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Interest rates on the rise

Interest rates in Canada have spiked again. This time, the Bank of Canada raised its benchmark interest rate by 25 basis points as of July 12. For anyone that has some type of debt, this is going to affect you. And according to the Canadian Federation of Independent Business (CFIB)’s Financing Main Street research series, the number of businesses seeking financing has surged in the last decade.

With the Bank of Canada’s increase, the overnight rate is now sitting at five per cent, the bank rate is at 5.25 per cent, and the deposit rate is also at five per cent. There might be troubled times ahead for many households in Canada. This is the highest the rate has been since 2001 and 10th increase by the central bank since March 2022.

In its Monetary Policy Report, the Bank of Canada says the increase was necessary to help slow economic growth and reduce core inflation. “If we don’t do enough now, we’ll likely have to do even more later,” reported Tiff Macklem, governor of the Bank of Canada. “But if we do too much, we risk making economic conditions unnecessarily painful for everybody.”

Canada’s economy has appeared strong, reports the Bank of Canada, but consumer spending is expected to slow in response to the increase in interest rates. This might spell trouble for contractors in the retrofit sector.

Homeowners and building owners will likely be less inclined to pay for large upgrades with interest rates being so high.

Industries like construction often require larger sums of money over longer periods of time to complete projects. This makes the industry quite susceptible to interest rate increases. For example, in the second quarter of 2022, the construction sector had one of the larger output declines, and with the latest interest rate increase, it is likely that construction projects may slow down even more. This will likely impact all sides of the industry – commercial, residential, institutional, and industrial. Additionally, anyone with variable mortgage rates will feel the most pain from the interest hike.

The coming months will likely be hard on households and businesses as income will have to be shifted to account for the higher interest rates on debt. Hopefully, this is the final time interest rates need to be increased this year. I guess only time will tell.

The somewhat good news is that the Bank of Canada expects inflation to ease, but it could take until 2025 to hit its two per cent target, according to Macklem. The next scheduled date for announcing the overnight rate target is Sept. 6.

July/August 2023

Volume 33, Number 4 ISSN 1919-0395

Publisher Mark Vreugdenhil

(289) 638-2133 ext.1

Cell: (416) 996-1031 mark@plumbingandhvac.ca

Editor Leah Den Hartogh (289) 638-2133 ext. 2 Cell: (289) 830-1217 leah@plumbingandhvac.ca

Assistant Editor Francesco Lo Presti (289) 638-2133 ext. 3 francesco@plumbingandhvac.ca

Contributing Writers

Glenn Mellors, Greg Scrivener, Michael Ridler, Ron Coleman

Design and Production

Tim Norton/Janet Popadiuk production@plumbingandhvac.ca

All articles and photos by Plumbing & HVAC staff unless noted.

PLUMBING & HVAC Magazine is published seven times annually by Marked Business Media Inc. and is written for individuals who purchase/ specify/approve the selection of plumbing, piping, hot water heating, fire protection, warm air heating, air conditioning, ventilation, refrigeration, controls and related systems and products throughout Canada.

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A member of:

• Canadian Institute of Plumbing & Heating

• Mechanical Contractors Association of Canada

• Ontario Plumbing Inspectors Association

• American Society of Heating Refrigerating & Air Conditioning Engineers

• Heating Refrigeration and Air Conditioning Institute of Canada

• Refrigeration Service Engineers Society of Canada

CIPH celebrates 90th anniversary in Nfld

By Francesco Lo Presti & Leah Den Hartogh

“Looking good for 90 years old,” joked Martin Luymes, vice president of government and stakeholder relations for the Heating, Refrigeration, and Air Conditioning Institute of Canada (HRAI), during the Canadian Institute of Plumbing and Heating’s (CIPH) annual business conference. Held from June 18 to 20 at the Delta in St John’s, Newfoundland and Labrador, the conference offered more than 300 guests the chance to network, attend educational presentations, and celebrate being in the industry.

The theme for this year’s event was “Rock Solid after 90 Years,” as the association was celebrating its milestone anniversary in 2023. In its inception in 1933, the association was compromised with nine members. Since then, it has grown to include 280 company members and 700 wholesalers. In addition, the Saskatchewan region celebrates its 30th anniversary, the Quebec region celebrates its 55th anniversary, and the Maritime region also celebrates its 55th anniversary.

During the two-day conference, several past CIPH chair of the board presidents also reflected on their time with the association, submitting their thoughts into a video presented during the conference. This included Andrew Dyck, Sian Smith, Gord Becker, Paul McDonald and many others. “A couple of things come to mind; the first is our association’s ability to connect membership, and the second is ensuring that we are the voice of the Canadian plumbing and heating industry,” said Matt Robinson, chair of the board for 2022-2023 and vice president of B.A. Robinson.

During the conference, it was announced that David Hammond, vice president and general manager of Canada with A.O. Smith, will be its new national chair for 2023-2024. Hammond will serve as the 76th chair and received the gavel from the outgoing chair, Matt Robinson. “I’m not going to be used to be taken photos of,” joked Hammond, after

receiving the official recognition for his new role as chair of the board.

During his speech, Hammond spoke on how he wants to continue collaborating with allied associations to present a strong, committed front regarding government advocacy positions around the harmonization of standards and codes with the U.S. and across Canada, as well as providing guidance in the nation’s pursuit of net zero goals for the built environment.

Ciao Ralph

The theme of this year’s conference was reflection due to the celebration of CIPH achieving 90 years of operation and the fact that this will be the last conference for Ralph Suppa, CIPH’s general manager and president, before he heads into retirement at the end of 2023.

“To all of our members from coast-to-

coast-to-coast, thank you for your support and your investment in CIPH—without you, CIPH does not exist. I am so happy to have served you and continue to serve you. Some of you have been my friends since I began in 1988 and I met some of you on Sunday for the first time, and you are all wonderful individuals, and I hope our relationships will continue as I go forward,” said Suppa. “I thought I was going to be okay, but it's starting to hit me now.”

Appointed president and general manager in 2002, Suppa has played a key role in developing CIPH programs and services since joining the association in 1988 as program manager. During his time with CIPH, Suppa continuously worked to help harmonize codes and standards and establish collaboration and unity throughout the industry.

While summing up a 35-year career is difficult, Suppa was given flowers, gifts, and

More than 300 delegates, 67 of which were new, attended the CIPH’s 2023 annual general meeting in St. John’s Newfoundland.

plenty of recognition. CIPH presented Suppa with the association’s highest distinction, its Honourary Life Member Award, to cap off the celebration. Filling the shoes of Suppa won’t be an easy task, but the association stated it has 150 resumes to sort through and hope to announce the next president in late summer/early fall.

Education and the industry

Featured speakers at the conference included Mark McCarthy, who provided stories about the history of Newfoundland; Janice Gross Stein, who delivered her presentation on the geopolitical structure and how it’ll affect Canadian business; Canadian Olympic curler Brad Gushue presented on the roadmap to a rock-solid team; Jennifer MénardShand presented on moving reconciliation forward, and comedian Mary Walsh gave a hilarious set of jokes that turned some heads as she started her performance stripping down to her knickers. No political party was left alone by Walsh, and she even had the crowd hooting and hollering at times.

The conference also featured a hydronics luncheon hosted by the Canadian Hydronics Council (CHC). Featured speaker Rob LeForte, founder of First Lake Solutions, walked some industry members through the CHC’s vision and mission of promoting the hydronics industry. In addition, he provided an update on the political climate.

CIPH acknowledged several industry members’ contributions to the industry. Sean Kelly, vice president and general manager of Emco Corp, and Michael Saragosa, director of procurement at Noble Corp, received the Outstanding Service Award.

