European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump...

197
European Heat Pump Market and Statistics Report 2013 ehpa.org FOR INTERNAL USE ONLY

Transcript of European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump...

Page 1: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

European Heat Pump Market and StatisticsReport 2013

ehpa.org

FOR INTERNAL USE

ONLY

Page 2: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Cover pictures of the European Heat Pump Market and Statistics REPORT 2013:

In order to make the application potential of heat pump technology more visible, the cover page of the European Heat Pump Market and Statistics Report 2013 shows 5 examples of successful heat pump applications:

Example 1 Complesso della Torre © Clivet

Commissioning 2007Building type multipurpose: Hotel, offices, shops & apartmentsHeat source sea waterHeat pump type 2 DHW HPs, 4 A/A HPs and 150 W/W HPs from ClivetService heating, cooling and hot waterSource temperature 14 °C in winter; 24 °C in summerFlow temperature 55 °CHeating capacity 7,4 MW

Example 2 Stadium Augsburg © Bundesverband Wärmepumpe (BWP)

Commissioning 2009Heat source groundwaterHeat pump type 2 x RTWB-218 from TRANEBuilding type commercial, stadiumService heating and coolingSaving ca. 600 t CO2/year and 60.000 € heating costs/yearHeating capacity 1 290 kW Investment cost ca. 500.000 €for heating system

Example 3 Laborelec© Laborelec

Commissioning October 2011Building type office/laboratoriesHeat source ground, BTES (Borehole Thermal Energy Storage)Heat pump type ground-waterCompressor type scrollService heating/coolingSource temperature heating mode 0/3 °C; cooling mode 30/33 °CFlow temperature heating mode 48/56 °C; cooling mode 30/33 °CHeating capacit: 80 kW for cooling capacity

Example 4 Water-Water-Heat Amstetten © OCHSNER Heat Pumps

Commissioning October 2012Building type residential housingHeat source urban waste waterHeat pump type water/water heat pump (OCHSNER ISWS 210 ER2)Compressor type screw-compressorService heating and coolingSource temperature 22 °CFlow temperature 45 °CHeating capacity 230 kW

Example 5 Church St-BlasienBundesverband Wärmepumpe (BWP)

Commissioning 2009Heat source airHeat pump type DIMPLEX air/water heat pumpBuilding type churchService heating Special characteristics electricity provided completely by hydropowerCapacity 35,7 kW

1 2 3

4 5

Page 3: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

European Heat PumpMarket and Statistics Report 2013

Page 4: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Authors

Thomas NowakPhone: +32 2 400 10 [email protected]

Sara JaganjacovaPhone: +32 2 400 10 [email protected]

European Heat Pump AssociationRue d’Arlon 63-67B-1040 Brusselswww.ehpa.org

National Editors

AustriaSiegfried Kopatsch Verband Wärmepumpe AustriaPhone: +43 732 600 [email protected]

Daniela UllrichVerband Wärmepumpe AustriaPhone: +43 732 600 300 [email protected] www.waermepumpe-austria.at

BelgiumJan Lhoëst Warmtepomp Platform VlaanderenPhone: +32 2 218 87 [email protected]/warmtepompen

Czech RepublicDagmar VaverkováCzech Heat Pump Association AVTCPhone: +420 721 363 [email protected] | www.avtc.cz

Tomas StrakaCzech Heat Pump Association AVTCPhone: +420 724 324 [email protected]

DenmarkSvend Vinther PedersenDanish Technological InstitutePhone: +45 72 20 12 71Email: [email protected]

Kim Behnke | Energinet.dkPhone: +45 70 10 22 44Email: [email protected]

EstoniaJüri Miks Estonian Heat Pump AssociationESPELPhone: +372 50 86 [email protected] | www.espel.ee

FinlandJussi Hirvonen | Finnish Heat PumpAssociation SULPUPhone: +358 505 00 27 [email protected]

FranceValérie Laplagne | UniclimaPhone: +33 1 45 05 72 [email protected]

GermanyTony Krönert | BWP GermanyPhone: +49 30 208 799 [email protected]

HungaryTarek MaiyalehHungarian Heat Pump AssociationPhone: +361 463 26 [email protected]

IrelandJonathan Jennings and Richard Sherlock Heat Pump Association of [email protected]

ItalyAlberto Spotti Italian Heat Pump AssociationCO.AerPhone: +39 02 45 41 85 [email protected] | www.coaer.it

LithuaniaDaina Batoriene Lietuvos šilumos siurbliu Asociacija Phone: +370 5 264 35 [email protected] | www.lietssa.lt

MaltaCharles Yousif Institute for Sustainable EnergyUniversity of MaltaPhone: +356 21 650 [email protected] www.um.edu.mt/ise

The NetherlandsPeter Oostendorp Dutch Heat Pump AssociationDHPAPhone: +31 55 506 00 [email protected]

Reinoud Segers | [email protected] | www.cbs.nl

NorwayBård Baardsen | NorskVaermepumpefoerening NOVAPPhone: +47 22 80 50 [email protected] | www.novap.no

PolandMałgorzata Smuczynska andSebastian Kaletka Polish Organization of Heat PumpTechnology Development PORT PCPhone: +48 664 979 [email protected] www.portpc.pl

PortugalRita Cerdeira | IPS-ESTSetubalPhone: +351 265 790 [email protected]/ests_si

Nuno Roque | PortugueseAssociation of IndustrialRefrigeration and Air Conditioning Phone: +351 213 224 [email protected] | www.apirac.pt

Slovak RepublicPeter Tomlein Slovak Association for Cooling and Air Conditioning SZ CHKTPhone: +42 124 564 69 [email protected]

SpainJosé Maria Ortiz Asociacion De Fabricantes DeEquipos De Climatización AFECPhone: +34 91 402 76 38 [email protected] | www.afec.es

SwedenMartin Forsén Swedish Heat Pump AssociationSVEPPhone: +46 8 522 275 [email protected]

Sven Werner | Halmstad UniversityPhone: +46 351 671 [email protected]/se/product.aspx?isbn=9144085303

SwitzerlandStephan Peterhans Swiss Heat Pump Association FWSPhone: +41 31 350 40 [email protected]

United KingdomKelly Butler | BEAMA Domestic Heat Pump AssociationPhone: +44 0 20 7793 [email protected] www.beama.org.uk

JapanShunji Nakagami | Heat Pump &Thermal Storage Technology Centerof Japan HPTCJPhone: +81 3 5643 [email protected] www.hptcj.or.jp/e

Contribution Chapter 4Lindsay Sugden DELTA Energy & EnvironmentPhone: +44 131 625 10 [email protected] www.delta-ee.com

Contribution thermally driven heat pumps (Chapter 4)Peter Wagener Dutch Heat Pump AssociationPhone: +31 341 768 [email protected] www.dhpa-online.nl

Editing supportPieter-Jan Cluyse | EHPA

Filipe Firpo | EHPA

Lukas Bergmann DELTA Energy & Environment

© 2013 The European Heat Pump Association EEIG (EHPA)Rue d’Arlon 63-67B-1040 BrusselsPhone: +32 2 400 10 17Fax: +32 2 400 10 [email protected]

Design byEbmeyer & Ebmeyer GmbH, Munich

www.2-se.de

The content of this publication may not be copied, reproduced, republished, downloaded, posted,broadcast or transmitted in any way without EHPA's writtenpermission.

This report was prepared to the best of our knowledge. The opinions and interpretations presented are those ofthe authors and editors and do not necessarily apply to all industry actors.Neither the authors, the editors nor EHPA shall be held liable or responsiblefor any loss, cost damages or expensesincurred or sustained by anyone resulting from use of this report.

Page 5: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

3Contents

Contents

Editorial . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

1 European Heat Pump Market and Statistics Report 2013 Executive Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7

2 European Energy Trends . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11

3 European Legislation affecting Heat Pumps: 2013 Update . . . . . . . . . . . . . . . . . . . 163.1 The Directive on the promotion of the use of energy

from renewable sources . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 173.2 Energy Performance of Buildings Directive . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 193.3 The Ecodesign for Energy related products-Framework

Directive; Lot 1 / Lot 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 203.4 Energy labelling Directive. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 223.5 Commission decision on an Ecolabel for heat pumps . . . . . . . . . . . . . . . . . . . . 243.6 F-gas Regulation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 253.7 Energy Efficiency Directive . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 273.8 EU climate and energy policies beyond 2020 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28

4 Industry and Technology Trends . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 324.1 Market development . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 324.2 Technology development . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35

5 European Heat Pump Statistics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 465.1 European heat pump market development . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 475.2 Overview on heat pump sales in 22 European markets . . . . . . . . . . . . . . . . . . 515.3 Market segmentation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 585.4 Keeping know-how and employment in Europe . . . . . . . . . . . . . . . . . . . . . . . . . . 605.5 A positive energy balance: efficiency and energy savings . . . . . . . . . . . . . . . 615.6 Renewable energy provided by heat pumps . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 625.7 Outlook for 2014 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 66

6 Focus reports on selected European markets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 676.1 Austria . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 686.2 Belgium . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 736.3 Czech Republic . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 776.4 Denmark . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 816.5 Estonia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 876.6 Finland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 926.7 France . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 986.8 Germany . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1046.9 Hungary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1106.10 Ireland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1146.11 Italy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1206.12 Lithuania . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1246.13 The Netherlands . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 129

Page 6: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

6.14 Norway . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1356.15 Poland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1396.16 Portugal . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1456.17 Slovakia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1496.18 Spain . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1546.19 Sweden . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1586.20 Switzerland . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1656.21 United Kingdom . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 169

7 Focus reports on selected markets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1757.1 Japan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1757.2 Malta . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 180

8 Product and installation quality . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1838.1 The EHPA Quality Label . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1838.2 EUCERT programme . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 184

Annex I | EHPA sales data acquisition and processing methodology. . . . . . . . . . . . 187Annex II | EHPA heat pump statistics: questionnaire used . . . . . . . . . . . . . . . . . . . . . . . 189Annex III | Consolidated sales of heat pump units 2005– 2011. . . . . . . . . . . . . . . . . . . 190List of figures and tables . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 192Glossary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 196

4 Editorial

Page 7: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

5Editorial

Dear Reader,

It has become good custom to present the annual revision of Europe's heat pumpmarkets and statistics report during summer. We are pleased to keep this traditionwith an even more comprehensive report this year.

It was an endeavor to collect the data from 21 countries. For the first time, Denmarkprovided information. As they not only provided the most recent statistics but alsoopened their archives for us, EHPA sales numbers were updated back to 2005,thereby increasing the number of countries that have provided longitudinal datafor the last nine years to 14. Another novelty is the provision of the overview ofthe Maltese market.

On the content side we have continued to streamline the report. Using a nearlyidentical structure for all country reports and adding visual guides for an easieridentification of pages should make the understanding and interpretation of thepresented information and facts easy.

Looking at the market from a bird's-eye view reveals little new: heat pump salesare still heavily affected by the economic conditions governing Europe. For the firsttime in three years the market was not only flat, but decreased by 7,4 %. In timesof uncertainty consumers stick to their old, yet working heating systems and it isa true challenge for the industry to convince them of the benefits of a long-termperspective which in fact may trigger the replacement of old boilers with moreefficient technologies using renewable energy.

It is difficult to assess what 2013 will bring. Early indicators show growth of heatpump sales over 2012 first and second quarter data across Europe. However the same kind of development was visible in early 2012 but the trend did notcontinue until the end of the year. 2013 might be different and justify a moreoptimistic outlook as the framework conditions for heat pumps have improvedconsiderably.

In many countries, the requirements on building efficiency were increased as aresult of implementing the EPBD; often heat pumps have become the referencetechnology. On a European level energy efficiency is moving into the focus ofattention. And again, heat pumps are in the front row of technologies that cancontribute to achieving the ambitious target. Much awaited, the Ecodesignregulation on boilers and water heaters was eventually finalised and will comeinto force this autumn. The related energy label will provide transparent andcomparable information on the efficiency of boilers and water heaters to the endconsumers. Again, heat pumps qualify for the top efficiency classes.

If only positive news would govern the future of heat pumps, this would be the era of endless optimism. Unfortunately there are developments that maycounterbalance the opportunities: the currently revised F-gas regulation and theincreasing request to reduce energy cost by making cheap shale gas available.

Editorial

Page 8: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

6 Editorial

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

The current status of the F-gas dossier shows the sometimes contradictory natureof policy. Heat pumps deliver a triple dividend to the European energy and climatetargets; in addition they provide local employment and contribute to energy pricestability and security of supply. Still it is discussed to curtail the availability ofrefrigerants to the technology. While the heat pump industry supports the ideaof reducing the use of F-gases where possible, heat pumps must be protected froma shortage of supply. Heat pumps are one of the three technologies identified ofhaving the highest abatement cost. Moreover, a recent Ecofys Study shows clearlythat each ton of CO2-equivalent emitted from the use of refrigerant in heat pumpsresults in a saving of CO2-equivalent emissions in terms of overall emissions fromheating. This seems a good investment that policy makers cannot afford to omit.

One of the most sensitive factors influencing heat pump market growth is theenergy price ratio between alternative energy sources and electricity. In manycountries this has developed towards a disadvantage for electricity and thus forheat pumps. This trend will be accelerated if shale gas is made available in asituation of already low gas prices.

We call on policy makers to correct this situation and to acknowledge heat pumpsfor the benefits that they provide to the EU's and national climate and energytargets. Making heat pumps one of the cornerstones of energy policy – a movethat countries like Denmark and recently the UK have taken – will be to the benefitof all. We hope that this report can serve as a foundation to the planning of a heatpump future.

Last, we would like to express special thanks the contributors listed in the editorialpage. Their input and critical comments were indispensable for the quality of thispublication. Filipe Firpo, Lukas Bergmann and Pieter-Jan Cluyse deserve a special“thank you” for their support in proofreading the final chapters.

We hope this report proofs a valuable resource for your work. Enjoy reading!

Thomas Nowak Sara Jaganjacova

Page 9: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

The European heat pump market and statistics report covers the markets of 21European countries.

755 043 heat pumps were sold in these 21 countries in 2012. Thus the size of thetotal European market is slightly larger (approx. 10 %) than documented here. Thismakes for a total of more than 5,45 million units having been put into operationsince 2005. Adding data from available statistics for Germany (since 1989), Austria(since 1989) and Sweden (since 1994) the number of units sold exceeds 6 million.

After three years of stagnation, the sales in the European heat pump market wereshrinking by 7,4 % from 2011 to 2012 (see figure 1-1).

sum EU-14 sum EU-21 cumulated total

2005 419 620

2006 536 031 955 650

2007 606 161 1 561 811

2008 799 902 2 361 713

2009 726 698 731 803 3 093 516

2010 714 560 802 584 3 896 100

2011 718 134 814 996 4 711 096

2012 679 302 755 043 5 466 139

7Executive summary

1European Heat Pump Marketand Statistics Report 2013Executive Summary

Figure 1-1: Development of heat pump sales in Europe2005 – 2012 | by category.

Table 1-1: Heat pump salesin Europe, 2005 – 2012 | absolute numbers

0

100 000

200 000

300 000

400 000

500 000

600 000

700 000

800 000

2005

20

06

2007

20

08

2009

(EU-14

)

2009

(EU-19

)

2010

(EU-14

)

2010

(EU-21

)

2011

(EU-14

)

2011

(EU-21

)

2012

(EU-14

)

2012

(EU-21

)

units

Thermally driven heat pumps

Industrial heat pumps

District heating

Sanitary hot water

Reversible other

Reversible air-air w/heating

Exhaust air

Heating only

700 000

ts 800 000 inu

ts

400 000

500 000

600 000

700 000

veridy llrmaehT

aehlaristudnI

nitaehctristiD

hnve

mupt

gn

100 000

200 000

300 000

400 000

wtohry atinSa

htoelbrsiveeR

r-aiaelbrsiveeR

r iastuaExh

y lnognitaeH

r etaw

r eh

wr ir-a

0

100 000

2005

20

2006

20

07

2008

) 44) -114

(EUU-

99 (009000220

(E9009000220

) 99) -119

(EUU-

) 44) -114

(EUU-

00 (110001220

) 2111

) -221

)

(EUU-2

00 (110001220

-1(E

UU-

11110012201001220

) 44) 114)

2111)

-221)

(EUU-2

11111

) 44) -114

(EUU-

22 (112001220

) 2111

) -221

)

(EUU-2

22 (112001220

0

Thermally driven heat pumps

Industrial heat pumps

District heating

Sanitary hot water

Reversible other

Reversible air-air w/heating

Exhaust air

Heating only

veridy llrmaehT

aehlaristudnI

nitaehctristiD

s mpuptaehnve

s mpupt

gn

wtohry atinSa

htoelbrsiveeR

r-aiaelbrsiveeR

r iastuaExh

y lnognitaeH

r etaw

r eh

gnitaeh/wr ir-a

0

Page 10: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

If we look at the split of heat pump sales by energy source used, not muchchanged compared to last year’s situation. Air is and will remain the dominantenergy source for heat pumps (note that cooling-only units are not counted in thereport, see Annex II). Air source heat pumps are easy to install, even in therenovation segment and the available product range is covering more applicationsfields. The units are cost-competitive in an investment and even more in anoperations perspective. As such, they are preferred solutions for the performanceand cost-aware consumer. With Ecodesign Lot 10 now into force the product groupwill see efficiency (and maybe even design) improvements that will furthersupport its place in the market.

Sanitary hot water heat pumps are continuing to lead the small group ofcategories that are still growing. These units – mostly stand-alone products thatcombine a heat pump and a hot water storage tank – fit very well in the currentpolicy landscape that often demands for a minimum share of renewables in thetotal energy demand of a building. This requirement can be met with sanitary hotwater units. In combination with their ease of installation they are a perfect dooropener for heat pumps in new markets and, by enabling the installation of heatpumps, also by installers who have not been trained often for this technology.

The dent in 2012 sales numbers was mainly caused by (a) a reduced demand forground-coupled and water-based systems connected to a hydronic heating systemas well as by (b) a strong decline in air/air units. The increase in air/water unitswas not sufficient to overcompensate this trend.

On an individual country perspective, more than half of the markets saw a positivegrowth (see figure 1-2). Unfortunately, even huge growth figures in small marketsare not sufficient to reverse stagnation and even decline in the large developedmarkets.

The best example for this situation is the Slovakian market. It leads the group ofgrowth countries with an increase of 33 % (with an absolute change of 530 units),followed by Denmark (23,4 % | +5 759 units) and Belgium (22,4 % | 1 701 units).

A few of the larger markets like France, Switzerland and Germany are characterisedby stable single digit growth rates. Germany, Estonia, Denmark and the CzechRepublic grew faster in 2012 than in 2011. Lithuania, Poland, France and Belgium arestill growing markets, yet growth is slowing down compared to previous years.Slovakia, Ireland and Austria successfully recovered from a decline in 2011.

These rather positive trends were counterbalanced by Portugal, Hungary,Switzerland and the United Kingdom, which all show a market decline in 2012.

8 Executive summary

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Figure 1-2: Development of heat pumps sales in 21 European countries2010 – 2012 (annual growthis shown on the left axis |sales in units on the rightaxis)

-60 000

-40 000

-20 000

0

20 000

40 000

60 000

80 000

100 000

120 000

140 000

-60%

-40%

-20%

0%

20%

40%

60%

80%

100%

120%

140%

SK DK BE PL EE* IE LT* DE CH AT CZ FR* UK NL IT* SE* FI* HU NO* ES* PT*

2011-2012

2010-2011

Sales 2012 120%

140% 1102

0102

210-21

110-20

120 000

140 000

60%

80%

100%

120% elSa

2102s e

60 000

80 000

100 000

120 000

0%

20%

40%

60%

0

20 000

40 000

60 000

%

S K K BE

0-6

%0-4

%0-2D

BE E PL EE* E *I LT

E CH AT CZ FR* D

FR* IT* E*K NL IT* SE*SEK U

I* F U H U NO* NO O* TESS* PT

0

*

000-6

0000-4

0000-2PT

Page 11: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

In most of these markets the decline even accelerates compared to 2011 numbers.Spain, Italy and the Netherlands, countries that were used to annual growth inpervious years, now show a decline.

The highest negative impact can be seen in the case of Portugal, where the annualsales decreased by more then 41 % or 6 117 units. In absolute terms the highestannual sales decrease is noticeable in the case of Spain with a negative annualgrowth of 33 % or 24 974 units. This loss could not be compensated by any of theother markets.

Contrary to 2011, no market grew by more than 10 000 units. Denmark, who is thegrowth leader, saw additional sales of only 5 769 units (compared to 2011).

Most of the larger established markets such as Norway, Sweden or Finland werefacing negative growth for the second year in a row. This is reflecting the fact thatthey have reached maturity in the new-build segment and additional growth isonly possible in the renovation and large/industrial heat pump segments. Theseare yet to be developed to their full extent.

Annual growth is influenced by several factors. Most influential is the sluggishconstruction sector. If buildings are not renovated, the question on which heatingsystem to choose does not even occur. Once this decision needs to be taken, heatpumps suffer from (a) a high initial investment cost and a short-term decisionhorizon and (b) a high electricity cost. Both factors influence the total cost ofownership of a heat pump system. In the current economic environment both arenegative for heat pumps. The product itself is more expensive and so is theoperating cost due to increasing electricity cost. Governments are only slowlygiving up their reluctance to address this issue and to give heat pump theappropriate support to unleash their contribution potential.

In 2012, additional heat pump capacity of nearly 5,7 MW was installed producingapprox. 9,5 TWh of useful energy, integrating 6,22 TWh of renewables in heatingand cooling and avoiding 1,71 Mt of CO2-equivalent emissions. An additional 4,61TWh of primary energy was saved resulting in reduced final energy demand of8,19 TWh.

In order to produce the 2012 sales volume and to maintain the installed stock, atotal of 40 358 man years were necessary. Obviously real employment related tothe heat pump market is larger.

In aggregated terms, a total of more than 5,4 million heat pump units wereinstalled since 2005. This amounts to an installed capacity of nearly 36 MW.

9Executive summary

1,27

0,24

1,98

0,43

5,49

1,00 0,61

0,19

4,40

7,12

0,02 0,07

1,09

0,05 0,66

4,48

0,27 0,12

10,56

0,03

1,01

0

2

4

6

8

10

12

AT BE CH CZ DE DK EE* ES* FI* FR* HU IE IT* LT* NL NO* PL PT* SE* SK UK

TWh 12

TWh

10,56

8

10

7,12

4

6

5,49

4,40

4,48

0

1,27

0,24

2

AT BE CH

1,98

0,43 1,00

CZ E D K D EE*

0,61 0,19

ES* FI* FR* HU

0,02 0,07

1,09

0,05

E I IT* *LT NL

0,66 0,27 0,12

NO* PL *PT *

0,12 0,03

1,01

SE* SK K U

Figure 1-3: RES from air, water and ground producedby all heat pumps sold from 2005 – 2012 | by country(in TWh)

Page 12: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

10 Executive summary

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

All installed heat pumps produce 59,9 TWh of useful energy, 41 TWh of whichbeing renewable. Their use saved 52 TWh of final and 29,5 TWh of primary energy.

Figure 1-3 shows the split of renewable energy production from heat pumps on acountry level. Sweden is the country that produces the most renewable energy,benefiting from long years of stable growth and an established market. It leads agroup of only five countries (Sweden, France, Germany, Norway and Finland) thatproduce 32,59 TWh or nearly 80 % of the total renewable energy production fromheat pump technology.

The 2005 – 2012 heat pump stock contributed to 10,87 Mt of greenhouse gasemission savings (see figure 1-4). With the triple dividend of heat pumps beingdirectly linked to the number of units installed, it is no surprise that the samenumber of countries already identified for the production of renewables from heatpumps are also those that save the most GHG emissions using this technology.

In summary, heat pumps are performing well but there is still tremendous unusedpotential. This is underlined by a recent study by Ecofys. Looking at the 8 mostimportant markets, the analysis concludes that an ambitious heat pump scenariowould lead to a 47 % decrease of greenhouse gas emissions in the building sector(compared to current levels) by 2030.

Clearly, today's business as usual will not be enough to unearth the technology'spotential.

Fig. 1-4: Greenhouse gasemissions saved by heat pumps sold from2005 – 2012 | by country (in Mt).

0,33

0,06

0,52

0,11

1,45

0,26 0,16

0,05

1,15

1,91

0,01 0,02

0,30

0,01 0,17

1,17

0,07 0,03

2,79

0,01

0,26

0,00

0,50

1,00

1,50

2,00

2,50

3,00

AT BE CH CZ DE DK EE* ES* FI* FR* HU IE IT* LT* NL NO* PL PT* SE* SK UK

Mt Mt 3,00

2,79

2,00

2,50

1,91

1,91

1,00

1,50

1,45

1,15

1,17

0,33

0,06 0,00

0,50

AT BE

0,06

0,52

1 0,10,26

BE CH CZ E D K D

0,26 0,16

0,05

K EE* ES* FI* FR*

0,01 0,02

0,30

0,01

FR* HU E I IT* *LT

0,01 0,17

0,07 0,03

* NL NO* PL *PT

0,03 0,01

0,26

* SE* SK K U

Page 13: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

European energy consumption – increasing trend to 2020The trend towards higher energy demand is likely to stay intact at least until 2020.It is then expected to level out and decrease until 2030. This is the underlyingmessage stated in a number of studies published summarized in table 2-1.

The increase in energy demand is, however, expected to be outflanked by an evenfaster increase in the market penetration of renewable energy sources. Thus theshare of renewables in total energy demand will increase, with several studiesalready outlining scenarios towards a largely decarbonised energy supply,potentially being based on 100 % renewable energy in the European Union by2050. [1,2,3]

While more renewables are deemed possible, the reality shows a different picture.According to IEA’s World Energy Outlook 2012, Europe's energy demand is notdeclining fast enough. Its ambition in terms of higher energy efficiency and adecarbonised energy supply is insufficient. As a result, the European Union willnot be able to limit the expected increase of the average temperature to + 2°C [7].This value has been agreed upon at the COP16 meeting in Cancun in 2010 and iswidely believed to be an acceptable maximum to avoid a negative impact ofclimate change to societies around the world. In order to achieve the 2° C targetthe concentration of greenhouse gases in the atmosphere must be limited to 450parts per million (ppm). With the current trends in energy demand, a 2°C/450 ppmtarget is ambitious. It will certainly not be reached with a business as usualapproach. Instead, strong and decisive action promoting energy efficiency and the

11European energy trends

Table 2-1: Primary energy consumption in the EU 27 in2011 compared with 2020 and2030 forecasts from differentscenarios (values in Mtoe).[4,5,6,7]

2European Energy Trends

Type (Mtoe) Eurostat POLES 2009 (IPTS) PRIMES 2009 (EC) WEO 2012 (IEA)

Present Baseline Mitigation Baseline Reference Present Current policies New policies 450 ppm

Year 2011 2020 2030 2020 2030 2020 2030 2020 2030 2010 2020 2030 2020 2030 2020 2030

Coal and Lignite 285 324 343 225 196 287 260 261 253 281 269 239 249 181 204 120

Oil 598 693 671 585 492 627 579 605 560 569 512 483 492 438 470 362

Gas 398 582 617 550 552 463 439 412 393 441 464 528 443 486 419 380

Nuclear 234 254 314 262 345 238 268 227 244 239 214 196 220 216 224 253

Renewables 169 268 351 331 356 209 263 279 305 183 257 309 274 346 289 415

Imports-exports n/a n/a n/a n/a n/a -2 -2 -2 -2 n/a n/a n/a n/a n/a n/a n/aof electricity

Total primary 1 698 2 121 2 296 1 952 1 941 1 822 1 807 1 782 1 753 1 713 1 716 1 756 1 678 1 667 1 606 1 530energyconsumption

Total energy- 3 614 4 493 4 452 3 690 3 134 3 404 3 193 3 403 3 193 3609 3 438 3 340 2 878 2 878 2 955 2 105related CO2emission(Mt CO2)

Page 14: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

deployment of renewable energy sources is needed. In this perspective, it is evermore surprising that heat pumps as a "ready-to-market" solution do not receivemore recognition and support.

The impact of subsidies on the energy demandSubsidies are widely applied in the energy sector to influence markets. They areusually used to directly or indirectly increase competitiveness of (new)technologies in the market, to speed up market penetration or to generallyfacilitate economic growth. Subsidies affect markets by influencing relative andabsolute market prices. Unfortunately announced goals, policy measures andsubsidies are not always consistent. It is most irritating that a number ofgovernments publicly call for energy efficiency and renewables yet at the sametime maintain subsidies for less efficient fossil fuel based technologies. Suchcontradictory action is leading to uncertainty in the related markets.

Current data shows that on a world and EU level subsidies for fossil fuels stilloutperform those for renewables. Instead of accelerating a change in the energysystem towards renewables and energy efficiency, the governments protect thestatus quo. With investors behaving in line with the main message, a fossil fuelinfrastructure is often maintained for the medium- to long-term future.

The World Energy Outlook documents $523 billion of subsidies spent globally topromote fossil fuels in 2011 compared to $88 billion spent to subsidise renewableenergy sources. Subsidies for fossil fuels grew from 2010 to 2011 by approximately30 % ($111 billion).

Looking more closely at the distribution of the subsidies, we can see that the oil industry takes a 54 % share of subsidies to fossil fuels, amounting to $285billion. It is followed by electricity ($131 billion), natural gas ($104 billion) and coal($3,2 billion).

The future of the energy mix will depend on the evolution of energy prices (andincentives), resource allocation and the speed of the shift away from fossil fuels (oiland coal). Clearly, continued subsidies for fossil fuels are counteractive to anychange.

Renewables by 2050The European Union has shown a clear commitment to move towards a low-carbon (climate-friendly and energy efficient) economy by the middle of thecentury. In order to achieve that, high goals have been set. The Energy Roadmap2050 specifies one of these goals as a reduction of greenhouse gas emissions by80 % by 2050 (in comparison with 1990 levels). In order to achieve such anambitious scenario, additional policies and measures must be introduced.

12 European energy trends

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Figure 2-1: Economic value of fossil-fuel consumptionsubsidies by fuel [7].

Page 15: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

As a reaction to the Roadmap 2050, the European Renewable Energy Council(EREC) recently suggested a binding interim target of 45 % renewables in theenergy mix by 2030 [8,9]. The implementation of such a target is expected to havea significant and much needed economic and environmental impact on theEuropean economy. The renewable energy sector is considered as one of the mostrecession-resistant areas, at the same time providing local employment andcontributing to reduced energy cost and stable energy supply. An ambitious targetreduces uncertainty in the market and may further encourage investors, reducethe costs of financing and lower the need for support mechanisms. At the sametime elements that should not be omitted are the technological development,diversification and increased competitiveness of the EU technologies on a globallevel. Achieving an ambitious renewables target will reduce the budgetsnecessarily allocated for fossil fuel imports and thus make purchasing poweravailable in Europe. To put this benefit into perspective, it is important to knowthat the total cost of fuel import reached €408 billion in 2012, over €388 billion in2011. This amount exceeds the combined deficit of the EU member States by 60 %.

There is an increasing number of voices that call on the Member States and theirbodies to stop subsidising/financing fossil fuel and to instead take a concertedeffort to encourage the use of renewable energy and by that to reduce final energydemand and greenhouse gas emissions.

If properly supported, heat pump technology can contribute to 47 % of thenecessary decrease of the greenhouse gas emission in the EU’s building sector by2030 and thus help governments to follow the reduction path set as necessary toachieve the 80 % reduction by 2050 (Ecofys study on eight European markets:Austria, Belgium, Germany, Spain, France, Italy, Sweden and United Kingdom).However, it would require strong and decisive policy measures at EU level toachieve this target. On the other hand the target will hardly be reached if heat pumpsare not used more in the European Energy supply for heating (see figure 2-2).

The cost of renewables Three studies, “Roadmap 2050”, “ReThinking 2050” and “Energy TechnologyPerspectives 2012” [11], underline the need for a robust policy framework with cleartimetables and goals. They show the need for an immediate and substantial shiftof investment decisions towards renewable energy sources. They conclude, thatthe industrial revolution towards a different energy mix will not require newtechnologies but “simply” political will.

With regard to the cost of this transition Roadmap 2050 found that the monetaryresources required to achieve differing shares of RES by 2050 will largely be thesame, the crucial difference being in the timing of when the costs are incurred and

13European energy trends

Figure 2-2: Total CO2-eqemissions for all countries[10]

Page 16: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

investments made. Under the various scenarios considered, in the BAU scenariocosts increase in a linear fashion over time, whereas the scenario with the largestRES share in 2050 requires an immediate channelling of investments towardsrenewable energy technologies. This is necessitated by the long-term nature ofinvestments in the energy sector and the time it takes to build up both humanand technical capacity. While such a bold move would be costly today, it is expectedto pay off in the future by transferring financial resources spent today for energyimports to build up a more self sufficient, local, sustainable energy supplyinfrastructure.

To be clear: this shift is rarely seen today in countries on a European and a globallevel and the situation is not made easier by the prevailing economic uncertainty.This lack of action needs to be overcome quickly to avoid the need for even harsherchanges in the future.

Momentum at European and national levelThe drive towards the use of more renewable energy is gathering momentum inthe EU, whereby both Commission and Parliament have published their climateand energye strategy and initial steps towards their execution have been takenthrough various legislative acts. The key pieces of legislation address the use ofenergy from renewable sources, the energy demand of buildings, the energyefficiency of energy related products, increased energy generation efficiency andthe use and statistical documentation of renewable energy sources. These aredealt with in detail in chapter 3.

However, it is on the national level that legislation is actually implemented andthat decisions on financial and institutional support programmes and schemesare made. If there is one common message from recent studies and reports, it isthe need for much stronger institutional and financial support by Member States’governments. Governments must back political decisions to support using a largershare of renewable sources in the future, achieved through a significant andimmediate shift of investment towards their use. Similarly, the proclaimed needfor an increase in energy efficiency must be executed. If one sector is to be singledout, it is the heating and cooling sector. It dominates demand, yet it is difficult totackle, in particular as any action needs to address the diverse stakeholder groupsof building owners and operators. It is these groups that need to be convinced ofthe benefits of such a change.

The role of heat pumps The analysed studies illustrate that the use of all available renewable energytechnologies is necessary if a goal of 100 % renewable energy use is to be achievedby 2050. Furthermore it is clear that the heating and cooling sector can and mustundergo a transition towards renewable alternatives [12]. This is reflected in thescale of the potential use of ambient energy from air, ground and water as alreadyhighlighted.

Consequently, the heat pump technology can make a significant contribution aspart of Europe’s future sustainable energy mix. Compared to other fossil fuelenergy sources heat pumps have distinct advantages:

� Free and unlimited supply of energy from air, water and ground.

� Clean and green: as the greening of European electricity production continues.When used with green electricity or biogas, a CO2-free energy solution isavailable today, and current trends show the possibility to provide 45 – 50 % (1 600 TWh) of projected electricity demand in 2020 from renewable sources[13].

14 European energy trends

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Page 17: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

� Locally available: reducing transport costs as compared with oil and anexpensive distribution grid in the case of gas.

� Smart Grid Integration: providing a thermal storage solution (tanks andunderfloor heating systems) to transform intermittent green electricity into usable heat. In addition, the capacity to overcome time differences insupply and demand of heat results in a load balancing potential on the electricgrid (peak shaving) [14]. In fact, smart heat pumps and smart grids with heatpumps are not a completely new phenomenon. Existing flexible tariffs for heatpump owners in the German speaking countries already enable peak shavingeven today.

Achieving the 2050 goal still seems realistic but will require consistentgovernment support to promote and support renewable technologies, make thenecessary investments in infrastructure and create the necessary supportivebusiness and societal environment to encourage widespread adoption. With RESgrowth being stable at best over the past 3 years, not using heat pumps will putachieving the targets at risk.

Sources

[1] European Climate Foundation (2010): Roadmap 2050. The Hague. Download at: www.roadmap2050.eu

[2] Eurelectric (2009): Power Choices: pathways to carbon-neutral electricity in Europe by 2050. Brussels. Download at: www.eurelectric.org/powerchoices2050

[3] EREC (2010): RE-thinking 2050. A 100% Renewable Energy Vision for the European Union. Brussels. Download at: www.rethinking2050.eu

[4] Gross inland energy consumption by fuel [tsdcc320], Eurostat: http://ec.europa.eu/eurostat[5] European Commission, Joint Research Centre, Economic Assessment of Post-2012 Global Climate Policies,

http://ftp.jrc.es/EURdoc/JRC50307.pdf[6] European Commission, EU Energy trends to 2030, Update 2009,

http://ec.europa.eu/energy/observatory/trends_2030/doc/trends_to_2030_update_2009.pdf[7] IEA (2012): World Energy Outlook 2012, Paris[8] EREC (2011): 45% by 2030 - Towards a truly sustainable energy system in the EU, Brussels[9] EREC (2013): Hat-trick 2030 An integrated climate and energy framework, Brussels[10] Ecofys (2013): Heat Pump Implementation Scenarios until 2030, Cologne[11] IEA (2012): Energy technology perspectives 2012. Paris[12] European Technology Platform on Renewable Heating and Cooling – RHC-Platform (May 2011):

Common Vision for the Renewable Heating and Cooling sector in Europe[13] IEA (2011): Technology Roadmap Energy Efficient Buildings: Heating and Cooling Equipment, Paris[14] Lastmanagement mit Wärmepumpen. Presentation at 9. Forum Wärmepumpe, 27./28.9.2011, Nürnberg

15European energy trends

Page 18: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Most European countries are still in "crisis mode". The prevailing uncertainty onwhat the future may bring limits the willingness to invest money. This mindsetdoes heavily influence the economic development of the construction sector ingeneral and the heating and cooling segment in particular. Even thoughinvestments in energy efficient technologies using renewable energy make perfectsense (in the long run), many investors postpone this investment or choosealternatives that are cheaper in a short-term perspective.

