What Is an ARC Licence?
An ARC licence is a nationally recognised authorisation issued by the Australian Refrigeration Council, the body responsible for regulating who can legally handle fluorocarbon refrigerants in Australia. If someone is installing, servicing or decommissioning your air conditioner, they are required by law to hold one. The scheme was introduced in 2005 under the Ozone Protection and Synthetic Greenhouse Gas Management Act 1989, which governs the use of substances that contribute to ozone depletion and greenhouse gas emissions.
This article covers what the ARC licence actually means in practice, the two main licence types and who needs each one, why it matters for homeowners protecting their investment, and how to quickly verify that your installer is properly licensed before work begins.
Key takeaways
- An ARC licence is a legal requirement for anyone handling refrigerant in air conditioning systems across Australia.
- Two licence types exist: the Refrigerant Handling Licence for technicians and the Refrigerant Trading Authorisation for businesses.
- Unlicensed installations void manufacturer warranties and expose you to legal and environmental liability.
- Verify your installer's ARC licence in under five minutes using the free tool at lookforthetick.com.au.
Who Needs an ARC Licence and What Does It Cover?
Any tradesperson who physically handles refrigerant in an air conditioning or refrigeration system must hold a valid ARC licence. This covers the full lifecycle of a system: installation, commissioning, servicing, decommissioning and disposal. If refrigerant is present in the equipment, the person touching it needs to be licensed. There are no exceptions for small systems or residential jobs.
The requirement applies to all fluorocarbon refrigerant types used in modern split systems. The two most common refrigerants you will encounter in residential air conditioning are R410A, which has been the industry standard for many years, and R32, which is now the preferred refrigerant in most new split systems due to its lower global warming potential. Both fall under the ARC licensing scheme. For a full breakdown of how these refrigerants compare and what they cost to recharge, see our guide to air conditioning refrigerant types and costs.
State-level licensing bodies add another layer on top of the ARC requirement. In Queensland, for example, the Queensland Building and Construction Commission (QBCC) requires air conditioning contractors to hold a separate contractor licence before they can legally carry out installation work. Similar requirements exist in other states and territories. An ARC licence alone does not make someone a fully licensed air conditioning contractor. It is a necessary condition, but not always a sufficient one.
Refrigerant Handling Licence vs Refrigerant Trading Authorisation
The ARC issues two distinct types of authorisation, and it is worth knowing the difference before you hire anyone.
The Refrigerant Handling Licence (RHL) is issued to individual tradespeople. It authorises the holder to work directly with refrigerant, including recovering, recharging and transferring it during installation or service work. This is the licence you want to see on the technician who turns up at your door.
The Refrigerant Trading Authorisation (RTA) is issued to businesses. It authorises a company to purchase and supply refrigerant. A business needs an RTA to buy refrigerant in bulk from a wholesaler, but the RTA does not authorise any individual to handle refrigerant on a job. That still requires an RHL held by the person doing the work.
As a homeowner, the RHL is the one that matters most to you. Ask your installer for their RHL number before work starts. A legitimate tradesperson will have no hesitation providing it.
Why an ARC Licence Matters for Australian Homeowners
An ARC licence matters to homeowners for three concrete reasons: legal compliance, system performance and environmental protection. Under the Ozone Protection and Synthetic Greenhouse Gas Management Act 1989, it is illegal for an unlicensed person to handle fluorocarbon refrigerants in Australia. This applies to every residential job, whether you are having a split system or a ducted system installed, serviced or decommissioned.
On the performance side, refrigerant handling is a precision task. An unlicensed installer who does not correctly recover, transfer or recharge refrigerant can introduce gas leaks that reduce cooling capacity, force the compressor to work harder and push your running costs up over time. A system running low on refrigerant can lose 20 to 30 per cent of its efficiency before the problem becomes obvious.
The environmental stakes are just as real. The R32 and R410A refrigerants used in modern split systems are potent synthetic greenhouse gases with global warming potentials hundreds of times greater than carbon dioxide. Licensed technicians are trained and legally required to recover refrigerant rather than vent it to the atmosphere. An unlicensed installer has no such obligation and no proper equipment to do it safely.
Using an unlicensed installer can also expose you to personal liability. If refrigerant is illegally discharged during work at your property, the homeowner can face scrutiny under the same legislation that governs the tradesperson. Hiring a licensed professional is the straightforward way to avoid that risk entirely. For a clear picture of what a legitimate, fully licensed installation should cost, see our guide to air conditioning installation cost in Australia.
Unlicensed Installations and Warranty Voids
Most major air conditioning brands make licensed installation a condition of their product warranty. Daikin, Mitsubishi Electric, Fujitsu and other leading manufacturers all require that installation is carried out by a suitably licensed technician. If an unlicensed person installs the unit and a fault develops, the manufacturer can refuse the warranty claim outright, leaving you to cover the repair or replacement cost yourself.
