equivalent CO2 emissions were avoided. The whole stock of installed heat pumps saved 52.52 Mt of CO2 emissions. This is about 4.6% of the overall absolute EU 2022 target for GHG emission reduction (806 Mt).26 Even with older F-gas refrigerants and full leakage, heat pumps reduce greenhouse gas emissions by at least 20% compared with a modern high-efficiency gas boilers, even when running on emissions-intensive electricity. In regions accounting for 70% of world energy consumption, the emissions savings are above 45% and reach 80% in countries with cleaner electricity mixes.27 For F-gases specifically in 2021,74% of the EU supply goes into refrigeration, air conditioning and heating, and other heat transfer fluids applications.28 Many of the current uses in the EU will rely on new HFC/HFO blends, or HFO alone, to transition to higher efficiencies and low energy intensities in the coming years. According to the European Heat Pump Association (EHPA), among the main barriers preventing further "acceleration" of heat pumps installments are costs. Even though a heat pump is around 30% cheaper than a fossil fuel boiler over its lifetime, the upfront costs are much higher in most markets.29 The affordability of heat pumps can be improved by reducing taxes and levies on heat pumps, heat pump installation and electricity as well as by improving their efficiency, i.e., through uses of the best available techniques, including refrigerants. It is noteworthy that e.g., residential single/double family home air-to-water split units heat pumps (which typically run on HFC/HFO refrigerants (e.g., R454 blends)) are app. 23% less expensive than monobloc units (which typically run on propane (R-290)).30 It is evident that limiting availability and affordability of heat pumps via abrupt prohibitions on uses of fluorinated refrigerants (i.e., HFC/HFO) will considerably increase costs on society and impede the EU decarbonization goals envisaged for the heating and cooling sectors. 1.3. Role of heat pumps refrigerants Refrigerants in use today for various heat pumps applications include hydrofluorocarbons (HFC) substances and blends such as HFC-245fa, HFC-410a (R410A), HFC-404a (R404A) and HFC-134a (R134a). These refrigerants with high Global Warming Potential (GWP) have significant impact on the 24 See ate European Heat Pump Association (EHPA) web portal. 25 In order to compare with fossil fuels, the cost per kWh thermal provided by a gas boiler was assumed to be 0.075. 26 Section 3.3., European heat pump market and statistics report 2023, European Heat Pump Association (EHPA), 2023. 27 See the IEA study The Future of Heat Pumps, 2022. 28 See Fluorinated greenhouse gases 2021 Annex -- European Environment Agency (europa.eu). 29 Section 2.3., European heat pump market and statistics report 2023, European Heat Pump Association (EHPA), 2023. 30 The available data from BSRIA World Renewables - Heat Pump Market 2022 Report demonstrate that air-to- water split units (typically using HFC/HFO refrigerants) on average are nearly 1 000 Euro less expensive in Europe than monobloc design units capable to work on hydrocarbon refrigerants, or app. 23% of the total unit price. 7 environment from the global climate/warming perspective.31 According to Kyoto Protocol, HFC are regulated as strong greenhouse gases (GHG). As per the Kigali Amendment to the Montreal Protocol, developed countries should reduce HFC consumption to 80% of their baseline by 2045. In EU, the F-gas regulation (EU F-Gas Regulation) aims to phase down HFC substances on the basis of their high GWP.32 In 2020, the United States Environmental Protection Agency (EPA), invoked similar legislation to phase down production and consumption of HFCs to 15% of the baseline levels by 2036. Consequently, the industry opted to evaluate and commercially develop several lower-GWP replacements. This resulted in a specifically-engineered "fourth generation" of unsaturated organic compounds composed of hydrogen, fluorine and carbon - hydrofluorolefins (HFO). Nowadays in the EU, pure HFO and their blends with HFC33 are the most prominent (ultra-)low-GWP alternatives to high-GWP HFC systems owing to zero Ozone Depletion Potential (ODP) and favorable thermophysical properties.34 Hydrocarbons such as propane (R290) are also being evaluated as possible substitutes for HFC. However, their applications in heat pumps are limited due to safety (extremely flammable) concerns.35 Carbon-dioxide (CO2 or R744) refrigerant liquid is also being intensively evaluated; however, it has significantly lower energy efficiency especially in warm to hot climate conditions and requires much more advanced technology to meet the current HFC/HFO baseline energy efficiency standards.36 Another potential alternative often labelled as a "natural refrigerant" - is ammonia (NH3 or R717) - and it is a byproduct of industrial processing of hydrocarbons characterized by very high GHG emissions (fertilizers, etc.) and other environmental impacts such as biodiversity loss, nitrogen pollution, and water eutrophication. While ammonia may have promising thermodynamics, it is highly toxic for humans/animals and therefore cannot be used in large loads closer to public places (i.e., in residential RACHP and heat pumps applications). There is a substantial number of grave/deadly incidents involving these "natural refrigerants" worldwide (see Annexes II-IV below). In this respect, HFC/HFO refrigerants such as HFC-125, HFC-143a, HFO-1234ze(E), HCFO-1233zd(E), HFO-1336mzz(E), HFO-1336mzz(Z), HFC-245fa, HFC-365mfc, HFO-1234yf, HFC-134a, HFC-227ea, HFC-236fa and their blends, are specifically designed to be safer, more efficient and environmentally friendly solutions for all heat pumps applications. Risks of their use in closed RACHP systems cannot be considered unacceptable and are already adequately controlled via other risk management measures (RMMs) within the meaning of Articles 68-69 of the REACH Regulation (see section 2 below). 31 Overview of low GWP mixtures for the replacement of HFC refrigerants: R134a, R404A and R410Atude des mlanges faible PRP pour le remplacement des frigorignes HFC R134a, R404A et R410A, Y. Heredia-Aricapa a, J.M. Belman-Flores a, A. Mota-Babiloni b, J. Serrano-Arellano c, Juan J. Garca-Pabn, March 2020. 32 In 2022, the European Commission made a new proposal to review F-Gas Regulation, which would ramp down the use of these gases much more steeply over the next few years, starting already from 2024. "Yet ramping up the timeline for phasing out F-gases at the same time as ramping up the targets for heat pumps under REPowerEU is incompatible"., see section 2.7 in the European heat pump market and statistics report 2023, European Heat Pump Association (EHPA), 2023. 33 On existing refrigerants and their blends se the List of refrigerants. 34 Refer to technical specifications of Honeywell Solstice refrigerants solutions. 35 Natural and synthetic refrigerants, global warming: A review, Naeem Abas, Ali Raza Kalair, Nasrullah Khan, Aun Haider, Zahid Saleem, Muhammad Shoaib Saleem, July 2018. 36 Integrated supermarket refrigeration for very high ambient temperature, Nilesh Purohit, Vishaldeep Sharma, Samer Sawalha, Brian Fricke, Rodrigo Llopis, Mani Sankar Dasgupta, December 2015; Overview of low GWP mixtures for the replacement of HFC refrigerants: R134a, R404A and R410Atude des mlanges faible PRP pour le remplacement des frigorignes HFC R134a, R404A et R410A, Y. Heredia-Aricapa a, J.M. Belman-Flores a, A. Mota- Babiloni b, J. Serrano-Arellano c, Juan J. Garca-Pabn, March 2020. 