How do you see the future of the heat pump? It was an unfair question asked of me on my first ever press function when joining this industry way back in the late 70s. Quite frankly, I had no idea what the questioner was on about. I had no idea what a heat pump was. Some sort of domestic central heating circulator perhaps? Either way, I bluffed an enthusiastic answer which was probably completely unconvincing.
Of course, in the UK, the technology was almost murdered in its infancy in the early 80s by poor installations and unsustainable claims but survived to become what it is today – the most talked about energy efficient technology available.

Sales are increasing around the world exponentially. In Europe, Sweden leads the way with over 120,000 heat pumps sold in 2006, France installed over 60,000, Germany, Norway and Portugal over 50,000. At the other end of the scale little Estonia installed just 2,333 and Poland 1,758.

So how did the UK compare – a country whose hvac industry mentions the technology in every second breath? Just 900. Of course the relatively cheap availability of gas in the UK and the scarcity of cheap energy in Sweden accounts for much of the disparity between the two countries. The heat pump markets in Sweden and many of the other European countries have also benfited from substantial grants – something which the UK government is only now coming to terms with. Even so, BSRIA predicts sales of just 2,000 this year.

In Cyprus there are 80% grants available for domestic heat pumps, and in France and Sweden there are grants plus zero VAT.

The UK offers a reduced rate of 5% VAT on domestic installations and grants of around £1,200 for ground-source heat pumps. For businesses, there is just interest-free loans and the Enhanced Capital Allowances. None of this financial assistance makes much of a dent in the cost of a system which, in the case of ground source heat pumps, is likely to cost typically between £10,000 to £20,000. And don’t expect much financial help at all if you go for the more cost effective air-source option.

Either way, even though a heat pump can offer substantial energy savings, the pay-backs make the technology difficult to justify in the UK.

If the government is serious about reducing the UK’s C02 emissions, the heat pump industry is going to need a major kick-start with substantial financial incentives. Relying on increasing gas prices alone are not going to be enough to encourage the replacement of the traditional gas boiler with a heat pump.

Neil Everitt

Editor