The Golden Leaf Award was presented to Dahl Valve Limited, while the CHC’s Award of Merit was given to Lance MacNevin, director of engineering for the building and construction division at the Plastics Pipe Institute.

Sian Smith, general manager of Riptide Fulfillment Corp, was awarded the second-ever CIPH Women of Distinction Award. CIPH also awarded Dave Edison, president of Dave Edison Agency Ltd, with an Honourary Life Membership.

While there was a lot of recognition and work to be had during the conference, guests could also thoroughly enjoy the Newfie way of life. CIPH hosted a “Rally in the Alley,” which saw conference guests get screeched-in, learn traditional Irish dances, and sing along to some local Newfoundland songs. The conference also had activities that included touring the Blackhead Trail and Bird Island, fishing, a tour of St. John’s and Cape Spear, and morning yoga. A formal banquet dinner and a golf tournament were also held.

The next CIPH annual business conference will take place in Kelowna, B.C., from June 16 to 18, 2024.

Overcoming the Stigma: Embracing the Value of Skilled Trades

By Michael Ridler

Do you recall being labelled as the “less academic” kid who couldn’t make it to university? I was that child. Instead of enjoying summer camps and hanging out with friends, I spent my time assisting my parents in their HVAC company; a job I initially despised. Little did I know, this experience would shape my future in ways I couldn’t have imagined.

Looking back, I am immensely grateful that my parents invested in me by teaching me a skilled trade. It has led to a fulfilling career, despite my high school human resources teacher attempting to dissuade me. Today, I realize the value and fortune of pursuing a trade. My journey stands as a testament to the rewarding nature of skilled trades.

Misconception

The misconception that choosing a trade is a mark of inadequacy or failure is unjust. I now understand that there was never anything wrong with me. We must challenge the negative stereotypes surrounding skilled trades, particularly the archaic notion that they are exclusively for men. Trades are not limited by gender, background, race, or religion. My mother, the driving force behind an HVAC company based in Guelph, Ont, was instrumental in its success, overseeing its financial growth, maintaining schedules, and driving its expansion until she retired.

The involvement of women in trades is not a novelty; it is an

Lance MacNevin has successfully taught many in the industry about the intricacies of hydronic design over the years

existing reality that demands our support and empowerment. Let us foster an inclusive environment where discussions revolve around normalizing the participation of individuals of all ages and backgrounds in trades.

Continued from page "7"

Dispelling the myths

The belief that blue-collar workers lack intelligence or the capacity to excel in fields like banking or engineering is a baseless myth perpetuated by a lack of dialogue and understanding. Having spent my youth and twenties working with tools and the past two decades in technical design and training, I can confidently state that my blue-collar background has not hindered me. On the contrary, it has grounded me and provided a unique perspective when problem-solving. My proficiency in mathematics, coupled with firsthand knowledge of installation and servicing, has been instrumental in my success. It is not a matter of being better than white-collar workers; it is a matter of approaching challenges differently, drawing on diverse experiences.

Real-life people

Jamie Johnson from IBC Technologies has beenintheindustryforaroundthreedecades and has worked with boilers and heat pumps as a contractor, trainer, and mentor. If ever I get stumped on a complex issue, I tell my team I am calling Obi-Wan Kenobi. They know who I mean every time.

Jamie’s dedication lies in his practical expertise rather than pursuing fancy designations. His ability to troubleshoot combustion systems with ease and explain complex mathematical concepts while meticulouslyrepairingequipmentonjobsites is awe-inspiring.

In a similar vein, we have Lance MacNevin, director of engineering at Plastic Pipes Institute, another industry expert who, along with Dale Hanscomb, formely of Rehau, introduced me to hydronic design. When I started working at Eden Energy as a technical advisor, I had the privilege of learning from Lance. Patience personified, he successfully taught me the intricacies of hydronic design, even when I challenged every answer and pushed the boundaries of my understanding.

Indispensable skilled workers

WhenElonMuskrequiresairconditioning,he callssomebodylikeJamieJohnson.WhenJeff

mentor to turn to when reaching roadblocks; Jamie Johnson just so happens to be that mentor for our hydronics writer, Michael Ridler.

Bezos needs an efficient heating and cooling system for a starship journey to Mars, he seeks out somebody with Lance MacNevin’s expertise. Our society relies on skilled trades and blue-collar workers for essential services. Without them, our infrastructure would crumble. Imagine the escalating costs of maintenance and HVAC equipment when there is a severe shortage of the workforce required to fulfil these tasks.

While the advent of AI brings immense potential, it cannot replace the invaluable contributions of blue-collar workers. AI cannot unclog toilets, install boilers, troubleshoot heat pumps, or design radiant floor heating systems. At least not yet.

The notion of blue-collar versus whitecollar is obsolete; it is not an either or choice. We must value and embrace both. Our skills and career choices should not rely on external validation. Instead, we should focus on factors such as fair wages, the ability to support our families, and the positive impact we can make. To create a brighter future, we need to reshape our approach to training the next generation of technicians and challenge the negative stigma surrounding skilled trades.

Driving change

One way to address the shortage of skilled workers is to revalue the qualification process for foreign workers, suggests Tom Heckbert from Rheem. A steamfitter from Germany should be able to demonstrate their skills and fast-track their licensing, eliminating the need for redundant years of schooling.

Martin Luymes from HRAI emphasizes the importance of transforming our educational system, incorporating practical trade-related know ledge alongside traditional subjects like mathematics. By doing so, we can actively engage students interested in trades and eliminate the notion that white-collar careers are exclusively for “math kids”

It is time to overcome the stigma attached to skilled trades. Instead of referring to them simply as “the trades,” let us recognize them for what they truly are — skilled trades. We must appreciate the value and significance of blue-collarworkersinour society. Their contributions are indispensable, and their expertise ensures our daily needs are met. We must continue empowering adults and youth to explore to pursue skilledtrades.

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Wildfires across Canada affecting air quality, raising health concerns

By Leah Den Hartogh

Canada’s on fire this summer. Certain regions across Canada regularly experience wildfires in the normal season, which typically runs from early April to late October, according to National Resources Canada.

At the time of publication, there was a total of 80 uncontrolled active fires, 107 being held, 181 controlled, and 64 with modified response. As wildfires continue to ravage many regions of Canada, particularly in Alberta, Nova Scotia, Quebec, and Ontario, the impact on air quality has become quite concerning. “The massive amounts of smoke and pollutants released during these fires has led to deteriorating outdoor air quality. In such circumstances, it becomes crucial for building owners, managers, and homeowners to prioritize indoor air quality to protect the health and well-being of occupants,” explains Mohamed Fouda, HVAC/IAQ category management for Wolseley Canada and an ASHRAE distinguished lecturer.

“The thick smoke generated by these fires contains harmful pollutants such as particulate matter, volatile organic compounds, and other toxic gases. When inhaled, these pollutants can lead to respiratory issues, aggravate allergies, and compromise overall health. The

concentration of fine particulate matter (PM2 5) in the air rises dramatically during wildfires, posing a severe risk to individuals, particularly those with preexisting respiratory conditions” These particles are what you see when you see smoke in the sky

“These small particles impact human healthby infiltrating your lungs and causing health problems,” explains Jon Douglas, director of Johnson Controls’ healthy building services and solutions. “Outdoor air quality can also impact the air quality inside buildings. Most buildings bring in outside air to improve the indoor air quality. If that outside air is not

As of July 11, Canada still has 80 uncontrolled active fires, 107 that are being held, 181 controlled, and 64 with modified response.

filtered, it can increase the particulate matter inside the building”

Changing habits

Nowadays, people tend to spend a significant amountoftimeindoors.So,whatcanbedone when the indoor air quality is worse than the typicallyfreshoutdoorair?AccordingtoGord Cooke, president of Building Knowledge Canada,thereareafewstepsthatcanbemade toincreasethequalityofindoorair.The first is to reduce or remove the source of pollutants.

