Heatpump

A Heatpump is a device that can provide heating, cooling and hot water for residential, commercial and industrial use.

Heatpumps take energy from the air, ground and water and turn it into heat or cool air.

Heatpumps are very energy efficient, and a sustainable way of heating or cooling buildings.

More on how a heat pump works.

Heatpumps are very reliable.

Plus, according to the International Energy Agency, they are three to five times more efficient than gas boilers. Around 20 million Heatpumps are now used in Europe, and more will be installed to reach carbon neutrality by 2050.

From the smallest units to large industrial installations, Heatpumps operate through a refrigerant cycle which allows to capture and transfer energy from air, water and ground to provide heating, cooling and hot water. Due to its cyclical nature, this process can be repeated over and over again.

This is not a new discovery – the principle underlying the way heat pumps work goes back to the 1850s. Various forms of Heatpumps have been operating for decades.

More on the history of heat pumps

More on how heat pumps work

Heatpumps take most of the energy they need from the surroundings (air, water, the ground).

This means it is clean and renewable.

Heatpumps then use a small amount of driving energy, usually electricity, to turn the natural energy into heating, cooling and hot water.

This is one reason why a Heatpump and solar panels is a great, renewable combination!

When compared to fossil-based heating solutions, Heatpumps can still be quite pricey at the moment of purchase, with average upfront costs two to four times higher than gas boilers.

However, this evens out over the lifetime of the Heatpump due to their energy efficiency, which is three to five times higher than that of gas boilers.

This means that you could save over €800 per year on your energy bill, according to this recent analysis of the International Energy Agency (IEA).

EHPA calls for the price of electricity to be no more than double the price of gas.

We also support a carbon price and policy instruments that shield citizens from electricity price spikes are needed to help consumers choose clean heat over fossil fuels.

Read what else we see as vital to speeding up Heatpump roll-out in the EU Heat Pump Accelerator. 

Heatpumps operate perfectly at temperatures well below zero. Even when the outside air or water feels ‘cold’ to us, it still contains huge amounts of useful energy.

A recent study found that Heatpumps can be successfully installed in countries with minimum temperatures above -10°C, which includes all European countries.

Air-source Heatpumps move energy in the air from outside to inside, keeping the house warm even when it’s freezing outdoors. During the summer, they move hot air from inside to outside to heat the house.

On the other hand, ground-source Heatpumps transfer heat between your home and the outside ground. Unlike the air, the temperature of the ground remains consistent throughout the year.

In fact, Heatpumps are widely used in the coldest parts of Europe, satisfying 60% of the total heating needs of buildings in Norway and more than 40% in Finland and Sweden.

The three Scandinavian nations also have the highest number of Heatpumps per capita in the world.

Yes, they do! Despite their name, Heatpumps can also cool. Think of it as a reverse process: in the cold season, Heatpumps absorb heat from the chilly external air and transfer it inside. In the hot season, they release outside the heat pulled from warm indoor air, cooling your home or building. The same principle applies to refrigerators, which work in the same way as a Heatpump to keep your food cool.

All of this makes heat pumps very convenient – home and business owners do not need to install separate equipment for heating and cooling. Not only does this save time, energy and money, but it also takes up less space.

Any type of home, including high-rise buildings, is suitable for the installation of Heatpumps, as this UK study shows.

EHPA has also gathered examples from across Europe of blocks of flats or multi-family buildings which use Heatpumps. Read the full report.

It depends on a number of factors, including  the building’s energy efficiency or the type and size of the Heatpump you wish to install.

Making sure your home is well insulated and that there are no air leaks is a good way to start to improve the overall efficiency of your heating system and save on your bills.

Generally speaking, a Heatpump will need to be connected to your home’s electrical system for power. If needed, it will also be connected to the air duct system to distribute its warm or cool air. Air source Heatpumps are relatively easy to install. Ground source heat pumps (also known as geothermal) need the installation of pipes into the ground.

It is also important to choose a Heatpump that is properly sized for your home to ensure it performs at optimal efficiency. Specialized engineers and technicians will help you find the best solution for your needs and building type.