8 HFC/HFO improve the coefficient of performance (COP) of heat pumps and thus diminish electricity usage and cut indirect GHG emissions during their services lives (ca. 20 years).37 Considering EU plans to deploy 60 million of heat pumps in the EU by 2030, this use of fluorinated refrigerants will contribute significantly to the EU decarbonization goals, as demonstrated in section 4 below. HFO refrigerants are a critical part of heat pump technology and can help Europe reach its energy independence quicker by helping to reduce energy consumption - a key objective of REPowerEU. For instance, Honeywell's HFO products alone have helped avoid the release of over 329 million metric tons of CO2eq into the atmosphere so far - the equivalent of taking over a quarter of all cars in the EU off the road for one full year.38 Heat pumps working on HFOs proved to be effective decarbonization and successful energy efficiency solution for DHC. For example, in 2021 the busy transit city Ringsted (Zealand, Denmark) installed new DHC system working on HFO-1234ze refrigerant and running through 124-km district heating network suppling heat to over 7,000 buildings in the area, from commercial premises and schools to sports facilities and private residences. After just one year in operation, Ringsted DHC had already met its energy, cost reduction, and emissions reduction goals. For example, the heat pumps had increased the capacity and efficiency of the heat plant by approximately 30% and 20%, respectively. Additionally, Ringsted DHC had exceeded its target of achieving 95% carbon-free heat - demonstrating 97% instead. Finally, Ringsted DHC used its reserves for the new technology investment, ensuring the cost of heat to customers remained stable.39 The refrigerant charge in industrial and non-residential high-temperature (HTHP) heat pump applications is higher (up to 130 kg) than in domestic or automotive heat pumps or air conditioning systems, so flammability and toxicity are more relevant for safety management and make the use of hydrocarbons and ammonia at elevated loads and temperatures/pressures very challenging. The HFC refrigerant R-245fa with a high critical temperature works well for key HTHP applications, however its high GWP have shifted the industry to HFOs, such as R-1233zd(E) and R-1234ze(E). Another HFO, R1336mzz(Z), has a critical temperature of 171.3 C and makes it possible to reach the highest heat sink temperatures (up to 160 C) with good thermodynamic performance. Temperature bands of process heat of interest for industrial heat pumps are (100-150 C) and (150 to 200 C).40 Currently, available HTHP technologies (heat supply up to 120 C and 200 kW to 30+ MW power range) are largely based on HFO refrigerants,41 while many manufacturers are working on alternative refrigerantbased solutions as supplements or replacements. However, most of these alternative systems, especially in higher temperature and power ranges) are still at early technology development stages existing only in laboratories or pilot projects.42 37 Please also see detailed analysis and comparisons (e.g., summary Table 6) of various characteristics of HFC/HFO, propane and CO2 based refrigerants in the most recent comprehensive study Building Technologies Office 03.02.02.38, Milestone Report--Technology Options for Low Environmental Impact Air-Conditioning and Refrigeration Systems, ORNL/TM- 2023/3041, Oak Ridge National Laboratory, August 2023 (enclosed in Annex V below). 38 For more details see KEEPING HEAT PUMPS ROLLING, Ensuring all refrigeration technologies are kept in play is critical to delivering the heat pump roll out. 39 Solstice Ze Decarbonising heat for Ringsted, Denmark, Case study, 2022. 40 High Temperature Heat Pumps: Market Overview, State of the Art, Research Status, Refrigerants, and Application Potentials, Cordin Arpagaus, 2018. 41 For example, implemented DHC project in Germany with a large-scale HTHP heat pump (24 MW) - Large- scale heat pump at Stuttgart-Mnster waste-to-energy CHP plant. This HFO based heat pump works on certified green electricity from waste incineration plant, saving around 15,000 metric tons of CO annually. 42 See at Table 2-2 (TRL level 9) and conclusions at page 163 of the Annex 58 High-Temperature Heat Pumps, Task 1 - Technologies Task Report, HPT-AN58-2, August 2023. 9 Therefore, the conclusions of the Proposal on the immediate feasibility and commercial availability of alternative refrigerants are not correct as far as the HTHP segment is concerned. In these circumstances, bans on HFC/HFO refrigerants in heat pumps envisaged under both risk management options (RMO) in the Proposal will considerably affect the EU decarbonization (GHG emissions) and energy consumption/efficiency efforts under wider-EU sustainability and industrial policies, as demonstrated in section 4 below. 2. Absence of unacceptable risk within the meaning of REACH In section 1.1.6 of the Proposal the Dossier Submitters concluded that "all PFAS" (i.e., as a group) should "be treated as non-threshold substances for the purposes of risk assessment in a similar manner to PBT/vPVB substances" and that any of their releases "can be used as a proxy for risk". This conclusion is manifestly erroneous as far as many HFC/HFO refrigerants and their atmospheric degradation product trifluoroacetic acid (TFA) are concerned. 2.1. Objective assessments of HFC/HFO and their degradation products 2.1.1.Unjustified grouping of "all PFAS" Grouping of HFC/HFO refrigerants used in RACHP applications with all other PFAS is not scientifically and legally justified. In this regard, the 2021 OECD's PFAS definition used in the Proposal is not conceived for regulatory purposes, which is also acknowledged by the Dossier Submitters. Moreover, according to the respective OECD report, it does not give any information on the hazards of substances, even regarding their very persistent (vP) properties, or uses, exposure and risks.43 In other words, the OECD itself is clear that its definition of PFAS was not intended to be used for regulatory action because it is too broad to enable an effective, science-based risk assessment, which would result in regulation of these (over 10 000) chemical compounds as an entire group. The UK Health and Safety Executive (HSE) 44 service and US Environmental Protection Agency (EPA) 45 share the same opinion. The most recent 2022 United Nations Environmental Program Environmental Effects Assessment Panel (EEAP) Report (EEAP 2022 Assessment Report)46, unequivocally cited a common agreement among experts that "all PFAS should not be grouped together, persistence alone is not sufficient for grouping PFAS for the purposes of assessing human health risk, and that the definition of appropriate subgroups can only be defined on a case-by-case manner" and that "it is inappropriate to assume equal toxicity/potency across 43 See pages 8 and 25, Reconciling Terminology of the Universe of Per- and Polyfluoroalkyl Substances: Recommendations and Practical Guidance, ENV/CBC/MONO(2021)25, OECD, 9 July 2021 (available here): "The term "PFASs" is a broad, general, non-specific term, which does not inform whether a compound is harmful or not, but only communicates that the compounds under this term share the same trait for having a fully fluorinated methyl or methylene carbon moiety." 