The Demand for Air Source Heat Pump Jumps in Europe

Over the past few years, a considerable amount of air source heat pump installations have occurred in Europe. The primary reason for this increase is a combination of factors: increasing awareness about using heat pumps for heating and cooling buildings, government incentives, and cost savings as well.

There are many benefits that air source heat pumps offer, including reduced running costs and maintenance costs, as well as improved comfort levels for the building occupants. These benefits are also suitable for older buildings where space constraints or even lack of maintenance resources may be an issue.

Besides, air source heat pumps may be used effectively in high hot water demand areas. This includes areas with limited water supplies or places with a high demand for hot water, such as hospitals and schools as well.

Statistics on the Demand for Air Source Heat Pumps Jumps in Europe

The Cogeneration and On-Site Power Production Cluster (COGEN Europe) published a report on the heating market in Europe which shows that the demand for air-source heat pumps is growing by 7.5 %, while the demand for traditional sources of heating is dropping by 4.8 %.

In addition, COGEN Europe predicts that the market will grow at an annual rate of over 7 % until 2025, when it reaches a total installed capacity of 1,200MW. This would make it one of the fastest-growing markets worldwide.

Why is the need for air source heat pumps increasing in Europe?

The COGEN Europe report shows that there are three main reasons for this growth:

1. The rise in the number of households, with more than three people living in each.

2. The increase in the number of households with children, who tend to be more energy-conscious and prefer to use less energy.

3. The reduction in the cost of renewable energy sources such as solar panels and wind turbines has decreased their cost, making it possible for more people to invest in them and make them work effectively.

How are government incentives affecting the demand for air source heat pumps in Europe?

The main drivers of the growth are government incentives and growing interest from the end users. Especially the air source heat pump, because of its easy installation and maintenance, low energy consumption and eco-friendly design. The heating market is expected to grow at a CAGR of 3.7 % during the period 2017-2023.

The demand for energy-efficiency improvements is expected to be driven by rising fuel prices and CO² emissions targets imposed by European governments. Moreover, there has been more focus on building standards considering energy efficiency when calculating minimum heating requirements in new homes and buildings.

In addition to government initiatives, the industry expects air source heat pumps to gain traction among consumers due to their low installation cost, easy maintenance and long service life, and high availability of spare parts.

Are the air source heat pumps government incentives necessary?

In Europe, there are about 150 types of heat pump subsidy programs. Nearly all regions provide some kind of support for this renewable energy technology, especially France, Italy and the UK.

To bolster the use of heat pumps in Europe, the European Union has established two special programs: the Community Initiative Program (CIP) and the Regional Energy Centre (REC). The CIP supports projects with innovative technologies that expand heat pump applications by reducing operating costs. The REC supports projects that will contribute to better management of energy resources through using renewable energy sources.

The German government has also made significant efforts to promote heat pumps in Germany. In Norway, heat pumps receive a large subsidy from the public budget. In Sweden, heat pumps are not eligible for subsidies because they are considered just another form of electric heating system. However, the EU provides financial support for investment in new equipment and training for those who want to install a new system. This can be done through a state subsidy program or a loan from local banks.

In Spain, there is no national framework program for heat pumps or other renewable energy technologies; however, there are programs at the regional level which offer different levels of support depending on the size of the installation and its location.

According to the COGEN report, in 2018, Italy provided subsidies totaling EUR $1.17 billion for heat pump installations and France provided EUR$ 310 million, while Germany provided subsidies worth EUR$15 million per year over five years with a total of EUR$2.15 billion.

What's the probability of the progression of air source heat pump demand in Europe?

The for air-source heat pumps in Europe is increasing rapidly. The market statistic shows that more than 1.5 million units of heat pumps are sold in Europe annually. The European heat pump market has experienced significant growth over the past few years.

It is projected to progress at a CAGR of 6.6 % from 2019- 2026, according to Technavio's report on the European Heat Pump Market by Components (Air Source Heat Pump, Evaporator Heat Pump, Condenser Heat Pump), Application (Residential and Commercial), and Geography – Global Forecast to 2026. The report also highlights some important factors driving the market's growth, such as rising energy costs and tight budgets due to higher inflation rates.

Sweden and Norway have recently been featured in the top 5 countries with the highest percentage of buildings using heat pumps for heating or cooling. This is according to a new report by the European Council on Renewable Energy (ECRE), which found that Sweden and Norway come into the top five countries with the highest percentage of buildings using heat pumps for heating or cooling. The report, titled 'Renewables in Buildings: The European Context, was released at the end of January 2019. It included data from surveys conducted by ECRE's member organizations in all 28 EU member states, Norway and Switzerland.

In total, there were 2,948 buildings included in the survey. Of these, 1,843 were residential properties; 794 were commercial, and 199 were industrial buildings. The results showed that Sweden topped the list with 44 % of its buildings using heat pump technology for heating or cooling purposes, while Norway came second with 40 %.

How is the rate of demand for air-source heat pumps growing in the UK?

The demand for air-source heat pumps is growing in the UK. The number of new installations has increased by nearly 50 % over the last three years, and this trend is expected to continue.

A combination of factors drives the increase in demand. First, the increasing awareness of the benefits of air source heat pumps has become a key element in achieving sustainable energy solutions. Secondly, there is a rise in the number of people interested in installing an air source heat pump as part of their eco-friendly home heating solution.

What are the benefits of air source heat pumps?

The need for air source heat pumps in Europe has increased significantly over the years because these products have many advantages over their counterparts in terms of cost-effectiveness and energy efficiency. They comprise:

1. They are more environmentally friendly than standard electric resistance heaters because they use electricity generated from green energies like solar energy or wind power rather than fossil fuels.

2. They are more efficient at heating water because they use refrigerant instead of combustion gases or oil for generating heat. Their running prices are lower than those of standard electric resistance heaters.

3. The demand for these systems has been increasing rapidly in recent years due to their high efficiency and low cost compared with traditional electric resistance water heaters. This trend will continue into 2022 as the market continues to grow at an average rate of 5 % per year through 2022. Heat Pumps have the longest life cycle compared to other air conditioning systems in the market.

4. The need for air source heat pumps in Europe is increasing daily. This is because the demand for energy-efficient products is increasing faster than the supply.

5. The life span of air-source heat pumps is longer than other air-conditioning systems, making them cost-effective over a long period.

6. The efficiency and power consumption of the air source heat pump is much better than other air conditioners, especially when it comes to cooling. This is because it does not just cool the air but also heats it by extracting the latent heat from the surrounding environment.

Takeaway

Air source heat pump prices have been falling steadily, both in terms of the cost of equipment, installation, and use, and this is one reason why more people are installing them. However, the main drivers are energy efficiency requirements and concerns over the climate change. These pressures may encourage more people to switch to European air source heat pumps in the coming years.