Heatpumps are suitable for any type of building, if the existing heating or cooling system is compatible with them.

Whether or not they are allowed will depend on the rules applied – visually or structurally – to listed buildings and buildings of historical or cultural relevance.

Clearly, having a Heatpump put in must always be part of a well-thought-out process, within the local rules and guidelines.

Wherever they are used, Heatpumps can provide several benefits in terms of cost savings and increased energy efficiency. This makes buildings that need to be conserved for historical and cultural reasons more environmentally friendly.

Not convinced yet? Learn how Heatpumps replaced gas heating in the historical Bath Abbey, in the UK or read this brand-new Historic England study about Heatpumps in heritage buildings.

Yes, you can. Some Heatpump types can be installed without drilling holes into your walls or floors. They can even be placed on your home’s exterior or garden and be connected to the existing ductwork. You simply need to ensure that there is enough air supply.

Discover all the different types of heat pumps and how they work.

No, not necessarily. Heatpumps can work on underfloor heating systems but can also work with radiators and convectors of all sizes.

The indoor part of a Heatpump generally has sound levels between 18 and 30 decibels – about the level of someone whispering.

Most Heatpump outdoor units have a sound rating of around 60 decibels, equivalent to a moderate rainfall or normal conversation.

Just like all appliances, Heatpumps require some routine maintenance. How often this is needed depends on the type of Heatpump installed and where it is located.

Enquire your Heatpump manufacturer or seller for advice and always refer to a qualified technician or installer for assistance. 

According to the International Energy Agency (IEA), households that switch from a gas boiler to a Heatpump save significantly on their energy bills, with average annual savings ranging from USD 300 in the United States to nearly USD 900 (€830) in Europe*.

This is because Heatpumps are highly energy efficient.

To make Heatpumps even more cost efficient for consumers, EHPA calls for governments to ensure the electricity price is no more than twice the price of gas.

Electric home heating paired with improved energy efficiency and smart system interaction for demand-responsive heating, could ‘reduce the annual consumer fuel cost, saving consumers up to 15% of the total fuel cost in single-family homes, and up to 10% in multi-occupancy buildings by 2040’ according to this study published by the European Consumer Organisation (BEUC).

*Based on 2022 gas prices. 

Heatpumps are critical for reducing greenhouse-gas emissions and improving energy efficiency. By 2020, fossil fuels had met more than 60% of global heat demand in buildings, accounting for 10% of global CO2 emissions.

In Europe, all the Heatpumps connected by the end of 2022 avoided over 54 million tonnes of CO2 – about the annual emissions of Greece.  As more and more countries are scrapping fossil fuel heaters, Heatpumps, powered with energy from clean and renewable sources, have the potential to reduce total Co2 emissions by at least 500 million tonnes by 2030, according to the International Energy Agency.

Besides improving air quality and slowing global warming, this would also address the issue of the cost and security of gas supplies highlighted by the current energy crisis.

In industry, heat represents more than 60% of energy use. Industrial Heatpumps can produce renewable energy and recover waste heat, contributing to the EU’s climate and energy goals.  

Currently, 37% of industrial processes use heat at temperatures below 200°C, suitable for Heatpumps. More and more European businesses, which have been hit hard by recent rises in natural gas prices, are turning to Heatpumps to reduce their carbon footprint, as required by EU directives, while efficiently consuming energy to manufacture their products.

In many cases, manufacturing powered by electricity instead of gas is already a reality, especially in the paper, chemical and food sectors. Mars Wrigley Confectionery, the world’s leading chocolate manufacturer, uses Heatpumps in its Dutch factory of Veghel, saving energy and reducing emissions to make its notorious candies and chocolate bars.

Around 20 million Heatpumps are installed in Europe.  Heatpump sales have been steadily increasing every year. In 2022, sales rose by almost 39% (+3 million units installed) over 2021.  

However, sudden policy changes, including stop-and-go subsidies and support schemes for buying a Heatpump, and high electricity prices combined with inflation and increased cost of living have slowed down Heatpump sales in the first quarter of 2023 in some EU countries, early market data shows.