“In both homes and commercial buildings, make sure the ventilation system is operating properly — just the right amount of air per person — and as the fresh air is brought in, pass it through a filter with at least a MERV 11-13 value,” shares Cooke. The ventilation systemcanalsobeshutoffforbriefperiodsof time so that the air can be recirculated.

Homes and buildings that are airtight will ensure that poor outdoor air will remain where it,s supposed to be — outside. “Conduct an air tightness test and seal up as many holes as possible in the envelope – around windows, plumbing, heating, and electrical penetrations. Airtight homes such as R-2000 or Energy Star homes with properly controlled fresh air ventilation systems that have good filters in them are known to provide better indoor air quality

control than older, leakier homes with no mechanical ventilation,” explains Cooke.

Some other ways to ensure building owners/homeowners are properly protecting the occupants’ health is by making sure the building has received up-to-date scheduled HVAC maintenance. Regular inspection and maintenance of HVAC systems ensure optimal performance and air filtration efficiency, reports Fouda. Other ways deactivating volatile organic compounds and bioaerosols (this can be done by installing equipment such as UVC, photocatalytic oxidation (PCO), or bipolar ionization systems), or installing portable air purifiers.

“Protecting occupants’ health during these events requires to upgrade your HVAC system and utilizing the available IAQ solutions,” explains Fouda. “By drawing on lessons learned during the pandemic, individuals and building owners can better prepare for future events like wildfires, ensuring the highest level of indoor air quality and safeguarding the well-being of occupants.”

The pandemic highlighted the importance of managing indoor air quality in buildings. “One of the key tools for managing the COVID pandemic is filtration. And it turns out, these same tools are good for managing the risk due to forest fires,” explains Douglas.

Left alone

Problems associated with maintaining indoor air quality are typically not addressed as it is harder to tell when issues do arise. This is very unlike when a furnace or air conditioner breaks down and the occupant can simply tell it isn’t working properly due to the fact they are hot or cold. “Any problems in the building that are associated with comfort tend to get raised and fixed. People do not know whether they are getting good indoor air quality. So, problems associated with maintaining the indoor air quality systems are typically not addressed,” explain Douglas. “We recommend installing good quality indoor air quality sensors in the space. A good indoor air quality sensor will measure the following parameters: temperature, relative humidity, carbon dioxide particulate matter and total volatile organic compounds.”

By Francesco Lo Presti

eople like multi-functional things. You can call, text, take pictures and film movies on your phone. Homes are no different, and we are seeing increased product offerings that cover multiple needs. Hydronic heat pumps are one of these products as they “are not only used for heating,butthenewergenerationofhydronic heat pumps can also cover a home’s cooling anddomestichotwaterneeds,”explainsChris DesRoches, applied product manager for the HVAC division at Mitsubishi Electric.

Over the last two years, heat pumps have become a central talking point within our industry. Hydronic heat pumps are the next step forward in this transition as they offer homes numerous benefits. The significant benefit being energy efficiency

The technology

Hydronic heat pumps come in three options:

air-source, water-source, and geothermal. “An air-to-air heat pump, aka ductless heat pump, works by absorbing the thermal energy from the outside air and sending it back inside to heat a home. Hydronic heat pumps, more specifically an air-to-water, use that same framework, but instead of pushing air in a home, a hydronic heat pump will use the outdoor heat to heat water,” explains DesRoches.

Going further in detail with the different heat pump types, Mike Miller, vice president of sales for Taco Canada, explains, “An air-to-air can be compared to a furnace since you’re pulling air through a building. If you compare air-to-water, you use outdoor air to generate heated or cooled water. Once you get into water, your choice of heat and cooling emitter type is larger, and you can also use fan coils. But due to the nature of delivering energy via water and small pipes, the zoning becomes easier, as now smaller zoned fan coils can be employed.”

Miller also explains that, “While air-toair heat pumps, aka a mini-split, provide a home with forced heating and cooling, airto-water hydronic heat pumps are more efficient as they help generate hot and chilled water and

Hydronic heat pumps are changing the game for how homes today are heated/cooled.

also a more efficient electric domestic hot water supply.”

Popularity on the rise

Regarding heat pump adoption in the Canadian market, “Mini-splits take up most of the market space. But when we dive into hydronic heat pumps, in terms of quantities of units sold into the market, water-to-water greatly surpasses air-to-water that are sold into the market. Probably a 10 to one ratio,” said DesRoches.

Speaking more on why the water-to-water is more used, Miller explains that, “When you’re already heating and cooling water throughout a building, you can transfer the BTUs more efficiently and effectively using the hydronic pipe. Also, with water-to-water or air-to-water, you can take it and make a radiant floor heating and cooling system. You can also install panel radiator, fan coil, and towel rails.”

In a previous edition of our magazine, our writer Michael Ridler wrote an article titled “Heat Pumps Are Not Boilers.” In this, he highlights some of the differences between an air-source and ground-source hydronic heat pump. According to Ridler, “On an air-to-water, the higher the outlet water

temperature is from the air temperature, the lower the overall performance of the unit and, in many cases, the heating and cooling capacity. The same is true for a geothermal hydronic heat pump; only the ground loop temperature versus the air temperature will determine overall performance and capacity. A geothermal hydronic heat pump has a higher efficiency but has some limitations regarding where it can be installed due to the requirement for a ground loop.”

A significant difference between hydronic heat pumps and traditional fossil fuel heating technology, like a boiler, is that, “Hydronic heat pumps operate with smaller Delta T’s, so you’ll typically have higher flow rates. Whereas a boiler would operate with bigger Delta T’s and smaller flow rates,” explains DesRoches.

One thing that is very important when working with hydronic heat pumps is understanding the controls and how they work in tandem with the entire system. DesRoches adds, when working commercially, “Heat pumps have compressors, and you want to prevent them from short cycling. So, you’ll typically need a buffer tank in that system to be able to have your minimum run times for the compressors.” In his previous article,

This commercial hydronic heat pump was installed in downtown Toronto.

Photo provided by Mitsubishi Electric.

Ridler adds, “On a geothermal water-towater heat pump, we require that buffer tank to ensure the equipment gets a minimum run time of 10 to 15 minutes to maximize its performance”

Having contractors well-informed on the technology of hydronic heat pumps is essential in promoting the product, but also having contractors ready to install them is another step.

Speaking on this, Tom Heckbert, national sales manager, hydronics and commercial water heating with Rheem, explains that, “With our heat pump, we wanted to make sure that it was a simple installation for contractors. Therefore, we used a monobloc system, where the water and glycol go through the wall, and you don’t need a refrigeration ticket.”

Adoption in Canada

According to Natural Resources Canada (NRCan), around 700,000 heat pumps are installed in Canada. While heat pump adoption has increased, there are still challenges when promoting this technology.

“Hydronic heat pumps, more specifically an air-to-water, only heat to -20 C, which means more often you’ll need a form of backup in a home, in places like Ontario, for example,” explains Miller. He also adds that “backups” can come from electrical resistance heaters or fossil fuel-fired equipment.

Currently, there are over five million furnaces installed in Canada. Considering this, DesRoches and Miller added that the retrofit market may be a good bridge for this issue. “With the increase in decarbonization,

Continued on page “15”

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homes that utilize radiant heating are being told they need to reduce emissions. The best solution would be to utilize your current system and include a hydronic heat pump into the mix. Here you can also make domestic hot water at the same time,” said DesRoches.