44 See also in section 1.3 of the Analysis of the most appropriate regulatory management options (RMOA), The UK HSE, April 2023, "A generic PFAS definition may not be particularly useful from a regulatory perspective, and it may be more appropriate to consider regulatory approaches on the basis of particular PFAS groups and/or uses." 45 The US EPA also uses a narrower working definition of PFAS as "Chemicals with at least two adjacent carbon atoms, where one carbon is fully fluorinated and the other is at least partially fluorinated" in their National PFAS testing strategy (see in section 3) as well as their PFAS strategic roadmap. EPA's use of this working definition provides focus on PFAS of concern based on their persistence and potential for presence in the environment and for human exposure. Regarding degradation products, the EPA Office of Chemical Safety and Pollution Prevention have opined that "trifluoracetic acid is a well-studied non-PFAS." 46 Environmental Effects of Stratospheric Ozone Depletion, UV Radiation, and Interactions with Climate Change, 2022 Assessment Report, Environmental Effects Assessment Panel (EEAP), available at - http://ozone.unep.org/science/eeap 10 the diverse class of PFAS".47 The Report further concludes that "Trifluoroacetic acid has biological properties that differ significantly from the longer chain polyfluoroalkyl substances (PFAS) and inclusion of TFA in this larger group of chemicals for regulation would be inconsistent with the risk assessment of TFA." 48 For more information on the inconsistency of grouping methodologies of the Proposal, refer to relevant sections of Honeywell submission reference no: bb6e00b6-571b-467a-ae79-7b046c6c9ab4. 2.1.2.Hazard and risk assessments of HFC/HFO and TFA Contrary to the assertions made by the Dossier Submitters, there are PFAS substances, including many fluorinated HFC/HFO gases that are low-hazard, low-Global Warming Potential (GWP), not (v-)persistent (not P/vP) and do not degrade to vP substances in meaningful amounts. For instance, the REACH registration dossiers and Chemical Safety Reports (CSR) for the fluorinated gases HFC-125, HFC-143a, HFO-1234ze(E), HCFO-1233zd(E), HFO-1336mzz(E), HFO-1336mzz(Z), HFC-245fa, HFC-365mfc, HFO1234yf, HFC-134a, HFC-227ea, HFC-236fa, HFC-245fa contain conclusive scientific evidence demonstrating that these substances have properly quantified DNEL/PNELs, are not persistent and do not exhibit risks similar to PBT/vPvB substances under Article 57(f) and Annex XIII REACH. Their REACH registration dossiers also do not demonstrate an existence of "supporting concerns" or hazards assessed in section 1.1.4. of the Proposal, including bioaccumulation, accumulation in plants, endocrine or (eco)toxicological effects, etc. Therefore, the conclusions of the Dossier Submitters in section 1.1.6 of the Proposal, that all HFC/HFO must be treated as "non-threshold substances" with the overall concern "very similar to those of the PBT/vPvB substances" and with any release as "a proxy for risks" are not substantiated in the Proposal. 49 In the meantime, according to the REACH registration dossier and CSR for trifluoroacetic acid (TFA)50, this substance has also scientifically established DNEL/PNEC thresholds for relevant compartments, and does not fulfil criteria for a PBT or vPvB substance under Annex XIII REACH. Neither does it raise equivalent levels of concern under Article 57(f) REACH.51 In this respect, ECHA already reviewed/evaluated the TFA dossier without concluding that further regulatory actions were needed.52 Indeed, there is robust scientific evidence that only a few mainstream fluorinated gases ultimately degrade to TFA in molar yields rates over 30% (e.g., HFO-1234yf, HFC-227ea, HFC-134a).53 Many other HFC/HFO (HFC-125, HFC-143a, HFO-1234ze(E), HCFO-1233zd(E), HFC-245fa, HFC-365mfc, etc.)54 have small estimated TFA atmospheric conversion yields and are a "minor source of TFA" 55 resulting in de minimis increases in TFA concentrations. According to the conclusions of Chapter 6, section 3.8 of the EEAP 2022 Assessment Report, respective "releases will add to the existing load of TFA in the environment but 47 Grouping of PFAS for human health risk assessment: Findings from an independent panel of experts, J.K. Anderson, et al., 2022 48 See pages 278 and 279 of the 2022 Assessment Report. 49 See analysis and conclusions of section 1.1.6 (Risk characterisation) of the Proposal. 50 Trifluoroacetic acid, EC no: 200-929-3, CAS no: 76-05-1, Molecular formula: C2HF3O2 51 See e.g., Mammalian toxicity of trifluoroacetate and assessment of human health risks due to environmental exposure, Dekant et al, 17 February 2023. 52 E.g., in 2017-2021, ECHA concluded comprehensive dossier evaluation of Trifluoroacetic acid, without indications of the need for further actions. 53 See detailed EFCTC position paper on the topic Published evidence supports very low yield of TFA from most HFOs and HCFOs ; see also detailed discussion in Chapter 6, section 3.2 of the EEAP 2022 Assessment Report. 54 TFA yields rates (molar), see section 3.8, Fig. 12 and pages 314-319 of the Environmental Effects of Stratospheric Ozone Depletion, UV Radiation, and Interactions with Climate Change, EEAP 2022 Assessment Report. 55 E.g., Chapter 6, Fig. 11 of the EEAP 2022 Assessment Report. 11 predicted amounts are well below the threshold for concern with respect to human and environmental health." Therefore, TFA should not be considered as a non-threshold substance with any release as a proxy for risks. The related risks cannot be considered as unacceptable under Article 68 REACH and are incomparable with the effects of restrictions (bans) envisaged in the Proposal for all fluorinated gases. The HFC/HFO in question do not degrade to other PFAS either and thus should be excluded from the scope of the Proposal. For detailed information and objective assessments of TFA, please refer to the previous Honeywell submission No: 76bb3d12-2101-4390-82cf-3498b47e8015. Please also refer to the recent Toxys study in submission No: 537dd363-2c53-44ec-8dba-0215c7c3fe3b demonstrating that short-chain polyfluorinated (<C4) PFAS compounds (including, TFA and HFOs) do no exhibit toxicological activity and have biological properties that differ significantly from the longer-chain, non-polymeric PFAS substances. 2.2. Existing adequate risk management options (RMO) Full-life cycle emissions of fluorinated gases as refrigerants in RACHP applications are already effectively and adequately controlled by other risk management measures (RMMs) under relevant EU legislation, including the EU F-Gas Regulation56, tight industry standards57 as well as national and EU waste laws.58 These measures mandate inter alia effective quantitative limitations on placing on the market (e.g., HFC (F-gas) phased down volume quotas and equipment bans), containment measures including leak controls and reporting, servicing certification of HFC/HFO in RACHP, product (eco-)design and safety standards (e.g., ISO 5149-1:2014, EN 378, AHRI Standard 700, IEC 60335-2-40:2022) disposal and end-of-life requirements (e.g., recuperation and re-use). These regulations could be strengthened at any time, if warranted. In this respect, HFC/HFO fluorinated gases (F-Gases) as refrigerants are fully contained and function in RACHP closed loop systems. Their emissions are subject to rigorous obligatory containment RMMs (on leaks controls, end-of-life collection, and disposal, etc.), under the EU F-Gas legislation. According to the very first words of Article 1 of the F-Gas Regulation, its key objective is the same as that aimed by the Proposal - reduction of emissions, i.e.: "The objective of this Regulation is to protect the environment by reducing emissions of fluorinated greenhouse gases". According to the European Commission, F-Gas legislation is an example of "European success story".59 It is noteworthy, that upon the ongoing revision of the EU F-Gas Regulation respective mandatory containment and end-of-life measures (i.e., recuperation, recovery, recycle, reuse or distraction) will be extended to unsaturated HFC/HFO gases used in RACHP equipment, including heat pumps. These amendments will ensure that HFC/HFO refrigerants are thoroughly contained, recovered and handled at their end of life. 56 Regulation (EU) No 517/2014 of the European Parliament and of the Council of 16 April 2014 on fluorinated greenhouse gases and repealing Regulation (EC) No 842/2006 (as amended and currently under review, available here). 