As heat waves sweep across many parts of Asia, including Nepal, there has been an increased demand for cooling solutions, mostly air conditioners, popularly known as ACs.

The demand for ACs in Nepal has sharply risen in the last few years, mainly due to extreme heat in the Tarai districts. Traders say that the demand for ACs is robust even in hills and mountain districts, as they have both warming and cooling options.

Temperatures in many Tarai districts have exceeded 40 degrees Celsius.

According to the Meteorological Forecasting Division, Nepalgunj recorded the highest temperature at 41.2 degrees Celsius on Sunday.

Traders said that the weather conditions and different features have made air conditioners more of a necessity than a luxury.

“Once considered a luxury, air conditioners have become a necessity in many households with rising temperatures,” said Alok Gupta, general manager of Samsung Consumer Electronic Goods. “The demand for air conditioners has been on a sharp rise since last year’s summer mainly due to heatwaves.”

He said the burgeoning incomes of the population and regular power supplies have boosted the demand for AC.

“We are expecting our sales to grow by 25 percent this summer compared to last year.”

South Asian meteorologists have forecast maximum temperatures for the June to September 2024 season, suggesting that the seasonal maximums will be above normal in most parts of South Asia.

Estimates suggest that higher temperatures and improved incomes could increase the number of air conditioners in Southeast Asia from 40 million in 2017 to 300 million in 2040.

“The demand for ACs is enormous. The sales of Skyworth ACs have increased by 33 percent this season compared to last year,” said Amit Bajracharya, deputy general manager of the sales and operations department at Smart Appliance Private Limited.

“We are targeting sales of 3,000-4,000 units of Skyworth ACs this summer.”

According to the Household Survey report by the National Statistics Office, in Nepal, 56,601 households, which represents 0.8 percent of 6.66 million households, have ACs in their homes.

“As people’s income is rising, they are shifting to ACs from fans and coolers,” Bajracharya said.

Traders said that the demand for ACs is mainly growing in Pokhara, Biratnagar, Itahari, Dharan, Butwal, Narayanghat and Nepalgunj.

The demand for ACs is rising in Kathmandu as well with the increasing temperature.

There is demand for low-price air conditioners, especially Chinese products, in many small towns, traders say.

According to Him Electronics, the authorised distributor of Samsung electronics goods in Nepal, Samsung’s ACs are imported from Thailand. All Samsung ACs are built with inverter technology.

Dealers said Nepali customers normally prefer 1-tonne inverter technology ACs for their energy efficiency features.

Gupta said that old-model ACs used to consume more electricity and were also more expensive. “But now, due to robust innovation, ACs consume very little electricity. They are digitised and their prices too have come down, making them affordable for middle-class households as well.”

Nowadays, ACs come in 1,500W, 1,800W, and 2,000W, which is similar to using an iron or hair dryer, he said.

Customers looking for Samsung ACs mostly prefer products priced between Rs70,000 and Rs100,000, Gupta said.

Dealers said an air conditioner runs for more than 10 years and it can be used in both summer and winter, eliminating the need to repeatedly buy a cooler and fan.

The import of air-conditioners has also increased largely.

According to the Department of Customs, the import of ACs increased by 43.62 percent to Rs2.93 billion in the first 10 months of the current fiscal year, which ended in mid-May, compared to the same period last fiscal year.

The country imported 82,481 units of ACs during the review period.

ACs are mainly imported from China, followed by India and Thailand.

Nepal imported 76,404 units of air conditioners worth Rs2.78 billion in the last fiscal year, ending in mid-July 2023.

Controlling temperature has become easy, especially with digitalised air conditioners, as it can be controlled using apps.

Skyworth air conditioners come in inverter and non-inverter models, and the inverter can be equipped with Wi-Fi features or without them.

Bajracharya said inverter air conditioners, which use microprocessors to control the speed of its compressor motor to match the required output, consume 40 percent less electricity than non-inverter ones.

Bajracharya said inverter air conditioners with Wi-Fi technology help customers control the temperature through apps at home, work, or anywhere else.

The 1-tonne inverter AC manufactured by Skyworth is the most popular, priced at Rs65,000 onwards.

People are mostly opting for mid-range products. Skyworth air conditioners are imported from China.