Heckbert also explains that having an adaptable system is an important step in adopting heat pumps. He adds, “We still have gas appliances, and we know there are still gas appliances in people’s homes. Air-to-water heat pumps can work with the gas appliances in a hybrid system, and in the future, homes can utilize hybrid systems by adding a heat pump to their current setup.”

Retrofits may be the best solution, but even retrofits can cause some challenges for

In addition, not all homes are suited for a retrofit. “For example, my house was built in the late 80’s, and we have a furnace installed.

now use a hydronic coil.”

According to a recent BC Hydro survey, over 30 per cent of Canadians don’t understand how a heat pump works and would be less inclined to upgrade to a heat pump versus a traditional fossil fuel furnace. Making sure contractors are well informed and up-to-date with the technology is critical in advancing the adoption of this technology as, “There is a lot to know about this technology, and contractors need to know that the way you size a hydronic heat pump is different than how you size a boiler,” said DesRoches.

homeowners and contractors. Referring back to DesRoches’s comments on how a hydronic heat pump operates with smaller Delta T’s, he further explains that, “Contractors might be restricted in how they can integrate a hydronic heat pump into a home because you’re limited with the amount of flow that you can carry through the existing pipes in the building. So that needs to be taken a closer look at.”

We wanted to convert that into a heat pump system, but it would be very costly for my whole house to retrofit. Going from nothing hydronic to all hydronic would mean pulling up the floors and putting radiant floor heating down.” Miller adds that the solution for his house was to replace the furnace with a hydronic coil, “Instead of using a flame or refrigerated coil to heat or cool my air, we

Miller also adds that, whenever a contractor is trying to determine which type of hydronic heat pump will work best for a customer, “You must always start with a proper heat and cooling load analysis on every structure and determine the amount of energy that’s required to heat a house on the coldest day and cool the house on the hottest, and this is for any heating or cooling equipment.” :

While air-to-air heat pumps, aka a mini-split, provide a home with forced heating and cooling, air-to-water hydronic heat pumps are more efficient as they help generate hot and chilled water and also a more efficient electric domestic hot water supply.

Air-to-water heat pumps provide homeowners with an efficient solution to heat/cool the home and provide domestic hot water.

n Heat Pumps

All-new condensing boilers

U.S Boiler Company, Lancaster, Pennsylvania, introduces the Citadel and Citadel XL, its all-new condensing boilers and volume water heaters. The Citadel is available in five capacities (399 - 1,000 MBH) and the Citadel XL is available in 1,250 and 1,500 MBH capacities. AHRI-certified and rated up to 97 per cent thermal efficiency (98 per cent for water heater), the Citadel is available in natural gas or propane configuration.

U.S Boiler Company u www.usboiler.net

Redesigned heat pump

Trane, Markham, Ont, debuts its redesigned Trane 0.5-6-ton Axiom horizontal and vertical water source heat pumps. The Trane heat pumps have been redesigned to deliver carbon-reducing energy efficiency and quiet operation. Available in standard efficiency, high efficiency, and two-stage options, the all-electric heat pumps employ heat recovery to allow for flexible temperature and comfort in independently controlled zones.

Trane u www.Trane.com

Electric hot water boilers

Bryan Boilers, Peru, Indiana, announces that its BE electric hot water boilers are now available to customers. Compact and completely packaged, the BE boilers offer fully electric (non-fossil fuel) operation for low to medium-range applications. Input power requirement is 30-390 KW, 460 or 480 volt, three-phase; 30-195 KW, 208 or 240 volt, three-phase; or 15-120 KW, 240 volt, one-phase. Output is 98,000 BTUH (at 30 KW input) to 1,280,000 BTUH (at 390 KW input).

Bryan Boilers u www.bryanboilers.com

All-in-one

Thermal Solutions, Lancaster, Pennsylvania, introduces its AMP-L condensing boiler and water heater, available in five sizes — 400, 500, 650, 800 and 1,000 MBH. The AMP-L is equipped with a strength-adding 3-in-1 vent connector, which allows for the use of polypropylene, CPVC or stainless-steel venting. AHRIcertified and rated at 97 per cent and 98 per cent thermal efficiency, respectively, the AMP-L is available in either a natural gas or propane configuration.

Thermal Solutions u www.thermalsolutions.com

New and improved boiler

NTI Boilers, Saint John, New Brunswick, announces the new and improved version of its TNT boilers, the TFTN. The new line of TFNT boilers includes top or bottom supply and return connections, direct vent options for use with indoor combustion air, and an integrated three-zone controller. It will also feature a new touchscreen design and a new control designed for improved precision and efficiency. It is available in 85, 110, 150 and 199 MBH. Larger sizes from 285 to 850 MBH will be available in early 2023.

NTI Boilers u www.ntiboilers.com

Air-cooled scroll chiller

Daikin, Minneapolis, Minnesota, debuts the launch of its new Trailblazer HP, an aircooled scroll chiller that uses heat pump technology to deliver electricity-powered heating and cooling. The Trailblazer HP is an airto-water heat pump chiller that provides a reversing function that allows the chiller to switch between cooling and heating modes based on the temperature requirements of the space or process being conditioned. Available as a stock unit, Trailblazer HP’s design allows for easy installation in new and retrofit applications, making it ideal for office buildings, schools, commercial retail spaces and a range of other facilities.

Daikin u www.daikin.com

Easy Plug-and-Play Hydronic Electric Heating

Introducing Vitotron 100 Electric Boilers

Experience Viessmann reliability with the convenience of electric heating.

+ No combustion with only electric heating elements

+ Plug-and-play small appliances that can be installed practically anywhere

+ Fast and simple installation with no venting and gas connections required

+ Low maintenance with fewer moving parts than gas/oil boilers

+ Various output ranges & sizes (4 to 14.4 KW) make an ideal solution for energy-efficient homes

+ Quiet operation can be installed in the most noise sensitive areas

For more information

electric heating solutions made easy

By Michael Ridler

Designing, installing, and selling hydronic heating systems come with its own set of challenges. One of the biggest adjustments that needs to be made is understanding that very soon our boilers will be hydronic heat pumps. It is important that we realize this when we get sticker shock if an air-to-water is $20,000 and a boiler is $12,000.

“With the rise in costs for fossil fuels due to supply constraints, regulations and taxation, it is only prudent for a design to include heat pumps to deliver at least a

Continued on page “19”

With the new carbon reduction regulations across Canada, the integration of renewable energy sources is an essential consideration for sustainable hydronic system designs.

An IBC air-to-water heat pump has been installed in Michael Ridler’s home and provides the heat/cooling demands as well as its potable water supply.

Continued from page “19”

portion of the heat and cooling required for a system,” explained Gabor Milisics, owner of GTAHeat.ca.

Onceuponatime,ifyouwantedahydronic heat pump, your only real viable solution was

a geothermal water-to-water. Nowadays, with major players launching or about to launch air-to-waterequipment,weare abouttoseeamajordisruption in our industry in a positive way

With these coming disruptions to the industry, there are some that aren’t a fan of the lingo used around this wave of new technology, “I don’t like using the word innovative in this industry. It scares more people than it attracts,” explains Mathew Pottins, president and owner of Laylan Hydronics and HVAC Sales. “I try to spin any design from a perspective of using tried-and-true technologies in a way that suits the needs of each client. Having said that, I’m particularly enamoured with a variety of modern air-to-water heat pumps.”

Installation and integration challenges

culprit for this busted myth. If the job has been done right, the temperature of the floor should never be noticed. When we do this correctly, you won’t feel the floor.