57 For instance, ISO 5149-1:2014 specifies the requirements for the safety of persons and property, provides guidance for the protection of the environment, and establishes procedures for the operation, maintenance, and repair of refrigerating systems and the recovery of refrigerants. 58 Directive 94/62/EC on packaging and packaging waste; Directive 2008/98/EC on waste (Waste Framework Directive). 59 EU crackdown on climate-wrecking F-gases hits heat pump snag, Politico, 9 November 2022. 12 In addition, heat pumps are qualified as Electrical and Electronic Equipment (EEE) falling within the scope of the EU WEEE Directive, Waste Framework Directive (WFD)60 and national waste related legislation of the EU member states. These regulations provide detailed frameworks for the waste management of various EEE. Respective rules could be amended at any time to accommodate appropriate handling of PFAS contained waste streams within any sector, if warranted. These will be more proportionate and effective risk management options (RMO) than the restriction (i.e., bans) envisaged in the Proposal for the sector I question. In other words, uses of HFC/HFO substances in heat pumps applications are already adequately controlled from the perspective of the main goal of the REACH restriction Proposal. Grouping these substances with other potentially hazardous and less controlled PFAS within one universal REACH restriction process is disproportionate, flawed and legally unjustified. TFA related risks due to emissions of fluorinated HFC/HFO gases are also adequately controlled within the meaning of section 6.4 of Annex I of the REACH (as demonstrated in CSR). The current and projected concentrations of TFA are many folds lower than the established DNEL/PNEC and MoEs thresholds for relevant compartments, the adopted daily intake LWTW values or drinking water standards.61 Thus, human exposure to TFA from HFC/HFOs atmospheric degradation is also low (negligible), while upstream environmental emissions of these F-Gases are already subject to effective EU emission and risk control measures (see above). Therefore, conclusions in section 1.1.6 of the Proposal that all PFAS exhibit risks very similar to PBT/vPvB and that any PFAS emissions should be considered as a proxy for unacceptable risks that are not adequately controlled, are erroneous, as far as HFC/HFO refrigerants and their uses in RACHP applications (incl. heat pumps) are concerned. 3. Hazards and safety concerns of proposed alternatives Erroneously labelled alternative "natural refrigerants" such as ammonia (R717), hydrocarbons (R290 or propane, R600a - isobutane, etc.) and CO2 (R744) are manufactured, synthetic chemical substances (often by-products of fossil fuels processing) with important hazard and exposure characteristics including toxicity, anesthetic/asphyxiant effects and/or high flammability, which considerably limit their practical applications, e.g., as RACHP refrigerants in buildings and in public spaces. For many applications so called "natural refrigerants" could be considered as genuine "regrettable substitutions" leading to grave incidents as well as other safety and environmental concerns (see Annexes II, III and IV below).62 It should be noted that installations of heat pumps (e.g., to replace gas/fuel boilers) running on alternative refrigerants will be impossible and even illegal in certain situations due to safety and space (room size) limitations concerns.63 For instance, residential/domestic applications will require a regular size split unit (i.e., with external monobloc, see also in section 4 below). However, there would not be enough space for safe proximity of potentially explosive equipment and/or its high charge (i.e., fire/asphyxiation risk) could violate national safety laws (e.g., fire, sanitary and building codes).64 The same is true for district heating applications, which cannot run on toxic or explosive refrigerants in close vicinity to populated areas. 60 Directive 2008/98/EC of the European Parliament and of the Council of 19 November 2008 on waste and repealing certain Directives. 61 See in detail Mammalian toxicity of trifluoroacetate and assessment of human health risks due to environmental exposure, Dekant et al., 17 February 2023. 62 See on detailed comparisons of ammonia, CO2, propane (R290) and HFC/HFO refrigerants in Safety first when choosing a refrigerant! EFCTC Factsheet on published refrigerant-related accidents. 63 For example, see on new charge limits for flammable refrigerants under IEC 60335-2-89:2019. 64 See e.g., F-gas proposals "disastrous" for Spain. 13 For instance, in 2019 Southwark Council in southeast London developed a plan to decarbonize the gaspowered heat networks used by thousands of council homes across the borough (17,000 of its 55,000 houses). The project aimed to replace legacy gas boilers with modern heat pumps to enhance energy efficiency, decrease financial costs and CO2 emissions. The Honeywell blend Solstice N15 (R-515B, R1234ze / R-227ea (91.1% / 8.9%)) and sister product Solstice ze (R-1234ze) refrigerants were chosen because of their non-toxic (Class A), non-flammable (A1) characteristics, low GWP requirements (below 300) and favorable thermodynamics. Due to the heat pumps proximity to gas boilers in densely populated residential area, non-flammable and non-toxic properties of these HFOs were of a paramount importance. 65 In this respect, the number of fatalities or incidents reported for HFC/HFO is orders of magnitude lower than for e.g., ammonia and hydrocarbons systems, even though there are by far more fluorocarbons systems in use.66 Therefore, the derogation proposed in section 5.j of the Restriction Option 2 of the Proposal is justified but not sufficient to meet the wider EU decarbonization and energy efficiency policies as demonstrated below and in section 4. 3.1. Ammonia Anhydrous ammonia (NH3, EC no.: 231-635-3; CAS no.: 7664-41-7) used as a refrigerant consists of at least 99.5% pure ammonia. The latter is produced in massive quantities due to the fertilizer industry (mainly via Haber-Bosch process, with low efficiency and recycling of unconverted gases),67 which is considered amongst the most polluting, energy and GHG (carbon) intensive industries.68 According to REACH registration dossier for ammonia, it is mildly flammable (ASHRE - 2L), very toxic (Toxic if inhaled (cat. Acute Tox. 3), Severe skin burns and eye damage (cat. Skin Corr. 1B), Very toxic to aquatic life (cat. Acute 1) with long lasting effects (cat. Aquatic Chronic 2)) substance. Ammonia CLP hazard classification & labelling: Industrial ammonia production emits more CO2 than any other chemical-making reaction69. Therefore, its production in the EU is covered by carbon emissions reductions policies under the EU ETS and its import will be subject to the EU Carbon Border Adjustment Measures (CBAM). In the atmosphere, ammonia can bind to other gases to form ammonium, which has particularly negative impacts on cardiovascular and respiratory health systems.70 Ammonia can have a direct toxic effect on vegetation and can lead to changes 65 Solstice Refrigerant Helps Decarbonise London Homes. 