The Australian air conditioner market was valued at USD 3.1 billion in 2024. With long, hot summers and rising humidity, staying cool indoors has become an essential part of daily life rather than a luxury.
From compact split systems in smaller homes to large ducted installations and advanced commercial setups, there are many types of air conditioning systems used across the country.
We will explorte the most popular options in 2025, giving you clear insight into which systems best suit Australian homes and businesses.
Quick Table Comparison of Different Air Conditioning Units
| Type | Typical use | Cooling / Heating | Core components | Pros | Trade-offs | Zoning | Install complexity | Best fit |
|---|---|---|---|---|---|---|---|---|
| Split System | Residential Small shops | Usually reverse-cycle (heat + cool) | 1 indoor unit + 1 outdoor unit; refrigerant pipework |
|
| Per-room control (each unit) | Low | Bedrooms, living areas, small tenancies |
| Multi-Split | Residential Light commercial | Reverse-cycle options common | Several indoor units to one outdoor unit |
|
| Room-level | Low–Medium | Apartments, townhouses, limited façades |
| Ducted Reverse-Cycle | Residential Light commercial | Reverse-cycle (whole-home heat + cool) | Central indoor unit + ducts + ceiling vents + 1 outdoor unit |
|
| Multi-zone via dampers | Medium–High | New builds, larger homes, offices with ceilings |
| Packaged Rooftop (Ducted) | Commercial Retail Warehouses | Typically reverse-cycle or add-on heat | Single rooftop unit; supply/return ducts |
|
| Zone via duct design | Medium | Supermarkets, big-box retail, gyms |
| VRF / VRV | Commercial Hotels Offices | Heat pump or heat-recovery (heat + cool at once) | Variable-refrigerant outdoor units + many indoor units (cassettes/ducted) |
|
| Per-zone; simultaneous heat/cool with heat recovery | High | Multi-storey offices, hotels, premium fit-outs |
| Chillers / Central Plant | Commercial Institutions Hospitals | Traditionally cooling-only; growing use of heat-pump chillers | Chiller(s) + pumps + piping + AHUs/FCUs; may include cooling tower |
|
| Building-wide via BMS and AHU zoning | Very High | Towers, campuses, 24/7 facilities |
| Portable | Residential Temporary | Mostly cooling-only | Single unit on wheels; exhaust hose to window |
|
| Room-by-room (manual) | Very Low | Short-term cooling, small spaces |
| Window / Wall | Residential Budget | Cooling-only or electric heat models | Self-contained box through window or wall |
|
| Single room only | Low | Older homes, tight budgets |
| Evaporative (Ducted) | Residential Large open areas | Cooling-only | Roof unit with wet pads; fan pushes cooled outside air via ducts |
|
| Whole-home via ducts | Medium | Dry inland regions, open-plan homes |
Notes: “Install complexity” reflects typical effort in existing buildings. Many systems are available as reverse-cycle heat pumps for year-round comfort. Always size and design to Australian standards and local climate.
Residential Air Conditioning Systems
Australians have plenty of ways to keep their homes cool. Each type of air conditioner in Australia comes with its own benefits, making it easier to match the right option to your lifestyle.
1. Split System Air Conditioning
A split system is the most common type of air conditioner in Australia. It has:
- One indoor unit mounted on a wall
- One outdoor unit installed outside
Key points:
- Works as a reverse cycle air conditioner, giving both heat and cool air
- Affordable and straightforward installation
- Known for good energy consumption and reliability
- Ideal for bedrooms, living rooms, or small apartments
- Helps reduce the energy bill while maintaining comfortable indoor air
2. Multi-Split Air Conditioning
A multi-split system connects several indoor units to one outdoor unit.
Benefits:
- Perfect for homes or apartments with limited outdoor space
- Allows independent temperature control in different rooms
- Maintains better air quality across the house
- Offers flexible comfort without multiple outdoor boxes cluttering walls
- A practical type of air conditioner in Australia for families with varied needs
3. Ducted Reverse Cycle Air Conditioning System
A ducted air conditioner delivers whole-home comfort through hidden ducts.
