AC installation can actually lower your energy bills if you choose an energy-efficient unit with a high SEER rating (Seasonal Energy Efficiency Ratio). Newer models are typically more efficient than older ones, reducing overall energy consumption. Proper installation by a professional ensures optimal performance, which can also contribute to energy savings. However, if the new unit is larger than necessary or improperly installed, it could lead to higher energy usage. Consult with an HVAC expert to select the right unit for your home.