One of the biggest integration challenges arises when hydronic heating systems need to be integrated with existing HVAC systems or other building components. It’s important to consider factors such as added weight on a structure and loss of ceiling height for upper floor overpours in new builds, according to Csaba Gal, principal at Rhella. For retrofits, the challenge lies in heatingthefloor without sacrificing too much ceiling height and exceeding thresholds.

End-use education is a key factor in addressing installation integration challenges and busting those misconceptions associated with hydronic systems.

Alternative solutions

of power at the panel is a significant challenge for heat pumps and electric boilers, especially when installing a hydronic snow melt system, explains Gal.

Picking the right supplier

Logistical challenges in hydronic system installations include equipment delivery and supply chain reliability. It is very important to have an in-house hydronic designer and partnering with reliable suppliers that have a very strong technical team to prevent problems, suggests Milisics. The focus should be on problem prevention rather than problem-solving. Partnering with a

End-use education is a key factor in addressing installation integration challenges. By educating clients about system features, comfort, and energy savings, concerns about higher initial costs can be mitigated. One of the most common mistakes I run into is the expectation of the radiant floor heating system being too hot on the feet.

I suspect flawed industry messaging and consumers not being properly educated is the

Educating the end-user is such a vital asset for hydronic experts; there are many dry panel solutions that don’t require structural changes or building engineering changes to install radiant heating systems. One example I have experience with would be Rehau’s RAUPanel. This system is under 5/8inch thick and can deliver over 28 BTUs per sq. ft. with 110-degree water. We don’t need anywhere near that many BTUs in most designs, so in my own home, I heated it with 90-degree water.

The panels are more money, so often contractors dismiss it, but the reality is that when you use a dry panel system, you don’t need any structural changes to the building, which is major money. When you look at it from a BTU per dollar standpoint, you pay a small premium upfront to pay less each month for the rest of that home’s existence.

When considering a hydronic heat pump, it is important to be aware that the availability

supplier that puts people before profits, has engineers or technical experts on staff, and doesn’t just rely on the manufacturer can be the largest on-site cost saving tool at your disposal.

One of the key aspects of a successful hydronic heating system installation is understanding and addressing client concerns. Effective communication and setting clear expectations with clients right from the design and quoting stage is highly

Continued on page “23”

Effective client education involves clear explanations, system drawings, and comprehensive component lists.

Continued from page

recommended by both Milisics and Gal.

Start by explaining the significance of the installation process and system workings to clients. By providing detailed explanations, clients can better understand the benefits and operation of hydronic heating systems, explains Milisics.

Renewable energy integration

There are plenty of benefits that can go into installing advanced control systems, such as smart thermostats and zoning controls, explains Andrew Wilcox, principal designer for Filament Energy. He cautions against overcomplicating controls and emphasizes the importance of simplicity for user satisfaction. There are many different combinations that can be put together to create a highly efficient hydronic system. For Gal, he prefers air-towater. “Air-to-water definitely. Geothermal not really because of its long return on investment and the fact that most of our projects don’t have the space required for ground loops or roof area required for solar panels to make a difference.” He advocates for considering community-based geothermal as a successful example for broader adoption.

Water quality and treatment

Water quality comes up all the time for hydronic systems. Remember folks, water quality can be a very expensive mistake to make. “I started learning about the concerns of water quality about seven years ago. Then

two years later it became the biggest issue we were facing,” explains Pottins. “It seemed like it went from zero to 100 overnight, and it was the part of the system we paid the most attention to. We had a bunch of boiler and pump failures because of the magnetic particles floating around older systems and we needed to find solutions really quick.”

Client education and maintenance

Client education plays a crucial role in promoting the benefits and operation of hydronic heating systems. Providing ample information on company websites and encouraging clients to ask questions and voice concerns helps dispel misconceptions. Effective client education involves clear explanations, system drawings, and comprehensive component lists. “By teaching our clients about air handlers, low-temperature floor heating, the quality of hydronic heat, comfort, and energy savings that hydronic heating offers, we help them look beyond the higher initial costs,” explains Gal.

Industry experts collectively highlight the importance of avoiding common mistakes, such as under-sizing pipes and circulators, and mis-piping. Proper education, accountability, and relying on reputable companies can help prevent these issues.

The easiest way to figure out who the good installers are is to go on social media and look in the comments. If there is one thing about tradespeople, we love to constructively hate on each other. If you see a boiler install online and the comments from tradespeople fall somewhere in the “great job” category, you know the installer or designer is worth collaborating with. :

Water quality issues are often encountered when using well water, explains Gal. Treatment chemicals can render dissolved calcium and magnesium harmless, and installing filtration systems can address hardness and sediment concerns. Propylene glycol filled systems can eliminate the need for tap or well water.

Michael Ridler is a technical services manager at Eden Energy Equipment. He started out working for a Ont-based HVAC company and now focuses on providing field support and technical training to contractors, engineers, and builders on heat pumps, boilers, and all things hydronics. He can be reached at edenenergymike@gmail.com

“21”

Curating a relationship with a reliable supplier with strong technical support is highly recommended to ensure limiting future problems.

All-in-one pump

Bell and Gossett, Morton Grove, Illinois, debuts its series e-90E Smart Pump to market. The e-90E is a fully in-house integrated system that offers a pump, motor and variablespeed drive all in one. It is available in 12 combinations of high RPM e-90 models combined with the Xylem Smart Motor ranging up to 3HP. Twelve standard e-90E Smart Pumps models are available, featuring Xylem’s IE5 permanent magnet smart motor. Three phase models are 460V, 3HP (2.2kW). Motors contain integrated VFD capable of operating at multiple speeds ranging from 800 to 3,600 RPM.

Bell and Gossett u www.bellgossett.com

Push-to-connect solution

Uponor, Apple Valley, Minnesota, announces its TotalFit push-toconnect fitting is available to customers. The TotalFit is an engineered polymer push-to-connect solution that provides value for residential projects with the same versatility and speed as brass push-to-connect fittings for PEX, PE-RT, CPVC, and copper piping systems. The TotalFit helps eliminate the need for torches and solvents.

Uponor u www.uponor.com

Hydronic system sealant

Oatey, Cleveland, Ohio, introduces its new Hercules Base Hit II hydronic system sealant to market. The Hercules sealant seals and prevents leaks in ferrous, non-ferrous and radiant tubing. Hercules Base Hit II hydronic system sealant’s silicone formulation serves as a lubricant, remedying most cases of squeaking pumps, eliminating the risk of a small leak becoming larger. It is safe to use in systems with plastic or rubber components and is compatible with Hercules Cryo-tek or other types of propylene glycol-based anti-freeze products, chemical additives and boiler treatment compounds.

Oatey u www.oatey.ca

Commercial butterfly valves

Mueller Steam Specialty, North Andover, Massachusetts, introduces the Series 90 butterfly valve to enhance its commercial butterfly valve package. The Series 90 is designed for commercial and industrial applications and works with twoto 40-inch pipes. The butterfly valves are ideal for water supply applications in hydronic cooling and fire protection systems and can be used to control the flow of liquids, gases, and slurries. It also complies with API 609 and MSS-SP-68 standards. Mueller Steam Specialty is a Watts brand.

Mueller Steam Specialty u www.watts.com

Snow and ice melting approved

New mechanical valves

Danfoss Climate Solutions, Baltimore, Maryland, announces a new product line of mechanical thermostatic radiator valve operators. Replacing the RA2000 series, the new line will include the Aveo thermostat, which features unique gas bellow technology and tactile temperature setting, providing a subtle click feeling for every 1 F change in temperature. The Aveo has built-in temperature limitation options and also features an anti-theft plug-in accessory.