In the light of an increasing import dependency and the likelihood of higher fossilfuel prices (once the economy comes back into full swing) governments shouldset a clear message on both the European and national level by creating a strongincentive for more renewables, higher energy efficiency and less CO2-equivalentemissions. This would safeguard energy supply and affordability as well asmitigate climate change. With construction being local, this could kick-start theEuropean economy and create the much needed employment, not least for theyounger generation. A triple target on a European level - more renewables, moreenergy efficiency and fewer emissions could start a positive cycle, reinforcing itself.

This Chapter gives an update on the development of the European policyframework that affects the heat pump technology and the heating and coolingsector in general. It is based on last year’s status quo with updates andadjustments made where necessary. By now, the Energy Efficiency Directive hasentered into force and the resolution on the Energy Roadmap 2050 and the reporton the Renewables Communication were voted during the Plenary session of theParliament.

The most important issues currently discussed are

� the review of the F-gas Regulation;

� the Commission’s Green Paper on a 2030 framework for EU climate and energypolicies.

Heat pump technology is affected by all legislation addressing energy efficiency,the use of renewables and the reduction of GHG emissions. Fortunately, thetechnology is by now acknowledged in all these pieces of legislation and standsout as being one of, if not the most efficient and least polluting alternatives. Thisframework - if properly implemented in all EU-28 Member States and EEAcountries - will encourage a heat pump market growth in the future. Furtherbenefit is expected from the recently announced Commission focus on the heatingand cooling sector as a whole. Apart from the prevailing need to outline thebenefits of the technology for gaining maximum support in upcoming initiativesand legislation, the focus of EHPA's work is slightly shifting towards ensuringconsistency between the different legal acts.

Legislative acts influencing heat pump technology include (non-exhaustive list):

� Renewable Energy Sources Directive (RES Directive);

16 European legislation affecting heat pumps

3 European Legislation affecting Heat Pumps: 2013 Update

Page 19: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

� Energy Performance of Buildings Directive (EPBD);

� Ecodesign for Energy related Products-Framework Directive (ErP) and itsimplementing measures;

� Energy labelling Directive;

� Energy Efficiency Directive (EED);

� F-Gas Regulation;

� Ecolabel Framework Directive with its Ecolabel for heat pumps, for hydronicheating systems and for office buildings.

All of them set requirements for products and building efficiency, an increased useof renewables and the reduction of greenhouse gas emissions (GHGs). In thefuture, it is expected that currently diverging requirements will be integrated intoa system within which:

� efficiency requirements are set by the implementing measures of theRegulation on Energy related Products;

� information on product achievement is visualised according to the provisionsof the Energy labelling Directive.

The legal framework as it stands sets strong boundaries for the employment oftechnologies with higher energy efficiency and a shift in the energy mix from theuse of energy from non-renewable to the use of energy from renewable sources,a situation that will most likely influence the market development for heat pumpspositively.

Current consultations on energy-related and research issues give only limitedrecognition to heating and cooling in general as well as to heat pumps inparticular. This applies to the following documents currently under discussion:

� Green Paper on a 2030 framework for climate and energy policies

� Horizon 2020 programme on R&D for the 2013 – 2018 period.

In the particular case of the F-gas Regulation, an up to now imprecise definition ofheat pumps could result in a ban of parts of the technology to use fluorinated gasesfrom 2020 onwards. This ignores the fact that alternatives available to the sectorcome at the highest abatement cost and thus make the technology uneconomical.

It is not easily understood why a technology that provides all the benefits to theEU's energy savings and climate protection goals is not receiving more attentionand may even be faced by legislation that impedes a higher market uptake.

3.1 | The Directive on the promotion of the use of energy from renewable sources

The Renewables Directive ‘RES Directive’ (EC/28/2009) requires the EU MemberStates to significantly increase the contribution of renewable energies to itsenergy mix, leading to an overall EU share of 20 % by 2020. At the time of itsadoption, the Directive was widely welcomed by many groups. It officiallyrecognises heat pumps as a technology that uses air, water and ground asrenewable energy sources.

FOCUS� Sets the target for the overall share of renewables in total final energy

consumption.

17European legislation affecting heat pumps

Page 20: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

� Presents indicative RES targets to be reached by Member States.

� Aims at reducing final energy demand and related greenhouse gas emissionsas well as securing a long term, stable and increasingly independent energysupply.

� Establishes a common framework of guidelines – with regard to eligibility,statistical transfers, joint projects, guarantees of origin, administrativeprocedures, information and training and access to the electricity grid forenergy from renewable sources – that Member States have to transpose intotheir legislation in order to reach the defined targets.

CURRENT MILESTONEArticle 4 of the Directive sets the requirements towards adopting NationalRenewable Energy Action Plans (NREAPs) by all Member States. Member Statesare obliged to report the progress made to the Commission on a bi-annual basis.A summary will be published on the Commission’s Transparency Platform [1]. Thelatest progress report dates back to March 2013 and shows an ambiguous picture!Although currently the countries are well on track, it is unsure if the Union willactually reach the 20 % RES-target.

This applies in particular to heat pumps. While the targets originally set for thistechnology were unambitious, the progress report indicates that they will not bereached. This is worrying, as the target achievement in the biomass and transportsectors is also at risk. If supported strongly, the contribution potential of heatpumps could overcompensate shortcomings in other sectors. Using them may beparticularly tempting, as they are one of the most effective technologies whenconsidering the target impact per euro invested. In consequence, more effort ona Member State level is necessary to fulfil an increasingly more ambitious targettrajectory.

The RES Directive calls on the Commission to establish a method for the properaccounting of RES contributions from heat pumps in energy statistics. This methodis based on determining the useful energy produced, the average efficiency of heatpumps and the average efficiency of power conversion in Europe (η | eta2011 = 45,3%). The Commission provided the final methodology on how to determine themain variables of the calculation method in March 2013 [3]. EHPA will change itscalculation methodology for RES to this new method for next years report andprovide a preliminary calculation over the course of 2013.

IMPACT ON HEAT PUMP TECHNOLOGY: POSITIVE� Defines ambient energy from air, water and ground as renewable (Art. 2), to

be used by thermally and electricity driven heat pumps.

� Renewable energy used by heat pumps is calculated based on final energy.

� Minimum requirements on seasonal efficiency must be reached by heat pumpsat standard rating points in order for its renewable contribution to be

18 European legislation affecting heat pumps

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Figure 3-1: Planned (blue)versus estimated (red-dotted)trend in EU renewable energy (in Mtoe) [2]

300 000

250 000

200 000

150 000

100 000

50 000

0

ktoe

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Page 21: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

considered in energy statistics. The latest EUROSTAT figure determines theaverage conversion efficiency of electricity generation (eta) in the EU-27 to be45,3 % – this translates to a required minimum SPF of 2,53.

EHPA TARGETS� EHPA has pushed for recognition of heat pumps in the RES Directive. The heat

pump industry is convinced of the need of an individual renewables targetbeyond 2020 and will continue to stress this need with policy makers, inparticular in the 2030 framework (see 3.8).

� EHPA aims at making EUCERT known to all national governments.

� EHPA has worked with EUROSTAT on establishing the method for accounting ofRES from heat pumps in energy statistics and will integrate it in its ownstatistics.

TIMELINE� 25.06.2009: RES Directive came into force in all MS

� 25.12.2010: Transposition deadline

� 31.12.2012: MS to set up certification schemes for RES

� 01.03.2013: Method published to calculate the RES share from heat pumps instatistics

� 2011/13/15/17/19/21: MS present bi-annual reports to the Commission

� Until 2021: different implementations milestones

3.2 | Energy Performance of Buildings Directive

The recast of the Energy Performance of Buildings Directive (2010/31/EU | EPBD) isin force since July 2010.

FOCUSImprovement of the energy performance of new and existing buildings within theEuropean Union via minimum requirements on

� a framework for calculating the energy performance of buildings;

� minimum requirements on energy performance of new and existing buildings,building elements and technical building systems;

� the share of nearly Zero-Energy Buildings (nZEB);

� the energy certification of buildings (incl. a control system thereof); and

� regular inspection of heating and air conditioning systems in buildings.

MILESTONE� The Directive was supposed to be fully implemented in Member State law by

9.7.2013. Only three Member States have accomplished this goal. TheCommission will most likely take action against the other Member States.

� Progress can be monitored by interested stakeholders via the Commission’simplementation status website via the obligatory reporting.

IMPACT ON HEAT PUMP TECHNOLOGY: POSITIVE� Heat pumps are acknowledged as a technology that “transfers heat from

natural surroundings such as air, water or ground to buildings or industrialapplications (…). For reversible heat pumps, it may also move heat from the

19European legislation affecting heat pumps

Page 22: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

building to the natural surroundings.” (Art. 2, § 8). This applies to electrically-driven and gas-driven heat pumps alike and includes all types of heat pumpapplications.

� Heat pumps benefit from a focus on minimum energy requirements for thebuilding envelope.

� Heat pumps benefit from a requirement to consider the use of availableheating alternatives, prior construction (Art. 6). The comparison of differentalternatives needs to be documented. This is mandatory for new building andshall be encouraged for existing ones.

� The Directive now applies to all buildings (except very small, special purpose oronly temporarily used ones); previous “1000 m2-threshold” abandoned.

� With expected energy price developments and efficiency improvements, heatpumps will most likely benefit from the foreseen calculation of cost optimallevels for the energy performance requirements of buildings.

EHPA TARGETS� EHPA and its member associations continuously monitor the implementation

of the Directive into national law and evaluate possible impacts on heat pumptechnology (i.e. for France, recognition of heat pumps in RT 2012; for Germany,recognition in EnEV etc.).

� Evaluate the impact of a decreasing energy demand in the building stock onheat pump technology. How must products be adapted to accommodate forthis change?

TIMELINE � 08.07.2010: The Directive came into force

� 09.07.2013: Full Adoption and publishing of laws, regulations, administrativeprovisions

� 2013 – 2014: The Commission shall publish a report on the progress of the MS inreaching cost-optimal levels of minimum energy performance requirements.The MS had to send in their national reports by 30.06.2012

� 31.12.2020: MS to ensure that all new buildings are nZEBs, and that from31.12.2018, all new public buildings (owned or occupied) are nZEBs. The numberof these nZEBs shall be developed via action plans, setting measurable targets.

3.3 | The Ecodesign for Energy-related ProductsFramework Directive: Lot 1 / Lot 2

After the vote in the Regulatory Committee, the Commission sent the finaldocuments on the Energy-related Products (ErP) implementing measures – Lots 1and 2 – to the European Parliament and the Council for scrutiny in March 2013.With no further delay expected, the two new pieces of regulation are expected tobe published in the Official Journal of the European Union in August/September2013, coming into force 21 days after its publication.

FOCUS� The Ecodesign for ErP Directive aims at establishing Ecodesign requirements

for several product groups. Heat pumps are subject to the implementingmeasures of Lot 1 (boilers, 0 – 70 kW (reduced from 400 kW) output capacity,heating and combi-systems), Lot 2 (water heaters) and Lot 10 (air conditioningunits below 12 kW).

20 European legislation affecting heat pumps

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Page 23: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

� Energy consumption of the heating installation and the hot water unit willbecome transparent and trigger consumer choice on energy efficient products.

� The requirements will be set based on a common methodology for thecalculation of each product's primary energy efficiency. For heat pumps, primaryenergy efficiency (with a PEF of 2,5) will be calculated on a low (35 °C) and a high temperature (55 °C) heat emitter system. Efficiency of hot waterproduction will be calculated based on a standard tapping cycle.

� The results of the calculation will be visualised on an energy label. This labelwill show the primary energy efficiency in a range from A++ to G from 2015,and in a range from A+++ to D from 2019 onwards. The so-called package labelwill show the A+++-class from the beginning onwards.

� For Lot 2, the range will start with A+ (for heat pumps) and A+++ to G (for solarthermal water heaters) in 2015.

� The energy label will advertise the performance of each function of the productto the prospective tenant or buyer. In the case of combi-systems, this meansthat a single unit will have two labels, one indicating its heating efficiency, theother its hot water production efficiency.

CURRENT MILESTONE� End of scrutiny in July 2013

� Publication in the Official Journal of the EU in September

IMPACT ON HEAT PUMP TECHNOLOGY: POSITIVE The implementing measure for Lot 1 enables the comparison of the efficiency offunctionally equivalent heat generators for heating and of combi-systems forheating and hot water production independent of the energy source used (fossilfuel combustion, solar thermal, electrically- or thermally-driven heat pumps orcogeneration).

The ErP makes the manufacturer or its representative who places the product onthe market, responsible for the Energy label and the CE marking.

The legislation

� maintains comparability among functionally equivalent products (1 singlelabel);

� enables performance declaration for two different temperature distributionlevels (35 °C and 55 °C);

� is applicable to three climate zones;

� incorporates system performance via an installer label.

21European legislation affecting heat pumps

Figure 3-2: Implementingmeasures to the ErP Directivewith relevance to heatpumps [4]

Page 24: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

The ErP Directive will have far reaching implications for manufacturers, importers,consumers, contractors, consultants and architects. It is linked to the EPBD andwill promote innovation in design and marketing of boilers. Its calculation methodfor energy efficiency may eventually be used in other legislation and make it moreconsistent.

EHPA TARGETS� EHPA welcomes the implementation of the different regulations.

� From a systematic perspective EHPA disapproves setting stricter minimumefficiency requirements for heat pumps than for heaters. It results in unequaltreatment of functionally equivalent products with regards to their placing onthe market. Products with a higher efficiency (i.e. a heat pump with an etas of105 % for a system using low temperature heating) will be banned from themarket, while a boiler with an even lower efficiency (i.e .93 %) is still allowed.

� EHPA will still closely monitor the development of the transitional methods forcalculation and provide input when necessary.

TIMELINE� 2007: Preliminary studies for each product group.

� 2007 – 2011: Consultation forums with industry stakeholders on the contentand technical details of the working document.

� 09.2011: Final draft for inter-service consultation and discussion in theRegulatory Committee.

� 04.2012: Consultation in the Regulatory Committee.

� 05 – 08.2012: WTO scrutiny.

� 03. 2012: Final vote in the Regulatory Committee.

� 09.2013: Regulation published in the OJ and comes into force.

� 09.2015: Minimum efficiency requirements have to be fulfilled. For heat pumpsa minimum etas of 100 % (55 °C) and 110 % (35 °C) applies.

� 2018: review of the Regulation.

3.4 | Energy labelling Directive

FOCUSThe energy label for heaters is part of the "Directive on the indication by labellingand standard product information of the consumption of energy and otherresources by energy-related products" (2010/30/EU). It establishes a frameworkfor a uniform, European-wide provision of end-user information via a product labeland information fiche. It applies to all new ErPs with a significant direct or indirectimpact on the consumption of energy and other essential resources during use. Assuch it also applies to heat pumps.

Using this information, the consumer can make better-informed choices towardsmore efficient products.

The requirements for each product (product group) will be defined throughdelegated acts. Once available, information on the energy efficiency (class) of aproduct must be brought to the attention of the end-user via the label itself andan information fiche.

The performance of the product will be part of the label covering a range from A(best) to G (worst) performance with the option of adding classes A+, A++ and A+++

22 European legislation affecting heat pumps

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Page 25: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

to accommodate for technical progress. These classes will be colour-coded fromgreen | A+++ (ETA % primary energy (PE) >150 % for 55 °C heat emitter systems andPE >175 % for 35 °C heat emitter systems) to red | G (ETA % PE < 40 %). The label willbe attached to the boiler itself. The consumer who chooses the better ETA % PEbenefits from lower relative operating cost and may benefit from financial andfiscal national incentives if these are set-up by the EU Member States.

CURRENT MILESTONEDelegated acts for an energy label for heaters and water heaters was developed inparallel to the implementing measures for ErP Lot 1 and 2. It will come into forcein September 2013 alongside the Ecodesign Directive for Lot 1 and 2.

IMPACT ON HEAT PUMP TECHNOLOGY: POSITIVEThe energy label used for heat pumps will be based on the systems efficiencydetermined via ErP Lots 1, 2 and 10. This will enable the end-user to comparedifferent but functionally identical heat generators and select the one that bestsuits his needs. Heat pumps will rank in the top tier classes of the label. In relationto minimum efficiency requirement, only heat pumps with an efficiency class ofA+ and better will be allowed in the market.

EHPA TARGETS� EHPA is largely pleased with the current status of the final documents and

welcomes its adoption and implementation.

� EHPA will still closely monitor the development of the transitional methods forcalculation and provide input when necessary.

� The use of the efficiency class A+++ should voluntarily be allowed from thestart of the measure.

TIMELINE� Preparatory work largely in parallel with ErP (see 3.3)

� 04.2012: Consultation in the regulatory committee,

� 05.– 08.2012: WTO scrutiny.

� 09.2013: Regulation comes into force.

� 09.2015: A label with classes from A++ to G will be introduced for Lot 1.

� 09.2019: The label will show only classes A+++ to D for Lot 1.

23European legislation affecting heat pumps

Figure 3-3 (left): Energylabel for a heat pumpcombi-heater from 2019 onwards

Figure 3-4 (right): Energylabel for a heat pumpwater heater from 2017 onwards

Page 26: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

3.5 | Commission Decision on an Ecolabel for heat pumps

FOCUSThe Ecolabel for electrically-driven and gas-driven heat pumps is based onRegulation (EC) 66/2010 on the EU Ecolabel. The ecological criteria for heat pumpswere published as Commission Decision 2007/742/EC. They cover all electrically-driven, gas-driven or gas absorption heat pumps up to an output capacity of 100kW. Sanitary hot water heat pumps and exhaust air heat pumps are excluded.

Requirements are stated for

1. efficiency in heating mode (COP value at standard rating points),

2. efficiency in cooling mode,

3. the global warming potential (GWP) of the refrigerant used (< 2 000 over a 100year period and a bonus for refrigerants with a GWP < 150),

4. the secondary refrigerant (must not be environmentally hazardous),

5. noise emission,

6. heavy metals and flame retardants (cadmium, lead, mercury, chromium 6, PBB,PBDE) may not be used,

7. installer training,

8. documentation,

9. spare parts availability,

10. information leaflet,

11. information to appear on the label.

These requirements do address the efficiency and environmental performance ofthe heat pump unit and also stress the need for proper planning (match of heatsource, heat pump and building) and installation.

The Ecolabel for heat pumps is under revision and a new Ecolabel for heaters(including heat pumps) connected to hydronic heating systems is under way. Ifthis new label is established, the old Ecolabel for heat pumps would only apply tounits using air as a distribution medium. However, it would be based on the COPinstead of the etas.

In general, the future use of the Ecolabel is discussed among stakeholders. It isdebated whether another piece of legislation is necessary in light of the numerouspieces of legislation already affecting heat pump technology today: energyefficiency, hazardous substances, the use of F-gas are all already dealt with byother legislative acts. It is questionable if an Ecolabel can provide any additionalbenefits. Another issue is the limit in scope: if an Ecolabel is established that coversheat pumps, it must cover all types of heat pumps in order to be able to executethe consideration on the promotion of heat pumps. Only then it can help the promotion requirement made in the RES Directive (article 13, paragraph 6: “only those heat pumps shall be promoted, that fulfil the requirements of the eco-labelling for heat pumps”). While Member States are free to set stricterrequirements exceeding the requirements of the Ecolabel, today only a fewgovernments rate the Ecolabel sufficiently strong to justify subsidies based onmeeting its criteria.

24 European legislation affecting heat pumps

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Figure 3-5: Ecolabel

Page 27: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

CURRENT MILESTONEThe revision process of the Ecolabel has reached an end point with the lastconsultation forum on 9 June 2013. The Commission has presented the thirdrevision of the criteria for an Ecolabel applicable to all heat generators connectedto a hydronic heating system. This set of documents is now going to inter-serviceconsultation.

The progress on the Ecolabel for heat pumps can be followed on the website of theEuropean Commission’s Joint Research Centre (JRC) [5].

IMPACT ON HEAT PUMP TECHNOLOGY: NEUTRALThe environmental impact of heat pump technology is tightly regulated eventoday. Both the existing and the new Ecolabel do not provide additional benefits.Most heat pumps fulfil the requirements, even without showing the label.Acceptance and impact of the Ecolabel in the market place will be limited,especially with a mandatory energy label that provides guidance in the samedirection.

EHPA TARGETS� Explain the peculiarities of heat pump technology to the stakeholders

� Develop an intra-industry perspective on a future Ecolabel

� Make sure that the advantages of heat pump technology are shown on thelabel

3.6 | F-gas Regulation

The Kyoto Protocol covers three groups of fluorinated gases, known as F-gases:HydroFluoroCarbons (HFCs), PerFluoroCarbons (PFCs) and Sulphur HexaFluoride(SF6). These ‘F-gases’ have been identified as having a detrimental effect on theatmosphere. Their use is controlled on the EU level via the ‘F-Gas Regulation’ (ECRegulation No 842/2006) and the mobile air conditioning ‘MAC’ Directive(2006/40/EC).

FOCUSF-gases employed in heat pumps are regulated by the 2006 F-gas Regulation onair conditioning systems and stationary industrial applications. It follows twoprinciples:

� Avoid F-gases whenever cost-effective & environmentally superior alternativesare available;

� Improving leak-tightness of equipment containing F-gases via labelling ofequipment containing F-gases, training and certification of personnel andcompanies handling this type of gases, containment and proper recovery [6].

CURRENT MILESTONEFollowing the adoption of the F-gas Regulation, it has not been properlyimplemented in all Member States to date. Where properly transposed, the F-gasRegulation has led to stabilised emissions. In order to actually reduce emissionsthe Commission completed a review of the application, effects and adequacy ofthe F-gas Regulation in autumn 2011. It then issued a report, highlightingnumerous shortcomings. On the basis of this report, it has launched a consultationthat invited the stakeholders to comment on possible options for strengtheningEU measures to reduce F-gas emissions. A possible package of measures aimed atstrengthening the F-gas Regulation (through a proposal for a revision) would have

25European legislation affecting heat pumps

Page 28: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

to address the use of F-gases where viable low GWP alternatives exist and withoutcompromising on energy efficiency and safety. In November 2012, the Commissionpublished a review proposal [7].

This review proposal suggests quite some significant changes to the current F-gasRegulation, which could potentially hurt the heat pump industry quite badly. Inparticular the suggested ban on pre-charged equipment is of rather large concern.Next to that, definitions of hermetically sealed equipment and a heat pump arenot in line with previous legislation. In the first half of 2013, the dossier was merelyin hands of the European Parliament, on the basis of a draft report by the GreenMEP Bas Eickhout. The final vote in the Environment Committee in June 2013unfortunately was even more negative towards heat pumps, including a ban onstationary air conditioning equipment and the definition of heat pumps assupplying heat only. The ban on pre-charged equipment was also maintained.

After the Parliament vote, the Member States have to come up with a position onthe Commission proposal, at the same time taking into the consideration thereport of the Parliament. It will be up to the Lithuanian Presidency to lead thedossier towards a compromise before an expected Plenary vote by the end of 2013,beginning 2014.

IMPACT ON HEAT PUMP TECHNOLOGY: DEPENDS ON DECISIONMost of the heat pumps make use of F-gases, since these are energy efficient andnot toxic nor inflammable (as some of the natural refrigerants are). So a change inthe legislation would have a major impact on the heat pump technology. Yet, it is stilltoo uncertain to draw conclusions on whether the effect will be positive or negative.Nevertheless, it is obvious that a ban of F-gases for heat pumps would have majorconsequences for the industry and market. The current documents are (very)ambitious and include some negative elements for heat pumps. However, there willstill be much discussion on a.o. the ban on pre-charged equipment, the phase-downand the definitions. Yet, what is clear though, is that heat pump manufacturers areaware of the GWP of these F-gases and thus are constantly trying to search for moreenvironmentally friendly and safe alternatives as well as ensuring the leak tightness.

EHPA TARGETS� Avoid a ban on heat pumps and pre-charged equipment.

� Having proper definitions used for “heat pump” and “hermetically sealedequipment”

� Stressing the need for a long term, transparent and continuous approachtowards achieving the targeted 80 – 95 % of GHG emissions reduction by 2050.

� The Commission should aim for a full implementation and additionalimprovements of the F-gas Regulation in all Member States.

TIMELINE� 2006: Adoption of the F-gas Regulation

� 26.09.2011: Report from the Commission: ‘On the application, effects andadequacy of the Regulation on certain fluorinated greenhouse gases’

� 26.09 – 19.12.2011: Public consultation period

� 07.11.2012: Commission proposal for a recast of the F-Gas Regulation

� 19.06.2013: Parliament ENVI vote on the Commission proposal

� Q3 2013: Council report on the Commission proposal + Trialogue meetings

� Q4 2013/Q1 2014: Parliament Plenary vote

26 European legislation affecting heat pumps

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Page 29: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

3.7 | Energy Efficiency Directive

Mid-2011, the Commission proposed a new Directive to increase Member States’efforts to use energy more efficiently at all stages of the value chain. This EnergyEfficiency Directive (EED) contributes towards the goal of a 20 % primary energydemand reduction by 2020 (based on forecast data, non-binding). To achieve it,the EU still needs to more than double its energy savings efforts, according to thelatest Commission numbers. The EED was entered into force in December 2012 andreplaces both the Cogeneration Directive (2004/8/EC “CHP Directive“) and theEnergy Services Directive (2006/32/EC “ESD”) and extend to all sectors with energysavings potential.

FOCUSThe Directive aims at the improvement of the energy efficiency of products andinstallations by setting up measures to achieve a non-binding energy efficiencytarget for 2020. The achievement level will be re-assessed in 2014 and if insufficientprogress is made, binding targets might come into force.

The Directive states that Member States:

� shall set indicative national energy efficiency targets, based on either primaryor final energy consumption/savings, or energy intensity;

� shall ensure that 3 % of the total floor area of heated and/or cooled buildingsowned and occupied by their central government is renovated each year;

� shall establish national energy efficiency obligation schemes achieving annualsavings of 1,5 %;

� shall adopt policies, which encourage that the potential of using efficientheating and cooling systems, in particular those using high efficiencycogeneration, is duly taken into account at local and regional levels:

– MS shall carry out a cost-benefit analysis covering their territory based onclimate conditions, economic feasibility and technical suitability;

– MS shall adopt authorization criteria for new electricity production takingCHP and district heating into consideration. They should includerequirements on urban and rural spatial planning requirements;

� should put in place certification schemes for the providers of energy services,energy audits and other energy efficiency improvement measures. These alsoapply to installers of building elements (e.g. for heating, cooling and hot water);

� shall promote the energy services market and ensure access for small andmedium-sized enterprises to this market;

– should establish a long-term strategy beyond 2020 for mobilizing investment inthe renovation of residential and commercial buildings with a view to improvingthe energy performance of the building stock. This strategy should address cost-effective deep renovations, which lead to a refurbishment that reduces boththe delivered and the primary energy consumption of a building [8].

CURRENT MILESTONEThe EED can be seen as one of the major achievements of the Danish Presidency,which managed to negotiate a compromise that integrates even the morereluctant Member States. It is expected that the Directive can realise around 15 – 17 % of EU energy savings by 2020. As such, it would however still miss the 20 % target.

After the Directive entered into force, the Member States started on theimplementation due by mid-2014. By the end of April 2013, they needed to submittheir National Energy Efficiency Action Plans (NEEAPs) to the Commission,

27European legislation affecting heat pumps

Page 30: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

including the pathway to reach the Directive requirements, possibly also includinga national target. 24 countries have done so on time. For the 3 others, theCommission immediately initiated an infringement procedure, which points outthat they take the implementation very serious. We will now have to await theassessment of the different plans in order to know more, yet first comments saythat the national plans do have quite some ambition.

IMPACT ON HEAT PUMP TECHNOLOGY: UNCLEAR, RATHER POSITIVEThe EED has been concluded quite quickly and will force the MS to take energyefficient measures in the near future. Heat pumps can play a role in the energyefficiency obligation schemes. For the heat pump technology it is important thatthe Directive mentions the efficiency potential of buildings and of distributedenergy production therein. Moreover, it foresees a revision of the calculationmethods for, amongst others, the primary energy factor. However, the Directiveputs generally too much focus on large-scale installations and the combination ofCPH/district heating. It seems that the Commission believes that an increasedefficiency of these installations, connected to district heating grids will be sufficientto solve the lack of achievement towards the energy efficiency target. Instead,technology neutral, least lifecycle cost-orientated planning should be encouraged.

EHPA TARGETS� Aim for an implementation of the EED in the MS that applies to the whole

heating sector in order to awake its potential, establish special recognition forheat pumps as an energy efficiency technology for heating and cooling.

� Integration of distributed heating and cooling systems, in particular thoseusing RES; acknowledgment and support of their efficiency potential.

� A technology neutral approach based on a least lifecycle cost approach.

� Ensure recognition of the links between already existing legislation and the EED.

� Ensure a proper implementation of the precautions for more flexible factors,among them the Primary Energy Factor.

TIMELINE� 22.06.2011: Draft proposal by the European Commission

� 04.12.2012: Directive entered into force

� 30.04.2013: MS to submit their National Energy Efficiency Action Plans (NEEAPs)

� 04.06.2014: Transposition deadline (18 months after publication)

� 30.06.2014: Commission assessment of national targets

� 2016: Review of the 2020 sunset clause for energy efficiency obligations

3.8 | EU climate and energy policies beyond 2020

3.8.1 | Green Paper on a 2030 framework for climate and energy policiesOn the 27th of March 2013, the European Commission launched a Green Paper, A2030 framework for climate and energy policies. This paper is the official start ofdiscussions on post-2020 climate and energy targets. The purpose is to come upwith a new framework for 2030, built on the process already made in the currentone. It concentrates on four broad issues: targets, other policy instruments,competiveness and the different capacity of Member States to act. Governments,NGOs and stakeholders had the time to react on the paper during a consultationphase, running until the beginning of July. Then, the Commission will assess allthe input, before it might come up with a White Paper later on this year. The final

28 European legislation affecting heat pumps

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Page 31: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

step will eventually be a legislative proposal, which will start up the officiallegislative procedure, involving the Parliament and the Council. This is most likelyto start in 2014.

As preparation for this procedure, the Commission and Parliament have alreadyworked on some documents that can serve as input. These are shortly describedin the next paragraphs.

3.8.2 | Roadmap for moving to a competitive low-carbon energy roadmap in 2050

On the 8th of March 2011, the European Commission launched the Roadmap formoving to a competitive low-carbon economy in 2050 (Low-Carbon EconomyRoadmap 2050). The document addresses Europe's long-term objectives and aimsto set out a cost-effective pathway for achieving much deeper carbon emissioncuts. The Roadmap suggests that by 2050 an emission reduction by 80 %(compared to 1990 levels) is feasible through reductions in the energy demand ofthe domestic sector alone. It deems reductions by 40 % (2030) and 60 % (2040) tobe achievable while maintaining industry's competitiveness.

3.8.3 | Energy Roadmap 2050With the same aim as the Parliament in mind, the Commission presented its viewon pathways towards a low-carbon yet competitive energy sector and at the sametime preserving Europe’s security of energy supply [9]. In its assessment, itexceeded the Parliament’s goal by stating that an emission reduction of 80-95 %below 1990 levels by 2050 was feasible. Most importantly from a heat pumpperspective the European Parliament reacted to the first version of the report bycalling on the Commission to put a stronger focus on the heating and coolingsector including heat pumps. While now being mentioned, the focus of theRoadmap is clearly not on tackling the heating and cooling sector despite itsmuch-proclaimed huge contribution potential to savings.

3.8.4 | Renewable Energy communicationApart from the future of energy supply, the Commission is reviewing its renewableenergy strategy also considering whether to set renewables targets for the timebeyond 2020. In order to trigger discussion, a Communication was published inmid-2012 focussing on the future role of renewable energy in Europe’s energy mix.Based on a public stakeholder consultation, the Communication elaborates onpossible energy targets and policy options beyond 2020, i.e. after the targets ofthe RES Directive should have been met [10].

FOCUS Each of the different documents has a different focus.

The Low-carbon Economy Roadmap 2050 has a long-term perspective and takesinto consideration a wide range of aspects, such as competitiveness, sustainability,innovation, the international dimension etc. It also includes a pathway towards80 % GHG emissions reduction by 2050. The main contribution to achieve thistarget is expected by decarbonising electricity.

The Energy Roadmap 2050 identifies four "no regret options" to decarbonise theenergy sector: 1) energy efficiency (impacting mostly on the demand side), 2) theuse of renewable energy, 3) nuclear and 4) CCS (on the supply side). Thesecomponents are combined into seven scenarios: two ‘current trend scenarios’, andfive ‘decarbonisation scenarios’, each with their own emphasis on a specificcomponent. The combination of different energy sources into these scenarios isexpected to help Member States in their debate on what energy mix would fittheir country the best. It may be a missed opportunity not to focus much strongeron a 100 % RES scenario.

29European legislation affecting heat pumps

Page 32: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

A small response to this may be the Renewable Energy Communication. It outlinespolicy options helping to increase the share of renewable energy in the periodbeyond 2020, calling for a more coordinated European approach. It confirms themarket integration of renewables and the need for their growth in the decadesafter 2020. It calls, amongst others, upon new post-2020 targets for renewables,the completion of the internal energy market for electricity by 2014 andcooperation mechanisms and trade between Member States. It is also promotingResearch and Development in the energy sector through different EuropeanFunding Schemes, i.e. the Cohesion Policy Fund and Horizon 2020.

The Green Paper on a 2030 framework is basically a combination of thesedocuments, focusing on the medium term (2030), while taking into considerationthe long term (2050).

CURRENT MILESTONEThe different Commission Communications – a Low-carbon Economy Roadmap2050, Energy Roadmap 2050, Renewable Energy Communication – all served as abase for the Green Paper that came out in March 2013. The public consultationphase that followed afterwards (ended 2.7.2013) will serve as the basis for a moreconcrete action from the Commission in the form of a White Paper and/or alegislative proposal. This document is expected to appear in the autumn of 2013and will include a.o. proposals for one or several new (binding) targets for 2030and beyond. The 2030 framework for climate and energy policies will build on thesignificant progress already made in this area. It must draw on the lessons learnedfrom the current framework and identify where improvements can be made. Theexperience and views of stakeholders, backed up where possible with soundevidence, are essential on four broad issues: targets, other policy instruments,competiveness, and the different capacity of Member States to act.

IMPACT ON HEAT PUMP TECHNOLOGY: SLIGHTLY POSITIVE � The Low-carbon Roadmap 2050 gives a central role to electricity in the pathway

towards 2050. Heating (and cooling) is not considered as a separate sector inthe document and hence, remains underrepresented.

� The Energy Roadmap 2050 Communication referred to heating and cooling,and heat pumps in a general statement only: “Renewable heating and coolingare vital to decarbonisation. A shift in energy consumption towards low carbonand locally produced energy sources (including heat pumps and storage heaters)and renewable energy […] is needed.” At first sight, this looks like a successfuloutcome. However, being the only reference, the heating and cooling sectorwas overlooked in all scenarios presented in the document. However, theParliament resolution on the Roadmap extended the reference considerably,giving the sector a more prominent place and attention.

� The same story can be told for the Renewable Energy Communication. TheCommission document was in favour of an equal treatment of all technologies,yet only marginally referred to heating and cooling. The Parliament from itsside gave the sector, including the mentioning of heat pumps as one of thetechnologies to be considered, much more attention in the text.

The latest document, the Green Paper does actually only confirm this trend: theCommission is still not giving the heating and cooling sector the same attentionas for example electricity. With virtually no mentioning of this sector or anyreference to the challenges it faces, the Green Paper fails to consider the relevantissues. It is however much more likely that the Parliament will give somecounterweight to this. With regards to the Member States, past experience showsthat the contribution potential of heat pumps is underestimated. With EPBD beingimplemented, a slight change can now be considered by which heat pumps areincreasingly often identified as a reference technology. Some countries like

30 European legislation affecting heat pumps

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Page 33: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Denmark and the UK assess the technology very positive. If their attitude becomesa role model, a positive assessment can be given for heat pumps in the post-2020framework. Some support for this statement can be taken from the recentlyannounced Commission document on heating and cooling. This document iscurrently prepared and expected to be released in autumn. At the date ofpublication, information on this was still limited.