How it works:
- A central indoor unit is placed in the ceiling or under the floor
- Cool or warm air is distributed through vents in each room
- Often installed as a ducted reverse cycle air conditioning setup
Advantages:
- Provides consistent cool air or warmth throughout the house
- Only vents are visible, giving a clean and modern look
- Zoning features allow selective room control, improving efficiency
- Popular in larger homes and new air builds
- Higher installation costs compared to split air conditioning units
4. Portable, Window, and Evaporative Options
Not every home uses a fixed air conditioning system. These options remain common:
Portable air con
- Easy to move from room to room
- Great for renters or short-term cooling
- Less efficient and can lead to higher energy bills
Window air conditioner
- A budget-friendly type of air conditioner
- Once very common, now less popular
- Simple installation but limited cooling power
Evaporative cooling system
- Uses water-soaked pads to push cool air inside
- Works best in dry climates
- Not effective in humid regions
- Seen as a natural way to maintain good air indoors
Commercial Air Conditioning Systems
Businesses rely on reliable cooling and heating to keep staff and customers comfortable. The choice of system often comes down to choosing the right air conditioner for the building’s size and purpose.
1. Packaged Rooftop and Ducted Air Conditioning Systems
Packaged rooftop units are a common sight on commercial buildings.
- Large, self-contained units installed on the roof
- Provide both cooling and heating in one reverse-cycle air setup
- Widely used in retail stores, offices, and warehouses
- Seen as a practical modern air conditioner solution for large open spaces
- Work as an ideal air conditioner when consistent comfort is needed across a wide floor plan
2. VRF and Multi-Split Systems for Businesses
Variable Refrigerant Flow (VRF/VRV) technology is considered one of the best air conditioner options for multi-level commercial spaces.
- Connects multiple indoor units to one outdoor system
- Flexible zoning lets each room or floor control its own temperature
- High efficiency thanks to inverter air conditioners that adjust output as needed
- Perfect for hotels, office towers, and busy commercial spaces
- Works as a scalable solution when buying an air conditioner for buildings with different room types
- Combines the versatility of a multi split system with advanced control
3. Chillers and Central Systems
Large institutions often choose chilled water systems.
- Common in hospitals, universities, and high-rise office blocks
- Chilled water is pumped through pipes to air handlers, cooling the air for different zones
- Traditionally used only for cooling, but now shifting toward reverse-cycle air conditioning chillers
- A practical option for very large spaces needing round-the-clock climate control
- Considered a modern air approach when energy savings and consistent output are priorities
4. Split Air Conditioning for Small Businesses
Not every business needs a huge commercial system. Small spaces benefit from simple split air conditioning systems.
- Cost-effective for cafés, small shops, or small offices
- Can be installed as a split-system air conditioner with one indoor unit and one outdoor unit
- Available in wall-mounted or ceiling cassette styles
- Easy to manage and suited to smaller air conditioner size requirements
- Often seen as the best air conditioner choice for businesses starting out
- Gives an affordable way to enjoy the comfort of modern air conditioners without the complexity of large-scale systems
Reverse Cycle Air Conditioning vs Refrigerated Cooling
Australians have embraced reverse cycle air conditioning as the standard choice for year-round comfort.
- A reverse cycle system can both heat and cool, making it the right air conditioning system for homes that face hot summers and chilly winters.
- Modern air conditioner models, such as a ducted reverse cycle air conditioner, provide efficient comfort across multiple rooms.
- Cooling-only systems are still found in tropical regions, where heating is rarely needed, but they are less common today.
- Many households and businesses now see reverse cycle as the best for your home or workplace, thanks to lower running costs and reliable performance.
When buying an air conditioner, it is important to choose the right one for the climate and property size. A professional can help you choose the right system, making sure the installation suits the building design and lifestyle needs.
With a variety of air conditioner models available, from split systems to ducted setups, Australians have access to the latest modern air solutions. Selecting the ideal air conditioner means balancing cost, energy use, and the comfort of both heating and cooling in one reliable unit.