Danfoss u www.danfoss.com

Rehau, Leesburg, Virginia, expands its ProBalance manifold adapter selection with the introduction of the BSPP to copper press adapters for one and 1-1/4-inch. manifolds. The new adapters connect directly to the ProBalance manifold supply/return header with a BSPP threaded connection and transition to copper distribution piping using a copper press or solder connection. The BSPP to copper press adapters are especially suitable for snow and ice melting applications with an onsite manifold vault separate from the boiler room.

Rehau u www.rehau.com

WHENEVER PIPING IS INVOLVED

Power clean clogged sinks, tubs and laundry drains

General Pipe Cleaners, McKees Rocks, Pennsylvania, announces the launch of its Model DRZ-PH power drain cleaner. It is ideal for clearing clogged sinks, tubs, and laundry drains in 1-1/4-inch to three-inch lines. General’s four ft. guide tube and pneumatic foot pedal minimizes operator contact with wet, spinning cable during drain cleaning. It can be operated horizontally on kitchen counters or vertically on the floor. The rust resistant aluminum drum carries up to 50 ft. of 1/4inch or 5/16-inch, or 35 ft. of 3/8-inch Flexicore wire rope center cable. Operators can quickly switch to a different diameter cable without pulling old cable from the drum. The Model DRZ-PH also comes with the new Band-It splashguard to minimize excess water spray from the General Pipe Cleaners u www.DrainBrain.com

Lighted tape measure

DeWalt, Mississauga, Ont, introduces its all-new Toughseries 25 ft. LED lighted tape measure. The tape measure has a 100 ft. drop rating to withstand the most extreme job sites. It has a runtime of three hours of continuous use with an auto-shutoff feature after 60 seconds of inactivity. The blade delivers 17 ft. of max reach and is double-sided printed for overhead measurements. Included with the lighted tape measure is a USB charging cable and belt clip to allow the measuring tape to be easily accessible when needed.

www.DeWalt.ca

All-new pipeline inspection reel

Milwaukee Tool, Milwaukee, Wisconsin, continues to expand its modular pipeline inspection system, which now includes its 100 ft. flexible pipeline inspection reel. It is engineered to navigate tight bends and traps, joining the 120 ft. mid-stiff, 200 ft. mid-stiff, 200 ft. stiff, and 235 ft. stiff reels. All reels are powered by the M18 500GB control hub with OneKey. The 100 ft. flexible pipeline inspection reel has a flexible push cable built to navigate tight bends and traps in 1.5-inch to four-inch lines, up to 100 ft. It is compatible with either a carry strap or removable backpack straps for hands-free carrying. The 25mm, 1080p self-leveling inspection camera head can live stream or capture pictures and video.

Milwaukee Tool u www.MilwaukeeTool.ca

Expanding press tool line

Ridgid, Elyria, Ohio, announces the expansion of its RP 241 compact press tool with the addition of RLS Press Jaws for HVAC/R applications. Designed to press 1/4-inch to 1-3/8-inch copper, the Jaws, when paired with the RP 241, cuts down on installation time. The latest tool in the Ridgid compact press tool family, the RP 241 has a low-profile design and features an ergonomic design to help users easily work in tight spaces. Bluetooth connectivity connects the tool to the Ridgid Link app, which allows users to track the number of cycles and collect battery information. Along with RLS Jaws, the RP 241 is compatible with all Ridgid compact series jaws, rings, and actuators and can press up to 1-1/4-inch on copper and stainless steel, and up to 1-1/2-inch on PEX.

Ridgid u www.Ridgid.com

Quickly bend plastic pipe

Bosch, Mississauga, Ont, introduces its new GHG18V-50 18V heat gun (bare tool). It can provide a max temperature of 930 F and can heat up to 570 F in six seconds. In addition, the heat gun features a lockout switch, which prevents accidental activation when travelling or when not in use. It features a reduction nozzle, which provides concentrated heat flow. It also has a hook nozzle, which supplies directed hot air around surfaces for even heating. When paired with the Core18V 8.0 Ah battery, it provides a runtime of up to 21 minutes at 570 F. It provides a max airflow rate of 175 litres per minute for efficient heating. The heat gun is ideal for electricians, automotive technicians and others for heat-shrinking wires, removing labels, softening adhesives, and bending plastic pipes.

Bosch u www.BoschTools.com

up to 18.0 SEER2 & 8.7 HSPF2

Meets the NRCan Greener Homes Grant requirement

DESIGNED FOR THE

TOUGHEST CANADIAN EFFICIENCY STANDARDS

Available in both air handler or dual fuel hybrid combinations. Featuring the latest Inverter drive performance, comfortable user-friendly operation, in an ultra-quiet compact design that does not compromise comfort, reliability, or efficiency.

Eligible for grant up to $5,000

Indoor Air Quality Opportunities

By Glenn Mellors

Oftentimes, HVAC contractors tend to be their own worst enemy when it comes to offering indoor air products to customers. It has been suggested that the Canadian market potential is north of $110 million and that only five per cent of Canadian homes have sufficient indoor air quality. That works out to 13,900,000 opportunities for indoor air products today. What was the excuse for homes prior to the pandemic?

To start off with, contractors were so busy chasing furnace and air conditioner sales fueled by energy-saving incentives that they forgot about indoor air quality products. The dollar value was perceived as low, and therefore, it was just not worth the effort. Many indoor air quality products were available online or through big box retailers. Contractor education did not keep up with consumer education. As demand started to grow, so did DIY indoor air product sales.

Why? I suspect it’s because manufacturers gave up on the HVAC distribution channel. We, as contractors, gave up on our sales force selling such items. I have seen reports recently that show less than five per cent of furnace sales include one indoor air quality product, and yet 95 out of 100 homes are a candidate for something. I would also suggest that a large percentage of what was being bought was misapplied. Here we are, being invited into the home by a potential customer asking for our advice on how to improve their home comfort and we sell them a furnace with a magic stat!

Covid surge

During the COVID-19 pandemic, everyone was told to stay indoors as much as possible to help mitigate the spread of the virus and

Continued on page “31”

There are so many different indoor air quality products available that can be added to the bill as value-added, with the contractor increasing their profits and providing a more comfortable living space.

HRVs/ERVs offer an extra layer of protection within a building and are mandated in many jurisdictions across Canada for new homes.

Continued from page “29”

limit the spread. But our homes were not built to have multiple people residing 24 hours a day inside the bubble we created when we tightened up our homes.

As information spread rapidly, we reacted

as any human would. We had limited knowledge of how to protect ourselves from this unknown killer. Disinfection was our first thought, so we cleaned the box stores of all its disinfectant products and toilet paper. We were taught that hard surfaces were the culprit of germ spreading. The next obvious

thing to do was buy every mask you could get your hands on and wear them to bed and everywhere else! The population was chasing every solution that was thought of. Retail store bedlam!

How did HVAC businesses react? Many closed for at least a month, some even longer. We, like any other business, were confused and scared to send our people into homes for fear of cross-contamination and leaving us without employees. Soon, it was announced that essential service providers could return to work with strict rules about safety protocols. We started with emergency no-heat calls. We also instructed our people to get in and out as fast as possible. Fix the problem and move on. I don’t know if any of us took the opportunity to offer indoor air improvement products. Even if we did, it was nothing more than practicing basic air quality rules.

Healthy indoor air rules

There are a few basic rules to revert back to when looking at improving the indoor air quality of a space. The first was to identify the source of the poor air, and at the beginning of the pandemic, we just weren’t sure where that was. Next, eliminate the source and disinfect as much as possible. This led to a growth in sales of UV systems and HEPA

Continued on page “33”

The COVID-19 pandemic brought about a wave of technology which is focused on improving indoor air quality like this air purifier.