EHPA TARGETS� Recognition of heating and cooling as a central area of activity in the current

and future policy debate.

� Acknowledgment of heat pumps benefits and integration of the technologyas a central, economically efficient and sustainable solution to Europe's energyand climate goals.

� Setting of a triple target on GHG reduction, RES and energy efficiency in a 2030framework and beyond. For RES, this should be based on final energy and beminimum 30 %, possibly even 45 % as suggested by the European RenewableEnergy Council.

� Request an ambitious European heating & cooling strategy and policy based onRES and efficient, decentralised production.

� Ensure EU and Member States understand heat pumps benefits towards theirtargets on RES use, energy savings and emission reductions.

� Establishment of reliable energy statistics including RES, the enhancement ofanalytical capacities and the reassessment of future scenarios.

� Development of a micro-level energy model to simulate the impact of thefuture energy strategy.

TIMELINE� 08.03.2011: Commission Communication on the Low-carbon Economy Roadmap

2050

� 15.12.2011: Commission Communication on the Energy Roadmap 2050

� 14.02.2012: Parliament report on the Low-carbon Economy Roadmap 2050

� 06.06.2012: Commission Communication on the future role of renewable energy

� 27.03.2013: Commission Green Paper on a 2030 framework for climate andenergy policies

� 14.03.2013: Parliament adopts resolution on the Energy Roadmap 2050

� 21.05.2013: Parliament adopts report on Renewable Energy Communication(‘Reul report’)

� Q4 2013: Commission White Paper on a 2030 framework (tbc)

Sources

[1] European Commission (2010): Renewable energy transparency platform. http://ec.europa.eu/energy/renewables/transparency_platform/transparency_platform_en.htm

[2] European Commission (2013a): Renewable energy progress report[3] European Commission (2013b): Commission decision on establishing the guidelines

for Member States on calculating renewable energy from heat pumps.[4] Baert, E. (2011): Ecodesign for Energy related products challenges for heat pumps.

European Heat Pump summit 2011, 28.09.2011, Nürnberg[5] Documents available at http://susproc.jrc.ec.europa.eu/heating/stakeholders.html[6] European Commission (2011): http://ec.europa.eu/clima/policies/f-gas/index_en.htm[7] European Commission (2012a): Proposal for a Regulation on fluorinated gases[8] European Commission (2012b): Directive on energy efficiency[9] European Commission (2012c): Energy Roadmap 2050[10] European Commission (2012d): Communication on Renewable Energy Strategy (RES)

31European legislation affecting heat pumps

Page 34: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

This section will examine key developments within the European heat pumpsector from both market and technology perspectives.

4.1 | Market Development

The rapid expansion of the European heat pump sector in the last decade broughtwith it many changes and challenges that typify a growing and more complexmarket. The heat pump segment was once only a small part of the much largerheating, ventilation and cooling (HVAC) market. At that time a fragmented marketsaw many small manufacturers focusing on local consumers, with the technologyfor the main part being ignored by the large heating companies. With increasingsales numbers the situation started to change around the year 2000. Today nearlyall manufacturers of both heating and cooling equipment offer heat pumps aspart of their product portfolios. Where internal development was judged to be tooslow or not economically feasible, several larger players have simply acquiredknow-how, production capacity or access to markets. As economies of scale applynot only to production, but also to financing, sourcing and distribution, smallermanufacturers are now finding it increasingly difficult to compete with themultinational giants.

This development is part of an overarching trend towards the provision of acomfortable living environment in increasingly energy efficient houses. The needsof the market no longer revolve just around the product – be it for heating, coolingor hot water production. Instead, a more complex, better educated and discerningconsumer base is demanding solutions that include planning, installation andservicing and require a change in the way markets are addressed by manufacturers– alone or in co-operation with others.

32 Industry and technology trends

Figure 4-1: The changinglandscape of the Europeanheat pump market

TraditionalOil/GasBoiler

Heating Cooling A/C

Heating OnlyHeat Pumps

ReversibleHeat Pumps

TraditionalA/C

Systems

Price PressureTechnology ShiftsCrowded Market

New Distribution ChannelsNew Low Cost Entrants

Extending Current ProductRange Towards Cooling

Extending Current TechnologyTowards Heating (Reversible)

4 Industry and TechnologyTrends

Page 35: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Figure 4-1 illustrates the changing landscape of the market. Traditional Europeanheat pump manufacturers are seeing a ‘squeeze’ of their market segment fromthe traditional boiler manufacturers on one side and the air conditioning supplierson the other. The boiler groups, recognising the future limitation of their gas or oiloffering, have extended their product portfolios to include heat pumps and otherlower carbon technologies. The last year also marks a strong trend towards hybridsystems, combinations more than one technology/energy source to cover therequired heating and cooling demand. Most notably are the combination of gas/oilboilers with heat pumps and/or solar thermal collectors as well as heat pumpsand PV panels.

Traditional air conditioning manufacturers, principally dominated by well-knownAsian brands, have migrated into the heating space, offering cost effectivesolutions, predominantly split systems, to the market.

The end result is the emergence of a relatively crowded, highly competitive newlandscape – best described as a battleground. This has led to intense price pressurein some markets, technology shifts, and the emergence of new distributionchannels.

CONSOLIDATION OF MARKETSAlthough the market has seen many new entrants in recent years, at the sametime there is evidence of some consolidation. Where in the past the heatingmarket was dominated by a number of large heating groups, these are expectedto develop – after some reconfiguration – into a similar number of large ‘EuropeanHeating and Cooling Groups’. These groups, seeing the emerging heat pumpopportunity, have either acquired a heat pump manufacturer or developed thetechnology themselves. Examples include (the list is non-exhaustive):

� BDR Thermea, comprising De Dietrich (France), Baxi (UK), Brötje (Germany) andSofath (France).

� Bosch Thermotechnik, comprising IVT (Sweden) and Florida Heat Pump (USA)� Daikin Europe, comprising Rotex (Germany) and Airfel (Turkey)� Danfoss, comprising Thermia (Sweden), Steinmann (Switzerland), Avenir

Energie (France) Nomann Etek (Norway), KH Nordtherm (Denmark)� Nibe Industrie, comprising Schultess Group (Switzerland), including Alpha-

Innotec (Germany), KNV (Austria) and ABK (Norway)� Vaillant Group, comprising Saunier Duval (France), Bulex (Belgium),� Viessmann, comprising SATAG Thermotechnik and KWT (Switzerland)

The acquisition of Schultess Group by Nibe in 2011 was the last large merger in themarket, giving the Scandinavian manufacturer access to additional distributionchannels, namely in the German speaking countries and France and also providescomplementary technology and expertise. The slow down of the heat pumpmarket has put planned acquisitions on hold, but more activity is expected oncethe markets pick up again.

INCREASED COMPETITION & PRICE PRESSUREAs with any market that shows rapid growth over a short period (2005-2008), theEuropean market has seen many new market entrants, keen to capitalise on theopportunity. One of the positive effects of the current economic crisis has beenthe demise of many of those who entered the market opportunistically, primarilyfor short-term gains.

What remains now is a good number of larger companies, who show an on-goinginterest in the technology, and recognise the future opportunity of heat pumps.Many of them now offer complete product ranges, often also integrating heatpumps into a new product group of hybrid systems. Further consolidation may be

33Industry and technology trends

Page 36: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

expected in the years ahead, driven by the cost advantages that large-scale massproduction can deliver, coupled with the increasing requirements for quality inplanning, installation and maintenance that can best be delivered by larger players.

Increased competition coupled with the recent worldwide financial and economiccrises has brought more intense price competition in all markets, and in particularin the lower cost and entry-level segments. However the majority of heat pumpsare still sold as a premium product. A mass market for heat pumps with a widerecognition of the technology on all levels of society has only developed in a fewcountries, namely Sweden and Switzerland.

GROWING PRESENCE OF AIR CONDITIONING MANUFACTURERS Companies previously known for their air conditioning activities have establisheda sound position also in the heating market. In 2013, large parts of the heat pumpmarket bear the logos of well-known Japanese suppliers such as Daikin,Mitsubishi, Panasonic and Hitachi. It is noteworthy that the air/water ranges ofthese manufacturers are mostly manufactured in Europe!

Korean suppliers such as Samsung and LG are also establishing a presence.Especially those manufacturers that are offering their 2nd or 3rd generation ofheat pumps have by now positioned themselves more strongly in the heatingmarket. Some of these companies have successfully positioned themselves asleading heat pump manufacturers in key European markets. They focus onpromoting the advantages of their variable speed systems, in compact footprintsoffering good performance at competitive prices. Some combine this with strongand effective marketing, which has helped to raise their profile.

The challenge that many of the air conditioning players continue to face howeveris establishing distribution channels in the heating sector outside of theirtraditional cooling channels. This is particularly acute in well-established heatpump markets such as Scandinavia and the German speaking countries, wherelong-established brand names dominate and control the heating channel.

One option to address this challenge is to become a partner or OEM supplier to thetraditional brands. A typical approach would be the joining of forces between atraditional (European) boiler company and an (Asian) AC-system manufacturer forthe production of air/air and air/water heat pumps optimised for heating, inparticular in cold climates. The boiler companies get access to cost competitivevariable speed components (which can often lead to development of their ownsplit systems), while the air conditioning companies get access to market via theboiler companies distribution network and installer base.

CHANGING DISTRIBUTION CHANNELS The sector is also witnessing fundamental changes in how products are distributedto the end consumer. Traditionally a product has predominantly been movedthrough 3 step channels: from manufacturer to distributor / wholesaler, on toinstaller and then to the end consumer. Many manufacturers have also had OEMarrangements with some of the larger boiler manufacturers and this has alsoaccounted for a substantial proportion of the market to date. Current trends areseeing an increase in business directly to installers (2 step) and possibly in thefuture systems could be sold directly to Do It Yourself (DIY) outlets or online to endconsumers. The emergence of sector-specific solutions providers is yet anothertrend. Specific applications comprise solutions for retail companies or datacentres,or to other commercial sectors. Much of the change in distribution channels isdriven by the need to maintain profit margins and hence this ‘disintermediation’. Itis however expected that traditional distribution channels will remain in place inthe coming years. Many of the new entrants to the market, including the airconditioning manufacturers have followed a strategy of supplying installers directlyand whilst providing a price advantage on the one hand, it also raises the need forincreased support and the associated costs thereof.

34 Industry and technology trends

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Page 37: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Figure 4-2 illustrates how the emergence of new channels is expected to alterEuropean distribution in the years ahead.

4.2 | Technology Development

OPTIMISED COMPONENTS By and large, heat pumps consist of a limited number of component types. Table4.1 shows these components and also those types, which can offer various levelsof performance:

Standard component Highly efficient/improved component

Compressor Standard compressor Optimized compressor for heat pump application

Valves Mechanical expansion valve Electronic expansion valve

Heat exchanger: evaporator Standard brazed plate HE Micro-channel HE large evaporator surface

Heat exchanger: condenser (Brazed) plate heat exchanger Micro-channel heat exchanger

Circulators (“pumps”) Standard pump High efficiency pump

Controls Simple controls Adaptive controls, connection to house grid, Internet

Fans and motors Standard fan Optimized blade,high efficiency motor

Refrigerant R410a, R407c dominate Reduced refrigerant charge, low GWP refrigerant (parallel work on efficiency improvements necessary)

Storage tank Storage tank optimized for the Optimized insulation, (External to the unit, heating demand of the building, storage solutions optimized but equally important) different solutions for insulation for larger share of RES

integration in smart grids

Heat distribution Floor/wall heating, fan coil units, Low temperature heating standard radiators radiators, mini-hydronic

heating with fan coils, moreenergy efficient fan coil units

35Industry and technology trends

!

*

*

*

*

* *

*

*

* * ** * *

**@ $ $ $ $ $

4'(1,<*A(%<;*,<*A",&*="'<<%$BCDD BCDE

F *!

!"#$%&'$%()*+,&-(,./-#(

0'(1%*234

!"#$%&'$%()*+,&-(,./-#(

56'$$%(*234

5%7-#(*58%7,9,7*

0'(1%*234

56'$$%(*234

5%7-#(*58%7,9,7*)*:/,$;,<1*=#<-('7-#(&*)*

>%?**@!"#"$%&'($)*+,*!$-$.$

* * **

F<&-'$$%(&*

F<&-'$$%(&

Figure 4-2: Changing trendsin European distribution

Table 4-1: Standardcomponents andimprovement potential

Page 38: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Correct component choice is critical for heat pump performance and in general itcan be said that the highly efficient components are more expensive.Improvements at component level may be achieved through better compressors,electronic expansion valves, larger or optimised heat exchangers, optimisedcontrols and energy efficient pumps and fans. All need to be optimised inaccordance with the refrigerant used. The relentless drive for better performingsystems is driven in part by the policy framework at European and National level.

As result of current policy action, future requirements will demand:

� use of highly efficient circulators (from 1.1.2013),

� the use of highly efficient fans (ErP, Lot 11),

� minimum performance (based on seasonal primary energy efficiency – eta) asa barrier to market entry for low efficiency products,

� more ambitious performance requirements for grants, subsidies and supportmeasures, and

� labelling of heat pump units and systems based on primary energy efficiency.

Heat pump design needs to take demand side conditions into account whenconsidering efficiency and cost requirements. It is insufficient to simply optimisethe heat pump unit in isolation. Instead the impact of components in terms oftheir complete system impact (including heat source and heat distribution) mustbe adequately considered at the design stage. Market success is the result ofbalancing efficiency and cost vs. an achievable price for the comfort level requiredby the consumer. Figure 4-3 shows a simplified schematic diagram of acompression heat pump with its main components.

MODULATING SYSTEMS / CAPACITY CONTROLThe increasing success of air/water units has made capacity modulating heatpumps more and more popular. This is due to three principal reasons:

1. Capacity modulation provides an efficiency advantage compared to fixedcapacity solutions over the operating range, due to advantages in part loadoperation.

2. Capacity modulation allows for the installation of smaller units, while at thesame time allowing coverage of a significant proportion of the total heatdemand of a building.

3. Capacity modulating units bridge the gap between the high capacity needed atlow outside (air) temperatures and potential overcapacity at high outsidetemperatures.

36 Industry and technology trends

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

ground

spaceheatig buffertank

high efficiency brine pump

Compressor

expansion valve

building

air

heat source heat pump heat distribution

hot water tank

ffh y y cy

bneciifhigh ef

mpupenrib

air

hot

spheatig buf

r etawtank

ceasp

heatig fferbuf

tank

groundt ecruost h aeh

aeh

pmupt

notiubitrsidt aeh

building

n

building

Figure 4-3: Main componentsof a compression heat pump

Page 39: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

A direct relation exists between the temperature of the energy source and thecapacity provided by the heat pump: the lower the source-temperature, thesmaller capacity provided and vice versa (see figure 4-4). A heat pump designed to cover a large part (if not 100 %) of the energy demand at design conditions (– 16 °C in average climate) will consequently be over dimensioned at warmertemperatures. Fixed speed units overcome this limitation by on-off operation. Inthis mode overall system efficiency decreases due to losses incurred followingsuccessive compressor starts. Capacity modulating units overcome thislimitation as they can change the compressor speed (and thus the capacityprovided). While this leads to a lower efficiency at full load operation, it resultsin superior performance under part load conditions. As heat pumps operatemost of the time at approx. 2 °C outside temperature (covered by part loadoperation), capacity modulation bridge the gap between proper sizing andefficiency over the full operating range, especially when using air as the energysource.

Capacity modulation is most often achieved by using frequency-controlledinverters, a technology that originated in the (reversible) air conditioning market.Whilst these units are now optimised for heating, they still offer the benefits ofcompact size, attractive price points and flexibility. They have thus made inroadsin some of the emerging growth markets with milder climatic conditions, such asthe United Kingdom. Their use is becoming increasingly popular as part of hybridsystems in combination with existing (fossil fuel) boilers, particularly in therenovation segment. In addition, the currently set minimum efficiencyrequirements for air-source heat pumps (ErP, Lot 10) are difficult to reach with fixedspeed compressors, supporting an already existing trend towards capacitymodulating units in the future.

IMPROVED CONTROLS & INTEGRATION STRATEGIESControls are at the heart of the heat pump system and can have a significantimpact on its performance. As they manage the integrated operation of variouscomponents, vendors are therefore faced with a number of challenges. As notedearlier third parties supply many of the critical components. System manufacturersare therefore firstly challenged with enabling these components to functiontogether in their system in the most efficient manner. Secondly, as manyinstallations are climate, environment and application specific, the system has toallow the flexibility to be configured to meet individual requirements. Thirdly,vendors are challenged with making their control architecture both intelligent anduser friendly, so it can adapt to changing conditions and requirements, and also beused intuitively by installers and end consumers.

37Industry and technology trends

Heat demand

capacity (kW)

temperature °C

fixed speed unit

capacity modulating unit

Figure 4-4: Capacity as afunction of outsidetemperature for fixed andcapacity modulating units(this figure applies togeothermal units, curvesare similar for air-sourceheat pumps)

Page 40: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

38 Industry and technology trends

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Figure 4-5: Smart Grid (SG)Ready logo

A recent challenge involves the requirement to integrate other energy sources intoheat pump systems and to communicate with the related technologies. Examplesinclude solar thermal, gas boilers (in the case of bivalent or hybrid heatingsystems), thermal storage and solar PV (increasingly popular in markets whereend-users can benefit from self-consumption incentives). Continuous develop-ment of controls has made them ever more ‘intelligent’ with interfaces to theWorld Wide Web and to home automation systems quickly becoming thestandard. Where smartphone applications were deemed to be innovative only afew years ago, they rarely still impress any consumer today. The next step ininnovation is the integration of weather data and user behaviour into the controlslogic of these smart heating/cooling/ventilation systems.

Smart controls enable heat pump systems to operate more efficiently accordingto a number of parameters: based on heuristics or consumer choice they canoptimise the system to minimise cost, to maximise carbon savings or to integratea maximum of renewable energy, for example from a local PV system or using oneof the different electricity tariffs of the future. They can also be run to optimisethe peaks of the electric grid (peak shaving), thereby providing a benefit todistribution and transmission system operators. The latter will require anoptimised integration of thermal storage.

The challenges of improved controls connecting heat pump systems with the gridand using heat pumps as stabilising factors (so called “smart grids”) is currentlyevaluated in a number of pilot projects across Europe. These projects are testingdifferent ways to control heat pumps for smart grids in order to identify the mostpromising and economical solutions. The German heat pump association BWP,backed by industry, has developed a “Smart Grid Ready” label (SG Ready) for heatpumps. This label indicates, that the heat pump unit labelled is feasible to react tocontrol signals from the grid. It is a first step towards a standard approach and isplanned to integrate into a yet to be developed standard.

SMART GRIDS The share of renewable energy sources in Europe according to the Commission´sEnergy Roadmap 2050 is predicted to contribute up to 75 % in the gross finalenergy consumption and 97 % in electricity consumption [1]. Increased share ofrenewables will lower CO2 emissions and energy dependence on imports,contribute to the energy security and make market prices more stable.

A much-increased share of renewable power production will create fluctuations insupply and put stress to the electricity grid. Grids need to change from a focus of"always providing 100% of the energy demanded" to "always using 100% of theenergy supplied". This requires efficient load management.

“A Smart Grid is an electricity network that can intelligently integrate the actions ofall users connected to it – generators, consumers and those that do both – in orderto efficiently deliver sustainable, economic and secure electricity supplies.”

European Technology Platform Smart Grid (ETPSG)

When the weather conditions allow it, electricity could be mainly produced byrenewables. Yet this might cause disruptions such as overloading the grid. The gridinfrastructure often cannot bear an overload in the electric system and in many casesa network expansion is needed. However, electric and thermal storage in general,and heat pumps in particular, can reduce the need of such expansions and bringbalance to the grid if the surplus electricity is further efficiently used and stored.By opting for this alternative solution, a number of renewable power productionunits will remain switched on but will not create overproduction of energy.

More specifically, in the domestic sector heat pumps have a high potential forimproving load management. When large sized radiators, floor heating or water

Page 41: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

tanks are used, the heat can be stored and bridge power cut-offs of several hours.If large thermal storage units are installed, buildings with high thermal capacitycan even operate without electricity supply for several days. The heat can be storedin the water tank and hence, electricity supply is not necessary.

Apart from that, a heat pump can also contribute to grid stabilisation in theoccasion of renewable electricity, which cannot be consumed entirely by thehousehold. When combined with solar panels, heat pumps can use the electricityproduced and hence, decrease the load of electricity fed into the grid. Moreover,with the use of a battery storage unit the grid can be further relieved.

In sum, heat pumps can play a major role in facilitating load management andoptimising energy supply and demand fast, efficient and taking into considerationthe electricity price. This leads not only to higher stability of the grid and lesspower production units, but also to less costly solutions for end-users [2].

THE IMPORTANCE OF THE “APP”When reviewing recent heat pump industry events, facilitating the integration ofheat pumps into the household information infrastructure and even connectingthem to the internet is one of the most important and noticeable current trends.The majority of manufacturers are now offering some form of connectivity – eithervia the user’s local internet access point or via a smartphone application. Theprimary application area is the provision of access to live data from the unitenabling easier performance checks and maintenance. This data is generallypresented via a standard PC and also in an appealing visual form via specific userinterfaces – such as several smartphone applications in common use.

In the future, ‘connected’ heat pumps offer two major potential benefits:

� They can provide performance data to the manufacturer and allow a betterunderstanding of real seasonal efficiency as well as on influencing factors,bottlenecks and improvement potential. This knowledge may enablemanufacturers to identify and correct errors early, thus improving consumersatisfaction. It will also present new opportunities to offer products andservices. Especially so-called performance warranties will become possiblebased on experience gained from a large number of available life performancedatasets.

� In combination with better controls, they can enable “learning processes” onuser behaviour. In combination with weather (forecast) data, demand sideoptimization then becomes possible. This functionality will in particularcontribute to the integration of more RES into the grids. Next to the hardware,a standard communication protocol is required to allow for data exchangebetween components, units and the grid.

As an example: If the heat pump “knows” that Monday to Friday, between 7:00and 16:00, there is no tap water requirement, it can adjust loading times of thesanitary hot water storage accordingly. For summer times this usually means thatall sanitary hot water can be prepared during daytime using PV electricity, whichis usually available in abundance. This not only avoids potential problems with thestability of the electricity grid but also provides sanitary hot water from nearly100 % renewable sources.

The integration of heat pumps with home energy management systems isanother related topic, which is of growing interest to both heat pump companiesand home energy management system providers.

DEMAND SIDE CONTROLThe future development of the energy landscape will see further deployment ofrenewable electricity generation technologies on the generation side, and electri-fication of heat and transport on the demand side. This will lead to congestion on

39Industry and technology trends

Page 42: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

the distribution grid, and supply-demand imbalances. Heat pumps have a role toplay in dealing with these two issues: (1) the ability of heat pumps to shut downaccording to planned demand cycles will become increasingly important to avoidcongestion on the distribution grid; and (2) the use of heat pumps as a demandside flexible resource will be important for network operators in matching supplyand demand through positive and negative operating reserve. Both these issueswill also create new business models for energy market players and will drive interest in and opportunities for heat pumps.

In 2010 the German Ministry for the Economy and Technology ordered a study onthe potential of heat pumps for the grid integration of electricity from renewableenergy sources [4]. In Germany, the inflexibility of conventional energy sourcesregarding load changes has led in recent times to situations whereby wind andsolar energy has had to be discarded in order to maintain grid stability. The studycomes to the conclusion that in the future this limitation on the contribution fromrenewable sources could be reduced by between 13 % and 18 % through anincreased rollout of heat pump technology. After 2030 and/or with a renewablesshare of more than 50 % of total electricity production, the beneficial effect ofheat pumps in this respect would increase further. The study shows, that by 2030under an enhanced deployment scenario heat pumps could provide a capacity of2,2 GW of negative minute reserve, or around 40 % of their total electric capacityinstalled. But heat pumps can also provide positive minute reserve by enablingthe reduction of heat generation momentarily. For comfort reasons, the ability toprovide positive minute reserve is relatively limited, with only 0,45 GW under thesame scenario. Both of these numbers account for 50 % of the possible minutereserve maximum.

Unleashing the potential of heat pumps to enable the improved grid-integrationof renewable electricity, still presents some challenges. Most importantly, an openand common technical standard for the remote load management of heat pumpshas to be defined to avoid incompatibility and potential market fragmentation.The European Heat Pump Association is committed to actively contributing to theresolution of this issue in the future. Further needs for R&D include loadmanagement strategies, part load optimisation of heat pumps and new accessrules to the reserve capacities.

HYBRID SYSTEMSInnovation continues apace around the integration of different heat sources intohybrid systems (see figure 4-6). They address limitations connected to singlesource/single technology applications and usually provide advantages in terms of

� energy source flexibility,

� energy use efficiency,

� reliability, reduced emissions, and (or)

� better economics.

As advantages related to one of the aforementioned points are often connected todisadvantages in the other, additional research is needed to deliver cost optimalsolutions.

Many manufacturers are now offering complete systems that may be used inbivalent or trivalent mode, mainly combining heat pumps with boilers (fossil orbiomass), solar-thermal collectors or PV panels. Such systems are becomingparticularly relevant in renovation applications whereby heat pumps may replacean existing heating system alongside a new boiler, or ‘upgrade’ an existing boiler.These heat pump-boiler hybrids are being developed by all of the biggest fiveboiler companies in Europe, and now heat pump players are also entering themarket. These systems are particularly being targeted at buildings on the gas grid,

40 Industry and technology trends

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Page 43: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

where a heat pump alone has difficulties to compete on a cost level with gas inmany markets. The combination of technologies can lower running costs andachieve carbon savings at the same time.

This is also developing to a point whereby heat pumps are being integrated withsolar PV and CHP installations, indicating that heat pumps not only provide asuitable alternative to other conventional and renewable heating options, but alsocomplement the other range of renewable technologies in both new build andrenovation situations. The combination with PV is of growing interest in Germany,for example, where self-consuming of PV electricity with a heat pump lookseconomically attractive. Products are already emerging in several markets. Overthe coming years, the combination of reversible heat pumps with PV is expectedto grow as a concept, because of the good overlap between PV production, andcooling demand in summer. The combination of domestic hot water heat pumpswith PV is also gaining interest.

HIGH TEMPERATURE SYSTEMSThe maturing of heat pump technology has led to an extension of its operatingranges beyond low temperature heat distribution via floor/wall heating. Heatpumps with one or two compressors can now efficiently achieve 55 °C andincreasingly often even 65 °C. This has led to the expansion of their applicationfield to that part of the renovation segment, where medium temperature radiatorsystems (45 °C – 55 °C) are employed. This enables heat pumps to replace gas or oilboilers without necessarily incurring the expense involved in replacing the existingheat distribution system (e.g. radiators). Nearly all manufacturers are now offeringsuch variants in their portfolio. It should however be noted that to ensure theefficient heat pump, the system needs proper dimensioning by an expert. Simplyexchanging the existing boiler with a heat pump, in particular when connectedto high temperature heat distribution systems (65 °C and more) is currently notrecommended.

SANITARY HOT WATER SYSTEMSHeat pumps have always played a prominent role in the provision of (sanitary) hotwater. During the 1980s sales in this product category already reached many tenthousands of units per year. It is now on an upward trajectory once again, withthese products establishing significant positions in European markets such as theGerman speaking countries, France and Poland. The last 2 years sawunprecedented growth in France, which now represents around half of the

41Industry and technology trends

aerothermal solarthermal

biomassgeothermal

hydrothermal

small scale heating gridsdistrict heating

Phot

ovol

taic

s (r

oof/w

all)

gree

n el

ectr

icity

smart electric grids

regional planning / architecture / systems designth

erm

al s

tora

ge

a

oiger

lamrethorea

hcra/gninnalplano

ethralos

smtesys/ertucteih

lamr

ngiseds

)llaw

h

egartosla

mreth

lamrethordyh

ethralos

biomass

lamr

biomass

wf//woo(r

scitalov

too

tyicitrcele

neerg

lamrethoeg

elacsllamscitrsid

sdirggntiaehegntiaeht c

ms

Ph

citrcelet ramgrids

Figure 4-6: Combinationoptions for different energysources into heat pumpbased hybrid systems [5]

Page 44: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

European market for these systems.

Proposed changes under the energy efficiency and building efficiency legislationwill create opportunities as smaller and in particular wall-hung air source heatpumps are being proposed as an alternative to meet this new regulatoryenvironment. They may be deployed in new build or renovation situations as adirect replacement or alternative to electric water heaters.

Many manufacturers are currently introducing products to the market targetedat this segment. It will be challenging to meet the target price point and formfactors to be a viable replacement offering. The new European Norm for testingthese units (EN 16147) will put pressure on manufacturers to further increaseperformance. A strengthening of this effect is expected to be caused by theminimum efficiency requirements set by ErP Lot 2 and the related mandatoryefficiency label.

ENVIRONMENTAL / REFRIGERANTThe use of many refrigerants is highly regulated due to their global warmingpotential (GWP). Only experts are allowed to treat refrigerants covered by the F-gas Regulation and according to the RES Directive Member States shall supportonly those heat pumps that fulfil the requirements of the EU Ecolabel. The latterlimits the use of refrigerants to those with a global warming potential (GWP)below 2 000 (based on the IPCC 3rd assessment report). In addition, a phase downof the use of established F-gases is currently discussed by the EuropeanCommission as part of the revision of the F-gas Regulation.

* According to ISO817 draft | ** Practical limit is 0.1 kg/m3 according to EN378 | *** Based on currently available data

The industry strongly supports a cautious approach towards the use of F-gasesand has made considerable efforts to reduce losses in production, operation anddismantling. The total emission of a product does not only depend on the GWP,but also on the refrigerant charge per unit and the systems operating efficiency.Thus the total environmental impact of heat pump systems is more appropriately,identified by using a lifecycle approach that includes the total emissions of theproduct (as used in the TEWI method). Within such a boundary condition, theindustry should be allowed a choice of refrigerants. Such a choice is particularlyimportant as no single refrigerant exists, that can be used with the sameeconomic and environmental efficiency across all application requirements (seetable 4-2). The on-going revision process of the F-gas Regulation has triggeredconsiderable research and development to explore the efficient use of naturalrefrigerants (CO2, ammonia and hydrocarbons) and the development of newsynthetic refrigerants. Known replacements (HFO1234yf, HFO1234ze, blends ofthese refrigerants and other HFCs) show a much lower GWP than the typical HFCscurrently in use.

42 Industry and technology trends

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Refrigerant physical properties

Cond. Press. ODP GWP Life Flamm ToxicityMPa (IPCC4) Year -ability

R410A Azeotrope 2.72 0 2090 5-29 No Low

R407C Zeotrope 1.86 0 1770 5-29 No Low

R32 Single 2.80 0 675 5 Low* Low

HFO1234ze Single 0.88 0 6 11 days Low* Low***

HFO1234yf Single 1.16 0 4 7 days Low* Low***

HFO mixture Under investigation Low

Propane (R290) Single 1.53 0 <3 Some days High Low

CO2 (R744) Single 10.0 0 1 120 No Low**

Ammonia (R717) Single 1.78 0 0 0 Low HighNon

-HFC

HFC

Table 4-2: Properties of different refrigerantoptions. [5]

Page 45: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Both development pathways have their disadvantages: the use of naturalrefrigerants comes at the cost of reduced efficiency, flammability or toxicity, whilenew synthetic refrigerants are not yet completely understood with regard to safetyand their impact on the environment. An ideal replacement is not yet available.The industry’s approach is to use HFCs with care, to reduce refrigerant charge asmuch as possible, and to recover refrigerant from heat pumps that have reachedthe end of their useful life.

Therefore, EHPA is against any proposal in the current discussions that wouldresult in a ban for using fluorinated gases in heat pumps in the near future. Formore information on the discussions of the F-Gas Regulation, please have a lookat Chapter 3.6.

INDUSTRIAL HEAT PUMPSWhilst the penetration of heat pumps in residential and light commercialapplications is well documented, the potential for the technology in industrialapplications is still not adequately recognised both in energy policy action plansand in the minds of investors and consumers.

The use of heat pumps in industrial applications and processes is not a newphenomenon with certain markets such as the German speaking countries andScandinavia showing many years of successful installations in large and complexapplications.

There are a number of reasons for the increased interest in industrial heat pumpsat this time:

� Higher energy costs make payback now acceptable

� Higher temperatures required for industrial processes now feasible in heatpump technology

� Higher capacities required for many industrial applications available now inheat pump technology

� Many industrial applications produced waste heat, which can be harnessedwith this technology

Today the deployment of high capacity heat pumps in industrial processes acrossa range of sectors is common in many European countries. These include chemical,biochemical, food & beverage, mechanical and other industries, and sectors suchas datacentres. The compelling argument for the adoption of the technology isthe substantial energy demand reduction for heating and cooling in many processapplications, with the additional savings through waste energy recovery in theprocess.

As the awareness of the benefits grows, and the technology enhancements andeconomics continue to move in the correct direction it can be expected that thissector will experience significant growth in the coming years.

THERMALLY (GAS) DRIVEN HEAT PUMPSThermally driven heat pumps are a small yet promising and emerging segmentof the heat pump market [6], which has been growing in the commercial sector,and the first products are now emerging in the residential sector. The growing ininterest in their fields of application is an indication that the technology is wellpositioned to address the requirements in the market place for heating, coolingand sanitary hot water. The technology is also gathering attention from many ofEurope’s utilities, some of which are actively involved in the development andcommercialisation of these products.

Thermally activated heat pumps achieve its compression by thermal means.Thermally driven heat pumps (sorption heat pumps) can further be differentiatedinto absorption and adsorption heat pumps.

43Industry and technology trends

Page 46: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

One of the advantages of thermally activated heat pumps is their high outputtemperature, enabling their direct application with existing heating systems. Dueto their design for use with hydronic systems, thermal heat pumps easilyintegrate with other heating technologies and existing infrastructure (solarenergy systems, condensing boilers, electrical heat pumps and conventionalradiators).

Gas engine driven heat pumps achieve their compression by means of acompressor, which is driven by a combustion engine. For their optimalperformance they rely on somewhat lower output temperatures, but enginedriven heat pumps provide also a cooling mode with high efficiencies. Duringcooling mode engine driven heat pumps offer sizable hot potable water options.Engine driven heat pumps can, depending on type and specification, offer coolingand heating simultaneously. Gas engine heat pumps also integrate easily inexisting heating/cooling systems together with a variety of existing technologiesas mentioned before.

There is significant R&D development on-going from the major heatingmanufacturers as well as some dedicated heat pump companies and other players,to develop the next generation of these systems. Much activity is emerging fromGermany, where the first residential products have been on the market for morethan two years. The focus of R&D activities currently include: widening theoperating parameters to optimise performance in existing buildings; scaling downabsorption systems to residential scale (first products due on the market in2014/15); developing more compact systems; and intelligent integration with otherheat sources [7].

Growth currently is from a relatively low base. However, the sales numbers areincreasing not at least by the effort various large institutes and governments aredoing to promote this type of renewable applications. In the light commercialmarket segment it is estimated that more than 8 000 systems were in operationacross Europe by the end of 2012, outperforming the 2010 estimates summarizedin figure 4-7.

EHPA has recently established a working group for thermally and gas driven heatpumps. It covers thermally driven and engine driven heat pumps to be used inresidential, commercial and industrial applications.

This working group will address a range of issues amongst others:

1. Description of the thermally driven heat pump markets, its segments and itsrequirements;

2. Knowledge dissemination among the stakeholders;

3. Integration of thermally driven heat pumps in EU and national legislation;

44 Industry and technology trends

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

1 000

2 000

3 000

4 000

5 000

6 000

7 000

8 000

9 000

10 000

2009 2010 2011e 2012e 2013e 2014e

7 000

8 000

9 000

10 000

3 000

4 000

5 000

6 000

1 000

2 000

2009

2009 2010

1e 201

2012e

2013e 2014e

2014e

Figure 4-7: Gas sorptionheat pumps: Total sales in DE, NL, UK, IT [8]

Page 47: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

45Industry and technology trends

4. Development of performance and safety standards;

5. Participation of its members in European and international (via IEA Heat pumpcentre) research projects.

The group integrates the technologies stakeholders: manufacturers, researchinstitutes, universities, certification housed, testing labs, component suppliers, gassuppliers.

Sources

[1] European Commission (2001): Share of RES by 2050: http://europa.eu/rapid/press-release_MEMO-11-914_en.htm

[2] BWP (2012): Positionspapier Smart Grid und Smart Market[3] Nowak, T. (2010): 100 % renewable energy from hybrid systems incl. heat pumps.