Energy Rating Label and Efficient Air Conditioning Systems
Australians are paying closer attention to efficiency when selecting a cooling system. The Energy Rating Label and the Zoned Energy Rating Label show how much power different air conditioner models use across hot, mild, and cold climates. These tools make it easier to compare the options available in Australia.
Key points to know:
- A high star rating means lower running costs, which is important when choosing an air conditioner for your home.
- Inverter technology in modern systems helps regulate output smoothly, using less electricity than older designs.
- Refrigerated air systems have improved with better compressors and smarter controls.
- The transition to low-GWP refrigerants such as R32 and R290 is making every new air conditioner more environmentally friendly.
- Cleaner operation is now often combined with air purification features that improve indoor comfort.
If you plan to install a ducted system or upgrade to a new split unit, focusing on efficiency will lower your bills over the long term. The variety of models and features in modern air conditioners ensures there are practical choices to suit every property, lifestyle, and budget.
Smart Air Con and Zoning Control
Smart features are becoming standard in modern cooling systems. From zoning controls to app-based management, today’s technology makes running an air con simpler, more efficient, and better suited to everyday Australian living.
- Wi-Fi enabled air con lets homeowners adjust settings through phone apps
- Integration with smart home systems makes managing cooled or heated air seamless
- Zoning in a ducted reverse cycle air conditioning setup ensures good air is only delivered where it’s needed
- This prevents wasting energy on empty rooms while still keeping busy areas comfortable
- Modern zoning systems can even track outdoor air conditions to maintain balanced comfort indoors
Choosing the Right Air Conditioner for Your Space
Selecting the right unit depends on lifestyle and building needs. Always consider room size, local climate, and available installation space
- The role of choosing the best air conditioner comes down to balancing efficiency with comfort
- Professional advice helps you find out which air conditioner fits the property and budget
- Trusted air conditioner brands in Australia include Daikin air, Fujitsu, and Mitsubishi, all considered top brands
- For smaller areas, a split air conditioning system may be enough
- Larger homes benefit from ducted reverse cycle air conditioning or even a multi-split setup
- Factoring in hot air loads from sun-facing rooms helps in choosing the right air conditioner and ensuring year-round comfort
Installation, Cost & Choosing the Right Size
Looking at real numbers helps when deciding on your system.
- Split systems are the go-to for affordability and simple installation. Small units (2.5‑2.6 kW) run from about $1,299–$1,599, while larger ones (8–9.5 kW) reach $3,199–$3,999 installed. Other estimates put basic split installs from $600 up to $2,500, depending on complexity.
- Ducted systems cost more up front, but cover whole-home comfort. Small to mid-sized homes typically range in price from $5,000 to $10,000. In larger homes, prices can climb to $12,000–$16,000 or even more.
Deciding which air conditioner size fits your space can influence both your purchase and your long-term power bill costs. Professional installation matters for energy efficiency. Getting the system sized and fitted correctly makes it last longer and perform better.
Cool Comfort Starts Here
Australians today can choose from many different types of air conditioning, from simple split units to advanced ducted reverse cycle systems. The key is selecting the right air conditioner for your home or business so you enjoy reliable comfort all year round. Expert guidance makes all the difference in finding the perfect match.
Advanced Clean Air provides professional advice and installation to help you choose the best system for your space.
Contact Advanced Clean Air today and enjoy a tailored installation that delivers cool comfort when you need it most.
Frequently Asked Questions
1: What is the most common type of air conditioning in Australian homes?
Split system reverse cycle air conditioners are the most common due to affordability and versatility.
2: Are evaporative coolers still popular?
They are still used in dry climates but are less effective in humid areas, making refrigerated air conditioning more popular in many regions.
3: How do I choose the right size air conditioner?
Sizing depends on room area, insulation, and climate. A professional can recommend the right size for effective cooling and heating.
4: What is the best system for commercial use?
VRF systems and packaged rooftop units are top choices for efficiency and zoning in large commercial spaces.
