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Mapping Emissions in Cooling: Philippines RAC Sector GHG Inventory 2025

02/2026 , Inventory / Cooling Strategy :

The release of the second greenhouse gas (GHG) inventory for the Philippines’ Refrigeration and Air Conditioning (RAC) sector quantifies direct emissions from refrigerants and indirect emissions from electricity use across key subsectors, providing robust evidence to inform climate action in the cooling sector.

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The inventory builds on the first inventory developed in 2019 and follows a combination of IPCC Tier 1 and Tier 2 methodologies. The calculated emissions generally include direct emissions from refrigerants and indirect emissions from electricity consumption; however, indirect emissions from the mobile air-conditioning (MAC) sector are excluded.

The inventory covers the following cooling subsectors: unitary air conditioning (UAC), AC chillers, mobile air conditioning (MAC), domestic refrigeration, and commercial refrigeration. It highlights where targeted efficiency measures and refrigerant transitions can deliver fast, scalable climate impacts.

Market Trends and Technology Outlook

UAC stock is expected to grow to approximately 15.6 million units by 2050, while domestic refrigeration is projected to reach around 21 million units, accompanied by a strong shift towards R600a. The number of AC chillers and mobile air-conditioning units is expected to more than double, reaching around 18,200 and 12 million units, respectively. In the commercial refrigeration subsector, centralized supermarket systems are projected to experience the strongest growth.

RAC Sector Emissions and Mitigation Potential

The inventory shows that in 2025, the RAC sector in the Philippines contributes an estimated 35.5 MtCO₂e, driven mainly by UAC (approximately 53%) and commercial refrigeration (around 27%). Emissions could rise further to 45.7 MtCO₂e by 2050 if no significant mitigation measures are implemented.

The report highlights significant mitigation potential through tightening minimum energy performance standards (MEPS) and accelerating the transition to low-GWP refrigerants, with the largest mitigation levers in the UAC and commercial refrigeration subsectors.

The project Cool Contributions fighting Climate Change C4 II was implemented by the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) on behalf of the German Federal Ministry for the Environment, Nature Conservation, Nuclear Safety and Consumer Protection (BMUV) as part of the International Climate Initiative (IKI) (opens in a new window).