Continued from page “31”

filters, which leads to the next rule — filtrate. Every human can benefit from a MERV 10 and above filter. The next layer of protection in a home is an ERV or HRV. Lastly, look at the humidity within the living space. When humidity levels are between 45 per cent and 55 per cent, airborne germs will travel shorter distances before hitting the floor.

This was when the government caught up with scientific evidence and started to communicate the importance of indoor air quality in the built environment. Healthy air was where it was at. Medical practices were allowed to open as long as they met the air changes threshold to eliminate, filtrate, and dilute the air.

By the time we figured out our role, we were already late to the party. The beneficiaries were the big box retailers who had the foresight to invest in indoor air improvement product inventory. To compound the supply chain shortfalls, medical groups across the country created buying groups. They flooded all manufacturers with outrageous demands on factory direct purchases to the point of literally crippling them.

Second chances

Some of us tried to get on that train; some just for the quick buck, and others seriously invested in making people safe. The HVAC market opportunities turned into a retail market success story.

Whole home solutions

Whole home ventilation, dilution, filtration, humidity control and disease prevention are hot commodities. Consumers are aware of these needs. They want to be better prepared, and they want the advice of a professional. They have figured out that portables are limited in their life and capabilities, and they desire something that will last.

The choice is yours. The opportunity to increase average ticket sales and total revenue by 40 per cent is real. Still not convinced or don’t know where to start? Reach out to your suppliers; they are there to help!

Another option is to continue to chase the rebate rainbows until they are shut down, and you find yourself scrambling to fill the install board. :

Glenn Mellors was born into a plumbing family and started in the industry in 1973. He entered the HVAC side of the business in the 80s, working in wholesale, and then joined Lennox in 1992. In 2008 he joined the ClimateCare Co-operative Corporation, an Ontario contractor group, where he is director of training and implementation. Glenn can be reached at gmellors@climatecare.com.

Not all was lost. The lessons learned over the pandemic paved the way for the industry to take all that was learned over those many months of lockdowns and apply it more efficiently and effectively to buildings. Many consumers sought out retail solutions to provide peace of mind, and in many cases, that was all it provided. Almost a placebo effect, they bought products that were misapplied, undersized, and with very limited life expectancy. These products were plug-and-play and portable. Many of these products have not received any type of maintenance or had their filters changed.

Recently, we visited a responsible clinic owner who thought their units should be serviced as there was a noticeable decline in their level of comfort. Three large portable HEPA filters had never had any media changes. When it was priced out, it was going to cost over $19,000. Needless to say, we were able to provide a remedy for much less.

I have seen reports recently that show less than five per cent of furnace sales include one indoor air quality product, and yet 95 out of 100 homes are a candidate for something.

Eco-King partners with Italian company

To celebrate its 14th anniversary, King Heating Products Inc. announces its partnership with Immerfin Group. Located in Brescello, Italy,

the Immerfin group will become a minority shareholder in King Heating. Immerfin Group is prevalent in the domestic heating

From left to right, Alessandro Bianchi, Immerfin business development, Romano Amadei, Immerfin founder, and Chad Euverman, president of King Heating Products, celebrate the new partnership.

and hot water industry with its Immegras brand. Immerfin Group focuses on highefficient and sustainable products to help decrease carbon emissions.

Eco-King will continue to produce gas boilers, but this partnership will see both companies collaborate to help move the heating and hot water industry away from gasfired products to renewable energy sources, reports King Heating. New products, such as hybrid and all-electric heat pumps, boilers using hydrogen gas, and solar appliances, are expected to be introduced to the market through this partnership.

The Canadian Wood Council announces Kevin Pankratz’s appointment as the board chair. Pankratz previously held the role of board vice chair with the council and also served as the senior vice president of sales and marketing at Canfor.

Cyril Koval will now serve as Weil-McLain Canada’s new regional sales manager of Ontario. Koval has 18 years of experience in HVAC sales, with a substantial background in the boiler industry.

Cooper Equipment Rentals Limited appoints Brian Spilak as its new chief operating officer. Spilak has been with the company since 2016 and has 30 years of experience in the equipment rental industry.

Dan Quinonez joins the PlumbingHeating-Cooling Contractors National Association (PHCC) Educational Foundation as its new executive director. Quinonez has experience in association management and public affairs, formerly serving as a senior account executive for the Kellen Company.

Oatey Canada welcomes Gurjot Sahni to the organization as its wholesale territory manager of Eastern Canada. Gurjot will oversee wholesale sales for Ontario, Quebec, and Atlantic Canada in this newly created position.

NTI Boilers Inc. announces that Rohit Nair will now serve as a technical trainer. He will support contractors across Ontario. Nair has been with NTI since 2020, working with the company’s technical support team.

Equipco Ltd announces its corporate head office will now be in Maple Ridge, B.C. The 15,000 sq. ft. office and warehouse space was designed to maximize pallet positions and efficiencies, allowing for faster order processing and delivery times. An official grand opening will be announced at a later date.

Sonnhalter partners with Habitat for Humanity for its 14th annual Sonhalter Tool Drive. From Aug. 1 to 31, organizations, businesses, and manufacturers are encouraged to donate extra inventory, demo models, tools and building materials. Since the tool drive’s inception, Sonnhalter has raised more than $415,000 in donations for the organization.

Johnson Controls broadens its sustainable solutions portfolio by acquiring M&M Carnot, a provider of natural refrigeration solutions. Based in Annapolis, Maryland, and Trois Rivières, Que, M&M Carnot designs and manufactures industrial refrigeration equipment and carbon dioxide controls.

Ruskin celebrates the 65th anniversary of the opening of its original headquarters located in namesake Ruskin Heights, Missouri. In 1967, Ruskin patented its control damper linkage system. Since its inception, Ruskin has continued to help contribute to the innovation of the air control industry, producing commercial HVAC dampers, louvers, energy recovery ventilators (ERV) and air measurement devices. As of 2023, Ruskin has 29 production and office locations worldwide.

Aliaxis acquires Valencia Pipe Company’s manufacturing division. Based in the United States, Valencia will join Aliaxis’ North American IPEX business, further strengthening Aliaxis’ position in the United States.

Emerson Climate Technologies will be rebranding to Copeland, a new standalone business, following its acquisition by Blackstone. The transaction is valued at $14 billion. Copeland will continue to serve the HVAC/R market with its product portfolios. Copeland will continue to operate from St. Louis.

Bradford White is expanding its product line across Western Canada thanks to a new regional partnership with Bartle & Gibson. This partnership will see Bradford White’s full line of industrial products for water heating, space heating, combination heating and storage applications distributed across Bartle and Gibson’s 31 branches in Western Canada.

Kevin Pankratz

Rohit Nair

Gurjot Sahni

Dan Quinonez

Brian Spilak

Cyril Koval

I recently helped one of my Ontario-based HVAC clients sell their business. The company was making $1 million per year, and the owner was working 20 hours per week. He did that for many years and then decided it was time to move on.

into business, you took a leap of faith — there were no guarantees that you would succeed. At some stage, you reach your complacency plateau. We reached our goals and are too afraid of going back, so we plateau. Having gone through the pandemic, I hope you are now more risk tolerant and less risk-averse.