66 Working Fluid Safety. Annex 20, Report No. HPP-AN20-1, Berghmans, J. (1994), IEA Heat Pump Programme, ISBN 90-73741-10-6, IAE Heat Pump Centre, Sittard, The Netherlands. 67 The Future of Ammonia: Improvement of Haber-Bosch ... or Electrochemical Synthesis?, also Current and future role of Haber-Bosch ammonia in a carbon-free energy landscape, Collin Smith, Alfred K. Hill and Laura Torrente- Murciano, Department of Chemical Engineering, University of Bath, BA2 7AZ, Bath, UK., 2019. 68 100 times more pollution than reported: How new technology exposed a whole industry. , How ammonia feeds and pollutes the world, Industrial ammonia production emits more CO2 than any other chemical-making reaction. Chemists want to change that, Environmental evaluation of european ammonia production considering various hydrogen supply chains, Dora-Andreea Chisalita et. al., Renewable and Sustainable Energy Reviews, 2020. 69 Industrial ammonia production emits more CO2 than any other chemical-making reaction. Chemists want to change that. 70 Impact of ammonia emissions from agriculture on biodiversity. 14 in species composition (biodiversity) due to nitrogen deposits.71 It is also a strong aquatic pollutant.72 End of life handling of ammonia refrigerants is technically complex, costly, and presents risk for health and the environment. Disposing of contaminated ammonia requires incineration or an aqueous treatment due to its dangerous chemical properties. These processes create hazardous waste.73 Due to the high toxicity (lethal in certain doses) and flammability (also combustible) of anhydrous ammonia, RACHP installations using this chemical are governed by strict national regulations. Service personnel on site must have appropriate training/accreditation to handle ammonia to ensure safe operation of the system. Many SMEs currently in RACHP servicing business would not qualify. Ammonia is also aggressive to other materials such as copper, zinc and many other. Hence, the maintenance costs of such systems are very high due to the price of spare parts and the need for regular (every 3 moths) deep cleaning of the systems. In practice, ammonia used close to public areas and in big charges (e.g., commercial indoor RACHP systems or heat pumps in public buildings, certain DHC networks) could lead to high health and safety risks.74 Regardless of strict safety measures in place, numerous incidents with ammonia RACHP systems are reported worldwide and provided selectively in Annex II below. Some of these incidents have led to fatalities.75 In addition, anthropogenic atmospheric emissions of ammonia in the EU are subject to national member states emissions reduction commitments under Directive (EU) 2016/228476 which aims to reduce emissions of certain strong atmospheric pollutants, including ammonia.77 3.2. Hydrocarbon refrigerants Hydrocarbon refrigerants (Propane (R-290), Isobutene (R-600a), Propylene/propene, etc.) are by-products from the petrochemical industry and are highly/extremely flammable and explosive gases (cat. Flam. Gas 1A). These molecules also have AR5 GWP100 values of 4-5. Propane CLP Hazard classification & labelling: Some recent workplace fire incidents concerning flammable refrigerant gases have directly contributed to injuries, deaths and damage to property (buildings fires, explosions - see selected examples in Annex III below). Combustion products of some hydrocarbon refrigerants and mixtures are toxic. Gaseous 71 Ibid., also Ammonia - is it causing your algae problems? 72 Ecological and toxicological effects of inorganic nitrogen pollution in aquatic ecosystems: a global assessment, Camargo J, Alonso A (2006), Environment International 32:831-849; Constable M, Charlton M, Jensen F, McDonald K, Craig G, Taylor K (2003) An ecological risk assessment of ammonia in the aquatic environment. Human and Ecological Risk Assessment 9(2):527-548; and many others. 73 Environmental Health Criteria 54: Ammonia. ,IPCS (International Programme on Chemical Safety) (1986), United National Environment Programme, International Labour Organisation, World Health Organization. 74 See in detail A Review of Safety Issues and Risk Assessment of Industrial Ammonia Refrigeration System, Dheyaa Ashour Khudhur, Tuan Amran Tuan Abdullah, and Norafneeza Norazahar, ACS Chemical Health & Safety 2022 29 (5), 394-404 DOI: 10.1021/acs.chas.2c00041 75 Can be a precursor for explosive materials and is listed in the potential risks for terrorist attacks. 76 Directive (EU) 2016/2284 of the European Parliament and of the Council of 14 December 2016 on the reduction of national emissions of certain atmospheric pollutants, amending Directive 2003/35/EC and repealing Directive 2001/81/EC. 77 Also subject to control under The 1999 Gothenburg Protocol to Abate Acidification, Eutrophication and Ground-level Ozone (Gothenburg Protocol) 15 hydrocarbons are heavier than air and will displace air in lungs resulting in asphyxiation.78 They are also strong atmospheric photochemical ozone precursors that can cause air quality concerns (volatile organic compounds (VOC) and photochemical ozone creation potential (POCP) concerns).79 These characteristics make hydrocarbons unsuitable for larger RACHP applications, residential heat pumps with split systems designs (see in section 4 below) and many other applications due to strong safety concerns. All devices that use hydrocarbons as a refrigerant must be approved by national competent authorities before they are sold, installed or used and only holders of a gas work license can do work on the gas system of hydrocarbons refrigeration appliances.80 Proper leaks and concentrations control/alarm systems must be in place too. This significantly increases the total cost of ownership of these systems. 3.3. Carbon dioxide (CO2) Major CO2 (R744) refrigerant shortcomings are: - Pressure - Very high operational pressures (10 times that of current refrigerants) that require complete redesign and retooling of all major RACHP components. Leaks quickly result in the air emission of the whole refrigerant charge, leading to non-functionality of the overall system and respective products losses (food, medicines, blood, etc.). - Acute Toxicity Exposure Level (ATEL) - Even smallest CO2 leaks can result in large leak volume due to high pressure causing safety concerns due to its low ATEL 30,000 ppm (54 g/m3)81. - Ecotoxicity - CO2 leakage in water harmful for marine life.82 - Safety - The servicing of CO2 refrigeration equipment with these high pressures increases the likelihood of accidents (systems blowouts), particularly for transport refrigeration/AC in road incidents (shrapnel and fragmentation of components, freeze burns (due to low boiling point), etc.). High coefficient of liquid expansion can cause pipe ruptures (HFO liquid expansion rate of 15% vs 42% for CO2). In addition, CO2 is harmful when exposed to it for several hours at low concentrations (1-3%). At concentrations above 10% it may cause fatalities due to the lack of oxygen uptake potentially leading to suffocation and asphyxia.83 Also refer to Annex IV listing certain selected incidents due to CO2 refrigerants. - Reliability - Retaining CO2 in the refrigerant system is a challenge given the small molecule size and higher pressures needed. More frequent refrigerant servicing is likely required and can reduce overall efficiency when low charge conditions exist (particularly important for small commercial chillers, etc.). - Performance in hot weather - CO2 as a refrigerant in RACHP systems loses efficiency in hot weather conditions. This considerably increases energy/electricity consumption, estimated to be three times higher in hot climates as opposed to more temperate conditions.84 Given increasing 78 See e.g., Safety Data Sheet (SDS) E-4646. 