Presentation at the 1st conference of the renewable heating and cooling platform. Bilbao 22.–23.2.2010

[4] Prognos, Ecofys (2011): The Potential of Heat Pumps for Load Management in the Electricity Market and for the Grid Integration of Renewable Energies (Potenziale der Wärmepumpe zum Lastmanagement im Strommarkt und zur Netzintegration erneuerbarer Energien, BMWi Vorhaben Nr. 50/10), Cologne 2011

[5] Dieryckx, M. (2011): New refrigerants in heat pumps: perspectives of a leading equipment manufacturer. Presentation at the 4th EHPA European Heat Pump Conference. London, 1.6.2011

[6] Nowak, T./Murphy, P. (2011): EHPA Outlook 2011 – European Heat Pump Markets and Statistics. Brussels 2011[7] Delta-ee Heat Pump Research Service: Gas Heat Pumps Report, 2013[8] Robur / BSRIA

Page 48: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

The European Heat Pump Market and Statistics Report 2013 analyses the salesstatistics and the market development for 22 European countries: Austria, Belgium,Czech Republic, Denmark, Estonia, Finland, France, Germany, Hungary, Ireland, Italy,Lithuania, Malta (only market report), Netherlands, Norway, Poland, Portugal,Slovakia, Spain, Sweden, Switzerland and the UK. Next to that, the report alsoincludes a short market overview of Japan (Chapter 7). The numbers presented arebased on industry sales figures accumulated from the information provided bythe different national heat pump associations.

Adding Denmark has not only enlarged the number of markets covered to 21, buthas also influenced past data, as the Danish heat pump association has reporteddata back to 2005. EHPAs tables were updated accordingly and the longitudinaldataset covering the years from 2005 to 2012 now consists of 14 countries. Thelikelihood of additional countries to be added in the future is smaller, as theremaining EU Member States do not yet have the infrastructure to collect the data.As this is also an indicator of the maturity of the respective markets, it is assumedthat the currently covered 21 countries provide an adequate picture of heat pumpsales in Europe.

The European Heat Pump Market and Statistics Report 2013 has reached both awidth and a depth that allows it to be assessed as the most comprehensivedocument on the European Heat Pump market. This is recognised also by anumber of official and private bodies that are asking for access to this data set. AsEHPA is convinced that accurate data is indispensable to guide governments insetting incentives, in channelling supportive resources – both institutionally andeconomically – and in measuring the success of such activity, these requests arefollowed. The association will continue to provide data input to official documents.

Parallel to these industry statistics, heat pumps are increasingly recognised inMember States’ energy statistics. However the methods used are not always thesame and neither are the requirements on heat pumps when assessing whetheror not they provide renewable energy. The latter is supposed to change with thepublication of the European Commission document on a methodology to calculatethe RES share of heat pumps in the Member States’ energy statistics. EHPA willadd this method to next year’s report but will maintain the established method tocalculate renewable energy from heat pumps for comparability.

A major change over last year's edition is the re-sorting of heating-only andreversible heat pumps based on the heat distribution system used. The previouslyused category "heating only" and "reversible" have been abandoned as a reply tochanging market conditions! Heat pumps are aggregated by energy source andby distribution system instead. As most heat pumps can provide heating andcooling at the same time, getting a better understanding on the units energy shareprovided for heating and cooling will influence not only the economic efficiency,but will also require some consideration on how to properly calculate theirrenewables share.

46 European heat pump market statistics

5 European Heat Pump Market Statistics

Page 49: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

For this report, the focus of data collection is shifting away from "heating-only" tothe integration of all heat pumps. For the calculation of their RES contribution theapproach follows the guidance by the RES Directive and thus, only the heating/hotwater production function is used. As of today, there is not enough data and anagreed upon methodology to make a meaningful statement on renewable coolingfrom heat pumps.

The chapter on how we count (Annex II) has been updated to provide informationin the most transparent way.

While we are now shifting the focus in data collection to all heat pumps, thereports evaluation of the RES contribution maintains the provision of heating/hot water. As of today, there is not enough data and a methodology to make ameaningful statement on renewable cooling from heat pumps.

5.1 | European heat pump market development

Heat pumps are more and more recognised in the European market place. From apolicy framework perspective, conditions for the installation of heat pumps haveimproved over the past year. Political recognition is a necessary first step, but moreneeds to be done by industry and governments alike to overcome prevailingdifficulties, in particular this applies to a slow new-build and renovation sectorand high electricity cost for heat pumps. Both these aspects negatively impact thesales potential of heat pumps. The following three factors, which were alsoidentified in the previous reports, remain most influential on heat pump salesacross Europe:

1. The price relation of the different energy sources and technologies (inconjunction with the investment cost of the respective heating system)expressed in €/kWhth.

2. Activity in the European construction sector, in particular the small number ofnew (residential) buildings and the low renovation rate.

3. A policy framework consisting of institutional and (even more important)financial subsidy schemes on a European and on a national level favouringenergy efficiency – both for buildings and products – and renewable energysources. Policy measures are fuelled by increasing recognition of risks in supplysecurity, price development and environmental impact of non-renewablesources.

PRICE RELATIONS OF ENERGY SOURCESHeat pumps are a possible replacement to standard fossil fuel-based burners.Functionally equivalent, they provide heating and sanitary hot water. Reversibleunits have the ability to provide also cooling, which improves competitiveness andadds additional comfort for the user.

In a rational world, consumers would base their purchasing decision on a mix ofcost and comfort criteria. Thus, they would calculate the total cost of ownership(TCO) over the expected useful life of each alternative and choose their heatingsystem accordingly. In a TCO perspective higher initial investment of a system, canbe overcompensated by lower operating cost. Obviously, the outcome of such acalculation depends on the difference in initial investment, on the difference inenergy demand and on the difference in energy cost (prices at the time of decisionand their expected development trajectories over the useful life). In reality,investors are more often guided by a short term focus on investment cost only,ignoring the TCO perspective.

In the past, a TCO perspective revealed a cost advantage for heat pumps due tomuch lower operating cost. This advantage shrunk significantly as a result of a

47European heat pump market statistics

Page 50: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

parallel reduction of fuel prices and an increasing electricity cost. This leads to aless favourable energy price ratio for heat pumps.

To overcome the resulting negative impact to sales developments, manufacturersneed to focus more strongly on a reduction cost across the value chain to triggera lower end-consumer price.

Learning curve effects are expected to materialise in the (near) future as a resultof a steadily increasing heat pump stock. Both cost and efficiency improvementscan be expected from dedicated developments on the component level.Compressors may serve as an example: while in the past heat pumpmanufacturers had to use what was available on the shelves from standardapplications, some manufacturers now produce compressor series especiallyoptimised for heat pumps. Heat pumps with a higher integration level ofcomponents will allow for an easier, faster installation and limiting the optionsfor installation quality issues.

Subsidy schemes and other incentive programmes by government and industrystakeholders can in principle also help to overcome a cost disadvantage. They needto be designed with a long-term perspective, ideally independent of governmentbudgets. A good example is the UK Renewable Heat Incentive (RHI) for domestichouseholds, which will kick-off very soon (see also chapter 6.21). Yet, many similarplans or existing programmes are scaled down or stopped completely.

In the majority of countries, heat pumps are sold as a premium product today. Astrong increase in sales numbers can thus be expected, once this product entersthe mass market. This has been the case in Sweden and Switzerland, bothcountries with a +-30 year history of continuous market development. Othercountries can follow these pioneering markets if investing in a heat pump systemis not only environmentally friendly but also economically viable. In the consumerperspective, this means lower system prices and a low operating cost – either vialow prices for electricity (possibly as part of favourable tariffs within smart grids),either via much more improved system efficiency or both.

The relation in price levels can be illustrated via energy prices. Table 5-1 shows thecost per kWth of thermal energy for different energy sources. In countries whereelectric utilities are supporting the use of heat pumps by offering special heatpump tariffs, these tariffs have been used for the price of electricity.

The energy price ratio (calculated based on data from table 5-1) is the ratiobetween the price of electricity and the price of 1 kWh of useful heating energydelivered by the competing technologies. It is based on the use cost of energy(excluding annual fees, meter readings etc.) and includes efficiency losses of thefossil fuel boiler. The energy price ratio visualises the operating cost of heatingsystems using different types of fuel vs. the cost of electricity: a heat pump systemhas a comparative advantage over competing technologies whenever the seasonalperformance factor (SPF) in the location of application is higher than the energyprice ratio. In general, the larger the difference between SPF and energy price ratio,

48 European heat pump market statistics

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13 Final Energy prices[euro cents/kWh] AT BE CH CZ DE EE* ES* FI FR HU

Electricity* 19,75 22,0 20,20 25,95 10,40 13,80 13,00 13,64 16,00

Electric heat pumps 5,64 6,29 6,73 6,65 2,97 4,60 4,33 3,90 4,00

Heating oil 2,41 2,88 2,16 3,43 1,14 1,27 1,68 2,85

Gas 3,05 3,06 2,81 4,53 1,81 1,81 2,08 3,78

Pellets (bulk delivery) 3,85 4,04 4,96 2,12 2,60 2,54 8,00

Pellets (sack delivery) 3,46 4,04 2,17 2,33 5,33

District heating 2,14 3,37 3,52 1,51 1,59 1,95 3,20

SPF used 3,5 3,5 3 3,9 3,5 3 3 3,5 4

Table 5-1: Energy prices forselected countries 2012(average end consumerprices in eurocent per kWh including VAT anddistribution; * prices 2011; ** prices 2009)

Page 51: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

the bigger the advantage in terms of operating cost. A primary energy ratio of 2indicates, that a heat pump with an SPF of 4 would save 50 % of the operatingcost vs. the compared alternative.

Figure 5-1 visualises the energy price ratios for 8 selected European countries, table5-2 shows the price energy ratio for 15 countries. Efficiency for the performance ofoil, pellets and gas burners is assumed to be 85 %, and efficiency for district heatingis assumed to be 100 %. As long as the given price ratios are found within theorange boundary, the relevant energy price ratio is below 2,0. This would indicatean area where electric heat pumps are seen as an attractive alternative becausetheir SPF is usually (much) higher than 2,0 and thus their operating cost are lowerthan those of the compared heating solution. This is an important aspectsupporting the purchase decision for a still more expensive heat pump. In 2012the price ratio of electricity vs. gas, oil and pellets deteriorated further, mostlycaused by lower gas prices and an increasing electricity cost.

49European heat pump market statistics

IE IT LT NL NO** PL PT SE SK UK

20,16 27,68 12,70 6,00 15,00 20,63 13,00 17,40 16,00

6,72 9,23 2,00 5,00 6,88 4,33 5,80 5,33

2,34 2,62 1,87 1,76 2,21 0,97 3,14

2,90 3,67 2,35 2,22 2,78 3,11 1,23 3,22 4,44

3,98 5,22 2,54 2,00 2,50 2,58 1,94 4,14 4,00

2,98 4,41 2,14 1,76 3,91 3,20

2,94 1,40 0,86 1,88 1,29 2,38

3 3 0 3 3 3 3 3 3

AT BE DE EE* ES* FI* FR* HU IE IT* PL PT* SE* SK UK

HP | oil 2,41 2,88 3,43 1,14 1,27 1,68 2,85 2,46 1,76 2,21 0,97 3,14

HP | gas 3,05 3,06 4,53 1,81 1,81 2,08 3,78 3,24 3,67 2,78 3,11 1,23 3,22 4,44

HP | DH 2,14 3,52 1,51 1,59 1,95 3,20 1,88 1,29 2,38

HP | pellets 3,85 2,12 2,60 2,54 8,00 4,45 2,50 2,58 1,94 4,14 4,00

0.5

1.0

1.5

2.0

2.5

3.0

3.5

4.0 HP | oil

HP | gas

HP | DH

HP | pellets

poor market potential

good market potential

4.0 | oil HP

| oil

toptrkemar oop

2 2.0

2 2.5

3 3.0

3 3.5

4.0

laitnet

ep|PH

s telle

0. 0 5 0 5 0.5

1

kk

1.0

1.5

rk to rkemmaddoogg

lo iaittnnetoppt

s ag|PH

| D HP

H

AT

BE

DE

EE*

FI*

FR*

PL

UK

p

4

AT

t

BE

E D

EE*

FI*

FR*

e

PL

K U

Figure 5-1: Energy priceratios for 8 selectedEuropean countries

Table 5-2: Price energyratios for 15 countries

Page 52: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

50 European heat pump market statistics

For the time being, heat pump owners have to shoulder higher operating cost.Deciding for a heat pump today must thus be motivated by other factors thanshort-term economic benefit. The fact that markets analysed here did not breakdown completely in this difficult environment, but kept relatively stable showsthat a certain target group is buying a future-proof technology even though thisdecision currently comes at a higher cost. It must however also be considered thatthis target group is limited and that more action is necessary to approach the massmarket. Thus, governments should take the situation seriously. With the currentenergy and climate targets at hand, the heat pump contribution will only live upto the plans if a sufficient number of units are sold. A clear recognition of thetechnology by government bodies would not only influence consumers but wouldalso serve as a signal to manufacturers indicating to them that investments inmanufacturing and servicing infrastructure are a necessary yet promising step.

The German market serves as an exemption to the rule! Even though electricitycosts are among the highest in the compared sample, the heat pump market isstill growing. One interpretation is that consumers use their own electricity fromPV to heat their home and by that reduce their dependency on increasingelectricity prices. With increasing fuel prices across Europe, this example could findfollowers in the (near) future and trigger market growth.

As in the past editions of this report it must be noted that the concept of theenergy price ratio is robust. Yet the interpretation must be taken with care in thelight of the volatility of energy prices.

THE BUILDING MARKETWhile heat pumps are still predominantly used in new buildings, product offeringsfor the renovation market are increasingly available (see chapter 4). Unfortunately,the whole construction sector continued to shrink. The latest data suggests thatthe much-anticipated recovery has not yet arrived. Instead construction activityin Europe declined by 4,7 % in the 19 countries covered by Euroconstruct [1].

POLICY FRAMEWORKA direct link between official recognition and financial subsidies on the one handand market success on the other exists. The package of Directives and Regulations(see chapter 3) targeting the use of renewable energy as well as the efficiency ofenergy use in buildings and in products is currently in the process of finalisationand/or transposition into Member State legislation. Careful analysis shows anincreased acknowledgement of heat pumps as a helpful technology to achievethe targets set in these pieces of legislation. Based on this understanding, financialsupport schemes should be introduced to speed up market dissemination of allrenewable energy sources, heat pumps in particular. However the economicsituation moves this whish out of reach for the near future in many countries. Thefew exceptions will most likely not be powerful enough to propel the developmentspeed of the whole market.

A MARKET IN TRANSITIONIn summary, the future for heat pumps is still positive! However the current situationis characterised by transition with many of the foreseen benefits not yet unfolding:

� on a government level, in particular on the EU level, the precautions for asustainable, efficient and affordable future energy supply were taken in theform of the energy savings and climate package and subsequent legislation.Their implementation is currently underway both on the European, but evenmore on the Member State level. This process will take some additional time –2 to 5 years – to be fully completed.

� on the industry level, stakeholders are aware of government action andrequirements but are still missing the market draw for the related products. In

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Page 53: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

51European heat pump market statistics

particular some big players in the heating industry are waiting for the changeto surface in demand structures. Until then, they continue to provide and tosupport fossil fuel technologies.

� on the individual level, stakeholders understand the requirements ofgovernments but often feel that they can do little by themselves. A statementoften heard reflects this: “heat pumps are good for the environment, but theymust also make economic sense”. Market studies show that the consumergroup that makes purchasing decisions “because the product is good for theenvironment” is very limited (max. 10 %). If builders/owners decide fortechnologies that help governments to reach their national and EU targets,then they should be rewarded for this activity. As long as the individual is theonly one that bears the extra initial cost for sustainable technologies, he oftenmakes the wrong decision. Here, governments should be the ones stronglyinterfering to change the speed and direction of market developments.

5.2 | Overview on heat pump sales in 22 European markets

Over the past five years, the number of countries covered in the EHPA reports hasincreased constantly. Today, 21 European countries are included (in addition, theMaltese market is covered by a country report). To maintain a balance betweenthe trend derived from longitudinal data (available since 2005) and the broadermarket overview based on today’s markets covered, longitudinal data for 14countries will be illustrated separately in selected graphs.

THE NUMBERSAfter the severe decline in 2009 and the flat markets of 2010 and 2011, marketssaw another dent in 2012. Sales fell to between 679 302 (EU-14) and 755 043 (EU-21) units (see figure 5-2). Compared to 2011, the EU-14 countries saw a declineby 5,41 % and the EU-21 countries by 7,36 %. Due to the overall frameworkconditions, the editors dare to assess this as the eventual bottom of the downwardtrend that started in 2009. A detailed overview of sales data can be found in Table5-3. The total heat pump stock of units sold between 2005 and 2012 amounts to 5 453 643 units in the 21 markets covered. As some markets are not covered andheat pumps were also sold previous 2005, the real stock and thus the positiveeffect of heat pumps is bigger than presented here.

Figure 5-2: European heatpump market developmentin 14 and 21 countries from 2005 to 2012. Total accumulated sales: 5 453 643 units

419 620

536 031

606 161

799 902 726 698

714 560 718 134 679 302

731.803

802.584 814.996

755 043

0

100 000

200 000

300 000

400 000

500 000

600 000

700 000

800 000

2005 2006 2007 2008 2009* 2010 2011 2012

sum EU-14

sum EU-21 800 000 m su

m su

4-1EUm

1-2EUm

799 902

726 698 726 698

714 560 731.803

4 56 60 718 134 34

802.584 814.996

814.996

755 043

500 000

600 000

700 000

536 031

606 161

606 161

714 560

4 56 60 718 134 34

679 302 679 302 02

419 620

200 000

300 000

400 000

419 620

0

100 000

200 000

2005

2005 2006

2007 2008

2009*

2010 1 201

2012

Page 54: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Accumulated sales figures AT BE CH CZ DE DK EE* ES* FI*

Air/water 7 083 5 135 11 100 4 212 37 400 2 113 790 1 374 979

Water/water 1 029 0 400 70 2 800 0 0 511 0

Brine/water 4 724 1 418 7 900 2 250 16 800 3 072 1 200 0 12 953

Direct expansion/water 659 0 0 0 0 119 0 0 0 6

Others 0 0 0 12 2 600 0 0 0 0 9

Subtotal heating only 13 495 6 553 19 400 6 544 59 600 5 304 1 990 1 885 13 932

Air/air 115 0 0 0 0 0 0 0 0 0 0 1

Air/air + HX 0 0 0 118 0 750 0 0 0 0 3

Air/water 0 0 0 0 0 247 0 0 1 912

Air/water + HX 0 0 0 0 0 0 55 0 0 0 0 0 0 0 0 0 0 0 0 0 0 5

Others 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0

Subtotal exhaust air 115 0 0 118 0 997 55 0 1 912

Subtotal heating + Exhaust 13 610 6 553 19 400 6 662 59 600 6 301 2 045 1 885 15 844

Air/air* 0 38 140 0 0 0 0 0 507 906 0

- Air/air with heating function* 0 0 0 0 0 21 635 11 450 48 251 44 956

VRF/VRV 0 0 0 0 0 0 0 0 200

Subtotal heating and cooling 0 0 0 0 0 21 635 11 450 48 251 45 156

Subtotal space heating 13 610 6 553 19 400 6 662 59 600 27 936 13 495 50 136 61 000

Heat pump water heaters 3 884 2 757 2 097 0 10 700 0 0 282 0

Exhaust air 0 0 0 0 0 2 457 0 0 0 0 6 0 0 0 0 0 0 0 0 0 0 2

Subtotal sanitary hot water 3 884 2 757 2 097 0 10 700 2 457 0 282 0

District heating 0 0 0 0 0 0 0 0 1 0 0 0 9

Industrial heat pumps 0 0 0 0 0 0 0 0 5 0 0 0 0 0 0 0 0 1

Thermally driven heat pumps 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1

Total HP sold 2012 17 494 9 310 21 497 6 662 70 300 30 393 13 495 50 418 61 006

Total HP sold 2011 16 686 7 609 20 224 6 456 65 873 24 634 11 806 87 392 72 267

2011/12 evolution 5 % 22 % 6 % 3 % 7 % 23 % 14 % – 33 % – 16 %

2011/12 evolution, absolute numbers 808 1 701 1 273 206 4 427 5 759 1 689 – 24 974 – 11 261

52 European heat pump market statistics

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Hea

ting an

d co

oling –

hydr

onic

distrib

ution

Exha

ust a

irHea

ting an

d co

oling (air ba

sed

distrib

ution )

Sanita

ry

hot w

ater

Table 5-3: Heat pump sales in EU-21 countries (* numbers in grey listed for information only)

Page 55: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

FR* HU IE IT* LT* NL NO* PL PT* SE* SK UK sum sum 2011/12 EU-14 EU-21 evolution

54 214 177 886 12 801 195 2 954 2 806 1 680 521 6 384 392 14 455 157 812 167 651 – 0,69 %

2 517 184 17 1 311 5 1 324 0 679 0 18 120 0 9 469 10 985 24,29 %

2 371 109 462 408 445 3 936 3 211 4 100 39 24 502 145 2 294 85 660 92 339 – 13,01 %

658 0 0 0 0 0 0 342 0 0 0 0 1 436 1 778 23,64 %

902 0 0 0 0 526 0 0 0 0 0 0 4 040 4 040 – 5,65 %

60 662 470 1 365 14 520 645 8 740 6 017 6 801 560 30 904 657 16 749 258 417 276 793 – 4,40 %

0 0 19 0 0 0 0 95 0 0 0 0 115 229 – 68,59 %

0 35 0 0 0 0 0 0 0 0 11 0 868 914

0 1 0 0 0 0 316 60 0 9 203 0 1 050 12 728 12 789 – 30,00 %

0 0 0 0 0 0 0 0 0 0 0 0 55 55

0 0 0 0 0 0 0 0 0 0 0 0 0 0

0 36 19 0 0 0 316 155 0 9 203 11 1 050 13 766 13 987 – 26,38 %

60 662 506 1 384 14 520 645 8 740 6 333 6 956 560 40 107 668 17 799 272 183 290 780 – 5,75 %

333 775 27 0 0 0 27 625 0 160 55 227 0 94 0 416 627 962 954 – 56,03 %

31 709 0 0 92 800 0 0 60 959 0 5 247 55 000 0 0 323 755 372 006 – 10,20 %

14 795 189 0 10 939 0 0 91 0 2 267 0 15 0 28 292 28 469 – 30,23 %

46 504 189 0 103 739 0 0 61 050 0 7 514 55 000 15 0 352 047 400 502 – 84,86 %

107 166 695 1 384 118 259 645 8 740 67 383 6 956 8 074 95 107 683 17 799 624 230 691 282 – 9,48 %

34 900 5 5 0 0 270 0 5 600 458 0 11 70 52 379 61 039 30,34 %

0 6 0 0 0 0 0 0 0 0 0 0 2 457 2 463 2,24 %

34 900 11 5 0 0 270 0 5 600 458 0 11 70 54 836 63 502 28,97 %

0 0 0 91 0 0 0 0 0 0 0 0 92 92 15,00 %

0 0 0 0 0 0 0 0 139 0 9 0 144 153 – 40,93 %

0 0 0 0 0 0 0 12 0 0 2 0 0 14 – 60,00 %

142 066 706 1 389 118 350 645 9 010 67 383 12 568 8 671 95 107 705 17 869 679 302 755 043 – 7,36 %

139 518 866 1 228 127 819 597 9 330 83 458 10 640 14 788 106 775 530 18 500 718 134 814 996

2 % – 18 % 13 % – 7 % 8 % – 3 % – 19 % 18 % – 41 % – 11 % 33 % – 3 % – 5,41 % – 7,36 %

2 548 – 160 161 – 9 469 48 – 320 – 16 075 1 928 – 6 117 – 11 668 175 – 631 – 38 832 – 59 953

53European heat pump market statistics

Page 56: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

In absolute numbers (see figure 5-3), France is the market leader, followed by Italyand Sweden. Nearly 40 % of all heat pumps sold in Europe are sold in France andItaly, nearly 50 % are sold in the top 3 countries and more than 86 % are sold inthe top 9 heat pump markets. These top 9 markets include the top 3 as well asGermany, Norway, Finland, Spain, Denmark and Switzerland – all of them showingannual sales exceeding 20 000 units.

With regards to absolute change, no market reached growth of 10 000 units (seefigure 5-4). The aggregated numbers in all growth markets results amounts to 20 722 units. This was outnumbered by the number of all countries with a declinein sales – total aggregated losses amount to 80 675 units. The overall decline ofthe Scandinavian and Mediterranean markets resulted in a negative balance of59 953 units.

In absolute terms the highest annual sales decrease is noticeable in the case ofSpain with a decline of 24 974 units (– 33 %). On the positive side, the Danishmarket saw the highest growth with additional 5 759 units (+ 23,4 %) placed on themarket.

54 European heat pump market statistics

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Figure 5-3: Heat pump salesnumbers in 21 countries (* Includes sales of reversibleair/air heat pumps) 645

705 706 1 389

6 662 8 671 9 010 9 310

12 568 13 495

17 494 17 869

21 497 30 393

50 418 61 006

67 383 70 300

95 107 118 350

142 066

20 000 40 000 60 000 80 000 100 000 120 000 140 000 160 000

LT* SK HU IE

CZ PT* NL BE PL

EE* AT UK CH DK

ES* FI*

NO* DE

SE* IT*

FR*

SE*IT*

FR*

95 107

18 350 1

142 066

K UCH

K DES*FI*

NO* E D

17 869 21 497

30 393

50 418 61 006

67 383 70 300

67 383 70 300

* 8 671 9 010 9 310

12 568 13 495

PTNLBE PL

EE*ATK U

8 671 9 010 9 310

12 568 13 495

17 494 17 869

20 000

645 705 706 1 389

6 662

*LTSK HU

E ICZ

20 000 40 000

60 000 80 000

80 000 100 000

120 000 140 000

140 000 160 000

-25 000

-20 000

-15 000

-10 000

-5 000

0

5 000

10 000

DK DE FR* PL BE EE* CH AT CZ SK IE LT* HU NL UK PT* IT* FI* SE* NO* ES*

Sales growth

5 000

10 000

K E

000-5

0

5 000

D D

lSa

FR* PL BE EE*

ht

CH AT CZ SK

E * HU NLI LT

K ** SIT* FI* SU PTP

*SE* NO* N * E *ES*

0005-1

0000-1

000-5 elSa

htwrogs e

0005-2

0000-2

Figure 5-4: Change of heat pump sales in 21 countries in absolutenumbers

Page 57: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

On an individual country’s growth perspective no clear picture for the wholeEuropean market exists. More than half of the markets saw a positive growth (seefigure 5-5).

Three countries - Slovakia, Denmark and Belgium were exceeding 20 % withSlovakia reaching a plus of 33 % (+175 units), followed by Denmark (23,5 % | +5 759units) and Belgium (22,4 % | 1 701 units). Another four markets - Ireland, Estonia,Austria and Poland – grew by more than 10 %. Unfortunately the strong growth of these markets is taking place on the basis of a small installed stock – inconsequence, absolute numbers are not sufficient to overcompensate stagnationand even decline in the large maturing and developed markets.

A few of the larger markets like France, Switzerland and Germany are characterisedby stable single digit growth rates. Germany, Estonia, Denmark and Czech Republicgrew even faster in 2012 than in 2011. Even though Lithuania, Poland, France andBelgium show positive annual growth they are growing slower than in previousyears. Slovakia, Ireland and Austria successfully recovered from their decline in 2011.

55European heat pump market statistics

Figure 5-5: Change of heat pumps sales in 21 European countries2011 – 2012, sorted byannual growth 2011 – 2012

H-air/water 16%

H-ground/water 14%

Exhaust air 2%

Reversible air/air 49%

Reversible other 10%

Sanitary hot water 9%

H-air/water

H-ground/water

Exhaust air

Reversible air/air

Reversible other

Sanitary hot water

33%

23% 22% 18%

14% 13% 8% 7% 6% 5% 3% 2%

-3% -3% -7%

-11% -16%

-18% -19%

-33%

-41%

-50%

-40%

-30%

-20%

-10%

0%

10%

20%

30%

40%

50%

SK DK BE PL EE* IE LT* DE CH AT CZ FR* UK NL IT* SE* FI* HU NO* ES* PT*

2011-2012 2010-2011 3 33% 3

40%

50%

210-21102 2

110-2010

10%

23% 22%

20%

30%

2% % 18% %

14% 13% 8%

8% 7% % 7% 6% 6% 5% 3%

3% % 2%

%

S SK K K BE

0-3

%0-2

%0-1

0% D

BE E PL EE* E I

* E CH ATLT D

%K

%NL

%UCZ UFR* N%3

U-3

K %3-3NLK U

%3 %

T*

%

IT* E*SE* I* F U H

%%

7-7

%%1-1

%661-1%8-1 -1

N * NO O* *ESS* PT

%9-1

T

%0-5

%0-4

%0-3

%3-3

%1-4

Figure 5-6: Development ofsales by product category,2012 (EU-21); (* Includes sales of reversibleair/air heat pumps)

Page 58: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

The highest negative impact can be seen in the case of Portugal (– 41 % | 6 117units). On the other hand Spain, Finland, Italy and the Netherlands show a declinein 2012 after positive numbers in 2011. Portugal, Norway, Hungary and Swedenshow a market decline for the second year in a row, which (except for Sweden) iseven higher than in 2011.

Observing the Swedish market may be very important to assess the effects ofmarket maturity. Having been the leader of the pack for many years Sweden hasnow reached maturity in the new-build segment where nearly all new heatingsystems are heat pumps and additional growth is only possible in the renovationand large/industrial heat pump segments. These are yet to be developed to theirfull extent.

AIR: THE PREFERRED ENERGY SOURCE FOR EUROPE'S HEAT PUMPSAir (aerothermal), water (hydrothermal) and ground (geothermal) are acceptedand renewable energy sources for heat pumps. Air continues to be the mainenergy source (more than 85 %) used in the European heat pump markets. Theaerothermal heat pump segment is dominated by air/air (with heatingfunctionality) and air/water units used for heating and hot water production(sanitary hot water heat pumps | SHW).

The use of geothermal and hydrothermal energy has stabilised at around 100 000units (approx. 14 % of the market), air/water units are now comprising approx. 180 000 units for heating purposes and an additional 63 500 sanitary hot waterheat pumps. Air/air heat pumps comprise of the rest. The latter segment is themost volatile and thus responsible for both growth and shrinking of the Europeanmarkets in the years 2009 to 2012. Figure 5-7 illustrates this trend and shows thedifference between heat pump based systems using air (light blue) and water(darker blue) as heat distribution system. For the future, sales numbers for ground-coupled heat pumps are expected to remain stable, however due to an overallincrease in the market, driven by the employment of aerothermal solutions, theirshare is likely to decline even further. It should be noted that in terms of energyproduction, this graph is misleading, as an increasing number of geothermal andhydrothermal solutions fall in the category of large and very large systems withinstalled capacities in the MW range.

It is interesting to note that the use of air vs. ground also differs from country tocountry. The observed differences can only partly be explained by climatevariations. In general, aerothermal units are used in warmer climates where they

56 European heat pump market statistics

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

0

100 000

200 000

300 000

400 000

500 000

600 000

700 000

800 000

2005 2006 2007 2008 2009 2010 2011 2012

Air/air

Air (excl. air/air as from 2009)

Ground coupled

800 000 r/Ai

r Ai

r iar/

m rofs ar iar/ia.xcl(e

) 9002m

500 000

600 000

700 000 r Ai

roG

m rofs ar iar/ia.xcl(e

delpucodnuro

) 9002m

200 000

300 000

400 000

0

100 000

2005

2006 2007

2007 2008

2009 2010

2010 1 201

2012

Figure 5-7: Development of sales by energy source2005 – 2012 (EU-21)

Page 59: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

can also be used for cooling, while colder climates demand a more stable sourcetemperature and thus lead to a larger share of ground-coupled units. The fact thatthe general rule is not substantiated by available data suggests that other factorssuch as building standards, tradition and preference for a certain heat distributionmedium (air vs. water | hydronic heating) influence the selection of the heatingsystem and the related energy source (see figure 5-8).

SANITARY HOT WATER (SHW) HEAT PUMPS CONTINUE THEIR RENAISSANCEOnce again they are seen as an entry-level heat pump system to be combined withexisting boiler technology. In addition, they are an efficient solution for very low-to plus-energy buildings. In combination with smart grids their hydronic storagehelps to store surplus electricity. Thus it is no surprise to see that PV installers arestarting to offer a number of packages to the markets, including the combinationof PV and SHW heat pumps. On a legislation level (see chapter 3) minimumefficiency requirements have been developed under ErP, Lot 2. Compliance withthese values and their visual display on an energy label will be mandatory from2015 onwards and might trigger further growth in the future.

57European heat pump market statistics

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

AT BE CH CZ DE DK EE* ES* FI* FR* HU IE IT* LT* NL NO* PL PT* SE* SK UK

Share air-source

Share ground-source

11 253

21 594

13 840

28 518 29 323 31 558

50 917

63 502

0

10 000

20 000

30 000

40 000

50 000

60 000

70 000

2005 2006 2007 2008 2009 2010 2011 2012

60 000

70 000

63 502

40 000

50 000

60 000

50 917

20 000

30 000

21 594

13 840

13 840

28 518 28 518

29 323 31 558

31 558

0

35211 10 000

2005

2006

13 840

2007

2007

13 840

2008

2009 2010

2010 1 201

2012

Figure 5-8: Share of energyused per country, 2012

Figure 5-9: Development of sanitary hot water heat pump sales 2005 – 2012.Stock in 2012: 250 535 units

Page 60: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

58 European heat pump market statistics

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

MARKET PENETRATIONAs building statistics are not available for the purpose of evaluating market sharesfor all EU countries, the EHPA report presents the number of heat pumps sold asa function of 10 000 households based on Eurostat data. Not surprising, theScandinavian countries are still outstanding. The low penetration for all othercountries indicates that all markets in Europe have a large growth potential andthat mass markets have not yet been established. Especially in the large marketsof Italy, France, Germany and Spain, market penetration is still very low.

5.3 | Market segmentation

Heat pumps are an increasingly important sub-market in the much larger butstagnating market for heating, ventilation and air conditioning (HVAC). Thismarket can be distinguished into the segment of new buildings and that ofrenovation. In turn, both segments can be distinguished in residential and non-residential building classes (see table 5-4). All segments are characterised by quitedifferent development stati and potential:

1. The sub-segment for new residential one/two family houses is best developed.Markets like Sweden and Switzerland show a market penetration of 95 % and80 % respectively. In developing markets like Austria, Finland, France, Germanyor Norway heat pumps have reached a share greater than 25 %.

2. The sub-segment for renovation of one/two family houses is currently gainingimportance and is perceived as the most promising in the long run. Heat pumpshave reached a greater share (10 %) compared to all heat generators sold inseveral EU markets, namely Switzerland and Sweden, and notable marketshares (yet smaller than 10 %) in Austria, France, and Germany. An increasingnumber of heat pumps are now designed to reach up to 65 °C in order to moreeasily replace existing boilers. However if the user requires higher performance,the use of heat pumps in this segment still requires large extra investments innew windows, the heat distribution system and insulation.

3. The sub-segment for residential multi-family residencies is only developingslowly. Approx. 10 % of all heat pumps sold have a capacity of more than 20 kWoutput capacity, thus being suitable for this segment.

4. The sub-segment for non-residential buildings is characterised by individualprojects and is gaining importance. As large buildings often have a demand forheating and cooling alike, heat pump systems are increasingly used in an

48 20 72 15 18 130

238

29

239 52 2 8 47 5 17

306

16 35

277

6 9

344 51

497

71 119

540

1147

113

1902

343

9 30

420

17 102

2632

40

453

2612

24 45

0

500

1 000

1 500

2 000

2 500

3 000

AT BE CH CZ DE DK EE* ES* FI* FR* HU IE IT* LT* NL NO* PL PT* SE* SK UK

HP 2012 per 10 000 households

HP (05-12) per 10 000 households 2 500

3 000

2P H

(0P H

uoh00001r ep2102

h00001r ep) 2-15(0

s dlohseu

s dlohseuoh

2632

2612

2 000

2 500 (0P H

h00001r ep) 2-15(0

1902 1902

s dlohseuoh

1 000

1 500

497 540

7411

343

420

453

453

0 48 8 20 72

344 51

500

AT BE CH

1 9

CH

72 8 15 18

238

497

71 9130 11

CZ E D K D EE*

EE*

238 8

29

9 239 2 52 311

343

ES* FI* FR*

HU

2 7 8 47 5 9

30 17

E I IT* *LT

NL

17

6 306

5 16 35 102 40

453

NO* PL *PT

*

277 7

6 9

453

24 45

SE* SK K U

Figure 5-10: Heat pump salesper 10 000 households 2012(dark blue) and per 10 000households based onaccumulated sales2005 – 2012 (light blue)

Page 61: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

optimised comfort design approach. As investors do become increasinglysensitive for low operating costs and understand the contribution potential ofheat pumps, they more often ask for this technology.

