HVAC Refrigerant Transition 2026: How to Price R-454B and R-32 Jobs Profitably

The HVAC refrigerant transition in 2026 has contractors asking some big pricing questions. What will R-454B and R-32 cost? What new expenses come with A2L refrigerants? Should you charge by the pound? And how often should you change your pricing?

Last updated: October 23, 2026

Those questions matter because the transition is already affecting contractors in the field. R-454B and R-32 are being used in new residential HVAC equipment as the industry moves to refrigerants below the EPA's 700 GWP limit. R-454B has a GWP of 470 and is classified as an A2L refrigerant. R-32 also falls below the 700 GWP limit. EPA reported that installations using R-454B and R-32 increased significantly in 2025.

R-454B vs. R-32 vs. R-410A: quick comparison

EPA also documented something contractors have already experienced firsthand: R-454B was being manufactured in sufficient quantities, but service cylinders weren't always getting into contractors' hands. That created regional scarcity and made it difficult for some contractors to get refrigerant in the field.

So how should an HVAC company think about pricing through all of this? We asked Russ Franklin, The New Flat Rate's Field Support Lead.

What new costs should HVAC contractors account for with R-454B and R-32?

Russ:

Typically, with any new refrigerant release, there will be new training costs, tools, equipment maintenance, and travel expenses.

Then, outside of a classroom, there will be real-world application testing, which accounts for more time on the job.

That's one of the first things contractors need to understand about the HVAC refrigerant transition.

The cost of the refrigerant itself is easy to see. It's sitting on an invoice.

The other costs aren't always as obvious.

Your technicians have to learn the equipment. Your company may need new tools. Jobs may take longer while technicians gain real-world experience. Your operating costs can change before you've ever adjusted the price of a pound of refrigerant.

If you're only watching the cylinder price, you're only watching one part of the job.

(For a deeper breakdown of where else contractors lose revenue on the truck, see our HVAC pricing guide, and for the training side of this equation, see HVAC technician training: what most programs miss.)

Should HVAC contractors sell R-454B or R-32 by the pound?

Russ:

First, we need to determine the type of job we are on: replacement of equipment or service work.

If this is service work, I typically don't recommend selling by the pound because, from the customer's perspective, selling by the pound means the supply chain isn't in question, ever.

However, what we have noticed in some areas is that A2Ls have been scarce for service work, or suppliers have required the purchase of new equipment in order to buy a cylinder of refrigerant or get a cylinder "loaned" to them for a job.

Depending on where an HVAC company is in the country, they should look at what refrigerant is readily available in their area. At this point, they can determine cost plus markup to affect our daily truck goal.

Another strategy I would like to see used more is contractors not being afraid to make a friend of another semi-local contractor and work together to help each other in a time of true need.

We have noticed a few of our customers working together with a term they coined, "co-opetition."

This is the act of competitors deliberately working together to help each other succeed.

That matters when refrigerant availability can change from one market to another. Contractors across the industry have been vocal about exactly this kind of local supply disruption. See ACHR News: HVAC Contractors Sound Off on R-454B Shortage for more on how widespread the availability problem has been.

It also means copying another contractor's R-454B price isn't much of a pricing strategy.

Their supply situation may be different.

Their costs may be different.

Their daily truck goal may be different.

Their billable hour may be different.

You need to know your numbers.

How often should you review R-454B and R-32 pricing?

Russ:

When it comes to pricing refrigerant, typically the industry only looks at cost a couple of times a year.

But with A2Ls, we should check for cost increases more often to make sure our billable hour aligns with our goals.

Also, contractors need to implement daily truck goals and weekly revenue targets.

The contractor got into business to make a profit and have more impact on their family and community.

If you know your numbers, slight adjustments can be made to a company's billable hour, resulting in more profitability.

If contractors had not started their company with the intention of making a profit, meaning deliberately pricing for growth, then they are already behind the curve.

That's the bigger lesson here.

The question isn't only: "What should I charge for R-454B?"

You also need to ask: "What does my truck need to produce today?" "Is my billable hour still accurate?" "Are my weekly revenue targets producing the profit my company needs?"

A supplier price change should trigger you to look at those numbers, not blindly add the same markup you've always used.

If you need help thinking through the rest of your service pricing, our HVAC pricing guide breaks down some of the other places HVAC contractors lose revenue without realizing it.

Not sure what a truck roll actually costs you before you even touch a refrigerant line? Use The New Flat Rate's Truck Roll Cost Calculator to find your real number before adjusting pricing.

What's the biggest mistake contractors could make during the A2L transition?

Russ's answer wasn't about refrigerant. It was about fear.

Russ:

Fear and uncertainty from a contractor or the technicians will lead to a decrease in closing rate.

The old saying, "Fair weather doesn't make good sailors," comes to mind.

In any industry, facing problems head-on with the willingness to get the job done correctly and surrounding your team with resources that will actually help will go a long way.

I keep hearing contractors stating they aren't going to events anymore, or they are too busy.

I found that at trade shows and networking events, I made contacts. These contacts helped me find resources when I needed them.

People should surround themselves with a network of people that want them to succeed and to grow with them.

That's worth paying attention to.

Your technicians are going to hear customers ask questions about the new refrigerants.

Your suppliers may change prices.

Availability may change.

Your team may run into equipment they haven't worked on many times before.

If the contractor is uncertain, that can work its way down to the technician and eventually into the customer's home.

Training, knowing your numbers and having people you can call become part of how you handle the transition.

Looking for other contractors working through the same thing? Join the free HVAC, Plumbing & Electrical Business Owners group on Facebook.

So, how should you price R-454B and R-32 jobs in 2026?

At The New Flat Rate, we say it this way: we don't sell parts. We use parts.

Refrigerant is something you use to solve the customer's problem. Your pricing has to pay for everything it takes to put a trained technician in that home, solve the problem correctly and run a profitable HVAC company when the job is finished.

Do you know what your billable hour should be?

Before you change your R-454B or R-32 pricing again, calculate what your company actually needs to charge. Use The New Flat Rate's free Billable Hour Calculator to see what every productive hour needs to generate based on your company's numbers.