79 Subject to control under The 1991 Geneva Protocol concerning the Control of Emissions of Volatile Organic Compounds or their Transboundary Fluxes and The 1999 Gothenburg Protocol to Abate Acidification, Eutrophication and Ground-level Ozone (Gothenburg Protocol) , see also EFCTC summary page VOCs And POCPs. 80 See e.g. Q&A What do service engineers need to know about flammable refrigerant rules?, IEC 60335-2-89 flammable refrigerant limit change. 81 See in Gas detection in refrigeration systems. 82 See on Ocean acidification, and Lethal effects on different marine organisms, associated with sediment- seawater acidification deriving from CO2 leakage 83 Safety first when choosing a refrigerant! EFCTC Factsheet on published refrigerant-related accidents. 84 Annual performance of a supermarket refrigeration system using different configurations with CO2 refrigerant, Georgios Mitsopoulos et. al., Energy Conversion and Management: X, Volume 1, January 2019. 16 climate temperatures due to global warming, this will become even more problematic for RACHP applications in all sectors (industrial, commercial, residential) in the near future. - Energy efficiency and GHG emissions - The SAE International study demonstrated that due to higher energy needs, CO2 RACHP systems resulted in a 10-15% increase in total CO2 equivalent GHG (indirect) emissions when evaluated across population biased weather patterns for Europe and North America. - Vibration and noise - Elevated vibration and noise characteristics of CO2 high pressures coupled with reduced dampening of normal rubber based refrigerant hoses may have a significant effect on customer/neighbor satisfaction. - Costs - Higher costs for both manufacturers and consumers will have a societal impact, based on both economies of scale and premium materials or structural requirements to maintain the higher pressures. CO2 refrigerants are by products of other industrial processing of fossil fuels (e.g., natural gas and coke) resulting in other environmentally harmful by-products such as Nox, NH3, HCN, HCl, methane leaks, and slags, etc. which are very difficult and expensive for safe disposal. Some other aspects to consider while evaluating options available for different applications is the initial capital expenditure and the maintenance costs. For example, at e.g., page 94 the Proposal refers to CO2 as an alternative in commercial air conditioning, which is thermodynamically less efficient than HFC/HFO based solutions. In order to improve the efficiency of CO2 systems cycle enhancements such as flash gas bypass, parallel compression, adiabatic condensers and ejectors are often used for CO2 systems. These enhancements increase the complexity of the system resulting in higher initial cost as well as the maintenance cost of CO2 systems compared to HFC/HFO based solutions. Further, since CO2 based systems operate at extremely high pressures technicians need to be trained specifically for handling CO2. The design of CO2 systems also needs to consider effects of unplanned events such as power failures which can lead to rise in system pressure beyond the system design pressure rating which could potentially lead to loss of entire CO2 refrigerant charge leading to failure of the overall RACHP system. Due to these additional system complexities and requirement of specially trained technicians the maintenance cost of CO2 systems is higher than HFC/HFO based systems. Therefore, continued use of HFC/HFO's in RACHP and heat pumps should be allowed to ensure end users have the flexibility of using the appropriate system architecture and refrigerant based on their needs and are not adversely impacted by the higher capital expenditure and higher maintenance cost of CO2 systems. In addition, in general, CO2 refrigerants in RACHP applications are less energy efficient (especially in warm climates) and thus less environmentally friendly when compared with HFC/HFO in terms of all GHG emissions during the entire service life of equipment due to higher electricity needs (i.e., "indirect emissions").85 The above problems make CO2 technically concerning and economically undesirable to implement in many RACHP systems at the required scale and level of safety. The overall effect of using CO2 as a substitute for HFC/HFO would be negative for consumers, the economy, GHG emission reduction targets and aims of the European Green Deal, Fit for 55 and REPowerEU plans. 85 See e.g., Performance Analysis of CO2 Heat Pumps in Different Applications, Jaykumar Thanggavelu, 2022; The Case for Using Carbon Dioxide as a Refrigerant.; Transcritical Carbon Dioxide Based Heat Pumps: Process Heat Applications. 17 4. Consequences of HFC/HFO substitutions in heat pumps sub-uses The buildings sector is a key contributor to greenhouse gas (GHG) emissions, representing 35% of energyrelated EU emissions in 2020. These emissions result partly from the direct use of fossil fuels in buildings (e.g., oil and gas used in boilers for heating) and partly from the production of electricity and heat for use in buildings (indirect emissions - e.g., electricity consumed by water heaters, lighting, electrical devices, cooling systems, etc). The European Green Deal, Fit for 55, REPowerEU, Renovation Wave for Europe and the EU's recovery plan place a strong emphasis on reductions in GHG emissions and energy use from buildings. It is noteworthy that it is technically and/or economically impossible to transform many existing heat pumps systems for use of alternative refrigerants. Existing systems and those that are already designed will require a stable supply of HFC/HFO refrigerants and maintenance (spare parts, etc.) until the end of their lifecycle, which is ca. 20 years for small/medium residential units (see section 1.2 above), and over 30 years for large installations such as HTHP and DHC systems. Moreover, most of HTHP (supply temperature >90C) are designed to use an HFO-type refrigerant (R1234ze(Z), R1234ze(E), R1233zd(E), R1336mzz(Z), R1234yf). Manufacturers of industrial HPs have chosen this solution for a number of reasons: zero ODP, extremely low GWP, limited or zero flammability, non-toxic, optimum performance at target temperatures. Also, alternative refrigerants to HFO for HTHP are still non-existent from a commercial point of view, i.e., the first laboratory demonstrators are under way and the first field demonstrations are only expected from 2024/2025 (often using hydrocarbon-type fluids: butane or n-pentane). The use of hydrocarbons will also require time for industries to adapt to these highly flammable refrigerants and adjust to stringent ATEX and SEVESO requirements. Use of water as alternative is only at laboratory demonstration stage for closed cycles.86 Therefore, the derogation of 13.5 years provided in point 5.i of the Restriction Option 2 of the Proposal is not sufficient. Given high (installation and operational) costs of new heat pumps running on alternative refrigerants and potential needs to replace all units with HFC/HFOs already placed on the market by the end of EiF (estimated app. over 50 mln. by 2028, see section 1.2 above), the overall costs on the society steaming from the Proposal will be very high. The derogation for maintenance and refilling of existing heat pumps should be also time-unlimited. 