New building Renovation

Residential: Mass market currently Increasingly recognized marketsingle/double developing. (France, Germany, Sweden, family house Switzerland), importance of

domestic hot water units increasing.

Residential: Small; market developing. Small, market developing.Multi-family residency

Non-residential Minority share in currently Increasingly important with owners(commercial) sold heat pumps. Several that value low operating cost.

demonstration projects Special application in sewage systemsavailable, potential for subways and tunnels. heating and cooling projects by far not exploited.

Within each sub-segment, heat pumps compete directly with establishedtechnologies. Depending on the required functionality (heating, cooling, domestichot water) competitors are gas-, oil- and coal-fired burners, direct electric heatersor biomass burners. Solar thermal collectors are increasingly integrated into heatpump systems. In markets requiring cooling functionality heat pumps do alsocompete with electric air conditioning and cooling devices. However, in thesemarkets a clear distinction between heat pumps used for heating and airconditioning devices that also use heat pump technology (but are optimised forcooling), is less and less appropriate as reversible air/air units are optimised for abroader temperature range to efficiently provide both functionalities.

Exhaust air/heat recovery heat pumps complement additional heat sources byproviding an efficient way of heat recovery to reduce energy losses to the building’sventilation system, thereby thus increasing the overall energy efficiency. Sanitaryhot water heaters are mainly sold in Germany and Austria. They see a strongincrease, as they contribute towards the legal obligation to cover a share of energydemand from renewable sources and are not only easy to employ in existingbuildings, but they also raise the awareness on what heat pumps can do in general.

The general development trend for most countries is based on an early adoptionof the segment for new residential one-family housing followed by the segmentfor renovation in this housing type. Part of the reason for this development comesfrom the fact that it is easier to convince individual investors of the benefits of

59European heat pump market statistics

Table 5-4: Market segmentsfor smaller units

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

AT BE CH CZ DE DK EE* ES* FI* FR* HU IE IT* LT* NL NO* PL PT* SE* SK UK

units >20kW

units < 20kW Figure 5-11: Heat pump sales by capacity class

Page 62: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

heat pumps than to convince project developers. As well, it is easier (and oftencheaper) to integrate heat pump technology into the planning of a new housethan to make the necessary adjustments to an existing building (stock).

A rough assignment of sales numbers to the above-mentioned classes can beachieved by an evaluation of sales by installed capacity. EHPA statistics distinguishestwo capacity classes: above and below 20 kWth. The majority of markets still showa strong dominance in smaller heat pumps. A larger share of 20 kW+ heat pumpsindicates the use of heat pumps in industrial applications or larger (residential)buildings. It would be expected that a shift towards larger heat pumps is an indicatorfor a developing market. Figure 5-11 shows data for sales by installed capacity for 16 countries.

5.4 | Keeping know-how and employment in Europe

The large majority of heat pumps is still developed, manufactured and installed inEurope. Manufacturers of heat pumps and components located in Europe thus notonly guarantee local employment but also keep a local skills base, not least bystrong cooperation with universities and research centres.

Based on the average sales price of different systems (again provided by thenational heat pump associations), the total value of the 2012 market was close to5 billion Euro (incl. VAT).

Shares in market volume were mainly stable: heat pumps connected to hydronicdistribution systems represent 61 % (+1 pp), exhaust air heat pumps 2 %, reversibleunits with a heating function 34 % (– 6 pp), and sanitary hot water units 3 % (+1 pp).

Based on the national VAT rates, this indicates total VAT generated by heat pumpsales of approx. 850 million Euro.

From an employment perspective the heat pump sector demands a well-educatedwork force in the areas of R&D, components and heat pump production, installers(including drillers) and staff for service and maintenance. Based on the number ofman-days needed to install the different types of heat pumps and based on expertestimates on turnover per employee, the total number of employees needed tomanufacture Europe's annual sales volume in 2012 is estimated at 40358 persons.

Figure 5-12 shows the shares of the employment categories for the Europeanmarkets, while figure 5-13 provides the employment figures equivalents to theman-years needed to provide the annual sales per country. It must be noted thatthe total number of people working with heat pumps is larger, as the approach

60 European heat pump market statistics

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Figure 5-12: Categories ofheat pump employment

19%

37%

32%

12%

Component manufacturing

Heat pump manufacturing

Installing of HP and heat source

Service and maintenance

12%

19%

C

ctafunmatnenompoC

gnriuct

32%

32%

37%

H

I

Se

ctafunmampuptaeH

dnaPHfognillastn

netnimadnacerviSe

gnriuct

rceusotaeh

cenan

37%

Page 63: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

taken here only calculates the number of man-years necessary to produce theannual sales volume! While the heat pump industry is spread across Europe andhas manufacturing sites in many countries, it is not distributed evenly. Thus thenumbers presented in figure 5-13 do not show the real employment in eachcountry but the number of man-years necessary to substantiate the respectivemarkets sales.

5.5 | A positive energy balance: efficiency and energy savings

Heat pumps can provide 100 % of heating and cooling using air, water and ground.All heat pumps installed in 2012 have provided 9,48 TWh of useful energy.

In doing so, they have replaced primary non-renewable sources by renewableambient energy. The use of air, water and ground leads to considerable savings ofCO2-emissions. Actual savings are calculated by comparing the emissions from aheat pump to those of a (replaced) gas-condensing boiler. For the heat pump,different efficiency assumptions are taken by category, for the gas boiler efficiencyis set at 85 % (upper heating value).

On average, the 755 043 heat pump units installed in 2012 save both final and

61European heat pump market statistics

Figure 5-13: Man-yearsrequired to substantiatesale per country, 2012 0

2 000

4 000

6 000

8 000

10 000

12 000

14 000

AT BE CH CZ DK DE EE* ES* FI* FR* HU IE IT* LT* NL NO* PL PT* SE* SK UK

12 000

14 000

8 000

10 000

12 000

4 000

6 000

0

2 000

AT BE CH CH CZ K D E D EE* EE* ES* FI* FR* HU E I IT* *LT NL NO* PL *PT SE* SK K U

INFOBOXFor the transformation from final to primary energy, a primary energyfactor (kWhth/kWhel) of 2,5 (eta=0,4)is used. This value is also used in theEnergy efficiency Directive and in the Ecodesign framework Directive.For comparability, it is maintainedhere. As the RES Directive is focussingon final energy and the use ofrenewables therein, the eta valueused differs! The latest official valuefor this factor applies to the EU powermix in 2011. It was calculated byEurostat to be approximately 2,2(eta=0,455). EHPA recommends to use the official Eurostat value in the future and to foresee regularrecalculation to accomodate for the greening of the electricity mix.

0,00

0,20

0,40

0,60

0,80

1,00

1,20

1,40

1,60

AT BE CH CZ DE DK EE* ES* FI* FR* HU IE IT* LT* NL NO* PL PT* SE* SK UK

Final energy savings (in TWh)

Primary energy savings (in TWh) 1,40

1,60

nelaniF

ry maPri

WTn(is gnvisay rgen

n(is gnvisay rgenery

) hW

) hWT

1,00

1,20

ry

(igy rgry

)

0,40

0,60

0,80

0,00

0,20

AT BE CH

CH CZ E D K D EE*

EE* ES* FI* FR* HU

HU E I IT* *LT NL

NL NO* PL *PT SE*

SE* SK K U

Figure 5-14: Final and primaryenergy savings from heat pumpsbased on sales 2012, per country(in TWh)

Page 64: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

primary energy. In relative terms they save more than 70 % in final energy andmore than 30 % in primary energy compared to the demand of a gas boilerproviding the same service. In absolute numbers, the heat pumps installed savedmore than 4,6 TWh of primary and 8,2 TWh of final energy. Using an average costof 7,5 eurocent per kWh of thermal energy provided by fossil fuels, the heat pumpsinstalled in 2012 will save its user base an additional 614 million Euro!

The stock of 5 453 643 units installed from 2005 to 2012 is saving more than 29,5 TWh of primary and 52 TWh of final energy. Again, using an average cost of 7,5 eurocent per kWhth, this means a savings of nearly 3,9 billion Euro annually(increasing each year!). This might only be small share in the light of more than408 billion Euro spent for energy imports per year. Nonetheless, using local energywith heat pumps instead of burning fossil fuels for decentralized heating will savemoney, which is currently spent for importing energy, at the same time retainingpurchasing power in Europe.

5.6 | Renewable energy provided by heat pumps

A basic methodology for calculating the RES share of the energy used for heatingand hot water production has been presented by the European Commission inMarch 2013 [2]. This method was established as a part of the RES Directiveimplementation and is supposed to be used by the statistics offices of all MemberStates. It provides rather conservative factors for the calculation of the usefulenergy provided by heat pumps as well as for their seasonal efficiency. TheCommission suggests that Member Statues develop more realistic values based ona robust national approach, whereby local conditions are taken into consideration.

EHPA welcomes this development. However as there are still open issues with thenew method, in particular the rather low default SCOP values, the group of editorsdecided to use the established method for the calculation of the renewable shareprovided by heat pumps. This is deemed to be important to ensure comparabilitywith previous reports. The association will prepare a comparison between theofficial and the industry method and make this available to the Commission.

The EHPA approach can be summarised as follows:

The calculation uses average efficiency values of state-of-the-art heat pumps andassumes a general installed capacity for residential installations. This is a cautiousapproach taking into consideration that approximately 10 % of all installed unitshave a capacity larger than 20 kW and both industrial and commercial applicationsusually have much larger capacity and often a better efficiency. As a result, thecalculated contribution is on the low side of a possible development trajectory.

As introduced in 2010, the split in three climate zones has been maintained forsimplicity of calculation. Tables 5-5, 5-6 and 5-7 provide values use for installedcapacity, average operating hours | Qusable-factor and SPF values, respectively.

Installed cap. Cold Average Warm

Air/water 15 12 8

Water/water 12 14 8

Brine/water 12 10 10

Dir. expansion/water or dir. condensation 12 10 8

Dir. exp./dir. cond. 12 10 8

Exhaust air HP 2 2 2

Sanitary hot water 3 3 3

Reversible HP 3 0 3

62 European heat pump market statistics

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Calculation is based on the following assumptions:(1) Calculation formula:

ERES = Qusable * (1 – 1/SPF).(2) SPF > 1,15 * 1/eta – with eta

(2011) of 0,455 for the efficiency of electricity conversion in the EU in 2011.This is the most recent Eurostat value and results in a minimum SPF of 2,53

(3) Qusable = Installed capacity(kW) x Qusable-factor (hrs) per year

(4) Assumed capacity as listed in table table 5-5

(5) assumed full load hours (Qusable-factor) as listed in table 5-6

(6) assumed SPF values as listed in table 5-7

Table 5-5: Installed capacityper buildings for differenttypes of heat pumps,distinguished by climate zone.These are indicative values.EHPA is using a more detailedset of data for calculation.

Page 65: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Qusable-factor Cold Average Warm

Air/water 2 500 1 500 1 000

Water/water 3 500 1 600 1 150

Brine/water 3 500 1 600 1 150

Dir. expansion/water or dir. condensation 3 500 1 600 1 150

Dir. exp./dir. cond. 3 500 1 600 1 150

Exhaust air HP 0 0 0

Sanitary hot water (SHW) 1 000 1 000 1 000

Reversible HP 2 500 1 500 1 000

SPF values Cold Average Warm

Air/water 3,00 3,00 3,00

Water/water 3,50 3,50 3,50

Brine/water 3,70 3,70 3,70

Dir. expansion/water or dir. condensation 3,70 3,70 3,70

Dir. exp./dir. cond. 3,70 3,70 3,70

Exhaust air HP 3,00 3,00 3,00

Tap water HP (DHW) 3,00 3,00 3,00

Reversible HP 3,00 3,00 3,00

A special precaution has been taken for exhaust air heat pumps and for reversibleair/air heat pumps installed in Southern France, Italy, Spain and Portugal.

EXHAUST AIR HEAT PUMPSExhaust air heat pumps use aerothermal energy. Part of the energy used comes froma re-use (via heat exchangers) of indoor air, part of it comes from outdoor air that isdrawn into the building. Initial analysis shows that 30 % to 50 % of the energy usedcomes from outdoor air. In order to provide (yet again) a cautious estimate, thecontribution from exhaust air heat pumps is generally weighted with a factor of 0,3.

REVERSIBLE AIR/AIR HEAT PUMPS INSTALLED IN WARM CLIMATESAs described earlier, a large number of reversible air/air heat pumps are installed inEurope. In Scandinavian and Baltic climates, their use for heating is simply assumedon the basis of the prevailing cold climate. For southern Europe a different approachhas been taken. It is based on a study done for the Italian market to determine thetype of heating systems used. This study has revealed that in 9,5 % of the cases,heat pumps were the only installed heat generator. This figure has been applied tothe number of reversible heat pumps sold. Additional information from the salesstatistics shows that 52 % of all heat pumps are sold in southern Italy and 48 % aresold in the Northern part. Based in field data it is assumed that in Northern Italy, 50% of the energy provided by a heat pump is used for heating and 50 % for cooling.In Southern Italy, a 90 % for cooling and 10 % heating is assumed. For France, it isassumed that on average, 9,5 % of the air/air units are used with a heating purpose,providing approximately 50 % of heating services.

Northern Southern Central/ Southern Spain, FranceItaly Italy Northern Spain, Costal areas

Portugal

Heat pumps 9,5 % 9,5 % 9,5 % 9,5 % 9,5 %as only heat generator

Share of installed 48 % 52 % 50 % 50 % 100 %units

Energy used 50 % 10 % 50 % 10 % 50 %for heating

63European heat pump market statistics

Table 5-6: Qusablehoursfor different types of heat pumps, distinguishedby climate zone

Table 5-7: SPF assumptionsfor Europe, distinguished byclimate zone

Table 5-8: Distribution of heatpumps and contribution toheating in Southern Europeanmarkets

Page 66: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

The values presented in table 5-8 are applied to air/air heat pumps sold in France,Italy, Spain, Portugal and Spain, affecting the calculations for RES and GHGemissions savings.

Reversible heat pumps connected to hydronic systems are always counted. VRFsystems are counted, as they are specifically designed for heating and cooling. 90 % of the declared sales number are included in the EHPA statistics to allow fordeviations from declared use. For RES contribution and GHG savings, they areweighted with a factor of 50 %.

Figure 5-15 shows – based on the presented assumptions – all heat pumps installedin 2012 (for the EU-21 area) provide a total of 6,22 TWh of renewable thermalenergy.

In terms of accumulated data, a total of 5 394 873 heat pumps installed in 21European countries contribute 41,08 TWh of renewable energy to the overall finalenergy demand for heating (table 5-9). Figure 5-14 also shows that the major partof the contribution results from units using air as heat source. This is still true,when only analysing those heat pumps that were designed for heating. Howeverthe contribution from GSHP is as stable as its sales data.

5.8 | Contribution to emission savings by heat pumps

Actual CO2-emission savings are calculated by comparing the emissions from aheat pump to those of a (replaced) gas condensing boiler. Parameters used are:eta for gas: 85 %, emission value for gas: 242 g/kWhth and emission value forelectricity: 334g/kWh, a value that represents the EU-27 average for 2020 (Source:Gemis 4.7 | El-KW-Park-EU-27-2020 (PRIMES)). For heat pump seasonal efficiency,the values from table 5-7 were used.

The results must be considered (again) as a cautious estimate, as in reality, notonly gas but also oil boilers as well as coal boilers and direct electric heatingsystems are replaced. All of them have higher emissions than a gas boiler per kWhof thermal energy and thus the heat pump benefits calculated are lower than to

64 European heat pump market statistics

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Figure 5-15: Renewablethermal energy providedper country, by type, 2012(in TWh)

Table 5-9: Renewableenergy provided by heatpumps installed in 2012 and cumulated value for all units installed from2005 – 2012 (in TWh)

0,00

0,20

0,40

0,60

0,80

1,00

1,20

1,40

AT BE CH CZ DE DK EE* ES* FI* FR* HU IE IT* LT* NL NO* PL PT* SE* SK UK

Reversible air/air & VRF Reversible other Sanitary hot water HP (SHW) Exhaust air HP Air-water GSHP

1,20

1,40 brsiveeRbrsiveeR

ry atinSa

FVR& r iar/iaelr ehtoel

) W) (SHPHr etawtoh

)

0,80

1,00

1,20 astuaExhr etar-wAi

PSHG

PHr iar

0,40

0,60

0,00

0,20

AT BE CH

CH CZ E D K D EE*

EE* ES* FI* FR* HU

HU E I IT* *LT

NL NO* PL *PT

SE* SK K U

AT BE CH CZ DE DK EE* ES* FI* FR* HU IE IT* LT* NL NO* PL PT* SE* SK UK Total

RES contribution 0,19 0,09 0,27 0,09 0,81 0,26 0,16 0,07 0,77 0,68 0,01 0,02 0,31 0,02 0,16 0,68 0,10 0,04 1,16 0,01 0,25 6,222012 (TWh)

RES contribution 1,27 0,24 1,98 0,43 5,49 1,00 0,61 0,19 4,40 7,12 0,02 0,07 1,09 0,05 0,66 4,48 0,27 0,12 10,56 0,03 1,01 41,082005–2012 (TWh)

Page 67: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

be expected in reality. In addition, the replacement speed of oil boilers is mostlikely higher than that of gas boilers, as the cost advantage of heat pumps ishigher, when oil boilers are replaced.

The total contribution to CO2equ-emission savings from all heat pumps installedin the EU-21 region in 2012 has reached 1,71 Mt in 2012 (see table 5-10 | figure 5-15).All heat pumps installed from 2005–2012 contribute more than 10,87 Mt. Theincrease over data documented last year is largely influenced by a change in theemission factor from 400 g/CO2-equiv per kWhel (as documented by GEMIS 4.6 for EU-25 in 2010) to 334 g/CO2-equiv per kWhel (as documented by GEMIS 4.7 forEU-27 in 2020).

In summary, table 5-11 shows the savings achieved by all heat pumps sold in 2012,in the period from 2005 – 2012 and in the total period from 2005 to 2020. As thistime period is shorter than the expected average lifetime of a heat pump, nocorrections for heat pump replacement were made.

Accumulated values 2012 2005–2012 2013–2020 2005–2020

Installed capacity (GW) 5,66 35,62 82,32 117,94

Energy provided (Qusable, TWh) 9,48 59,90 131,72 191,62

RES integration (TWh) 6,22 41,08 90,00 131,08

GHG emission savings (Mt) 1,71 10,87 23,57 34,43

Final Energy saved (TWh) 8,19 51,95 113,24 165,19

Primary energy saved (TWh) 4,61 29,54 50,65 80,20

Number of units sold (#) 755 030 5 394 873 9 137 583 14 532 456

The total number shown in this graph is slightly lower than the number of heatpumps sold due to corrections made for units that could not be included in theimpact calculation on RES, GHG and energy savings.

65European heat pump market statistics

0,00

0,05

0,10

0,15

0,20

0,25

0,30

0,35

AT BE CH CZ DE DK EE* ES* FI* FR* HU IE IT* LT* NL NO* PL PT* SE* SK UK

Reversible air/air & VRF Reversible other Sanitary hot water HP (SHW) Exhaust air HP Air-water GSHP

0,30

0,35 brsiveeRbrsiveeR

ry atinSastuaExh

FVR& r iar/iaelbr ehtoelb

W(SHP Hr etawtohP Hr ia

) W)

0,20

0,25

0,30 stuaExhr etar-wAi

P SHG

P Hr iar

0,10

0,15

0,00

0,05

AT BE CH

CH CZ E D K D EE*

EE* ES* FI* FR*

HU E I IT* *LT

NL NO* PL *PT

SE* SK K U

Figure 5-16: Greenhouse-gasemissions savings (2012, inMt); EU-21

Table 5-10: Greenhouse gasemission savings from theuse of heat pumps installedin 2012 and cumulated valuefor all units installed from2005 – 2012 (in Mt)

AT BE CH CZ DE DK EE* ES* FI* FR* HU IE IT* LT* NL NO* PL PT* SE* SK UK Total

2012 0,05 0,02 0,07 0,02 0,21 0,07 0,04 0,02 0,20 0,25 0,00 0,00 0,10 0,00 0,04 0,18 0,03 0,01 0,31 0,00 0,06 1,71

2005–2012 0,33 0,06 0,52 0,11 1,45 0,26 0,16 0,05 1,15 1,91 0,01 0,02 0,30 0,01 0,17 1,17 0,07 0,03 2,79 0,01 0,26 10,87

Table 5-11: Consolidatedcontribution of heat pumps ina nutshell: Energy production,RES share, primary and finalenergy savings as well as GHG emissions reduction2005 – 2020

Page 68: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

5.7 | Outlook for 2014

Looking back one year, manufacturers were quite positive. Based on convincingsales for Q1 and Q2 of 2012, they expected slight growth. Unfortunately, the yeardid not end according to these expectations and most market players had torecord a loss.

2013 started on a similar positive tone. Many manufacturers report a positivedevelopment – reported sales numbers have exceeded the ones of Q1 of 2012 inmany important markets – and the statement of "hitting the bottom of economicdevelopment" is heard increasingly often. From a helicopter perspective thestatistics team does also dare to have a positive outlook. A number of laws thatshould provide a sales drive to heat pump technology will be passed on the EU-level and implemented on the Member State level. It must be repeated however,that growth is much too small to come close to the targets the Member Stateshave set themselves with regards to the heat pump technology. The latestrenewable energy progress report by the European Commission argues that heatpumps will miss their RES 2020 target by not less than 70,9 %, the highest shortfallof all technologies [3]. Hence, the most important message to policy makers mustbe re-stressed: a small growth (10 % or less) is not sufficient to reach the 2020targets for the RES contribution from heat pump technology.

Sources

[1] Euroconstruct (2012): European construction industry: no speedy recovery in sight. Download at www.euroconstruct.org/pressinfo/pressinfo.php

[2] European Commission (2013a): Commission decision on establishing the guidelines for Member States on calculating renewable energy from heat pumps

[3] European Commission (2013b): Renewable energy progress report

66 European heat pump market statistics

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Figure 5-17: Sales outlook2013

419 620

536 031

606 161

799 902

726 698 714 560 718 134 679 302

718 134 731 803

802 584 814 996

755 043

814 996

0

100 000

200 000

300 000

400 000

500 000

600 000

700 000

800 000

2005 2006 2007 2008 2009* 2010 2011 2012 2013e

sum EU-14

sum EU-21

800 000

4-1EUm su

726 698

799 902

726 698 60 714 560

731 803 802 584

718 1 34

802 584 814 996

755 043

718 134 34

755 043

814 996

500 000

600 000

700 000

536 031

606 161

1-2EUm su

606 161

679 302 679 302 30

679 302

419 620

200 000

300 000

400 000

419 620

0

100 000

200 000

2005

2005 2006 2007

2007 2008

2009* 2010

1 201 2012

2012 2013e

Page 69: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

67Focus reports on selected European markets | XXXXXXXXX

Focus reports on selected European markets6

Chapter 6 provides an in-depth coverage of selectedmarkets in Europe. The individual country reports aimat giving the reader information on the frameworkconditions of the heating market in each country ingeneral and on the developments in the marketsegment for heat pumps in particular. The focusreports have been provided by the national editors.

Page 70: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Focus reports on selected European markets | Austria

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

68

6.1 Austria

KEY FACTSPopulation [1] 8 443 018Area 83 871 km2

GDP/capita (2011) [2] € 33 300Capital Vienna

Number of single/two-family houses [3] 1 557 420Number of dwellings in multi-dwelling buildings [4] 203 547 Number of non-residential buildings [5] 282 257New construction of single/two family houses 5 dwellings /

1 000 inhabitants in 2002

Average heat demand single/two family house 20 –25 MWh/year

Share of RES in final consumption of energy (2010) [6] 30,9 %Binding target for the use of renewable sources by 2020 34 %GHG emissions reduction (non ETS) in 2011 [7] – 11,7 %GHG emissions reduction target (non-ETS) by 2020 – 16 % (compared to 2005)

National emission factor (CO2/kWhelectricity) 2010 [8] 188 g

Energy mix gross electricity generation 2010 2011Fuel TWh Share TWh Share

Gas 16,1 22,6 % 14,3 21,8 %

Petroleum products 1,3 1,8 % 1,0 1,5 %

Solid fuels 4,9 6,9 % 5,4 8,2 %

Nuclear

Renewables 48,2 67,8 % 44,4 67,6 %

Other 0,6 0,8 % 0,6 0,9 %

Total 71,1 100 % 65,7 100 %

Energy Prices €/kWh

Electricity 0,20

Electricity for heating purposes 0,13

Heating oil 0,10

Domestic Gas 0,07

Pellets (sack delivery) 0,06

Pellets (bulk delivery) 0,05

District heating 0,09

PRESENT MARKET SITUATIONIn Austria the strong growth of the heat pump sector, which had commenced itsrecent run in 2000, came to an end in 2009 and continued to decline in 2010.

In 2011 the market rose again and was very positive, total sales increased by 5,1 %. In 2012 the market increased again and the total sales of all heat pumps (domestic

Table 6.1-1: Electricity mixfor Austria 2010 – 2011 [9]

Table 6.1-2: Energy prices inAustria [10 – 14] (average endconsumer prices includingdistribution and taxes)

Page 71: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

69Focus reports on selected European markets | Austria

market & export) were up by 9,8 %, reaching a total of 27 754 units. This increaseis due to a heavy boom in the power class until 20 kW (+14,0 %). The domesticmarket in this section rose by 12,7 % and the export market grew by 16,6 %.

The domestic market for heat pumps had a total sales volume of 17 494 units. Sothe slight decrease of 2011 turned around into an increase for 2012, as you can seein figure 6.1-1.

Compared to 2011 the export market for heat pumps increased by 15,0 % in 2012.8.570 heat pumps were exported into foreign countries. A slight decline in the year2011 was changed into a strong increase.

Heat pumps are assumed to have a life span of about 20 years. With this in mindit can be estimated that the current installed base in Austria at the end of 2012 isof the order of 194 091 units (see figure 6.1-2).

0

2 000

4 000

6 000

8 000

10 000

12 000

14 000

16 000

18 000

20 000

0

20 000

40 000

60 000

80 000

100 000

120 000

140 000

160 000

180 000

200 000

Space heating

Water heating

Space heating

Water heating

Figure 6.1-1: Austrian heatpump market development2005 – 2012 (domesticmarket, excl. a/a units)

Figure 6.1-2: Austrian heatpump market development1975 – 2012 (domesticmarket, excl. a/a units)

Page 72: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13 MARKET TRENDSIn the average power class (20 kW – 80 kW) the year 2012 saw a slight downwardhome market (– 1,6 %) and with + 11,7 % a strong growing export market. The totalsales of this power range increased compared to the previous year by 6,9 %, whichmeans that 2 589 systems had been sold.

In the high power class (>80 kW) there was a further decrease, just like in theprevious years. Compared to 2011 the sales decreased by 8,6 % in the home marketand 21,6 % in the export market. The total sales of heat pumps in this marketsegment decreased by 18,8 %, which means that 130 units had been sold.

The total turnover of hot water heat pumps increased by 1,0 %. 5 460 hot waterheat pumps had been sold in 2012. In the home market there was a decline of 6,2 % but the export market there increased by 24,2 %.

The total sales of exhaust air/air heat pumps shows a decrease compared to theprevious year of 2,8 %. There is still some data missing, but there is an expectedtotal sales of 546 heat pumps.

In summary, it can be stated that in the year 2012 there was a rather large increaseof total sales of space heating heat pumps (+9,4 %) and a decrease of total sales ofhot water heat pumps (– 9,3 %). This results in a heavy rise of the total sales of allheat pumps, no matter which kind or power class, of 4,8 % on the domestic market.

Progression of the home market sorted by performance class and typesThe power segment until 20 kW saw a strong increase of 12,7 % in the domesticmarket in the year 2012. For the power segment 20 – 80 kW there was a smalldecrease of 1,6 % and the high power segment decreased by 8,6 %.

The long lasting trend towards air/water heat pumps continued, with a boom inthe small and medium power class. Slightly more than every second heat pumpsold was an air/water heat pump (52 % of the market, excl. SHW heat pump sales).Apart from air/water systems a significant growth in the market in 2012 can onlybe stated for water/water heat pumps. The growth across all power classes of thisheat pump type reached 4,1 %. Brine water and direct evaporation heat pumpshad to bear a strong decline of the total home market. The total sales of brinewater systems decreased by 3,6 % and for direct evaporation by 6,3 %.

The home market growth of the year 2012 is thus mainly due to the additionalsale of air/water heat pumps (see figure 6.1-3).

0

2 000

4 000

6 000

8 000

10 000

12 000

14 000

16 000

18 000

20 000

2009 2010 2011 2012

Sanitary hot water

Exhaust air

Direct expansion/water

Brine/water

Water/water

Air/water

Figure 6.1-3: Austrian 2009 – 2012 market by type of heat pump (domestic market)

Focus reports on selected European markets | Austria70

Page 73: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Table 6.1-4: Energyperformance requirements in Austria [15]

Heat pump type 2009 2010 2011 2012 2011/2012 evolution

Air/water 4 501 4 412 5 399 7 083 31,2 %

Water/water 1 192 1 111 988 1 029 4,1 %

Brine/water 5 083 4 577 4 899 4 724 – 3,6 %

Direct expansion/water 937 794 703 659 – 6,3 %

Exhaust air 573 578 450 115 – 74,4 %

Sanitary hot water 5 852 5 490 4 247 3 884 – 8,5 %

Total Units Sold 18 138 16 962 16 686 17 494 4,8 %

ENERGY PERFORMANCE REQUIREMENTS

New buildings Existing/renovated buildings

General information

Quantity expressing energy performance

Maximum energy demand Maximum energy demand

Energy type if applicable Useful energy Useful energy

End uses considered Heating (all building types)Cooling (non-residential)

Heating (all building types)Cooling (non-residential)

Units kWh/m2 per year for residentialkWh/m3 per year for non-residential

kWh/m2 per year for residentialkWh/m3 per year for non-residential

Requirements in detail

Single Family Houses 66.558.5 for buildings with ventilation system with heat recovery

87.579.5 for buildings with ventilation system with heat recovery

Apartment Blocks 66.558.5 for buildings with ventilation system with heat recovery

87.579.5 for buildings with ventilation system with heat recovery

Offices 22.7520.75 for buildings with ventilation system with heat recovery1 for cooling

3028 for buildings with ventilation system with heat recovery2 for cooling

Educational Buildings 22.7520.75 for buildings with ventilation system with heat recovery1 for cooling

3028 for buildings with ventilation system with heat recovery2 for cooling

Hospitals 22.7520.75 for buildings with ventilation system with heat recovery1 for cooling

3028 for buildings with ventilation system with heat recovery2 for cooling

Hotels & Restaurants 22.7520.75 for buildings with ventilation system with heat recovery1 for cooling

3028 for buildings with ventilation system with heat recovery2 for cooling

Sports facilities 22.7520.75 for buildings with ventilation system with heat recovery1 for cooling

3028 for buildings with ventilation system with heat recovery2 for cooling

Wholesale and retail trade 22.7520.75 for buildings with ventilation system with heat recovery1 for cooling

3028 for buildings with ventilation system with heat recovery2 for cooling

Table 6.1-3: Sales of heat pumps in Austria2009 –2012 (domestic market)

71Focus reports on selected European markets | Austria

Page 74: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13 POLICY RECOMMENDATIONSThe requirements regarding the seasonal performance factor being higher than 4 (>4) are too ambitious. With a reduction of the requirement by 10 % the marketshare of heat pumps in the huge renovation sector could increase up to a share of 25 %. Adaption of the Austrian subsidy policy Expansion of the research and development grants Adaption of the conversion factor for electricity to the real Austrian

electricity mix

Sources

[1] 2012 Demographic balance and crude rates, Eurostat: www.epp.eurostat.ec.europa.eu[2] 2012 GDP at current prices per inhabitant, Eurostat: www.epp.eurostat.ec.europa.eu[3] Statistik Austria: Gebäude- und Wohnungszählung 2001.[4] Statistik Austria: Wohnbautätigkeit 2002, Wien 2004.[5] Statistik Austria: Gebäude- und Wohnungszählung 2001.[6] 2011 Share of renewable energy in gross final energy consumption,

Eurostat: www.epp.eurostat.ec.europa.eu [7] National Reform Programme Austria, Federal Chancellery Austria, 2013.[8] CO2 emissions from fuel combustion – highlights, Ed. 2012,

IEA Statistics: www.iea.org/publications/freepublications/publication/ [9] EU Energy in figures – Statistical pocketbook 2013:

http://ec.europa.eu/energy/observatory/statistics/statistics_en.htm[10] BMWFJ, Strompreismonitor.[11] Enamo GmbH, tarif for heat pumps, average April 2012.[12] BMWFJ, Treibstoffpreismonitor.[13] BMWFJ, Gaspreismonitor.[14] Verein proPellets Austria.[15] BPIE – June 2013: www.buildingsdata.eu/bpie-data-hub [16] IWO Österreich.[17] The sales data for the year 2010 was adjusted, as the underlying official data

of the Austrian authorities contained a double count that was corrected during the 2011 data acquisition process.

Focus reports on selected European markets | Austria72

Page 75: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

73Focus reports on selected European markets | Belgium

6.2 Belgium

KEY FACTSPopulation [1] 11 094 850 Area 30 500 km2

GDP/capita [2] € 30 500Capital Brussels

Number of family houses [3] 3 466 236Number of multi-dwelling houses [3] 165 986Number of dwellings in multi-dwelling buildings [3] 1 195 945Number of newly-built non-residential buildings in 2012 [3] 4 522Total number of non-residential buildings [3] 782 264

Share of RES in final consumption of energy (2011) [4] 4,1 %Binding target for the use of renewable sources by 2020 13 %

National emission factor (CO2/kWhelectricity) 2010 [5] 220 g

Energy Mix gross electricity generation 2010 2011Fuel TWh Share TWh Share

Gas 33,2 34,9 % 27,4 30,4 %

Petroleum products 0,4 0,4 % 0,3 0,3 %

Solid fuels 4,2 4,4 % 3,4 3,8 %

Nuclear 47,9 50,4 % 48,2 53,4 %

Renewables 7,9 8,3 % 9,6 10,6 %

Other 1,5 1,6 % 1,3 1,4 %

Total 95,1 100 % 90,2 100 %

Energy Prices €/kWh

Electricity 0,22

Heat pumps (useful energy price) 0,07

Heating oil 0,09

Gas 0,08

It should be noted that Belgian consumers have the possibility to obtain reducedelectricity prices during off-peak hours.

PRESENT MARKET SITUATIONAir/air heat pumps, mainly in non-residential buildings, dominate the Belgianmarket. Figure 6.2-1 shows the heat pump market development in Belgium from2009 – 2012. The use of heat pumps for space heating in new residential buildings(ground coupled and air/water heat pumps) is becoming more and more populareven if the heat pump market share remains low (10 %) as showed in figure 6.2-2.Due to the more demanding EPBD targets every year, there is an increase in heatpump installations in new buildings, as it becomes more and more difficult toobtain the necessary “E-level*” levels without the use of renewable technologies.

The renovation market is emerging as a promising sector, although marketpenetration still remains rather low. One of the reasons is the high gas gridconnectivity.

Table 6.2-1: Electricity mixfor Belgium 2010 – 2011 [6]

Table 6.2-2: Energy prices in Belgium 2010. [7] (average end consumerprices including distributionand taxes)

(*) In 2006, the E-level wasintroduced. All new residentialbuildings, schools and officeshad to have a maximum E-levelof 100. In the beginning 2010 the requirement was adjusted:E80 for residential buildings. For new buildings with abuilding permission from01/01/12, the level became E70,together with a newrequirement for the generalinsulation level from K45 to K40.From 01/01/14 the requirementwill be E60.

Page 76: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

74 Focus reports on selected European markets | Belgium

The main barriers, which hinder market development for heat pumps in Belgium,are the relatively high electricity prices and investment costs, the relativelyconservative behaviour on behalf of consumers and the lack of ongoinggovernment support and promotion. The high electricity prices limit the potentialeconomic gains for end users and as a consequence the market remains verysensitive to changing oil and gas prices.

MARKET TRENDSHeat pump type 2009 2010 2011 2012 2011/2012

Air/water 602 2 277 4 631 5 135 10,9 %

Geothermal 426 902 1 300 1 418 9,1 %

Sanitary hot water 600 1 011 1 678 2 757 64,3 %

Total Units Sold 2 202 4 577 7 667 9 310 21,4 %

Please note “Geothermal” contains all geothermal heat pumps (brine/water, water/water and dx/water).

COSTSPrices of heat pump units (for an average family house with heat losses around 10 kW):

Air/air Air/water Ground source

Euro 7 500 10 500 16 000 – 20 000

DISTRIBUTION CHANNELSThe main heat pump manufacturers have their own distribution facilities inBelgium. They generally offer education programmes for installers. Some brandsare distributed to installers by HVAC systems wholesalers, while in some casesinstallers propose tailor-made solutions that are configured on site.