Testing it out

By

Around 25 per cent of HVAC contractors net at least 10 per cent to 20 per cent pre-tax profit on sales every year. Those are the people I tell to continue doing what they have always done. What about the other 75 per cent? I have compiled an annual financial study of HVAC contractors for the Heating, Refrigeration, and Air Conditioning Institute of Canada (HRAI) for more than 20 years. Eventually, we decided enough was enough. We saw many repeat issues from the same contractors that it became obvious they just wouldn’t change. Why do some of these contractors settle for mediocrity? When you first went

There are many different ways that a business can make microadjustments that can aid in their long-term profit. The simplest approach would be to increase your prices. This is particularly true for service contractors. You may lose some of your high-maintenance customers, but you will be able to better serve those who stay. Nobody has ever told me it was a mistake when they increased their hourly rate by $10 — that could be $1,600 profit per technician per month. With five technicians working 11 months a year, that’s $88,000 profit in one year. In 12 years, you will have an extra $1 million in the bank. Roll on retirement.

Categorizing your customers into different groups can help you determine which should be prioritized and which should be dropped. “A” customers provide lots of work, appreciate the relationship, and pay their bills on time. “D” customers complain, challenge the bill, and are slow to

Without action there is no change.

Maintaining the status quo won’t allow for you to grow your business anymore than what has been accomplished.

Ron Coleman

pay. Get rid of these. Instead, your effort should be on levelling-up your “C” customers to the “B” level, or getting new “A” and “B” customers and losing some of the “C” customers.

We have touched base on this suggestion many times, but I cannot stress enough the benefits of building a planned maintenance program into your business. This allows you to do more work in the shoulder seasons and frees up technicians for the busy seasons.

The biggest asset in your arsenal is your team members. Provide them with all the support they need, and you will have loyal employees for years to come. Train them in sales and in customer communications. Your employees likely fall into one of three categories. I call it the 20/60/20 rule. Twenty per cent of your employees are stars — they are passionate about the business and are reliable. Sixty per cent are the drones — they turn up regularly, do their work, and go home.

The remaining 20 per cent can be replaced — they are unreliable, do poor quality work, and they have a lot of callbacks. It can be difficult to get technicians in this market, but if they can’t be upgraded, they have to go. Replace them one at a time. Make sure you support your top 20 per cent employees, otherwise, they will become your competitors. Spend less time on the bottom 20 per cent and more on the top 20 per cent.

Does size matter?

Looking at the age-old question that everyone in business asks themselves, does size matter? Yes, it does, and bigger is not better. Growing your business too big, too quickly usually means a loss of control. Many contractors have told me that when they grew too quickly, they made less money.

Look at your overhead structure. Could it support another technician? If so, then do that. If not, then increase your prices so that you don’t need more hours to make more money. Historically, I have found that HVAC contractors with sales under $1 million rarely make money unless they are in a very

additional overhead of generating those sales. If you can get to $1 million in sales, then the investment in the overhead will pay off. Try to increase your overhead in small steps. For example, if you see that one of your techs would be good at sales, put them on sales for one day a week. That way, you can support the overhead and gradually grow it as the sales grow.

Productivity

How many hours do you pay your technicians per payroll, and how many hours get charged out? You need to reach at least a 90 per cent rate. A very successful contractor will get to 110 per cent. If you have a minimum of two hours per call and the tech can do five per day, that’s 10 hours of billing.

Remember to reward your technicians. If they bill out 10 hours, pay them for the 10 hours. Share the wealth! Also, reward them for signing up planned maintenance and other revenue generating results.

It is possible to work on a straight time and material basis. It is also possible to work on a flat rate pricing program or on a hybrid program.

Using a hybrid program would mean that you must prepare a list of the most common repairs that you do and have a price list for them. This might include replacing fans, motors, thermocouples, belts, faucets, or toilets. Make your own list. Also, review your travel time, consumable pricing and other add-on costs that don’t get billed. Do you bill for using a vacuum pump?

specialized area. Growing to around $2.5 million is good, as any owner or manager can typically control that amount of work. Growing from $2.5 million to $4 million is a danger zone as you have to add more technicians, management and overhead.

Speaking of overhead, we all need it, but we must ensure that every overhead activity is adding value. It is easy to add overhead, but it is difficult to reduce it. If your gross profit percentage is 40 per cent, then $500,000 in additional sales will generate $200,000 in gross profit. That will be needed to pay for the

Don’t put this article away without committing to implementing some changes. Appoint someone within the company to champion each change. Give them the authority and the budget and, hold them accountable. :

Ronald Coleman is a Vancouver-based accountant, management consultant, author and educator specializing in the construction industry. He can be reached by e-mail at ronald@ronaldcoleman.ca.

At some stage, you reach your complacency plateau. We have reached some of our goals and are afraid to risk losing them, so we plateau.

n Coming Events

Celebrating National Backflow Prevention Day

The third annual National Backflow Prevention Day returns on Aug. 16. The day is dedicated to recognizing the importance of backflow prevention, cross-connection control and those who install, maintain, and test backflow preventers.

National Backflow Prevention Day was first announced in March 2021 by Watts Water Technologies to appreciate backflow prevention and cross-connections control. To celebrate this year, Watts is hosting a new webinar to spread awareness and celebrate the day. The “New Tech in Backflow Prevention: The Future is Now” webinar will be hosted on Aug. 16 at 12 p.m. EST and live-streamed across social media at 2 p.m.

“Backflow prevention was born from the need to keep people and water safe. With

new, connected technologies, users are not only protected from backflow events, but are empowered to anticipate and avoid water damage and water waste, along with the downtime and hassle that accompanies them,” explains Watts on its website.

The significance of celebrating National Backflow Prevention Day, specifically on Aug. 16, is due to a hotel incident in Chicago back in 1933, which saw 98 deaths and 2,000 illnesses due to poor plumbing practices, contaminated water mains, and sewage systems in two hotels. As one of the first documented backflow incidents, it resulted in the founding of the Foundation for CrossConnection Control and Hydraulic Research and new safe plumbing regulations for backflow assemblies.

National Backflow Prevention Day was first created in 2021 to recognize the importance this type of technology can have within a building.

National Backflow Prevention Day aims to acknowledge the importance of backflow prevention, educate the public on how this life-saving technology is used, and recognize the water quality professionals responsible for installing and maintaining backflow preventers.

To celebrate the day, social media users can use “#BackFlowDay.” Watts will also offer two Watts Works online learning promotions throughout August.

Virtual technical heat pump training launches this fall

The Plumbing & HVAC team will be launching Technical Training Days in October. The inaugural online event will focus on heat pump technical training. Throughout the day, there will be main stage presentations, speed meetings, and concurrent technical sessions. All the while, points will be earned by attending meetings and networking, which will go towards the chance to win prizes. The more sessions attended, the more points earned, and the higher the chance of winning.

Inthespeedmeetingsessions,thinkofitas speed dating. Attendees will be matched with either another attendee or an event sponsor for two-minute meetings. If both participants wanttoextendthemeeting,theywillhavethe ability to do so as many times as they want to keep the conversation going.

Over the five-hour technical training day, attendees will also be able to stop by one of the lounges. In addition, ongoing throughout the day will be a technical installation presentation where attendees can watch a live

build in real time.

These technical training days will provide benefits for both the new tradesperson and the veteran contractor. There will be no

sales pitches, it will focus on engagement and providing training on some of the latest technology. More details to come.

Sept. 17 – 19:

HRAI Annual Conference, DoubleTree Hotel, Montreal, Que. For more information, please visit www.hrai.ca.

Oct. 18 – 19:

CIPHEX West 2023, BMO Centre, Stampede Park, Calgary, Alta. For more information, please visit www.ciph.com.

Oct. 18 – 22:

MCAC Annual Business Conference, Silverado Hotel, Napa Valley, California. For more information, please visit www.mcac.ca.

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