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Investment Analysis / Cost Comparison

A fully stocked commercial HVAC service vehicle commonly requires an investment of $90,000 to $150,000+. At typical commercial billing rates, recovering that investment often requires 800 or more billable hours — commonly six to twelve months of field operation.

       Breakeven Concept

Based on prior history a single large chiller recovery project may recover enough refrigerant value to offset a large portion of the equipment cost, with some scenarios approaching full payback.

Refrigerant Recovery/Salvage includes EPA Certified Reclaimer  Process Fee

R123 RECOVERY PROFIT MODEL

​ Recovered:    2,000 lbs.

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​COST BREAKDOWN-

Cost of Salvaged Refrigerant: $10 per lb.

Cost to Process: $10 per lb.

Carrying Cost (30–60 days): $5 per lb.

TOTAL COST:  $25 per lb.

---------------------------------------------Contractor:

Resale Value: $50 per lb.

Profit per lb.  $25 per lb.

Total Profit     $50,000

---------------------------------------------

End User: 

Resale Value:  $100 per lb.

Profit per lb.:  $75 per lb.

Total  Profit     $150,000

R134a RECOVERY PROFIT MODEL

​ Recovered:    2,000 lbs.

------------------------------------------------

​COST BREAKDOWN-

Cost of Salvaged Refrigerant: $1 per lb.

Cost to Process: $5 per lb

Carrying Cost (30–60 days): $5 per lb

TOTAL COST: $11 per lb

------------------------------------------------Contractor:

Resale Value: $20 per lb.

Profit per lb.  $9 per lb.

Total Profit     $18,000

------------------------------------------------

End User: 

Resale Value:  $50 per lb.

Profit per lb.:  $ 39 per lb.

Total  Profit     $78,000

Sell To EPA Reclaimer/ Quick Flip

Recover/Recycle high moisture refrigerant

R123 RECOVERY PROFIT MODEL​ Recovered:    2,000 lbs.

-------------------------------------------------

​COST BREAKDOWN-

Cost of Salvaged Refrigerant:  $2 per lb.

-------------------------------------------------EPA Reclaimer Resale Value: $12 per lb.

-------------------------------------------------Profit per lb.:  $10 per lb.

-------------------------------------------------

Total  Profit     $20,000

​

*In this case you just need to make some quick cash. you are in a market where you are the only bidder. Allows you to buy low and sell at a discount. Profit is made on the buy side.

R123 RECOVERY /RECYCLE PROFIT MODEL​

Recovered:    2,000 lbs.

-------------------------------------------------------​COST BREAKDOWN- 

Cost to Process: $ no cost per lb. in house process 

Moisture Lab Analysis: $200​

-------------------------------------------------------

Fee for Service:

Sample service: $750

Lab Analysis: $1000

Recovery Rate $2000

Recycle rate: $7.50 per lb.

Total Invoice: $18,750

 

​​​*recycle jobs can only be perform on the same charge that was takenout of the chiller being serviced​

Carbon Credit Offset Market

 

CFC12, CFC500 and CFC11

Recovered refrigerant:   2000 lbs.

------------------------------------------------------------

COST BREAKDOWN- $10 per lb.

------------------------------------------------------------Carbon Credit Bundler: Resale Value: $35 per lb.

------------------------------------------------------------

Profit per lb.  $25 per lb.

 

Total Profit     $50,000

​

* as the cfc market begins to wind down the desposal of these refrigerants is stoll required. The carboc credit offset market was established for this reason

De-Contamination/ De-Hydraytion Capabilities 

During the operating life of large centrifugal chillers, tube leaks can occur, allowing water to enter the refrigerant system. When this happens, the system must be properly dehydrated and decontaminated to restore safe and efficient operation.

 

A common industry method involves flushing the system using heated nitrogen and refrigerant to remove moisture and contamination. This equipment package includes several of the key components required to perform that work.

 

While additional investment in compression and condenser equipment is necessary to provide full system capability, this service represents a legitimate and ongoing opportunity within the industrial and commercial chiller maintenance industry.

​

Rates for this service vary based on chiller size and type of chiller - Centrifugal or Air-Cooled Chilled water systems. Days includede to de-hydrate and de-contaminate. 

Price Range between $25,000 to $80,000 per job. 

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