INDUSTRY INFRASTRUCTUREAll the key heat pump actors are present in Belgium (heat pump producers, heatpump component manufacturers, distributors, engineering companies, installers,drillers). However, there is no indigenous Belgian heat pump brand. In some cases,collaboration between foreign heat pump producers and Belgian componentmanufacturers or exclusivity contracts lead to the creation of specific products or

Table 6.2-3: Sales of heat pumps in Belgium2009 – 2012

Figure 6.2-1: Belgian heatpump market development2009 – 2012 (excl. a/a units) 0

1 000

2 000

3 000

4 000

5 000

6 000

7 000

8 000

9 000

10 000

2009 2010 2011 2012

S

Space heating

Water heating

Table 6.2-4: Average heat pump unit prices(price for end user,installation costs included,heat distribution excluded)

Page 77: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

75Focus reports on selected European markets | Belgium

Figure 6.2-2: Heat pumpsin operation in Belgium(installed since 2009,excl. a/a units) 0

5 000

10 000

15 000

20 000

25 000

2009 2010 2011 2012

S

Space heating

Water heating

Figure 6.2-3: Belgian2009 – 2012 market bytype of heat pump 0

1 000

2 000

3 000

4 000

5 000

6 000

7 000

8 000

9 000

10 000

2009 2010 2011 2012

Sanitary hot water

Exhaust air

Direct expansion/water

Brine/water

Water/water

Air/water

integrated services sold under a Belgian brand. Some installers also offer tailor-made heat pump systems and solutions.

Up until now, there has been no test centre offering standard performancemeasurement and certification services. Some universities and high schools areinvolved in research activities and quality procedure settlements.

NATIONAL INDUSTRY ASSOCIATIONSThe heat pump sector is organised in two regional heat pump platforms(Warmtepomp Platform WPP – Flanders, Plateforme Pompes à Chaleur –Wallonia). The total number of members is approximately 120 (installers,importers, distributors, drillers, engineering companies). Each platform isintegrated into a regional Renewable Energy Association (ODE – Flanders, RBF –Wallonia). Both platforms collaborate together at national level. The twoplatforms have set up national working groups dealing with product quality andeducation matters.

Sources

[1] 2012 Demographic balance and crude rates, Eurostat:www.epp.eurostat.ec.europa.eu

[2] 2012 GDP at current prices per inhabitant, Eurostat:www.epp.eurostat.ec.europa.eu

[3] Statbel http://statbel.fgov.be/nl/statistieken/cijfers/economie/bouw_industrie/gebouwenpark/

[4] 2011 Share of renewable energy in gross final energyconsumption, Eurostat:www.epp.eurostat.ec.europa.eu

[5] CO2 emissions from fuel com-bustion – highlights, Ed. 2012,IEA Statistics: www.iea.org/publications/freepublications/publication/

[6] EU Energy in figures – Statistical pocketbook 2013: http://ec.europa.eu/energy/observatory/statistics/statistics_en.htm

[7] Renouvelle – December 2012:http://www.renouvelle.org/

[8] BPIE – June 2013: www.buildingsdata.eu/bpie-data-hub

Page 78: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

76 Focus reports on selected European markets | Belgium

TRAINING AND CERTIFICATIONEducation centres offer specific education programmes for heat pump installersand designers.

The Federal Government, pushed by the 3 Regions, is setting up a training andcertification scheme in order to comply with the RES-directive. The EUCert trainingand certification program will be proposed as the preferred scheme; however noobligation will be imposed to the installers at the start of the scheme, foreseenautumn 2013. As for shallow geothermal, Geotrainet will be proposed as thepreferred scheme.

INCENTIVE SCHEMESHeat pumps are supported by direct or indirect subsidies. In new buildings, thetrend is to relate the subsidies to the building energy performance index (in termsof primary energy consumption). In existing buildings, the subsidies are related tothe energy performance of the system (minimum Ecolabel criteria). Heat pumpsare only subsidized in the Walloon Region.

ENERGY PERFORMANCE REQUIREMENTS

Table 6.2-5: Energy performance requirementsin Belgium [8]

New buildings Existing/renovated buildings

General information

Quantity expressing energy performance

Maximum Ew-valuemaximum specific consumtion level Espec

Energy type if applicable Primary energy (Ew, Espec)

End uses considered Heating, cooling, ventilation, DHW, lighting

Units Ew � dimensionlessEspec � kWh/m2 per year

General information

Requirements in detail

Single Family Houses Ew 80Espec 130

Apartment Blocks Ew 80Espec 130

Offices Ew 80

Educational Buildings Ew 80

Notes/specifications

Notes/specifications The lower the Ew-value is, the more energy efficient a building is

Performance-based requirements do not applyto any renovation activites

Requirements in detail

Single Family Houses E 70

Apartment Blocks E 70

Offices E 75

Educational buildings E 75

Notes/specifications

Notes/specifications The lower the Ew-value is, the more energy efficient a building is. From 2015 onwards, the heating demand of new buildings will be 15 kWh/m2 per year

Performance-based requirements do not applyto any renovation activites

Page 79: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

77Focus reports on selected European markets | Czech Republic

6.3 Czech Republic

KEY FACTSPopulation [1] 10 516 125 Area 78 866 km2

GDP/capita [2] € 20 200Capital Prague

Number of family houses [3] 1 424 191Number of multi-dwelling houses [3] 204 950Number of dwellings in multi-dwelling buildings [3] 2 170 047Number of newly-built non-residential buildings in 2007 2 459 Total number of non-residential buildings not availableNumber of new dwelings finished in 2010 28 630Average heat demand single/two family house 30 – 32 MWh/year

Share of RES in final consumption of energy [4] 9,4 %Binding target for the use of renewable sources by 2020 13 %

National emission factor (CO2/kWhelectricity) 2010 [5] 589 g

Energy mix gross electricity generation 2010 2011Fuel TWh Share TWh Share

Gas 4,1 4,8 % 4,0 4,6 %

Petroleum products 0,2 0,2 % 0,1 0,1 %

Solid fuels 47,1 54,8 % 47,0 53,7 %

Nuclear 28,0 32,7 % 28,3 32,3 %

Renewables 6,5 7,6 % 7,9 9,0 %

Other 0,2 0,2 %

Total 85,9 100 % 87,5 100 %

Coal-fired power plants still provide the largest share of energy produced in theCzech Republic with more than 50 % share of production. An additional 20 % ofenergy comes from two nuclear power plants. The significant percentage ofrenewable sources comes from hydroelectric plants – other RES do not make anysignificant contribution. As solar PV is subsidised, installations have grown inrecent times, however this has had some negative influence on the Czechdistribution grid.Energy prices €/kWh

Electricity 0,20

Heat pumps (useful energy price) 0,09

Heating oil 0,11

Gas 0,08

Pellets (bulk/sack delivery) 0,05

District heating 0,06

* Special tariffs for heat pumps exist that reduce the price for electricity to approx. 0,09 Euro/kWh.

Table 6.3-1: Electricity mix forthe Czech Republic 2012 [6]

Table 6.3-2: Energy prices in Czech Republic 2012(average end consumerprices including distributionand taxes)

Page 80: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

The price of energy remained more or less the same as last year – prices per kWhdecreased but monthly standing charges increased. The outlook for 2012 suggestsan increase in energy prices of approximately 18 %.

PRESENT MARKET SITUATIONHeat pump installations are rising annually in the Czech Republic. The first modernday heat pumps were installed during the 1990s, and reliable market informationand data has been available since 2005. Figure 6.3-1 illustrates the heat pumpmarket development and 6.3-2 shows heat pumps in installed capacity from 2005to 2012.

Although the Czech market is primarily based on other heating sources, consumersin general are beginning to become more and more aware of the benefits of heatpumps. Today they are installed primarily in family houses. As showed in figure6.3-3 air to water heat pumps are widely used in Czech Republic.

Industry forecasts would suggest that the number of heat pumps will grow in thecoming years, with indicators suggesting a market with high potential.

Some new brands have come to the Czech market – in many cases unknownbrands that are not very reliable and have exhibited quality and performanceissues post installation. In many cases they are of Asian origin and are not suitedto the specific climatic conditions of the Czech market. These products do presentan attractive commercial proposition to customers at the expense of quality andperformance. Their level of sales is difficult to quantify, however despite theirshortcomings volumes are increasing annually.

MARKET TRENDS

Heat pump type 2009 2010 2011 2012 2011/2012

Air/water 1 864 4 157 4 212 4 212 0,0%

Water/water 68 74 74 70 – 5,4%

Brine/water 1 531 2 150 2 150 2250 4,7%

Sanitary hot water 159 10 10 0 – 100 %

Total 3 622 6 446 6 456 6662 3,2%

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

78 Focus reports on selected European markets | Czech Republic

Figure 6.3-1: Czech heatpump market development,2005 – 2010, by type of heat pump (statistics based on approx. 80 % ofthe market, excl. a/a units) 0

1 000

2 000

3 000

4 000

5 000

6 000

7 000

2005 2006 2007 2008 2009 2010 2011 2012

S

Table 6.3-3: Sales of heatpumps in the Czech Republic2009 – 2012

Space heating

Page 81: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

COSTSAir/air Air/water Brine/water

Euro 3 500 10 000 12 000 – 15 000

BRAND NAMESThe names listed below are the main players on the Czech market. The other“unknown” brands usually from Asia are not listed.

Ground source heat pumps: IVT, Nibe, Thermia, Stiebel-Eltron, Alpha-InnoTec,Dimplex, Viessmann, Vaillant, PZP komplet, Mastertherm.

Air/water heat pumps: PZP komplet, Stiebel-Eltron, Dimplex, Alpha-InnoTec,Viessmann, Vaillant, AC heating.

Air/air heat pumps: Sharp, Toshiba, Daikin, LG, IVT.

79Focus reports on selected European markets | Czech Republic

Figure 6.3-2: Heat Pumps inoperation in Czech Republic(installed since 2005,statistics based on approx.80 % of the market, excl. a/a units)

0

5 000

10 000

15 000

20 000

25 000

30 000

35 000

2005 2006 2007 2008 2009 2010 2011 2012

S

0

1 000

2 000

3 000

4 000

5 000

6 000

7 000

2009 2010 2011 2012

Sanitary hot water

Exhaust air

Direct expansion/water

Brine/water

Water/water

Air/water

Figure 6.3-3: Czech 2005 – 2010 market by typeof heat pump (statisticsbased on approx. 80 % ofthe market)

Table 6.3-4: Average heatpump unit prices includinginstallation for an averagefamily house with heatlosses around 10 kW

Space heating

Page 82: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

DISTRIBUTION CHANNELSHeat pumps are generally distributed by firms that specialise in the sale andinstallation of heat pumps. It is also possible to buy a heat pump from “distributors”,however they do not provide any installation or other support services.

INDUSTRY INFRASTRUCTUREThe Czech Heat Pump association CHPA (Asociace pro využití tepelnych cerpadelAVTC) was established in 2000 and includes 70 members comprising of third levelinstitutions and companies dealing with installation, distribution, maintenance,and the import of heat pumps. The main goal of the CHPA is to maintaininstallation standards and quality and to ensure the technical expertise of itsmembers. It also supports networking activities in the renewables sector and withindustry.

TRAINING AND CERTIFICATIONTwo different types of courses are provided by CHPA. The first is tailored towardsheating engineers as an introductory course for heat pump installation. The secondis the EUCert course, which takes place once a year, is more advanced and is gearedtowards installers. This course has been delivered since 2007. In addition, individualcompanies provide their own introductory and more advanced training coursesand workshops for potential installers.

All figures are based on an Exchange rate of 1 Euro = 25 CZK

Sources

[1] 2012 Demographic balance and crude rates, Eurostat: www.epp.eurostat.ec.europa.eu[2] 2012 GDP at current prices per inhabitant, Eurostat: www.epp.eurostat.ec.europa.eu [3] The only available data dates from 2001 – last census. Data concerning the number of dwellings, especially

family houses, are difficult to provide as the Czech Statistical Office does not gather such data every year, only once in ten years during census.

[4] 2011 Share of renewable energy in gross final energy consumption, Eurostat: www.epp.eurostat.ec.europa.eu

[5] CO2 emissions from fuel combustion – highlights, Ed. 2012, IEA Statistics: www.iea.org/publications/freepublications/publication/

[6] EU Energy in figures – Statistical pocketbook 2013: http://ec.europa.eu/energy/observatory/statistics/statistics_en.htm

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

80 Focus reports on selected European markets | Czech Republic

Page 83: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

6.4 Denmark

KEY FACTSPopulation [1] 5 602 628Area 42 894 km2

GDP/capita [2] 32 000Capital Copenhagen

Number of single/two family houses 1 603 716Number of dwellings in multi-dwelling buildings 1 062 036Number of non-residential buildings 213 849Rate of new construction of single/two family houses 13 709Average heat consumption for all residential buildings 17 767 kWh/yearAverage heat consumption in new residential buildings 62 kWh/m2/year

Share of renewables in final consumption of energy 2011 [3] 23,1 %Binding target for the use of renewable sources by 2020 30 %

National emission factor (CO2/kWhelectricity) 2010 [4] 360 g

Energy mix gross electricity generation 2010 2011Fuel TWh Share TWh Share

Gas 7,9 20,4 % 5,8 16,5 %

Petroleum products 0,8 2,1 % 0,5 1,4 %

Solid fuels 17,0 43,8 % 14,0 39,8 %

Nuclear

Renewables 12,4 32,0 % 14,2 40,3 %

Other 0,7 1,8 % 0,7 2,0 %

Total 38,8 100 % 35,2 100 %

Energy prices €/kWh

Electricity 0,26

Heat pumps (useful energy price) 0,09

Heating oil 0,09

Gas 0,06

Pellets (bulk delivery) 0,05

District heating 0,07

PRESENT MARKET SITUATIONThere are 2 750 000 households in Denmark and 61 % of these are supplied withdistrict heating. 15 % of the households are connected to the gas grid, 14 % haveoil boilers and 9 % use electricity or another primary energy source. Thegovernment has introduced a ban of the installation of oil and gas-fired boilers innew buildings from 2013 and the installation of oil-fired boilers in existingbuildings located in areas with district heating or gas-grids is banned from 2016.For the future this means that 180 000 house owners with oil-fired boilers off thegas-grid and district heating areas must change to renewable energy sources suchas heat pumps or biomass burners.

81Focus reports on selected European markets | Denmark

Table 6.4-1: Electricity mixfor Denmark 2010 – 2011 [5]

Table 6.4-2: Energy prices inDenmark 2012 (average endconsumer prices includingdistribution and taxes)

Page 84: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Houses with oil-fired burners usually have a hydronic heating system and it isexpected that many house owners are going to change to either air to water heatpumps or ground source heat pumps.

MARKET TRENDSAfter three years of stable sales of around 24 000 heat pumps from 2008 to 2011the sales have increased with a total market increase of 23 % from 2011 to 2012 asshown in figure 6.4-1.

The sales of exhaust air-to-air heat pumps have increased rapidly with 49,5 % from2011 – 2012, but the sales numbers vary greatly for this product type during theyears. However, with heat recovery being a requirement in new buildings thissegment is going to grow. Figure 6.4-3 shows in detail the sales of heat pumps inDenmark by type.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

82 Focus reports on selected European markets | Denmark

Figure 6.4-1: Danish heatpump market development2007 – 2012 (incl. 90 % ofa/a units) 0

5 000

10 000

15 000

20 000

25 000

30 000

35 000

2007 2008 2009 2010 2011 2012

S

0

20 000

40 000

60 000

80 000

100 000

120 000

2007 2008 2009 2010 2011 2012

S

Space heating

Water heating

Figure 6.4-2: Heat pumps in operation in Denmark(installed since 2007, incl. 90 % of a/a units)

Page 85: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Sanitary hot water heat pump sales have been more stable, showing an increaseof 3 % from 2011 to 2012.

The sales of reversible air-to-air heat pumps have increased by 39 % this past year.It is the most sold heat pump type with a total market share of 71 % of sold heatpumps.

The sales of air/water heat pumps have grown steadily over these past years.Within the past year the sales have increased by 32 %.

The number of brine/water heat pumps sold has decreased by 26 % from 2011 to2012. It is still the most sold heat pump type for houses with a hydronic heatingsystem.

The total amount of heat pumps sold to hydronic heating systems “air/water heatpumps + brine/water” has decreased by 8,2 % from 2011 to 2012.

Heat pump type 2009 2010 2011 2012 2011/2012

Air/water 1 123 1 325 1 597 2 113 32,3%

Brine/water 3 475 4 137 4 172 3 072 -26,4%

Exhaust air/air 1 246 1 292 658 997 49,5%

Sanitary hot water 273 5 430 2 386 2 457 3,0%

Air/air 18 540 11 240 15 513 21 635 39,5%(with heating function)

Total 24 069 23 160 24 634 30 393 23,3%

BRAND NAMESSome of the most significant brand names active on the Danish Market are listedbelow in alphabetical order.

Brine/water heat pumps: AlphaInnotech, Baxi, Bosch, CTC, Danfoss, Dimplex, DVI,EVI-Heat, IVT, Klimadan, Metro Therm, Nibe, Nilan, Stiebel Eltron, SVK, Thermia,Vaillant, Weishaupt, Viessmann

Air/Water heat pumps: AlphaInnotec, Bosch, CTC, Daikin, Danfoss, Dimplex, DVI,Fujitsu, IVT, Metro Therm, Nibe, Nilan, Panasonic, Sanyo, Stiebel Eltron, SVK,Thermia, Toshiba, Vaillant, Weishaupt, Viessmann

Air/Air heat pumps: Bosch, Daikin, Electrolux, Fujitsu, Haier, IVT, Mitsubishi Electric,Mitsubishi Heavy, Panasonic, Sanyo, Toshiba

Exhaust air heat pumps: Genvex, IVT, Nibe, Nilan, Vesttherm

Table 6.4-3: Sales of heat pumps in Denmark2009 – 2012

Figure 6.4-3: Danish2009 – 2012 market by type of heat pump 0

5 000

10 000

15 000

20 000

25 000

30 000

35 000

2009 2010 2011 2012

Reversible (total heat) Sanitary hot water

Exhaust air

Brine/water

Air/water

83Focus reports on selected European markets | Denmark

Page 86: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

DISTRIBUTION CHANNELSThe Danish heat pump market is dominated by dedicated retail networks and salesthrough wholesalers. DIY-stores and web-stores are also offering heat pumps,mainly air-to-air heat pumps. Energy companies are also offering heat pumps.

NATIONAL INDUSTRY ASSOCIATIONThe Danish heat pump manufacturers association (Varmepumpe fabrikant -foreningen or VPF) represents 30 members which are either manufacturers ormain-distributers. Around 140 heat pump installation companies are members ofand certified according to the Danish quality scheme for heat pump installers(Varmepumpeordningen or VPO).

TRAINING AND CERTIFICATIONTraining according to the Danish quality scheme for heat pump installers(Varmepumpeordningen or VPO) is offered by VPO. The Danish quality scheme forheat pump installers was established in 1994 and has been developed since then.During the years, 299 people have taken the course and passed the finalexamination.

INCENTIVE SCHEMESAs the energy utilities are obliged by the government to find a certain amount ofenergy reductions every year it is possible for house owners to sell their energyreduction from the first year to the energy utilities. This means that house ownersare motivated to renovate their houses energetically and to change to a moreefficient heating supply.

The incentive scheme for the tax reduction that applies to renovation andextension works in private households stopped in 2012. There are ongoingnegotiations in the Government for a similar incentive scheme. The new incentivescheme is expected to start in 2013.

To support electricity as a primary heating source in buildings the DanishGovernment has reduced the taxes on electricity for buildings which use electricityas their primary energy source. This means that the electrical power price isreduced from DKK 2,00/kWh to DKK 1,50/kWh for a power consumption above 4 000 kWh/year.

SMART HEAT PUMPS IN DENMARK (By Mr Kim Behnke, Head of R&D at Energinet.dk, Smart heat pumps in Denmark)

Heating in the North with wind powerMore than 60 % of Danish homes are connected to the district heating systems.Most of the heat is from cooling water from plants using fossil fuels. In the non-urban areas, some 300 000 houses are using oil boilers for domestic heating.

The coalition between wind power production and heat consumption is one ofour benefits in Denmark. In 2012, the wind power production was above 30 % ofthe annual electricity demand. Going up to 50 % wind power in 2020 and furtherdown the road to non-fossil energy in the electricity and heating systems by 2030is going to be a challenge.

Large and small heat demandTo enhance the conversion of oil boilers to domestic heat pumps a state subsidyscheme was carried out in which private homes received up to € 3 400 if theydumped their oil boiler. Some 25 000 families seized this opportunity. Theexpectation is that approximately 200 000 homes will change to heat pumpsbefore 2030.

300 MW of electric boilers for peak shaving the power system and a few projectswith 5 – 10 MWe heat pumps are installed in the larger district heating networks.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

84 Focus reports on selected European markets | Denmark

Page 87: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

The next phase is the installation of large heat pumps in the magnitude of 100 MWe each. A recent change of the tax regime has now made it beneficial tobuild large heat pumps.

Going for intelligent solutionsHeat pumps must be part of the Smart Grid evolution. 480 homes receivedintelligent control and demand side regulation systems in a demonstrationproject. Enabled by open standards and a common communication platform theyare all active in the market, aggregated by the balance responsible companies. Thenext step are national requirements for fully intelligent solutions.

In the EcoGrid EU project on Bornholm, more than 100 homes have heat pumpsthat are integrated in the advanced market design, with balancing power pricescommunicated every 5 minutes.

Denmark leads the way in the European heat pump development and large scaledeployment. ‘Wind to heat’ will be a substantial brand and contribution to theclimate strategy.

Projects in Denmark concerning Smart grid and Heat Pumps

Project name Period Lead Website Project descriptionorganisation

Increased energysupply flexibility andefficiency by usingdecentralised heatpumps in CHPstations

2007 – 2010 DanishTechnologicalInstitute (DTU)

www.danskenergi.dk/AndreSider/Smart_Grid_O versigt/1004.aspx

The project is a continuation of theresearch results from EFP 2003 ( j.no.: 1373/03-0007) and demonstratesthe newly developed heat pumptechnology in full scale at twodecentralised CHP stations.Furthermore a number of ideasconcerning the integration ofcompression heat pumps in the energysystem will be tested via simulationmodels and also in practice. Finallyheat pumps will be investigated inconnection with reduction of grid loss in district heating (20 – 40 %) via ultra-cold district heating.

EcoGrid EU 2011 – 2014 Energinet.dk www.eu-ecogrid.net To build and demonstrate a completeprototype of the future power systemwith more than 50 % renewable energy.

Trials with heatpumps on spotagreements

2010 – 2011 SydEnergi www.danskenergi.dk/AndreSider/Smart_Grid_O versigt/2034.aspx

The objective of the project is to gainknowledge of the technical challengesof establishing a heat pump solution in private households in order to plan the heat pumps’ electricityconsumption for when electricityproduction is highest/greenest

Intelligent RemoteControl for HeatPumps

2010 – 2011 NordjyskElhandel A/S

www.stateofgreen.com/en/Profiles/Energy-2008---ForskEL/Solutions/Intelligent-Remote-Control-for-Heating-Pumps

The project will develop anddemonstrate an intelligent remotecontrol system for individual heatingpumps by enabling the balanceresponsible party to planconsumption and deliver regulatorypower and by internal balancing andpossibly primary reserves.

Heat Pumps as anactive tool in theenergy

2010 – 2012 DanishTechnologicalInstitute.

not available Heat pumps will provide flexibility due to the possibility to eitherincrease, decrease or interrupt thepower consumption. The project willdeal with the ability of heat pumps to operate in so-called Virtual

85Focus reports on selected European markets | Denmark

Page 88: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Sources

[1] 2013 Demographic balance and crude rates, Eurostat: www.epp.eurostat.ec.europa.eu[2] 2012 GDP at current prices per inhabitant, Eurostat: www.epp.eurostat.ec.europa.eu [3] 2011 Share of renewable energy in gross final energy consumption, Eurostat:

www.epp.eurostat.ec.europa.eu [4] CO2 emissions from fuel combustion – highlights, Ed. 2012,

IEA Statistics: www.iea.org/publications/freepublications/publication/ [5] EU Energy in figures – Statistical pocketbook 2013:

http://ec.europa.eu/energy/observatory/statistics/statistics_en.htm

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Plug n’ play-konceptfor intelligentindeklimastyring

2011 – 2013 NeogridTechnologies

http://en.openei.org/wiki/Plug_n_'_playconcept_for_intelligent_indeklimastyring,_ForskEL_(Smart_Grid_Project)

A concept for energy efficient controlof air/air heat pumps and electricstorage water heaters with focus on indoor climate. energy savings and demand response is developed

Smart neighbouringheat supply based onground heat pumps

2011 – 2012 SolrødMunicipality

not available The proposed projects is to developand demonstrate the concept of‘neighbouring heating’ (i.e. heat supply to a cluster of 10-20 individualhouses from a central plant) based on smart control of a heat pump in acombination with a hot water storage.Where the possibilities of ‘tapping’cheap electricity from the grid inperiods with low electricity demandor/and high wind production areanalysed and demonstrated.

From wind power to heat pumps

2009 – 2011 Energinet.dk www.energinet.dk/EN/FORSKNING/Energinet-dks-forskning-og-

The idea is to control 300 intelligentheat pumps as if they were one big energy storage facility capable of storing electricity as heat. Thehouse owners will thus be involved in developing the intelligent powersystem of the future, using windpower to replace

DREAM – DanishRenewable EnergyAligned Markets-phase 1

2012 – 2013 DanishTechnologicalInstitute

not available DREAM phase 1 provides the necessaryanalysis and design of end usersolutions in order to make a reliableand financial accountable full scaledemonstration in succeeding projects with large amount of heat pumps, electric vehicles andsmart grid technology.

Table 6.4-4: Smart Gridand heat pump projects inDenmark

READY – Smart Gridready VPP controllerfor heat pumps

2012 – 2014 NordjyskElhandel

not available The aim is analysing, developing and demonstrating a smart grid ready Virtual Power Plant controllerthat includes the complex challenges of large scale demonstration with demand flexibility, balancingpossibilities, grid constraints,optimising across a pool of heatpumps, house models, user comfort,acceptability and business models.

Project name Period Lead Website Project descriptionorganisation

86 Focus reports on selected European markets | Denmark

Page 89: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

87Focus reports on selected European markets | Estonia

6.5 Estonia

KEY FACTSPopulation [1] 1 286 479 Area 45 227 km2

GDP/capita [2] 17 500Capital Tallinn

Number of family houses 229 966 Number of multi-dwelling houses 25 118Number of dwellings in multi-dwelling buildings 459 357 Number of newly built non-residential buildings in 2010 2 449Total number of non-residential buildings 413 780Number of new dwellings finished in 2010 822

Average heat demand single/two family house 25 – 27 MWh/year

Share of RES in final consumption of energy 2011 [3] 25,9 %Binding target for the use of renewable sources by 2020 25 %

National emission factor (CO2/kWhelectricity) 2010 [4] 1 014 g

Energy mix gross electricity generation 2010 2011Fuel TWh Share TWh Share

Gas 0,7 5,4 % 0,7 5,4 %

Petroleum products

Solid fuels 11,2 86,2 % 11,0 85,3 %

Nuclear

Renewables 1,0 7,7 % 1,2 9,3 %

Other 0,1 0,8 %

Total 13,0 100 % 12,9 100 %

Energy Prices €/kWh

Electricity 0,11

Heating oil 0,12

Pellets 0,05

District heating 0,08

PRESENT MARKET SITUATIONAlthough the Estonian economy is growing relatively slowly, its rate of growth isone of the fastest in euro zone, despite the recession times in Europe. The heatpump market depends on the state of the construction market, and the latter, inturn, depends on the customer wallet. In the last four years the heat pump markethas moved into the renovation building market segment. Fortunately heat pumpsare very popular for heating solutions in this segment – every third is done by heatpumps. The following table shows an increase of the number of heat pumps usedfor space heating in Estonia from 2010 onwards.

Table 6.5-1: Electricity mixfor Estonia 2010 – 2011 [5]

Table 6.5-2: Energy prices inEstonia 2012 (average endconsumer prices includingdistribution and taxes)

Page 90: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

The renovation building market accounts for a significant part of the majorinfrastructure works and an increasing role is played by heat pump heatingsystems. Thus, despite the low overall growth and practically non-existent marketof new buildings the trend of installing heat pumps is positive. This is alsoconfirmed by the 2012 sales and installation data (see figure 6.5-1): 11 806 pieces in2011 compared to 13 495 pieces in 2012 means a growth of 14,3 %. The total installedcapacity grew by 14,6%, the corresponding figures are: 75,6 MW in 2011 and 86,6 MW in 2012. The number of ground source heat pumps installed in 2012 is180 pieces more than in 2011 – correspondingly 1 200 pieces and 1 020 pieces, anincrease of as much as 17,6 %.

The customer’s wallet and a more efficient spreading of heat pumps is favorablyinfluenced by the co-financing by funds (KredEx, EIC, ARIB, CO2 quota sales, etc.),which have the aim to support the use of pollution-free renewable energy. Thiscategory also includes heat pumps.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

0

2 000

4 000

6 000

8 000

10 000

12 000

14 000

2008 2009 2010 2011 2012

S

Space heating

0

10 000

20 000

30 000

40 000

50 000

60 000

70 000

2007 2008 2009 2010 2011 2012

S

Space heating

Figure 6.5-1: Estonian heatpump market development2008 – 2012 (incl. 90 % ofa/a units)

Figure 6.5-2: Heat Pumps in operation in Estonia(installed since 2007, incl. 90 % of a/a units)

88 Focus reports on selected European markets | Estonia

Page 91: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

MARKET TRENDSEstonia's economic growth forecast for the year 2013 is 3,0 – 3,3 %. While the heatpump market is certainly growing faster during the current year than the GDP ofthe country as a whole. This is despite the fact that instead of selling CO2 emissionquotas Estonia will start to buy them from 2013. Also, the opening of the electricitymarket from 01 January was not able to prevent a steep rise in the price ofelectricity – about 15 – 20 %, depending on the volume of consumption and whereand from whom to buy. The actual impact of the sharp rise in the price of electricityon the heat pump market will be seen in the near future.

The heat pump market is consolidating – heat pump installations carried out willincreasingly concentrate in ever fewer corporate hands. In spite of the growth ofheat pump brand range there are ten products which are much more commonthan others. The number of complex solutions for infrastructure facilities andapartment houses in the heating market is continually rising and heat pumps willnot stay away from it! During recent years the rapid technological progress hasincreased the efficiency of heat pumps, expanding the opportunities to use themand consequently increase their competitive advantage in the heating market.

Structurally the share of air-to-air heat pumps will stay high, while the share of air-to-water heat pumps and ventilation heat recovery heat pumps will rise.

The following table shows the sale of heat pumps in Estonia between 2009 – 2012based on the estimation of ESPEL.

Heat pump type 2009 2010 2011 2012 2012/2011 evolution

Air/water 510 360 710 790 11,3 %

Brine/water 680 985 1020 1200 17,6 %

Exhaust air/water 25 21 26 55 111,5 %

Air/air (reversible) 9 000 9 100 10 050 11 450 13,9 %

Total 10 215 10 466 11 806 13 495 14,3 %

COSTSAir/air Air/water Ground source

Euro 1 000 – 1 600 7 000 – 12 000 8 000 – 16 000

0

2 000

4 000

6 000

8 000

10 000

12 000

14 000

2009 2010 2011 2012

Reversible (total heat)

Exhaust air

Brine/water

Air/water

Figure 6.5-3: Estonian 2009 – 2012 market by type of heat pump

Table 6.5-4: Average heat pump end consumerprices in Estonia

Table 6.5-3: Sales of heat pumps in Estonia2009 – 2012

89Focus reports on selected European markets | Estonia

Page 92: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

BRAND NAMESSome of the most common brand names available in the Estonian market arelisted below.

Ground source heat pumps: Thermia, NIBE, Junkers, Buderus, Vaillant, Viessmann,IVT, Lämpöässä, Carrier, Alpha-InnoTec, Dimplex, Terra, Stiebel-Eltron, Nereus, WTTEcodrive.

Air/water heat pumps: Mitsubishi, NIBE, Sanyo, Alpha-InnoTec, Daikin, Viessmann,Carrier, IVT, Thermia, Vaillant, Atlantic.

Air/air heat pumps: Mitsubishi, Sanyo, Fujitsu, LG, IVT, Daikin, Panasonic, Sharp,Toshiba.

Exhaust air heat pumps: NIBE, IVT, Carrier, Buderus.

DISTRIBUTION CHANNELSWholesalers and larger companies dominate the heat pump market. The lastnumber of years has seen heat pumps offered by construction material stores andweb-stores.

NATIONAL INDUSTRY ASSOCIATIONSThe Estonian Heat Pump Union (Eesti Soojuspumba Liit or ESPEL) was founded in2001 and is since 2002 a member of EHPA. At present ESPEL has 25 members.Members comprise importers, installers, distributors and others with interests in the heat pump sector. The Union serves as the official voice for the heat pump sector on a national level. This year ESPEL is celebrating its 12th year inexistence.

TRAINING AND CERTIFICATIONSince 2008 ESPEL is responsible for organizing training in cooperation with theTallinn Technical University for the members of the Union and other heat pumpsector actors throughout Estonia. Those who pass the training courses areawarded ESPEL’s certificate.

INCENTIVE SCHEMESUsing heat pumps is not directly supported in Estonia, but there are funds wherecustomers can indirectly request support for insulating houses, ventilation andheating. Kredex, for example, partially reimburse the costs of renovating multifamily- and individual houses, according to the degree of energy savings (in %)achieved by the complex solution. Local governments can apply for funding (KIK)for construction or renovation of infrastructure facilities (including the heatingenergy) to the EU funds as well as to the Estonian local funds or from the sale ofCO2 quotas.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

90 Focus reports on selected European markets | Estonia

Page 93: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

ENERGY PERFORMANCE REQUIREMENTS

Sources

[1] 2013 Demographic balance and crude rates, Eurostat: www.epp.eurostat.ec.europa.eu[2] 2012 GDP at current prices per inhabitant, Eurostat: www.epp.eurostat.ec.europa.eu [3] 2011 Share of renewable energy in gross final energy consumption,

Eurostat: www.epp.eurostat.ec.europa.eu [4] CO2 emissions from fuel combustion – highlights, Ed. 2012,

IEA Statistics: www.iea.org/publications/freepublications/publication/ [5] EU Energy in figures – Statistical pocketbook 2013:

http://ec.europa.eu/energy/observatory/statistics/statistics_en.htm[6] BPIE – June 2013: www.buildingsdata.eu/bpie-data-hub

New buildings Existing/renovated buildings

General information

Quantity expressing energy performance

Maximum energy performance Maximum energy performance

Energy type if applicable Supplied energy Supplied energy

End uses considered Heating, cooling, ventilation, DHW, lighting, electric use

Heating, cooling, ventilation, DHW, lighting, electric use

Units kWh/m2 per year kWh/m2 per year

Requirements in detail

Single Family Houses 180 250

Apartment Blocks 150 200

Offices 220 290

Educational Buildings 300 390

Hospitals 400 520

Hotels & Restaurants 300 390

Sports facilities 800 1000

Wholesale and retail trade 300 390

Notes/specifications

Notes/specifications - The sport facilities category represents the requirements posed for swimming pools only

- The wholesale & retail trade category represents the requirements posed for commercial buildings

- The sport facilities category represents the requirements posed for swimming pools only

- The wholesale & retail trade category represents the requirements posed for commercial buildings

Table 6.5-5: Energyperformance requirementsin Estonia [6]

91Focus reports on selected European markets | Estonia

Page 94: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

6.6 Finland

KEY FACTSPopulation [1] 5 426 674Area 338 000 km2

GDP/capita [2] 29 100Capital Helsinki

Number of single/two-family houses and holiday homes 1 190 000Number of dwellings in multi-dwelling buildings 1 700 000Number of non-residential buildings 200 000Rate of new construction single family houses 2010 10 000

Average heat demand per single/two family house 20 –25 MWh/yearAverage heat consumption for all residential buildings 150 – 200

kWh/m2/yearAverage heat consumption in new residential buildings 75 kWh/m2/yearAverage heat consumption in the building stock (residential) 150 – 200

kWh/m2/year

Share of RES in final consumption of energy 2011 [3] 31,8 % Binding target for the use of renewable sources by 2020 38 %

National emission factor (CO2/kWhelectricity) 2012 [4] 229 g

Energy mix gross electricity generation 2010 2011Fuel TWh Share TWh Share

Gas 11,8 14,6 % 10,0 13,6 %

Petroleum products 0,5 0,6 % 0,4 0,5 %

Solid fuels 20,8 25,8 % 15,2 20,7 %

Nuclear 22,8 28,3 % 23,2 31,6 %

Renewables 24,2 30,0 % 24,2 32,9 %

Other 0,6 0,7 % 0,5 0,7 %

Total 80,7 100 % 73,5 100 %

Energy Prices €/kWh

Electricity 0,13

Heat pumps (useful energy price) 0,04

Heating oil 0,12

Gas 0,08

Pellets (bulk delivery) 0,05

Pellets (sack delivery) 0,06

District heating 0,08

PRESENT MARKET SITUATIONIndustrial power consumption fell by 4 % – other consumption up by a good 5 % –Consumption grew by more than 16 % in December.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

92 Focus reports on selected European markets | Finland

Table 6.6-1: Electricity mixfor Finland 2010 – 2011 [5]

Table 6.6-2: Energy prices inFinland 2012 (average endconsumer prices includingdistribution and taxes)

Page 95: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

The year 2012 was affected by export difficulties in the energy-intensive processindustry. These had already started in the previous year and were now reflected infalling production and thus in a decreasing power consumption. Nevertheless,total electricity consumption grew by 1,1 %, while the year before it had fallen byalmost 4 %. Adjusted for temperature, electricity consumption remained almoststatic (+0,3 %), as is shown by the Energy Year 2012 details from the Finnish EnergyIndustries (ET).

