Value engineering (VE) plays a vital role in optimum utilization of resources at an affordable cost/value of product. The VE can be used in various fields of applications for the selection and functional improvements of a particular product/system at a reasonable cost. In the current study, VE is used for deciding a suitable refrigerant for air-conditioning (AC) system. Presently, a wide range of refrigerants are available in the market, which have their own merits and demerits. Selection of an appropriate refrigerant is essential to attain desirable features in AC at an optimum price. First, the relatable attributes that describe the refrigerants were identified for the analysis. Thereafter, VE allowed rapid convergence of available options of potential refrigerants from an extended number to a manageable shortlist. The sorting of refrigerants was based on a few critical characteristics. Each characteristic was assigned a weightage based on its importance with regard to the requirement of applications. The selection procedure allowed paired comparisons among different attributes followed by ranking each refrigerant based on its assigned value. The findings of the study will provide good insights to the manufacturers of refrigerants in order to add value in AC system.