R. E. Smalley, 1996 recipient of the Nobel Prize in chemistry, stated that energy is the number one problem facing humanity for the next 50 years. If this projection comes to fruition, as it most probably will, proper implementation of technologies that generate and convert energy will be of immense importance. A large market is currently in place for which thermoelectric (TE) technology can provide diverse energy solutions. In recent years, with the increase awareness towards environmental degradation due to the production, use and disposal of Chloro-Fluoro Carbons (CFCs) and Hydro Chlorofluorocarbons (HCFCs) as heat carrier fluids in conventional refrigeration and air conditioning systems has become a subject of great concern and resulted in extensive research into development of novel refrigeration and space conditioning technologies. Thermoelectric cooling provides a promising alternative R&AC technology due to their distinct advantages. A brief introduction of thermoelectricity, principal of thermoelectric cooling and thermoelectric materials has been presented in this paper. The costeffectiveness of this technology has been also discussed in this paper.