Industrial power consumption fell last year by 4 %, but in the other sectors therewas enough of an upturn towards the end of the year. For these sectors an increaseof more than 5 % was recorded over the year as a whole. In December, powerconsumption grew by over 16 %, which was largely due to the cold weather. Buteven with an adjustment for temperature taken into account, the growthamounted to 7 % and a couple of percentage points also in the industrial sector.

Last year, Finland consumed 85,2 terawatt hours (TWh) of electricity. Of thisconsumption, 20,5 % was covered by net imports and 79,5 % by Finland’s ownproduction. Combined heat and power generation (CHP) covered 27 % of theconsumption, nuclear power 26 %, hydropower almost 20% and coal and othercondensing power almost 7 %. The share of wind power was 0,6 %.

Industrial power consumption last year was 39 TWh. This is 9 TWh less than in thepeak year 2007.

Imports and heavy use of own hydropower cut carbon dioxide emissions frompower generation by one-third.

The emissions from power generation from coal, natural gas and peat were 8,7 million tonnes of carbon dioxide last year, 32 % less than the year before. Thereduction is due to the significant growth in net electricity imports and thesubsequent drop in domestic power production.

A contributory factor in the reduced emissions was also domestic hydropowerproduction, which reached no less than 16,6 TWh. The 2008 record (16,9 TWh) stillremained out of reach.

Last year, electricity generated in Finland was 73 % greenhouse gas emissions-free.The share of renewable energy sources was 41 % of the total Finnish powerproduction.

93Focus reports on selected European markets | Finland

0

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

90,000

2005 2006 2007 2008 2009 2010 2011 2012

S

Space heating

Figure 6.6-1: Finnish heatpump market development2005 – 2012 (incl. 90 % ofa/a units)

Page 96: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

The market for domestic heat pumps in Finland started to recover in 2010 asshown in figure 6.6-1. Partly because of the hard winter, air-air heat pump sales didnot reach 2009 levels, however ground source heat pump sales were 32 % aheadof 2009 figures. The technology is gradually reaching good recognition levels andacceptance amongst the general public. Heat pumps are the preferred choice innew construction as well as for retrofitting existing building stock. In addition tothe new single-family house segment, interest for heat pumps in the replacementmarket is also increasing. Heat pumps are now in use in nearly 30 % of Finnishsingle-family houses. Heat pump penetration in new small houses is almost 50 %.The subsidy scheme that was introduced for renovation and extension works inprivate homes in 2010 should ensure an ongoing positive trend in the Finnish heatpump market. The real competitor to heat pumps is the ‘status quo’ and inertiatowards making any changes to the heating system.

MARKET TRENDSAs many as 540 000 heat pumps in Finland are now extracting local, renewableenergy, from around buildings, from ground rock, from the ground or from the air.Although there was a reduction in the overall sales number of ground-source heatpumps as compared to the previous year, the total number of bigger heat pumpsincreased by more than 25 %. This meant an increase in both market value as wellas in the amount of extracted renewable energy as compared to 2011. The FinnishHeat Pump Association SULPU’s statistics show that the air-source heat pumpmarket suffered a loss of almost 20 % due to the cold summer and the economiccycle. Finns invested almost 400 million euros in heat pumps in 2012, which is avery profitable figure.

In 2012 almost 13 000 ground-source heat pumps were sold, which was 7 % lessthan during the whirlwind year of 2011. Nevertheless, the number of heat pumpinstallations in bigger buildings, such as terraced houses and apartment buildings,grew by 30 %, which means growth for the industry in market turnover. This is anincredibly good result considering that the growth in the heat pump industry theprevious year was 72 %, the energy subsidy was practically cut completely, the taxdeduction for household works was reduced and the economy in general as wellas people’s own finances are not in the best shape. The cold summer and theeconomic situation had the biggest impact on air/air heat pump sales. 45 000air/air heat pumps were sold in 2012, 19% less than the previous year. Air/water

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Figure 6.6-2: Heat Pumpsin operation in Finland(installed since 2005, incl. 90 % of a/a units)

94 Focus reports on selected European markets | Finland

0

50 000

100 000

150 000

200 000

250 000

300 000

350 000

400 000

450 000

500 000

2005 2006 2007 2008 2009 2010 2011 2012

S

Space heating

Page 97: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

heat pump sales remained the same at a total of 1 000. Exhaust-air heat pumps arebeing installed in new houses. Their sales were at a total of 1 900, slightly less thanin 2011. The following tables (6.6-3 and 6.6-4) give an overview of the Finnish heatmarket by type of heat pump.Heat pump type 2009 2010 2011 2012 2011/2012

Air/water 1 819 1 150 992 979 – 1,3 %

Brine/water 6 137 8 091 13 941 12 953 – 7,1 %

Exhaust air/air 1 819 1 988 2 048 1 912 – 6,6 %

Air/air (with 57 977 53 821 55 286 44 956 – 18 %main heating function)

Total 67 752 65 050 72 267 61 006 – 15,6 %

Finnish are already investing 400 million euros a year in heat pumps. And thereason is known. Most of the time, the return on this investment is more than 10 % per year. The impact that the amount of fuel saved has had on the Finnishtrade balance is already in the region of a hundred million. Furthermore, thereduction in CO2-emissions is in the region of a megaton since as many as half amillion heat pumps in Finland are extracting local energy from the ground aroundthe houses, the ground rock or the air.

Indeed, more than half of all single-family house builders are opting for heat pumpsolutions. The biggest potential, however, lies in the already existing houses. Thereare 220 000 homes that heat with oil, more than 100 000 that use hydronic-electric heating, 500 000 that have direct-electric heating, all of whom mostly payup to 2 – 3 times more for their heating energy compared to heat pump users.

A rapidly-growing group is the group of oil-heated terraced houses and apartmentbuildings. Here more than 1 000 heat pumps are being invested in per year.Furthermore, large-scale commercial facilities, such as IKEA in Tampere, Veturi inKouvola, Puuvilla in Pori, are looking for cost savings in their increasing energyexpenses by investing in heat pump systems. These same systems also take careof the cooling needs of the facilities, adding to the bargain.

COSTSThe table below illustrates average end consumer prices, including VAT, for turnkeyinstallations in single family houses. The turnkey solutions include everything tocommission the system, i.e. the heat pump, auxiliary equipment, material andlabour costs.

Table 6.6-3: Finnish2009 – 2012 market by type of heat pump [6]

Figure 6.6-3: Finnish 2009 – 2012 market by type of heat pump 0

10 000

20 000

30 000

40 000

50 000

60 000

70 000

80 000

2009 2010 2011 2012

Air/air (with main heating function) Exhaust air

Brine/water

Air/water

95Focus reports on selected European markets | Finland

Page 98: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Air/air Air/water Exhaust air Ground source

Euro 1 600 8 000 6 000 18 000 – 20 000

BRAND NAMESSome of the most significant brand names existing on the Finnish market arelisted in alphabetical order below.

Ground source heat pumps: Alpha-InnoTec, Bosch, Carrier, CTC, Gebwell, Danfoss,Dimplex, Innova, IVT, Jämä, Lämpöässä, NIBE, Oilon Home, Scanvarm, Stiebel-Eltron,Thermia, Vaillant, Viessmann, Wolf.

Air/water heat pumps: Alpha-InnoTec, Carrier, CTC, Daikin, Danfoss, Dimplex,Fujitsu, Innova, IVT, Jämä, Mitsubishi, NIBE, Panasonic, Sanyo, Stiebel-Eltron,Thermia, Vaillant, Viessmann, Ultimate.

Air/air heat pumps: Bosch, Daikin, Electrolux, Fujitsu, Gree, Hitachi, IVT, Jämä, LG,Mitsubishi, Panasonic, Sharp, Sanyo, Toshiba, Ultimate.

Exhaust air heat pumps: ComfortZone, Enervent, IVT, NIBE, Nilan, Meptek.

DISTRIBUTION CHANNELSDedicated retail networks and wholesalers dominate the heat pump market.Nonetheless, during the last couple of years, air/air heat pumps have been offeredat construction materials outlets, mail-order firms, and web-stores.

INDUSTRY INFRASTRUCTUREThe following sections highlight some of the existing industry organisations andschemes that serve as part of the industry’s infrastructure.

NATIONAL INDUSTRY ASSOCIATIONThe Finnish Heat Pump Association (Suomen Lämpöpumppuyhdistys ry or SULPU),founded in 1999, represents approximately 140 members. They comprisemanufacturers and importers of heat pumps, installers and other companies withan interest in the industry. The Association serves as the official voice for the heatpump industry on a national level. It handles all proposals for new nationalregulation and legislation as well as international standards that are circulatedfor commenting.

Training according to the European Certified Heat Pump Installer scheme EUCERThas been offered since 2009 by SULPU.

Finland is a member of the EHPA Quality label program and joined the IEA HPProgram in 2009.

INCENTIVE SCHEMESHeat pump installations qualify for the tax reduction scheme that applies torenovation and extension works in private households. Based on the scheme, upto 45 % of the labour costs related to renovation and extension may be appliedfor tax reduction purposes to each owner of a private property. The maximumamount that may be deducted for each owner is 2000 euro.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13 Table 6.6-4: Average heatpump unit prices in Finland

96 Focus reports on selected European markets | Finland

Page 99: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

ENERGY PERFORMANCE REQUIREMENTS

Sources

[1] 2013 Demographic balance and crude rates, Eurostat: www.epp.eurostat.ec.europa.eu[2] 2012 GDP at current prices per inhabitant, Eurostat: www.epp.eurostat.ec.europa.eu [3] 2011 Share of renewable energy in gross final energy consumption,

Eurostat: www.epp.eurostat.ec.europa.eu [4] CO2 emissions from fuel combustion – highlights, Ed. 2012,

IEA Statistics: www.iea.org/publications/freepublications/publication/ [5] EU Energy in figures – Statistical pocketbook 2013:

http://ec.europa.eu/energy/observatory/statistics/statistics_en.htm[6] Sales of air/air heat pumps are based on an estimation made by SULPU[7] BPIE – June 2013: www.buildingsdata.eu/bpie-data-hub

New buildings Existing/renovated buildings

General information

Quantity expressing energy performance

E-luku energy-weighted factor

Energy type if applicable Anetto denotes the net heated area Anetto denotes the net heated area

Units kWh/m2 per year kWh/m2 per year

Requirements in detail

Single Family Houses Detached Houses:- 204, for Anetto <120 m2- 372 – 1.4 – Anetto, for 120 m2 < Anetto < 150 m2

- 173 – 0,07 – Anetto, for 150 m2 < Anetto < 600 m2

- 130, for Anetto > 600 m2

Row house: 150

Log house:- 229, for Anetto <120 m2- 397 – 1.4 – Anetto, for 120 m2 < Anetto < 150 m2

- 198 – 0,07 – Anetto, for 150 m2 < Anetto < 600 m2

- 155, for Anetto > 600 m2

Apartment Blocks 130

Offices 170

Educational Buildings 170

Hospitals 450

Hotels & Restaurants 170

Sports facilities 170

Wholesale and retail trade 170

Table 6.6-5: Energyperformance requirementsin Finland [7]

97Focus reports on selected European markets | Finland

Page 100: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

6.7 France

KEY FACTSPopulation [1] 65 633 194Area 551 000 km2

GDP/capita [2] 27 500Capital Paris

Number of single/two family houses (2009) 18 833 900Number of dwellings in multi-dwelling buildings 14 266 100Number of non-residential buildings 2 338 156Rate of new construction of single/two family houses 1 %/year

Average heat consumption for all residential buildings 240 kWh/m2/yearAverage heat consumption in new residential buildings 75 kWh/m2/year

Share of RES in final consumption of energy (2011) [3] 11,5 %Binding target for the use of renewables 23 %

National emission factor (CO2/kWhelectricity) 2010 [4] 79 g

Energy mix gross electricity generation 2010 2011Fuel TWh Share TWh Share

Gas 26,7 4,7 % 29,0 5,2 %

Petroleum products 5,8 1,0 % 3,5 0,6 %

Solid fuels 23,4 4,1 % 15,1 2,7 %

Nuclear 428,5 75,3 % 442,4 78,7 %

Renewables 83,2 14,6 % 69,9 12,4 %

Other 1,5 0,3 % 2,1 0,4 %

Total 569,1 100 % 562,0 100 %

Energy prices €/kWh

Electricity 0,14

Heat pumps (useful energy price) 0,05

Heating oil 0,10

Gas 0,07

Pellets (bulk delivery) 0,05

Pellets (sack delivery) 0,06

District heating 0,07

PRESENT MARKET SITUATIONIn 2013 the economic context remains difficult for the heat pump sector. Thehouseholders will hardly invest and will be tempted to postpone renovations intheir houses or the upgrade of their heating systems.

In the middle term, prices of fossil fuels and electricity will continue to increaseand will tend to make heat pump investments more and more profitable forconsumers. But for 2013 the situation will certainly still be difficult for the buildingsector and thus for heat pumps.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

98 Focus reports on selected European markets | France

Table 6.7-1: Electricity mixfor France 2010 – 2011 [5]

Table 6.7-2: Energy prices in France 2012 (average endconsumer prices includingdistribution and taxes)

Page 101: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Despite the crisis French Government has voted a program of 500 000 housingrefurbishments for 2013. Hopefully this will give the sector the push, which isnecessary for the heat pump market to develop in the existing building market.

A new factor in the French heat pump market is the new regulation for newresidential buildings that has entered into force in January 2013. As renewableenergy becomes mandatory for individual housing, this will necessarily increasethe heat pump market share in new buildings. However, we don’t expect arecovery of the new buildings market for the beginning of 2013.

Last but not least, quality is increasing in the French market. In 2012, there are now1551 certified heat pump systems on the market. Concerning installers, the numberof qualified installers has also increased. In 2012 there were 1 738 Qualipacinstallers, a growth of 4 %. In 2014 French government will ask for certifiedequipment to be installed by certified installers to grant subsidies.

A CHALLENGING TARGET FOR 2020With the target of 23 % of RES in 2020, the transposition of the RES directive inFrance with the program named “Grenelle de l’environnement” gives realopportunities for the heat pump market over the next 7 years. Indeed, theobjective for France is to reach 2 million individual housings heated by heat pumpsin 2020.

With the crisis since 2009, the milestone for 2012 (which is 1,245 million individualheat pumps installed) is about to be reached, taking into account tertiary sectorheat pumps.

Thanks to financial support, the quality of the sector and continuing price growthof fossil and nuclear energies the heat pump market has all the assets needed toreach the 2020 target.

MARKET TRENDSAs can be noticed in figure 6.7-1, the total market showed an increase of sales in 2012with a little over 142 000 units sold. This is a rise of about 1,8 % compared to 2011.

With a total of 60 662 units, the sector of hydronic heat pumps decreased by – 4 % in 2012 compared to 2011.

99Focus reports on selected European markets | France

0

20 000

40 000

60 000

80 000

100 000

120 000

140 000

160 000

180 000

2005 2006 2007 2008 2009 2010 2011 2012

S

Space heating

Water heating

Figure 6.7-1: French heatpump market development2005 – 2012 (incl. 9,5 % of a/a units)

Page 102: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

After years of decline since 2009, the sales of air/water heat pumps had stoppedto decline in 2011. Unfortunately, this sector has started to decline again in 2012(see table 6.7-3). It is the case for air/water heat pumps, but also for air/air andparticularly for geothermal heat pumps. Only the sector of sanitary hot water heatpumps continues to increase. Also the direct expansion heat pumps increased.

Air/water heat pumps: This market segment posted a measured decrease of – 2 %, and maintained at about 55 000 units. This market segment did not progressanymore in the segment of “5 to 10kW” heat pumps, mainly installed in newhouses. On the contrary, high temperature heat pumps progressed by 2 % but itwas not sufficient to balance the decrease in the low power segment.

Ground source heat pumps (ca 11 % of the market of hydronic heat pumps): With6448 units sold in 2012, this market segment dropped again by 17 %.

Sanitary hot water heat pumps: The market segment for SHW heat pumps showedagain a high increase of 30,7 % reaching 34 900 sales. This growth occurred due to the construction of new houses with low energy demand and the incentive rate of tax credit.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Figure 6.7-2: Heat pumps in operation in France 2005 – 2012 (incl. 9,5 % of a/a units)

0

20 000

40 000

60 000

80 000

100 000

120 000

140 000

160 000

2010 2011 2012

Sanitary hot water Direct expansion/water Brine/water

Water/water

Air/water

VRF

Brine-water / water Air/water

Air/air (with main heating function)

Reversible (heat)

160 000

120 000

140 000

tohry atinSat

60 000

80 000

100 000

r etawosinaxpectreiD

r etawr etaw/enBri

r etawr/etaWWa

r etawr/Ai

/no

20 000

40 000

)tae(helbrsiveeR

FVR

/r eta-wenBrir etaw

r etawr/Ai

mahti(wr iar/Ainoictnufgnitaeh

nima) n

0

2010

1 201

2012

Figure 6.7-3: French2009 – 2012 market by type of heat pump

100 Focus reports on selected European markets | France

0

100 000

200 000

300 000

400 000

500 000

600 000

700 000

800 000

900 000

1 000 000

2005 2006 2007 2008 2009 2010 2011 2012

S

Space heating

Water heating

Page 103: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Air/air heat pumps: With almost 31 709 units for heating, this market segmentdropped by 7,5 % in comparison to last year.

The economic crisis continued in 2012 and was a key factor impacting negativelyon the sale of heat pumps. The households continued to push back or give up theirinvestments in the real estate and consequently, those dedicated to theirequipment of heating, deferring it on purchases considered to be priority.

Despite the economic context the French government voted a steady state in the taxcredit levels but these are not sufficient to support the investment in existing houses.

In opposition to 2011, in 2012 the new building sector did not support the wholeheat pump market, except for sanitary hot water systems. Yet, overall the marketstill grew a little bit in the past year. You can see below the sales in France by typeof heat pumps from 2009 to 2012.

Heat pump type 2009 2010 2011 2012 2011/2012

Air/water 106 543 53 854 55 299 54 214 – 2,0 %

Water/water 2 973 1 627 1 703 1 295 – 24,0 %

Brine/water 6 969 2 968 3 589 3 593 0,1 %

Direct expansion/water 1 219 454 507 658 29,8 %

Air/air (with 30 115 34 597 34 279 31 709 – 7,5 %main heating function)

Sanitary hot water 11 000 20 000 26 700 34 900 30,7 %

Total 169 960 118 175 139 518 142 066 1,8 %

COSTSAverage Air/air Air/air Air/water GSHP GSHP Domestic cost (Multi-split) (Ducted (Horizontal) (Vertical) hot water

system)

Euro 6 500 8 000 10 000 14 000 18 000 3 000

BRAND NAMESGround source heat pumps: Airwell, Ajtech, Alpha Innotec France, Atlantic, Auer,Baxi France, Bosch Thermotechnik, Carrier SCS, Ciat, Daikin, De Dietrich Thermique,Dimplex,France Air, France Géothermie, MTS Group, Oertli, Saunier Duval, Sofath,Stiebel Eltron, Viessmann, Wavin-Climasol, Weishaupt, Zaegel Held.

Air/water heat pumps: Airwell, Ajtech, Alpha InnoTec France, Atlantic, Auer, BaxiFrance, Bosch Thermotechnik, Carrier SCS, Ciat, Daikin, De Dietrich, Dimplex,Eurofred Groupe, France Air, France Géothermie, Hitachi, LG Electronics France,Mitsubishi Electrics, MTS Group, Oertli, Panasonic France, Samsung, SanyoAirconditioners Europe, Saunier Duval, Sofath, Stiebel Eltron, Technibel, Viessmann,Wavin-Climasol, Weishaupt, Yack, Zaegel Held, Zhendre.

Air/air heat pumps: Airwell, Atlantic, Carrier SCS, Daikin, Eurofred Groupe, FranceAir, Hitachi, LG Electronics France, Midea France, Mitsubishi Electric, Panasonic France,Samsung, Sanyo Airconditioners Europe, Saunier Duval, Technibel, Yack, Zhendre.

DISTRIBUTION CHANNELSAs in many other European countries, there are two principal distribution channels.The first one is direct sales by manufacturers to installers. The second one isindirect sales via wholesalers. Ground source heat pumps tend to be more oftensold via the direct channel, whereas air/air heat pumps are mainly sold indirectly,and air/water in both channels.

NATIONAL INDUSTRY ASSOCIATIONSUNICLIMA is the French association of Heating, Ventilation, Air conditioning andRefrigeration industries. UNICLIMA, as the industry’s principal representative body,

Table 6.7-3: Sales ofheat pumps in France2009 – 2012

Table 6.7-4: Typical heat pump end consumerprices for France

101Focus reports on selected European markets | France

Page 104: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

acts on behalf of its members with regard to French, European and Internationalauthorities. Uniclima is representing almost 90 % of the French heat pump market. UNICLIMA is also a member of AFPAC, the main French representativeassociation for the heat pump sector, including manufacturers, installers, researchorganizations, and energy utilities.

TRAINING AND CERTIFICATIONA qualification for installers, Quali’PAC, is managed by the Qualit’ENR Association.Currently 1 738 companies have the qualification. To become Quali’PAC certifiedan installer has to complete a training course based on the Eucert referencedocument. The Quali’PAC scheme is audited each year.

PRODUCT LABELNF PAC is the French product certification for heat pumps that was launched in2007. This label was approved by AFNOR Certification and is managed by the Frenchcertification body Certita. This label sets a minimum COP level, with test conditionsin accordance with EN 14511 (nominal and application conditions). Moreover, NFPAC specifies requirements regarding minimum quality insurance, with factoryaudits and random audits on products performed by an independent body.

In 2012, the French commission for the Quality Label EHPA has achieved its workto deliver the label as an option of NF PAC.

INCENTIVE SCHEMESA subsidy scheme for heat pumps is currently available in France. The subsidyoperates through a tax credit system: a percentage of the costs for the heat pumpunit can be reimbursed to the taxpayer on the sum to be paid as income tax on thefiscal year in which the investment was made. If the total sum of the tax to be paidis less than the sum to be deducted, then the difference is paid to the taxpayer.

The subsidies, that have been available since 2005, vary depending on the year of purchase and type of heat pump. In 2013, the rates remain the same as in 2012:26 % of the cost for a ground source heat pump and sanitary hot water heat pump,15 % for air/water heat pumps. In case of several refurbishment investments (with insulation works), the rates become more important: 34 % for ground sourceor sanitary hot water heat pumps and 23 % for air/water heat pumps.

In addition, Energy saving certificates, also called white certificates, managed byenergy suppliers, are operative to financially support heat pump installations.

ENERGY PERFORMANCE REQUIREMENTSSee table 6.7-5 (page 103)

POLICY RECOMMENDATIONSA first recommendation of the French heat pump sector is the requirement of aminimum amount of renewable energy for new multifamily houses, as it is thecase for individual ones with the amount of 5 kWh/m2/year.

A second recommendation concerns new buildings: in the new building regulation,it is to count the renewable energy coming from heat pumps, as detailed in the RESdirective. Currently this is not the case, which is unfavourable.

Thirdly, also in the new building regulation, some products are missing, such asground source heat pumps and thermodynamic double flow ventilation andshould be integrated.

Lastly, the heat pump sector asks not to add taxes on HFCs at national level, whenthere is already the European F-Gas Regulation being revised, with reduction andbanning actions imposed on those fluids.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Sources

[1] 2013 Demographic balance and crude rates, Eurostat:www.epp.eurostat.ec.europa.eu

[2] 2012 GDP at current prices per inhabitant, Eurostat:www.epp.eurostat.ec.europa.eu

[3] 2011 Share of renewable energy in gross final energyconsumption, Eurostat:www.epp.eurostat.ec.europa.eu

[4] CO2 emissions from fuel com-bustion – highlights, Ed. 2012,IEA Statistics: www.iea.org/publications/freepublications/publication/

[5] EU Energy in figures – Statistical pocketbook 2013: http://ec.europa.eu/energy/observatory/statistics/statistics_en.htm

[6] BPIE – June 2013: www.buildingsdata.eu/bpie-data-hub

102 Focus reports on selected European markets | France

Page 105: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

SMART GRIDSSeveral projects were launched in France on the topic of smart grids and heatpumps.

The oldest one called PREMIO took place in the south of France and concernedtertiary, residential and public lighting connected with a control unit throughdifferent distribution resources. Several renewable energy systems and, amongthem, air/water heat pumps combined with a thermal storage, were studiedduring 3 years in this demonstration project.

The monitoring of six individual houses showed the capacities of load reductionand switch-off of the heat pump controlled by the grid demand.

Other projects were developed after that, as ETERENICE, NICEGRID, SMARTELECTRIC LYON, to show that thermodynamic technologies are ready to be smarttechnologies, dealing with the management of the electricity grid congestion.

New buildings Existing/renovated buildings

General information

Quantity expressing energy performance

Coefficient Cepmax expressing the maximumenergy consumption of a building CoefficientBbiomax expressing the maximum bioclimaticenergy need of a building

Energy type if applicable Primary energy (CEP)

End uses considered Heating, cooling, DHW, lighting, auxiliary energyfor HVAC minus electricity produced on site

Definitions of relevant parameters

Mctype: modulation coefficient depending on the type of building or part of a building and itsCE1/CE2 category;Mcgéo: modulation coefficient according to thelocation;Mtion coefficient depending on the altitude;Mcsurf: for terraced houses or buildings and collective housing, modulation coefficient as the average size of dwellings in the building or part of a building;

McGES: modulation coefficient as emissions ofgreenhouse energy usedBbiomaxmoyen: valeur moyenne du Bbiomaxdéfinie par type d’occupation du bâtiment ou dela partie de bâtiment et par catégorie CE1/CE2;Mbgéo: coefficient de modulation selon la localisation géographique;Mbalt: coefficient de modulation selon l’altitude

Mctype: modulation coefficient depending on the type of building or part of a building and its CE1/CE2 category;Mcgéo: modulation coefficient according to thelocation;Mcalt: modulation coefficient depending on the altitude;Mcsurf: for terraced houses or buildings and collective housing, modulation coefficient as the average size of dwellings in the buildingor part of a building;McGES: modulation coefficient as emissions of greenhouse energy used

Bbiomaxmoyen: valeur moyenne du Bbiomaxdéfinie par type d’occupation du bâtiment ou dela partie de bâtiment et par catégorie CE1/CE2;Mbgéo: coefficient de modulation selon la localisation géographique;Mbalt: coefficient de modulation selon l’altitude

Units kWhep/m2.aSHONRT kWhep/m2.aSHONRT

Requirements in detail

Single Family Houses Cepmax = 50 • Mctype • (Mcgéo + Mcalt + Mcsurf + McGES)Bbiomax = Bbio>maxmaxmoyen • (Mbgéo + Mbalt + Mbsurf)

Apartment Blocks Cepmax = 50 • Mctype • (Mcgéo + Mcalt + Mcsurf + McGES)Bbiomax = Bbio>maxmaxmoyen • (Mbgéo + Mbalt + Mbsurf)

Offices Cepmax = 50 • Mctype • (Mcgéo + Mcalt + Mcsurf + McGES)Bbiomax = Bbio>maxmaxmoyen • (Mbgéo + Mbalt + Mbsurf)

Table 6.7-5: Energyperformance requirementsin France [6]

103Focus reports on selected European markets | France

Page 106: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

6.8 Germany

KEY FACTSPopulation [1] 81 843 743Area 357 112 km2

GDP/capita [2] € 31 100 Capital Berlin

Number of single/two family houses (2011) 15 118 290Number of dwellings in multi-dwelling buildings (2011) 20 948 678Number of non-residential buildings in Germany n/aRate of new construction single/two family houses (2011) 89 058

Average heat demand single/two family house ca. 20 MWh/year

Share of RES in final consumption of energy 2011 [3] 12,3 %Binding target for the use of renewable sources by 2020 18 %

National emission factor (CO2/kWhelectricity) 2010 [4] 461 g

Energy mix gross electricity generation 2010 2011Fuel TWh Share TWh Share

Gas 82,5 13,5 % 70,0 11,3 %

Petroleum products 6,8 1,1 % 9,0 1,5 %

Solid fuels 262,5 43,2 % 277,0 44,8 %

Nuclear 108,0 17,7 % 99,5 16,1 %

Renewables 123,5 20,3 % 136,2 22,1 %

Other 25,6 4,2 % 25,9 4,2 %

Total 608,9 100 % 617,6 100 %

Energy prices €/kWh

Electricity 0,26

Heat pumps (useful energy price) 0,09

Heating oil 0,09

Gas 0,06

Pellets (bulk delivery) 0,05

District heating 0,07

PRESENT MARKET SITUATION2012 saw a moderate rise in the volume of space heating heat pumps and sanitaryhot water heat pumps sold in Germany for the second year in a row: In total 70 300units were sold, 59 600 of them for space heating (see figure 6.8-1). Comparedwith 2011, these volumes mark an increase of 4,4 % for space heating heat pumpsand 20,2 % for sanitary hot water heat pumps.

This is a promising development, especially if one takes the European financialcrisis and high electricity prices in Germany into account, which probably curbedthe heat pump’s sales. The reasons for the increasing sales volumes are various,

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

104 Focus reports on selected European markets | Germany

Table 6.8-1: Electricity mixfor Germany 2011 – 2012

Table 6.8-2: Energy prices inGermany 2012 (average endconsumer prices includingdistribution and taxes)

Page 107: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

but cannot be found in changed political or administrative circumstances. Morelikely it is based on a changed consciousness of German consumers: An increasingnumber of consumers ask for a cost-reducing and efficient renewable heatingsystem, to be independent of fossil fuels. Especially air-to-water heat pumps forthe use in new buildings become more and more popular, both because of theirlow installation costs and their increasing efficiency. Nearly every third newresidential building uses a heat pump for space heating.

In August 2012, the Marktanreizprogramm (MAP), the most important incentiveprogram for renewable heating, introduced positive changes for heat pumps.However, the number of applications for these grants decreased in the case of heatpumps, which demonstrates the little significance of the Marktanreizprogramm(MAP) for sales volumes.

The rise of the sales volume of heat pumps in 2012 is accompanied by an ongoingmarket change: The air to water heat pumps gained a market share of 62,7 % and

105Focus reports on selected European markets | Germany

Figure 6.8-1: German heatpump market development1993 – 2012 (excl. a/a units)

0

10 000

20 000

30 000

40 000

50 000

60 000

70 000

80 000

90 000

Space heating

Water heating

0

100 000

200 000

300 000

400 000

500 000

600 000

700 000

800 000

900 000

1 000 000

Space heating

Water heating

Figure 6.8-2: Heat pumpsin operation in Germany(excl. a/a units)

Page 108: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

their sales volume increased by 14,7 % compared to 2011. Hence, this successfuldevelopment was responsible for the overall promising performance of themarket, taking into account the decline of 9 % in sales volumes of ground sourceheat pumps. The conditions for ground source heat pumps continue to be difficult– due to a lot of regional differences in administrative regulations and practices.

MARKET TRENDSThe sales volume of heat pumps is expected to increase in the coming years. Themarket share of air-to-water heat pumps as well as heat pumps with an output of50 kW or higher is expected to increase. While air-to-water heat pumps becomemore popular every year – especially in newly built single or two-family houses,ground sourced heat pumps are more frequently used in big buildings, which alsorequire cooling. Air-to-air heat pumps are frequently used in hotels or energyefficient stores. The market for gas heat pumps is increasing, but still on a lowlevel. Besides gas heat pumps for high heating demands also heat pumps for massapplications have been brought to the market.

Apart from the policy development concerning heat pumps, the key to an ongoingmarket growth is the expected improvement in efficiency (COP) due todevelopments in heat pump technologies and the widespread further training ofheat pump installers and drillers.

More and more buildings use heat pumps combined with photovoltaics in orderto have an independent heating system. There are even some projects using windenergy combined with heat pumps. The combination of self-produced electricityand electrical heat pumps becomes more and more popular, not only to buildingowners, but even to politicians, planners and architects. When it comes toincreasing the market share of heat pumps in the building stock, the newgeneration of hybrid heat pumps could have a deep impact. Another topic whichattracts more and more attention, especially by municipal utilities, is heatcontracting with heat pumps.

The most important topic and barrier to an even higher market share of heatpumps is the development of the electricity prices, especially the increasing EEG(Renewable Energy Law) surcharge.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Figure 6.8-3: German2009 – 2012 market by type of heat pump 0

10 000

20 000

30 000

40 000

50 000

60 000

70 000

80 000

2009 2010 2011 2012

Others

Sanitary hot water

Direct expansion/water

Brine/water

Water/water

Air/water

106 Focus reports on selected European markets | Germany

Page 109: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Heat pump type 2009 2010 2011 2012 2011/2012

Air/water 24 664 26 796 32 616 37 400 15 %

Water/water 3 782 2 834 2 758 2 800 2 %

Brine/water 25 589 19 525 19 089 16 800 – 12 %

Others 983 1 879 2 557 2 600 – 71 %

Sanitary hot water 10 406 8 401 8 853 10 700 21 %

Total 66 948 62 748 65 873 70 300 7 %

* Note: Because of a change in data acquisition in Germany in 2011 the sales volumes for reversible heatpumps are no longer recorded

The 2009– 2012 domestic market segmentation by type of heat pump is shown inthe figure 6.8-3.

COSTSAir/water Water/water Brine/water

Euro 16 000 – 18 000 18 000 – 24 000 22 000 – 26 000

BRAND NAMESThe following brands are distributing heat pumps in Germany:

Airwell, Alpha InnoTec, August Brötje, Bartl, Buderus, Cofely, DAIKIN, ELCO,ENERTECH/Giersch, Fujitsu General, Glen Dimplex, Gorenje, Hautec, Heliotherm,Hoval, IDM, Immosolar, ITEC, IWS, Junkers, LG, Max Weishaupt, MHG, MitsubishiElectric, Neura, NIBE, Novelan, Ochsner, Panasonic, Remko, Rotex, Roth, Schüco,SmartHeat, SOLVIS, Stiebel Eltron, tecalor, Termo-Tehnika, Thermia, TRANE, Vaillant,Viessmann, Voß, Waterkotte, Wolf.

DISTRIBUTION CHANNELS Depending on a company’s preferred strategy, various distribution channels applyat present in the German market. Major approaches are distribution viawholesalers (to retailer and final consumer), or via dedicated retail networks.

INDUSTRY INFRASTRUCTURE The German Heat Pump Association e. V. (Bundesverband Waermepumpe or BWP)is an inter-trade organization based in Berlin that covers the entire value chain. Itsmembers comprise over 600 heat pump and component manufacturers, energysuppliers, installers, architects, planners and drilling companies that promote theuse of efficient heat pumps. The German Heat Pump Association organizes themarketing campaign “Zeichen setzen – Wärme pumpen” and hosts the “ForumWärmepumpe” – an annual conference of the German heat pump market. It is amember of the German Renewable Energy Federation BEE (BundesverbandErneuerbare Energie e.V.). The BWP represents 95 percent of the German heatpump industry, and its members account for approximately 5 000 employees andgenerate more than €1,5 billion turnover.

POLICY DEVELOPMENT AND INCENTIVES SCHEMESThe main incentive program for renewable heating systems is the Markt anreiz -programm (MAP), which has incorporated heat pumps since 2008. To access thefunding it is mandatory to verify a minimum SPF: 3,5 for air to water and 3,8 forground source heat pumps. These values are calculated in accordance with thenorm VDI 4650. In addition, since January 2012 it is mandatory to verify theminimum COP-measures of the EU Ecolabel. This condition is regarded as fulfilledif the heat pump was certified with the EHPA Quality Label after 1 January 2011. Abonus subsidy is also available by combining heat pumps with solar heat andwater storage tanks and through various other investments in energy efficiency.