This is why, EHPA advocates for more policy clarity in setting out measures to address barriers to Heatpump growth.

These include correcting the electricity-to-gas price ratio, curbing subsidies to fossil fuel heating, providing clear information on the benefits of clean energy technologies to consumers as well as training more installers and specialized workers. 

Heatpumps can be used efficiently to provide 100% of a building’s heating, cooling and hot water demand.

From the smallest units that power nearly zero-emissions homes to large industrial installations, Heatpumps are fit for purpose in new and renovated buildings as well as in industrial applications and district heating systems.

Learn more about barriers and opportunities to Heatpump deployment in Europe.

Discover our 2023 Marker Report.

Currently 60% of Heatpump manufacturing happens in Europe. Heatpump manufacturing in Europe happens in more than 170 sites, often small and medium enterprises located in rural/remote areas, with a turnover of €14.5 billion.

We estimate the total number of employees in the European Heatpump industry (end 2021) to be nearly 117,000 people*.

This breaks down into Heatpump manufacturing 37.4% (around 44k  jobs); Installing 30.6% (36k jobs); component manufacturing 18.7% (22k jobs); service and maintenance 13.2% (15k jobs).

With REPowerEU’s ambitious Heatpump roll-out targets – which according to EHPA’s calculations translate into 60 million more Heatpumps being connected by 2030 – many more skilled workers will be needed for every part of the heat pump process, from manufacturing to planning and installation. 

Already today, EHPA calculates that we need around 500,000 more trained workers to cover the increase in overall demand.  Currently, companies in the heat pump sector often struggle to recruit electricians, installers, technicians and  specialised workers.

This is why EHPA is calling for EU support for skills development and training in the heat pump sector. 

 *Based on the number of working hours needed to install the different types of heat pumps and based on expert estimates on turn-over per employee. 

The European Commission published its REPowerEU proposal in May 2022 to help cut EU gas imports as a response to the Russian war in Ukraine.

Its targets require the number of newly plugged-in heat pumps to double each year.  EHPA estimates that this would lead to 20 million more heat pumps by 2026 and 60 million by 2030, up from about 20 million units today in Europe.

REPowerEU contains ambitious targets but lacks equally ambitious support measures for the heat pump sector. The suggested measures alone are too piecemeal to speed up EU wide deployment to reach those targets. What the sector needs is an ‘all hands on deck’ approach where all policy measures help the value chain work towards the targets.

To facilitate this, the European Commission announced a heat pump action plan to be published in 2024. To input the plan, EHPA and other organisations built an ‘accelerator’ document which identifies the barriers and solutions to foster Europe’s heat pump roll-out.

Learn more about policy recommendations and the EU heat pump accelerator.

Learn more about the European Commission’s EU Heat Pump Action Plan. 

Today, over 30 countries worldwide offer financial incentives for heat pumps. These 30 countries combined represent more than 70% of the world’s current demand for heating.

Several governments  also give low-income households extra subsidies, as heat pumps can save households between 2% and 6% of their income on energy costs.

In Europe, nearly all countries offer some sort of subsidy for heat pumps in new build homes, and some in renovated homes too. Read EHPA’s report on subsidies and funding schemes for heat pumps across Europe.

Other countries have cut value-added tax (VAT) rates on renewable energy products, including heat pumps. Currently, 16 EU Member States, plus Switzerland and the UK, have set a lower VAT rate on heat pumps. Some have also set a lower rate on electricity – a small amount of which is used by most heat pumps.

Find out more in EHPA’s report on VAT on heat pumps and electricity in Europe.

For this, you need to calculate the operational cost of your heat pump per year.

EHPA has a tool that can help you with this!

With My Heat Pump, you can determine the cost of electrical power consumed by your heat pump annually and you can compare it with other sources of heat, like gas boilers, electric boilers or solid fuel boilers.

Link to the tool: https://myheatpump.ehpa.org/en/

Link to the video: https://youtu.be/zsNRV0dqA5o?si=_F3M8Qt0J2mqNFSd