4.1. Modeling study - energy efficiency and CO2 emissions savings of HFC/HFO vs alternative refrigerants in residential heat pumps applications in EU According to the REPowerEU action plan, the rapid weaning of the EU from fossil fuel imports will necessitate a push for energy efficiency in heating and cooling. In this regard, the EU plans to deploy 60 million of various heat pumps across Europe by 2030 (see also section 1.2 above).87 Heating and cooling represents 50% of total gross final energy consumption in the EU.88 New residential installations will use heat pumps and heat pumps will be used to replace existing fossil fuel boilers in homes. The vast majority of heat pumps used in Europe (i.e. in the biggest residential: single/double family house segment) will be of air-to water types where heat is extracted from outside air and this heat is used to heat up water that is circulated throughout the home for space conditioning or portable hot water application. 86 In September 2023, a German company Efficient Energy GmbH that focused on using water as a refrigerant went bankrupt after the collapse of talks with potential investors and its assets were bought out by another company. This demonstrates that this technology is technically as well as financially highly questionable. 87 See, European Heat Pump Association (EHPA) publications here and at page 5 of the European heat pump market and statistics report 2023. 88 Heating and cooling from renewables gradually increasing, EUROSTAT, 3 February 2023. 18 There are two typical designs of air-to-water heat pumps used in EU: Monobloc systems and Split systems designs. Figure 1 below outlines both designs.89 In Monobloc systems all refrigeration system components are located outside. An additional pumped cycle using water-glycol is required to exchange heat between outdoor and indoor units. Due to this additional loop, there are additional heat transfer resistances in Monobloc systems which reduces the energy efficiency of the overall system. These types of design are suitable for highly flammable A3 refrigerants like propane (R290) as it minimizes the safety risk by isolating all the refrigerant outdoors. In a split design, the outdoor unit is placed outside premises and the refrigerant circulates inside the home where it exchanges heat with the water. Since, the refrigerant circulates indoors there is no need for the additional glycol-water loop. The removal of the additional cycle reduces the temperature difference between the sink (heating water) and the refrigeration cycle. Therefore, split units usually show higher efficiencies overall.90 Although, they cannot be used with hydrocarbon refrigerants due to safety concerns (i.e., risks of fire/explosion). Figure 1: Schematic flow sheet of monobloc and split heat pump systems Two scenarios were considered in this study. In first scenario, all new heat pumps units from 2021 until 2041 were assumed to be converted to Monobloc systems design using propane. In the second scenario all new units from 2021 until 2024 were assumed to be converted to a Split system design using HFO based solution R454C (blend of HFC-32 - 21.5% and HFO-1234yf - 78.5% by mass)91. 89 Monobloc vs. Split-Design of Heat Pumps: Fluid Selection and Thermodynamic Analysis, Hoges et al, 2022. 90 Ibid. 91 See e.g., here. 19 The performance of propane (R-290) Monobloc systems and R454C Split systems were modelled using the methodology described in the recent comprehensive Technology Options for Low Environmental Impact Air-Conditioning and Refrigeration Systems (August 2023) Technical Report.92 Figures 2 and 3 show variation of heating coefficient of performance (COP) and heating capacity of R454C and R290 systems with ambient temperature estimated using system simulation tool described in the study.93 Heating COP/COP_R454C@7 C 120% 110% 100% 90% 80% 70% 60% -10.0 -5.0 R454C Propane 0.0 5.0 10.0 15.0 20.0 Outdoor Ambient (C) Figure 2: Heating COP of R-454C and R-290 Heating Capacity/Capacity_R454C@7 C 130% 120% 110% 100% 90% 80% 70% 60% -10.0 -5.0 R454C Propane 0.0 5.0 10.0 15.0 20.0 Outdoor Ambient (C) Figure 3: Heating Capacity of R-454C and R-290 A linear building load profile was assumed as shown in Figure 4 below. This profile was used to estimate the energy consumption of total CO2 emissions from a heat pump operating over 20 years. The weather data for Frankfurt (Germany) was used for this analysis. A refrigerant leak rate of 4% was assumed and GWP values of propane (R290) and R454C were 4 and 146 respectively based on GWP100 AR4 values. Total number of heat pumps in 2021 was taken to be 1,5 million on the EHPA 2002 market report.94 Heat 92 Building Technologies Office 03.02.02.38 Milestone Report-- Technology Options for Low Environmental Impact Air-Conditioning and Refrigeration Systems, Yana Motta et. al., ORNL/TM-2023/3041, Oak Ridge National Laboratory (ORNL), Oak Ridge, TN (United States), August 2023. 93 Low GWP R410A Alternatives in Heat Pumps: Performance and Environmental Characteristics, Sethi, A., Yana S. M., Spatz, M. 2013 94 European Heat Pump Market and Statistics Report 2022, 2022 V1 3 (updated 26/01/23), EHPA. 20 pumps number average growth rate of 10% was assumed over 20 years. The emissions factor for Frankfurt (Germany) was assumed to be 0.672 kg CO2/kWh.95 Load/System Capacity 120% 100% 80% 60% 40% 20% 0% 0 10 20 30 40 50 60 70 Ambient Temperature (C) Figure 4: Assumed Load Profile The major assumptions made in this model are outlined in in Table 1 below. Table 1. Model Assumptions Two Scenarios considered for comparison Scenario 1: Only Monobloc Systems with Propane (R-290) Scenario 2: Only Split Systems with R-454C Total Number of Units 2021 (Splits + Monoblocs) 1,500,000 Growth Rate 10% Leak Rate 4% Emissions Factor 0.672 Average Mono-bloc System Charge R-290 1.5 Average Mini-split System Charge R-454C 1.3 Propane (R-290) GWP 4 HFO (R-454C) GWP 146 EU Average Weather Frankfurt Load Profile Linear Then by using the heating COP from the Technology Options for Low Environmental Impact AirConditioning and Refrigeration Systems (August 2023) Technical Report and the ambient temperatures for 95 Building Technologies Office 03.02.02.38 Milestone Report-- Technology Options for Low Environmental Impact Air-Conditioning and Refrigeration Systems, Yana Motta et. al., ORNL/TM-2023/3041, Oak Ridge National Laboratory (ORNL), Oak Ridge, TN (United States), August 2023. 21 a mid-EU climate (Frankfurt), the energy usage was calculated for each scenario above. Total energy savings were simply determined to be the energy used if propane (R290) based Monoblock systems were adopted minus energy used if R454C based split heat pumps were adopted. Conclusions: Results of the above calculations demonstrate that the total energy savings resulting from the use of R454C Split heat pump systems versus propane (R290) Monobloc systems would be 5.5 TWh/year and the corresponding CO2 emissions avoidance would be 3.4 MMt/year. Furthermore, in case 22 million old individual heating appliances and several thousand large old fossilbased heating units currently in EU would be replaced by fossil boilers due to issues regarding safety, space limitations or lack of trained personnel for flammable/toxic/explosive alternative refrigerants for heat pumps systems and REACH restrictions on FHC/FHO, additional annual GHG (CO2) would be even difficult to overestimate. Therefore, it is evident that both RMOs envisaged in the Proposal and aiming to ban HFC/HFO for the heat pumps sector drastically contradict and considerably impact the EU's decarbonization goals to cut CO2 emissions by at least 55% by 2030 and REPowerEU plans, including on sustainable heating and cooling (see section 1.2 above). Respective costs on the society and