Air conditioners have been regulated in Australia for energy labelling since 1987. Minimum Energy Performance Standards (MEPS) were introduced in 2001 for three phase systems and 2004 for single phase systems. Energy efficiency requirements for these products are reviewed and upgraded on a regular basis.

Single duct portable space conditioners and Spot Coolers have been exempted from energy labelling and MEPS regulations to date partly because there has been no international test method for the determination of efficiency. However, recent increases in the market share of these products has prompted government to propose regulatory measures for these products with respect to energy efficiency.

Market research on consumer behaviour has been conducted and a draft report prepared assessing the possible labelling of portable space conditioners and spot coolers.