This is particularly worth considering on quality units where the warranty represents real financial protection. The Daikin 3.5kW ALIRA X Inverter Split System FTXM35YVMA, priced from $1,412, and the Mitsubishi Electric 3.5kW Split System Air Conditioner MSZAP35VGKD, priced from $1,229, are both solid investments that come with manufacturer warranties worth protecting. Paying a licensed installer to do the job correctly from day one is far cheaper than losing warranty coverage on either of those units.
Beyond the warranty, an unlicensed installation may also affect your home insurance. If a fire or water damage incident is traced back to a non-compliant installation, your insurer has grounds to reduce or deny the claim. The savings from hiring an unlicensed operator rarely hold up against that kind of exposure.
How to Check If Your Installer Holds a Valid ARC Licence
Verifying an installer's ARC licence takes less than five minutes and can save you from a costly, non-compliant installation. The process is straightforward: ask for the licence number before you accept a quote, then confirm it yourself using the ARC's free online tool. A legitimate tradesperson will hand over their licence number without hesitation.
- Ask for the licence number upfront. Before accepting any quote, ask the installer or company to provide their individual Refrigerant Handling Licence (RHL) number. This should be a routine request and any professional will expect it.
- Check the number on the ARC Tick website. Go to lookforthetick.com.au and use the licence verification tool. Enter the number provided and confirm the licence is current, not expired or suspended.
- Confirm the licence type matches the work. There are different licence categories under the ARC scheme. Make sure the holder is licensed for refrigerant handling in air conditioning and refrigeration, not a limited-scope licence that covers a different type of work.
- Check for a Refrigerant Trading Authorisation (RTA) on the business. If the company purchases and supplies refrigerant, they should also hold an RTA. This is a separate authorisation issued to the business entity rather than the individual technician.
- Verify any required state-level licence. In Queensland, contractors must also hold a current QBCC licence before they can legally carry out installation work. Similar requirements apply in other states and territories. Ask for the relevant state licence number and check it on the relevant state authority's website.
If an installer is reluctant to provide any of these details, treat that as a clear warning sign. Reputable businesses display their licence numbers on their websites, vehicles and quotes as a matter of course. The same principle applies to ongoing maintenance. Servicing a system that contains refrigerant requires the same ARC licensing as installation, so check credentials before booking a service call too. For a guide to what you should expect to pay, see our breakdown of air conditioner service prices in Australia.
Ready to Buy? Browse Our Range of Split Systems
An ARC licence is a legal requirement, not an optional credential. It protects you as a homeowner, safeguards the environment from refrigerant emissions and keeps your manufacturer warranty intact. Pairing a quality unit with a properly licensed installer is the only combination that gives you all three of those protections at once.
If you are ready to start shopping, the Daikin 3.5kW Cora Inverter Split System FTXV35WVMA from $1,256 is a solid, accessible entry point for most bedrooms and smaller living areas. If you want to step up, the Daikin 3.5kW ALIRA X Inverter Split System FTXM35YVMA from $1,412 adds built-in WiFi and a refined design, making it worth the extra outlay for a main living space.
Browse the full range of split system air conditioners at AusAir Conditioners to compare models, capacities and prices across all the major brands. Once you have found the right unit, you will know exactly what to look for in the installer who fits it.
Frequently Asked Questions
How much is an ARC licence?
An ARC licence costs the tradesperson, not the homeowner, and the application fee to the Australian Refrigeration Council typically runs a few hundred dollars on its own. Full trade training through a Certificate II or III in Air Conditioning and Refrigeration adds significantly more, with course fees varying by provider and state. As a homeowner, this cost is not yours to worry about.
What does ARC stand for in automotive?
In the context of Australian air conditioning and refrigeration, ARC stands for the Australian Refrigeration Council. While the acronym has other meanings in automotive engineering, such as Active Roll Control, the ARC licence relevant to car air conditioning servicing in Australia is still issued by the Australian Refrigeration Council. Vehicle air conditioning systems use fluorocarbon refrigerants, so the same licensing rules apply as for residential and commercial systems.
How long is an ARC licence valid?
ARC Refrigerant Handling Licences are issued for a set period and must be renewed to remain valid. Renewal requirements can change, so check the current validity period directly on the ARC Tick website at lookforthetick.com.au. That site also has a licence check tool you can use to confirm your installer's licence is current, not just that they once held one.
What qualifications are required for HVAC?
HVAC technicians in Australia are required to hold a Certificate III in Air Conditioning and Refrigeration (UEE32220) as their core trade qualification, plus an ARC Refrigerant Handling Licence to legally work with refrigerants. Some states add further requirements, such as a QBCC licence in Queensland or an electrical licence for certain wiring work. A fully qualified installer will hold all relevant credentials, and you should not hesitate to ask for them before work begins.