environment will be too high and disproportionate in comparison with the alleged concerns due to persistency of TFA. 5. Future technologies will predominantly benefit HFC/HFO refrigerants over alternatives96. The study in section 4 above is based on current heat pump technologies and these estimates are still conservative as the potential improvements from new technologies over the next 20 years have not been considered. In this regard, although R290 has inherently better thermophysical properties than some of the HFC/HFO refrigerants it does not benefit significantly from most cycle improvements. Most of the focus on R290 systems must be on charge reduction due to its higher flammability, thus performance is not prioritized. CO2, on the other hand, has been thoroughly investigated in the past decades and even considering its state-of-the-art systems the performance still can't overcome the drawbacks in this refrigerant for some applications. Although as Ammonia (R717) has been known as one of the best refrigerants in terms of its thermophysical properties, it's highly toxic and it doesn't benefit from most of the technological advancements in cycle architecture or RACHP component design. For a more realistic projection of next-generation system performance a few essential technologies must be considered to envision the future efficiency of the sector: - Compressors: centrifugal oil-free compressors have initially been developed for very large capacities and are being downsized down to 15 kW unitary cooling capacity, including both cooling heating and refrigeration designs (high- and low-pressure lifts). When this technology can be applied to smaller chillers, roof tops, heat pumps and refrigeration systems a breakthrough in efficiency will happen as is the case today in large capacities. Typical seasonal efficiency increases can be as high as 25% when comparing this technology to traditional oil-lubricated positive displacement compressors. It is fundamental to understand that new centrifugal oil-free compression (e.g., Turbocor) can only fit to HFC/HFO low level of pressures to be reliable and efficient, so there is no possibility to use it 96 For example, in September 2023, Carrier has introduced a comprehensive new line of high temperature and very high temperature heat pumps using low GWP HFO refrigerants. 22 for R290, CO2 or R717. Moreover, the oil-free design will benefit from a constant COP along the years when it has been demonstrated a continuous ageing degradation of COP in oil-lubricated chiller technologies, up to 20% after 20 years.97 - Ejectors, Sub-Coolers: these technologies, already applied since more than 10 years in CO2 refrigeration, have demonstrated a significant boost in efficiency by enhancing the refrigeration cycle. HFC/HFO will benefit as well from these new options. Expected efficiency increase is above 10% for each technology. As CO2 is already using them there will be no additional change to the baseline CO2 systems efficiency of 2023. As far as R290 is concerned, the drastic refrigerant charge limitation linked to its explosivity will not permit its use as either ejector or sub-cooler easily, as both solutions will increase the refrigerant charge enough to be above the safety standards allowances. For R717, the trend of `low charge Ammonia' chillers and heat pumps (due to its Toxicity) will also restrict the access to refrigeration cycle enhancement technologies.98 6. Conclusions ECHA (RAC/SEAC) and European Commission should consider the total exclusion or granting of the timeunlimited derogations from potential PFAS REACH restrictions for HFC/HFOs refrigerants uses in all heat pumps applications (sud-sector). Uses of respective HFC/HFO as well as their decomposition product TFA do not entail unacceptable risks that are not adequately controlled within the meaning of Articles 68-69 REACH. Moreover, potential substitutes do not provide the required safety, technical specifications and performance of final products or heat pumps installations, in particular, within residential areas (e.g., to replace home boilers or in district heating). Taking into account developments in relevant technologies, even in the midto long term, technically feasible chemical and functional alternatives acceptable from standpoints of safety, efficiency, health, environment, and costs would not be available in all heat pumps applications. Heat pumps manufacturers are not physically able to develop and supply heat pumps running on alternative refrigerants and at affordable costs, safety levels and scale required by the EU decarbonization policies. Otherwise, the PFAS REACH restriction will considerably impede goals on decarbonization of heating and cooling in the EU as well as make impossible to reach EU renovation program objective aiming to install 60 millions of heat pumps in EU by 2030.99 The safety requirements associated with the use of hazardous alternative refrigerants such as R290 would result in the need for tens of additional TWhs of electricity and additional tens of MMT CO2 indirect emissions due to increased electricity spends over the full service life of equipment. In case 22 million old individual boilers and several thousand large old fossil-based heating units currently operating in EU would be replaced by fossil boilers due to safety issues, space limitations or lack of trained 97 Energy Star Building Manual, 2008. Chapter 9 - Heating and Cooling; ASHRAE Research Project Report RP- 751: Experimental Determination of the Effect of Oil on Heat Transfer in Flooded Evaporators with R-123, R-134A, ASHRAE, 1999; Final Report: Compressor Degradation Assessment and Wear Mitigation Strategy, Zheng, Y., Bellstedt, M., 2014, Meat & Livestock Australia Limited, North Sydney NSW, Australia. pp 19. 98 Ibid. and Emerging Oil Free Technologies, Good, R., 2018. 99 See the EU Heat Pump Action Plan. 23 personnel for dealing with flammable/toxic/explosive alternative refrigerants in heat pumps systems and REACH restrictions on FHC/FHO, additional annual CO2 emissions would be even difficult to overestimate. Therefore, Honeywell requests that the following HFC/HFO fluorinated refrigerants to be excluded from the scope of the Proposal: HFC-125, HFC-143a, HFO-1234ze(E), HCFO-1233zd(E), HFO-1336mzz(E), HFO1336mzz(Z), HFC-245fa, HFO-1234yf, HFC-134a, HFC-227ea or their uses in all heat pumps applications made subject to the time-unlimited derogation in accordance with the provisions of Articles 68 and 69 REACH. In line with previous practices, this derogation should also cover maintenance/repair, refitting and reselling activities involving used/secondhand RACHP systems already placed on the market. This derogation could be also conditional (progress-limited) to allow the industry to work towards development of alternatives with a comprehensive transitional review (re-assessment) by ECHA/Commission by the end of 2035.100 __________ Annex I - List of acronyms and abbreviations Annex II - Ammonia Refrigerants (R717) in RACHP Systems Casualties (selected incidents) Annex III - Hydrocarbon Refrigerants in RACHP Systems Casualties (selected incidents) Annex IV - Carbon dioxide (CO2, R744) Refrigerants in RACHP Systems Casualties (selected incidents) Annex V - Building Technologies Office 03.02.02.38 Milestone Report--Technology Options for Low Environmental Impact Air-Conditioning and Refrigeration Systems 100 See Example 5, Examples of conditional derogations, pages 58-62, Guidance for the preparation of an Annex XV dossier for Restrictions; see also para. 7 of entry 72, para. 8 of entry 50 or paras. 3 and 10 entry 68 of Annex XVII REACH. 24