Table 6.8-3: Sales of heat pumps in Germany2009 – 2012

Table 6.8-4: Typicalinvestment costs for heat pump systems insingle family houses in Germany (2009)

107Focus reports on selected European markets | Germany

Page 110: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

The public KfW bank promotes either with a grant or a loan the building orpurchasing of energy-efficient homes – both in new build and the existing stock –if they consume less energy than the Energieeinsparverordnung (EnEV – EnergyConservation Ordinance) demands.

If the costs and effort of a complete refurbishment would be too high, it is alsopossible to implement individual measures only. Since March 2013, financing isavailable for the renewal of the heating system with heat pumps.

Besides these financial incentives there are two different regulatory mandatoryrequirements for new homes and large renovations: EEWärmeG and EnEV.

The EEWärmeG obliges house builders to use renewable heating systems for aproportion of the dwelling’s total requirements. In addition to this requirement,heat pumps have to reach a minimum SPF of between 3,3 and 4,0 as calculatedin accordance with VDI 4650 (depending on heat source and whether domestichot water is included). Alternatively, house builders can invest in various otherenergy efficient technologies. Following the example of Baden-Württemberg,Thüringen and Rheinland-Pfalz are planning to launch their own stricter regionallaws. The regional laws additionally oblige house owners to invest in renewableheating in the building stock in the case of an exchange of the heating system(retrofit).

The Energieeinsparverordnung (EnEV) is the German implementation of theEuropean Energy Performance of Buildings Directive (EPBD), which regulates themaximum value of primary energy consumption (including losses of the heatingsystem and heat demand, i.e. insulation) in new buildings. Required values can bereached by using either very good insulation or environmentally friendly andenergy efficient technologies like heat pumps. The regulation was launched in2001. The newly modified EnEV - which will probably come into force in 2014 –foresees a downward adjustment of the primary energy factor of the electricitymix in 2014 (2,0) and 2016 (1,8). With these new primary energy factors heat pumpscan easily achieve the requirements for KfW Efficiency Houses and thus access theoffered grants or loans.

ENERGY PERFORMANCE REQUIREMENTS

POLICY RECOMMENDATIONSThe main political demands are:

The German Energiewende must no longer focus only on the electricitysector, but should take into consideration the heating sector. Only 20 % of theheating systems in Germany conform to the latest state of the art. That’s whyexperts speak of the “sleeping giant”

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

New buildings Existing/renovated buildings

General information

Quantity expressing energy performance

Maximum energy demand

Energy type if applicable Primary energy

End uses consideres Heating, cooling, ventilation, DHW, lighting

Notes/specifications

Notes/specifications New buildings must not exceed a defined primary energy demand based on of a referencebuilding of the same geometry, net floor space,alignment and utilisation. Lighting is only included in non-residential buildings

Prescriptive requirements apply to renovationactivities

Table 6.8-5: Energyperformance requirementsin Germany [5]

108 Focus reports on selected European markets | Germany

Page 111: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

The legislature should use the steering effect of taxes and dues to trigger theuse of renewable energy (nowadays gas heating has an unfair competitiveadvantage when compared to heat pumps)

To make things easier for house owners, EnEV and EEWärmeG should becombined (the combined law should be formulated in a way so as not to givepreference to certain technologies)

The necessary financing of the main incentive program MAP must beensured. The stop-and-go policy over the past few years has upset investors.

SMART GRIDSmart heat pumps have been introduced to the market at the beginning of 2013and were firstly presented at the ISH trade fair. Consumers can recognize thosemodels by the „SG Ready“ label that stands for a uniform interface and had beengranted to 350 models from 20 manufacturers by the end of the first quarter of2013. Detailed information on the requirements and a list of „SG Ready“ modelscan be found on www.waermepumpe.de/sg-ready.

How heat pumps can be integrated in smart grids is being tested in several pilotprojects run by utilities, for instance Lechwerke’s „Smart Operator“, a system forlocal balancing of consumption, production and storage. In 2013, the field testphase of the project will commence. RWE tries to harvest renewable surplusenergy in its „Windheizung“ project, in which small consumers are aggregated toa virtual storage and their flexibility is being offered at the control energy market.An example for a different approach is VHP from Vattenfall, a standard fordecentralised energy facilities that enables their incorporation into the utility‘svirtual power plant, currently comprising 150.000 households. Moreover,Fraunhofer ISE is planning to carry out a large-scale field test and is looking forpotential cooperation partners.

However, there are also several obstacles impeding the extensive use of smartheat pumps, for instance the relatively high and inflexible electricity prices or rigidstandard load profiles. The BWP is tackling these issues by engaging withpoliticians, administrative bodies and other stakeholders.

Sources

[1] 2012 Demographic balance and crude rates, Eurostat: www.epp.eurostat.ec.europa.eu[2] 2012 GDP at current prices per inhabitant, Eurostat: www.epp.eurostat.ec.europa.eu [3] 2011 Share of renewable energy in gross final energy consumption,

Eurostat: www.epp.eurostat.ec.europa.eu [4] CO2 emissions from fuel combustion – highlights, Ed. 2012,

IEA Statistics: www.iea.org/publications/freepublications/publication/ [5] BPIE – June 2013: www.buildingsdata.eu/bpie-data-hub

109Focus reports on selected European markets | Germany

Page 112: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

6.9 Hungary

KEY FACTSPopulation [1] 9 906 000Area 93 036 km2

GDP/capita [2] € 16 800Capital Budapest

Number of single/two family houses 2 700 000Number of dwellings in multi-dwelling buildings 800 000Number of non-residential buildings 800 000Rate of new construction single/two family houses 3 – 4%

Share of RES in final consumption of energy (2011) [3] 8,1 %Binding target for the use of renewable sources by 2020 13 %

National emission factor (CO2/kWhelectricity) 2010 [4] 317 g

Energy mix gross electricity generation 2010 2011Fuel TWh Share TWh Share

Gas 13,345 31 % 14,484 34 %

Petroleum products 0,6322 1,4 % 0,6816 1,6 %

Solid fuels 8,732 20.5 % 8,0514 18,9 %

Nuclear 16,614 39 % 16,614 39 %

Renewables 2,89 6,8 % 2,556 6 %

Others 0,223 0,5 % 0,213 0,5 %

Total 42,4 42,6

Energy prices €/kWh

Electricity 0,16

Heat pumps (useful energy price) 0,11

Heating oil 0,07

Gas 0,05

Pellets (bulk delivery) 0,02

Pellets (sack delivery) 0,03

District heating 0,05

PRESENT MARKET SITUATIONIn 2012 sales of heat pump in Hungary decreased compared to 2011 by about 8 %.The main factors for this decrease were the on-going economic crisis, a lack ofsupport by means of incentives and the generally unfavourable cost relativitiescompared with other heating alternatives. Within the overall heat pump market,air source systems increased their proportion however.

Due to the effects of the ongoing worldwide recession the growth of theHungarian heat pump market has ceased (see figure 6.9-1): with annual salesapproximating 1 000 units between 2008 and 2010. In 2011 air-source heat pumpsaccounted for 59 % of total sales.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

110 Focus reports on selected European markets | Hungary

Table 6.9-1: Electricity mixfor Hungary 2012

Table 6.9-2: Energy prices inHungary 2012 (average endconsumer prices includingdistribution and taxes)

Page 113: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

The primary causes of the market decline are as follows:

The current lack of state support (subsidies and incentives) for heat pumpsystems. Expectedly renewable energy and energy efficiency programs will be started in Hungary after the EU-IMF-HU negotiations in the framework of Structural Funds.

The gas price and the resulting gas/electricity price relativity isdisadvantageous. (Gas-price is low, while electrical energy price is above the EU average).

The favourable electricity tariff for heat pumps only applies to the heatingmode, and during the heating season (not cooling mode during the summermonths).

111Focus reports on selected European markets | Hungary

0

200

400

600

800

1 000

2009 2010 2011 2012

S

Space heating

Water heating

0

500

1 000

1 500

2 000

2 500

3 000

3 500

2009 2010 2011 2012

S

Space heating

Water heating

Figure 6.9-1: Hungarianheat pump marketdevelopment 2009 – 2012(excl. a/a units)

Figure 6.9-2: Heat pumps in operation in Hungary2009 – 2012 (excl. a/a units)

Page 114: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Many foreign multinational companies operating in Hungary made significantinvestments in heat pump systems in recent years. However, these types ofexemplary installations have all ceased in the current climate. The lack of coherentnational renewable energy legislation is also not conducive to encouraging theadoption of heat pump technology by consumers.

MARKET TRENDSIn the table below the sales by type of heat pumps are shown:Heat pump type 2009 2010 2011 2012 2011/2012

Air/water 58 106 97 65 – 33,0 %

Water/water 69 86 78 54 – 30,8 %

Brine/water 190 175 158 109 – 31,0 %

Exhaust air/air 26 45 41 36 – 12,2 %

Sanitary hot water 14 24 22 11 – 50,0 %

Reversible (total heat) 442 520 470 431 – 8,3 %

Total 798,8 955,8 866 706 –18,5 %

COSTSAir/water Water/water Brine/water

Euro 7 100 – 8 000 12 000 – 14 000 13 000 – 15 000

BRAND NAMESThe following companies are distributing heat pumps in Hungary and thesecompanies are strong participants of the Hungarian heat pump market also:Aermec, Bosch, Vaillant, Stiebel-Eltron, Daikin, Viessmann, WILO, CIAT, Ochsner,NIBE, Dimplex, LG.

DISTRIBUTION CHANNELSDepending on companies’ strategy, different distribution channels are present onthe Hungarian market. Major approaches are distribution via wholesalers (toretailers and final consumers), or via dedicated retail networks, or via designingcompanies.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Figure 6.9-3: Hungarian2009 – 2012 market by type of heat pump

Table 6.9-3: Sales of heat pumps in Hungary2009 – 2012

Table 6.9-4: Typicalinvestment costs for heatpump systems in singlefamily houses in Hungary

0

200

400

600

800

1 000

2009 2010 2011 2012

Reversible (total heat)

Sanitary hot water

Exhaust air

Brine/water

Water/water

Air/water

112 Focus reports on selected European markets | Hungary

Page 115: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

INDUSTRY INFRASTRUCTUREThe Hungarian Heat Pump Association (HHPA) is an inter-trade organization basedin Budapest that covers the whole value chain. Its members compriseapproximately 60 designers as well as drilling companies, heat pump andcomponent manufacturers and energy providers that promote the use of efficientheat pumps. The Hungarian Heat Pump Association organizes the trainingcampaign “Heat pump – Education program” and hosts the “Heat Pump Forum” –an annual conference of the Hungarian heat pump market. It is a member of theHungarian Association of Renewable Energy Sources.

INCENTIVES SCHEMES AND HEAT PUMP RELATED LEGISLATIONThe main incentive programs for renewable heating systems for private individualsare the National Energy Saving Plan (NEP) since 2005 and Green InvestmentScheme (ZBR) since 2009. To access the fund it is obligatory to verify a minimumSPF of 3,5. With regard to the climate bonus, which pays 27 % more, buildingsbecame 40 % more energy efficient compared with the minimum requirement.SPFs are calculated in accordance with VDI 4650.

The incentive scheme was stopped in 2011 because of the economic crisis.Stock/renovation New houses built

2006 2006 – 2009 after 2009 2006 2006 – 2009 after 2009

1 900 € 3 800 € 5 200 € 1 900 € 3 800 € 5 200 €

ENERGY PERFORMANCE REQUIREMENTS

Sources

[1] 2012 Demographic balance and crude rates, Eurostat: www.epp.eurostat.ec.europa.eu[2] 2012 GDP at current prices per inhabitant, Eurostat: www.epp.eurostat.ec.europa.eu [3] 2011 Share of renewable energy in gross final energy consumption,

Eurostat: www.epp.eurostat.ec.europa.eu [4] CO2 emissions from fuel combustion – highlights, Ed. 2012,

IEA Statistics: www.iea.org/publications/freepublications/publication/ [5] BPIE – June 2013: www.buildingsdata.eu/bpie-data-hub

New buildings Existing/renovated buildings

General information

Quantity expressing energy performance

Maximum energy demand Maximum energy demand

Energy type if applicable Primary energy Primary energy

Definitions of relevant parameters

A/V is the surface over volume ratio A/V is the surface over volume ratio

Units kWh/m2 per year kWh/m2 per year

Requirements in detail

Single Family Houses 110, for A/V < 0.3120 (A/V) + 74, for 0.3 < A / V < 1.3230, for A/V > 1.3

110, for A/V < 0.3120 (A/V) + 74, for 0.3 < A / V < 1.3230, for A/V > 1.3

Apartment Blocks 110, for A/V < 0.3120 (A/V) + 74, for 0.3 < A / V < 1.3230, for A/V > 1.3

110, for A/V < 0.3120 (A/V) + 74, for 0.3 < A / V < 1.3230, for A/V > 1.3

Offices 132, for A/V < 0.3128 (A/V) + 93.6, for 0.3 < A/V < 1.3260, for A/V > 1.3

132, for A/V < 0.3128 (A/V) + 93.6, for 0.3 < A/V < 1.3260, for A/V > 1.3

Educational Buildings 90, for A/V < 0.3164 (A/V) + 40.8, for 0.3 < A/V < 1.3254, for A/V > 1.3

90, for A/V < 0.3164 (A/V) + 40.8, for 0.3 < A/V < 1.3254, for A/V > 1.3

Table 6.9-5: Former heatpump incentive scheme in Hungary (approximatemaximum amounts)

Table 6.9-6: Energyperformance requirementsin Hungary [5]

113Focus reports on selected European markets | Hungary

Page 116: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

6.10 Ireland

KEY FACTSPopulation [1] 4 588 252Area 70 182 km2

GDP/capita [2] € 33 200Capital Dublin

Number of single/two family houses 1 400 000Number of dwellings in multi-dwelling buildings 148 623Number of non-residential buildings (estimated) 140 000Number of occupied dwellings 1 500 000Rate of new construction of single/two family houses 14 495

Average heat consumption in the building stock (residential) 18,4 MWh/yearAverage heat consumption for all residential buildings 16 MWh/yearAverage heat consumption in new residential buildings 9 MWh/year

Share of RES in final consumption of energy 2011 [3] 6,7 %Binding target for the use of renewable sources by 2020 16 %

National emission factor (CO2/kWhelectricity) 2010 [4] 458 g

Energy mix gross electricity generation 2010 2011Fuel TWh Share TWh Share

Gas 17,7 61,9 % 14,9 54,2 %

Petroleum products 0,6 2,1 % 0,2 0,7 %

Solid fuels 6,4 22,4 % 6,9 25,1 %

Nuclear

Renewables 3,9 13,6 % 5,4 19,6 %

Other 0,1 0,4 %

Total 28,6 100 % 27,5 100 %

Energy prices €/kWh

Electricity 0,20

Heat pumps (useful energy price) 0,07

Heating oil 0,10

Gas 0,08

Pellets (bulk delivery) 0,05

Pellets (sack delivery) 0,07

PRESENT MARKET SITUATION

Energy trendsAccording to the 2011 Census in the residential market oil remains the dominantfuel in Ireland, providing 44,4 % of energy. Gas is the second most popular fuel witha 34,3 % share, followed by electricity in third place with an 8,7 % share. Other fuelsinclude LPG with 0,6 %, Coal with 4,9 %, Peat with 4,8 % and Wood with 1,3 %.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

114 Focus reports on selected European markets | Ireland

Table 6.10-1: Electricity mixfor Ireland 2010 – 2011 [5]

Table 6.10-2: Energy pricesin Ireland 2012 (average endconsumer prices includingdistribution and taxes)

Page 117: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Electricity has seen a huge reduction in carbon intensity from 896 g CO2/kWh in1990 to 458 g CO2/kWh in 2010, mainly due to the reduction in coal usage forgeneration, replaced by natural gas and zero carbon renewables. In December 2012the electricity primary energy factor was updated from 2,58 to 2,42. Factors forother fuels (e.g. oil, gas, wood fuels) remain unchanged.

Electricity generation efficiency was 47 % in 2011, largely driven by the introductionof highly efficient gas fired CCGT stations. Ireland has one of the highestpenetration rates for wind energy with the current grid curtailment at 50 % iscurrently being considered to being lifted to 70 % by Eirgrid under its DS3 program.This will further drive the carbon content on the grid to a lower level.

Renewable energy in total grew by 24 % during 2011 to 782 ktoe [1]. Since 1990,renewable energy has grown by 297 % (7,5 % per annum on average) in absolute terms.

The target for Ireland in the European Renewable Energy Directive (2009/28/EC)is a 16 % share of renewable energy in gross final consumption by 2020. Thecontribution from renewables in 1990 was 2,2 %, rising to 6,7 % in 2011 [3].

Heating trendsCentralized boilers, either oil or gas, utilizing wet heat distribution systemscombined with radiator heat emitters are the most prevalent type of heatingsystem used in Ireland.

Outside of the main cities and towns, where natural gas is unavailable, oil is stillone of the major methods of heating with 44 % of heating systems running onKerosene. Solid fuels like turf/peat and coal still play an important role particularlyin rural locations.

A significant number of direct electric and electric storage heating systems areinstalled in both the domestic and commercial sectors in Ireland, although the newbuilding regulations now make the deployment of these systems extremely difficult.

Renewable alternatives such as biomass boilers (wood pellets), heat pumps andsolar thermal became popular in the last ten years, assisted by government grantsintroduced to assist the installation costs and the introduction of buildingregulations requiring a minimum of 10 kWh/m2/yr of Renewable heat or 4 kWh/m2/yr of renewable electricity. Heat pumps are providing a cost effectivealternative to fossil fuel fired heating in the new build market. Although aslowdown in the sales of new technologies was seen from 2009 to 2011 a smallincrease was seen in 2012 for heat pumps (figure 6.10-1).

115Focus reports on selected European markets | Ireland

Figure 6.10-1: Irish heat pump marketdevelopment 2009 – 2012(excl. a/a units) 0

200

400

600

800

1 000

1 200

1 400

1 600

2009 2010 2011 2012

S

Space heating

Page 118: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

MARKET TRENDSThe heat pump sector emerged in Ireland in the early to mid 2000s. After growingrapidly from a very low base, sales grew rapidly in the period up to 2008, peakingat just over 3 000 units in that year.

For a number of reasons the sector has suffered a severe setback since that time,reflecting the national economic and financial crisis and construction sectorslump. Unit sales fell significantly in the last number of years, with sales in 2012totalling 1 389 units. The key factors that have caused the dramatic slowdown inthe sector are as follows:

The property crash and dramatic slowdown in the Irish construction sector as awhole.

The recession that has gripped the Irish economy since 2008, and associatedausterity measures introduced by the Irish Government in 2009 in an effort tocurb spending and stabilise the economy.

The phased reduction of subsidies and incentives for heat pumps from 2008,with the eventual complete withdrawal of financial supports for those productsin 2011.

The market has remained relatively static during 2011 and the first half of 2012with a possible gradual recovery experienced in the second half of 2012. The heatpump market in Ireland is now stable and may be considered in growth again.

The following table and figure 6.10-2 illustrate the development of the sectorbetween 2009 and 2012.

Year 2009 2010 2011 2012

Residential

New Units in Year 922 1 293 989 1126

Cumulative Units 13 287 14 580 15 569 16 695

Total installed capacity (MW) 162 178 190 201

Commercial

New Units in Year 103 144 239 242

Cumulative Units 1 062 1 206 1 445 1 687

Total installed capacity (MW) 42 48 57 67

Total

New Units in Year 1 025 1 437 1 228 1 389

Cumulative Units 14 349 15 786 17 014 18 403

Total installed capacity (MW) 204 226 247 263

Ground source heat pumps emerged as the system of choice in Ireland in the earlystages of market development. In recent years however, reflecting a similar trend inmost other European markets, air source heat pumps have increased in popularityand in 2012 accounted for approximately 64 % of overall sales (figure 6.10-3).

In the initial stages of market development (pre 2008), heat pumps were mainlyinstalled in new residential houses, standalone installations being the mostcommon.

As the renovation sector developed, particularly driven by air to water units,installations in these environments have usually taken the form of oil and gasboiler replacements, and in some cases have seen heat pumps installed togetherwith the existing boilers.

Most of the heat pumps deployed are for space heating and hot water production.More recent years have also seen the installation of heat pumps combined withother renewable solutions such as solar thermal collectors and on site micro

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Table 6.10-3: Sales of heat pump in Ireland2009 – 2012 (units sold and capacity installed) [7]

116 Focus reports on selected European markets | Ireland

Page 119: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

electricity generation. Hybrid systems are also now becoming popular as in othermarkets, providing multi-energy solutions to consumers.

Outside of the residential sector heat pumps have also achieved a level ofacceptance in the light commercial sector in Ireland, with installations inenvironments such a hotels, guesthouses and retirement homes becomingpopular. Commercial applications now account for approximately 15-20 % of allinstallations.

Heat pump type 2009 2010 2011 2012 2011/2012

Air/water 220 707 646 886 37,2 %

Water/water 36 15 24 17 – 29,2 %

Brine/water 747 478 524 462 – 11,8 %

Sanitary hot water 3 2 5 150,0 %

Total 1 025 1 437 1 228 1 389 13,1 %

Figure 6.10-2 Heat pumpsin operation in Ireland(installed since 2009, excl. a/a units)

0

200

400

600

800

1 000

1 200

1 400

1 600

2009 2010 2011 2012

Sanitary hot water

Others

Brine/water

Water/water

Air/water

Table 6.10-4: Irish2009 – 2012 market by type of heat pump [7]

Figure 6.10-3: Irish 2012market by type of heatpump

117Focus reports on selected European markets | Ireland

0

1 000

2 000

3 000

4 000

5 000

2009 2010 2011 2012

S

Space heating

Page 120: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

COSTSAverage Installed Price per Unit Exhaust air Air/water Ground source

Price in € and inclusive of VAT 8 000 9 000 14 000

BRAND NAMESGlen Dimplex is Irish owned and headquartered in Ireland with R&D andmanufacturing in Ireland. It supplies products through its Irish subsidiary DimplexRenewables. Marc Eire has made a considerable investment in Ireland in 2011 for atest facility at their plant in Cork. Most leading European and Asian manufacturersare represented in the Irish marketplace as follows:

Ground source heat pumps:Alpha-Innotec, Danfoss, Dimplex, Geostar, Heliotherm, NIBE, Ochsner, StiebelEltron, Thermia, Viessmann, Waterfurnace, Waterkotte.

Air/water heat pumps:Alpha-Innotec, Danfoss, Daikin, Dimplex, Heliotherm, Hitachi, Kingspan (Aeromax),Mitsubishi, NIBE, Ochsner, Panasonic, Stiebel Eltron, Thermia, Toshiba, Viessmann,Waterfurnace, Waterkotte.

Exhaust air heat pumps: Dimplex, NIBE.

NATIONAL INDUSTRY ASSOCIATION2011 saw the formation of the Heat Pump Association of Ireland (HPAI). Most majorvendors and distributors are represented. The Association’s main objectives centrearound the promotion and understanding of heat pump technology, supportingthe growth and development of the sector, maintenance of quality standards, andtraining and accreditation of installers.

The Geothermal Association of Ireland (GAI) was formed in January 1998 topromote the development of geothermal resources in Ireland. The GAI is a memberof the European Geothermal Energy Council and of the International GeothermalAssociation.

TRAINING AND CERTIFICATIONSEAI (Sustainable Energy Authority of Ireland) is currently reviewing the trainingof installers for heat pumps. No training is currently available. The heat pumpassociation is requesting a minimum installer training standard for heat pumps inIreland.

INCENTIVE SCHEMESIn 2006 the Greener Homes Scheme was launched and provided financial supportto grant aid for the installation of heat pumps in the residential sector.Administered by SEAI, the scheme provided financial incentives to support theinstallation of heat pumps (and other renewable heat technologies) initially in allbuildings. This changed in 2009 when following changes to the buildingregulations the grant became eligible for existing buildings only (retrofit). Anannouncement in May 2011 has seen the end of the Greener Homes Scheme andan end to any direct financial support for the installation of heat pumps.

There are currently no grants available for heat pumps in Ireland, while oil and gasboilers continue to receive support from SEAI.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Table 6.10-5: Average heatpump end user unit prices(incl. VAT) [7]

118 Focus reports on selected European markets | Ireland

Page 121: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

ENERGY PERFORMANCE REQUIREMENTS

POLICY RECOMMENDATIONS

Currently the Irish Government is constrained in terms of the financial assistanceit can offer, however for the RES-H targets to be met the government will have tosubsidise heat pump technology in some way, as the technology represents thebest way to achieving this RES-H target in residential homes.

Potential options currently being considered are “Pay as you save” models.

However a finance mechanism alone will not be enough and it will need incentivessuch as Lower or Zero VAT rates or tax credits for people who make an investmentin renewable heating technology.

The obligated energy suppliers must also under the energy efficiency directivedeliver energy savings. In Ireland each energy supplier is committing to deliver atargeted energy saving. The mechanism used is a standardised model for variousmeasures. For example a solar system on a house will deliver 1600 kWh savings or1600 energy credits. At the time of writing Heat pumps are about to be recognisedby SEAI and this could provide another incentive for utilities to considerdeployment of the technology. However this will be in the future as they currentlyfocus on low cost energy credits such as attic insulation, as these measures areexhausted eventually the more expensive measures will need to be considered.

SMART GRIDSThe deployment of renewable energy sources has been increasing steadily inrecent years and Ireland is committed to increasing the level of renewableelectricity consumption to 40 % by 2020. EirGrid is the system operator on theIsland of Ireland and is leading this transition to a high level of renewableelectricity penetration. In order to allow for the high level of renewable electricityEirgrid have commenced a project called “Delivering a Secure SustainableElectricity System (DS3)”. Eirgrid have embarked on a number of demonstrationprojects. In the development, trialing and proving of new concepts/solutions andtechnologies. Smart Grid concepts are the key area of interest for the SystemOperator in terms of demonstration projects and include demand sidemanagement concepts. Currently there are no projects embarked upon for heatpumps under the demand side management but electric heating in general will beconsidered in the future.

New buildings

General information

Quantity expressing energy performance

Maximum Permitted Energy Performance Coefficient(MPEPC)Maximum Permitted Carbon Performance Coefficient(MPCPC)

Units Dimensionless

Requirements in detail

Single Family Houses MPEPC = 0,6MPCPC = 0,69

Apartment Blocks MPEPC = 0,6MPCPC = 0,69

Offices MPEPC = 1MPCPC = 1

Educational Buildings MPEPC = 1MPCPC = 1

Table 6.10-6: Energyperformance requirementsin Ireland [8]

Sources

[1] Irish Central Statistics office 2011census

[2] 2012 GDP at current prices per inhabitant, Eurostat:www.epp.eurostat.ec.europa.eu

[3] 2011 Share of renewable energy in gross final energy consumption, Eurostat:www.epp.eurostat.ec.europa.eu

[4] CO2 emissions from fuel com-bustion – highlights, Ed. 2012,IEA Statistics: www.iea.org/publications/freepublications/publication/

[5] EU Energy in figures – Statisticalpocketbook 2013: http://ec.europa.eu/energy/observatory/statistics/statistics_en.htm

[6] Electricity & Gas Prices in Ireland1st Semester 2013.

[7] Heat Pump Association of Ireland, 2012.

[7] EU energy observatory:http://ec.europa.eu/energy/publications/statistics/statistics_en.htm

[8] BPIE – June 2013: www.buildingsdata.eu/bpie-data-hub

119Focus reports on selected European markets | Ireland

Page 122: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

6.11 Italy

KEY FACTSPopulation [1] 60 626 442Area 301 338 km2

GDP/capita [2] 25 200Capital Rome

Number of single/two family houses (2011) [3] 11 862 670Number of flats in multi-dwelling buildings (2011) [3] 18 322 230Number of new construction (houses + flats) 2011 [4] 298 000

Average heat demand single/two family house (2011)(140 W/m2 x 200m2 x 1000h) 28 MWh/year

Share of RES in final consumption of energy 2010 [5] 11,5 %Binding target for the use of renewable sources by 2020 17 %

National emission factor (CO2/kWhelectricity) 2010 [6] 406 g

Energy mix gross electricity generation 2010 2011Fuel TWh Share TWh Share

Gas 157,4 52,1 % 150,0 49,6 %

Petroleum products 21,7 7,2 % 19,9 6,6 %

Solid fuels 39,7 13,1 % 44,7 14,8 %

Nuclear

Renewables 80,3 26,6 % 84,9 28,1 %

Other 3,0 1,0 % 3,1 1,0 %

Total 302,1 100 % 302,6 100 %

Energy prices €/kWh

Electricity 0,28

Heat pumps (useful energy price) 0,09

Heating oil 0,12

Gas 0,08

Pellets (bulk delivery) 0,05

Pellets (sack delivery) 0,06

District heating 0,09

PRESENT MARKET SITUATIONThe encouraging signs which appeared in 2010 and stirred hope of a renewedincrease in the general economic situation and HVAC industry have been deeplyfrustrated by the events of the following two years. The fears for intensespeculative financial turmoil, already cited in 2011’s EHPA Outlook report, becametrue and even worsened recently. The total HVAC residential market has decreasedby a further 10 % in 2012, to reach a cumulative loss of 40 percent in the last sixyears. The heat pump sector decreased about 7,4 % in 2012 (figure 6.11-1).

At present time, no change is in sight especially for the complicated politicalsituation of the country, coupled with the general European financial andeconomic crisis.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

120 Focus reports on selected European markets | Italy

Table 6.11-1: Electricity mixfor Italy 2010 – 2011

Table 6.11-2: Energy prices in Italy 2012 (average endconsumer prices includingdistribution and taxes)

Page 123: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Italy has been with a non-political emergency government for more than one yearand under the stress of the increasing spread versus the German bonds, which inEurope are the economical benchmark.

In the residential and non-residential space heating sector, the “heating only” unitsinstalled have decreased to one third compared to 2011 figures (circa 34 %) whenreversible heat pumps used for primary cooling show better results with a decreaseof only 8 %. On the contrary, district heating marks a 24 % increase with a totalheating capacity of 67 845 kWthermal.

Air-to-air reversible heat pumps continue to be more frequent in the Southernregions, which offer a more favourable climate for their use. However an intensecampaign for the use of heat pumps as primary source for heating seems toproduce some good results also in the Northern region, especially for hydronicapplications (air-to-water). No sign of interest can be remarked in the use ofexhaust-air heat pumps as well as for the production of SHW (sanitary hot water).

121Focus reports on selected European markets | Italy

0

20 000

40 000

60 000

80 000

100 000

120 000

140 000

2009 2010 2011 2012

S

Space heating

0

100 000

200 000

300 000

400 000

500 000

2009 2010 2011 2012

S

Space heating

Figure 6.11-1: Italian heat pump marketdevelopment 2009 – 2012(incl. 9,5 % of a/a units)

Figure 6.11-2: Heat pumps in operation in Italy(installed since 2009, incl. 9,5 % of a/a units)

Page 124: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

MARKET TRENDSHeat pump type 2010 2011 2012 2011/2012

evolution

Air/water 150 379 350 – 7,7 %

Water/water 179 424 408 – 3,8 %

Brine/water 178 409 408 – 0,2 %

Reversible (total heat) 122 825 126 527 119 828 – 7,5 %

District heating 44 80 91 13,8 %

Total 123 377 127 819 118 350 –7,4 %

Anima/Co.Aer, the Italian association of HVAC manufacturers, with its “GruppoItaliano Pompe di Calore” is continuing the struggle with the Italian EnergyAuthority for a revision of the electric power tariffs in order to improve utilizationof heat pumps for primary heating. A proposal has been recently submitted to theAuthority and there are indications of favourable reception. A power tariffrationalization is actually the major barrier for a serious promotion of heat pumpsales in our country, which suffers of one of the highest costs of electricity inEurope.

BRAND NAMESAermec, Hidros, Alfa Laval, Hitachi Europe, Airwell Italia, Mitsubishi Electric Europe,Blue Box Group, Riello, Carrier, Rhoss, Climaveneta, Robur, Clivet, Sabiana, DaikinAir Conditioning Italy, Sic, De Longhi Appliances, Sanyo Argo Clima, Ebm-Papst,Systemair Ac, Elco Italia, Tecnoclima, Emerson Climate Technologies, Tonon Forty,Ferroli, Viessmann, Galletti, Vortice Elettrosociali, Haier A/C (Italy) Trading.

DISTRIBUTION CHANNELSRetail chains and distributor/installer enterprises are specifically dedicated to thesale of residential and light commercial heat pumps – namely single and multiplesplit systems.

Larger heat pumps follow the traditional channel: direct manufacturer promotion,consulting companies’ specifications, contractors’ bids.

NATIONAL INDUSTRY ASSOCIATIONCo.Aer (Costruttori Aeraulici) is the national association of air treatmentequipment manufacturers. The association is federated in Anima, the federationof miscellaneous mechanical manufacturers. Within Co.Aer a special group of

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Table 6.11-3: Sales of heatpumps in Italy 2010–2012(excl. district heating heatpumps)

0

20 000

40 000

60 000

80 000

100 000

120 000

140 000

2009 2010 2011 2012

Brine/water

Water/water

Air/water

VRF

Brine-water / water Air/water

Air/air (with main heating function)

Reversible (heat)

140 000

100 000

120 000

60 000

80 000

r etaw/enBri

r etawr//wetaWWa

r etawr/Ai

FVR

/r eta-wenBri

20 000

40 000

ae(helbrsiveeR

r etawr etawr/Ai

nimahti(wr iar/Ainoictnufgnitaeh

) ta

n) n

0

2009

2010 201

1 201 2012

Figure 6.11-3: Italian2009 – 2012 market by type of heat pump

122 Focus reports on selected European markets | Italy

Page 125: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

manufacturers has established “Gruppo Italiano Pompe di Calore” for thepromotion of heat pump technology and developments for the user. This group,consisting mainly of manufacturers, is very active in the preparation anddissemination of heat pump information, organising exhibitions and seminars etc.A specific Commission of the Group is currently engaged with the area of trainingcourses.

TRAINING AND CERTIFICATIONIn Italy, Co.Aer is attempting to establish a national EUCert certification body. TheItalian energy agency ENEA already participated in the EU funded QualiCertProject and is now working with Co.Aer to implement a certification programmefor heat pump installers in Italy, as required by the RES Directive.

INCENTIVE SCHEMESUntil June 2013 there were incentives for replacing winter heating systems withsystems equipped with high energy efficiency heat pumps, including lowtemperature geothermal installations. These take the form of a deduction of 55 %of the costs incurred for these operations from personal income tax (IRPEF) andcorporate income tax (IRES) obligations. The total deduction is divided into 10equal instalments and deducted annually from tax obligations. This tax relief onlyapplies to operations carried out on existing buildings; it was extended to June2013 by the Italian Financial Law of 2012, called “Decreto Sviluppo” – Law no83/2012; this is available for high efficiency heat pumps.

In January 2013, the Ministerial Decree on the promotion of the production ofthermal energy from renewable sources and energy efficiency measures has beenadopted. For heat pumps the Decree has introduced an incentive system based ona feed-in tariff mechanism and addressed to both public and private. The measurewill be implemented in the coming months but in the case of heat pumps itseffectiveness is not so sure because it is not that profitable if compared with theinvestment cost of the plant.

Sources

[1] 2011 Demographic balance and crude rates, Eurostat: www.epp.eurostat.ec.europa.eu[2] 2012 GDP at current prices per inhabitant, Eurostat: www.epp.eurostat.ec.europa.eu [3] CRESME – Euroconstruct December 2012. [4] EUROCONSTRUCTION market trends to 2011.[5] 2011 Share of renewable energy in gross final energy consumption,

Eurostat: www.epp.eurostat.ec.europa.eu [6] CO2 emissions from fuel combustion - highlights, Ed. 2012,

IEA Statistics: www.iea.org/publications/freepublications/publication/ [7] EU Energy in figures – Statistical pocketbook 2013:

http://ec.europa.eu/energy/observatory/statistics/statistics_en.htm

123Focus reports on selected European markets | Italy

Page 126: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

6.12 Lithuania

KEY FACTSPopulation [1] 2 971 905Area 65 200 km2

GDP/capita [2] 17 800Capital Vilnius

Number of single/two-family houses 408 740Rate of new construction single/two family houses 2011 3 342

Average heat demand single/two family house 16 – 27 MWh/year

Share of RES in final consumption of energy 2012 [3] 20,3 %Binding target for the use of renewable sources by 2020 23 %

National emission factor (CO2/kWhelectricity) 2010 [4] 337 g

Energy mix gross electricity generation 2010 2011Fuel TWh Share TWh Share

Gas 3,2 56,1 % 2,7 56,3 %

Petroleum products 0,6 10,5 % 0,2 4,2 %

Solid fuels

Nuclear

Renewables 1,7 29,8 % 1,7 35,4 %

Other 0,2 3,5 % 0,2 4,2 %

Total 5,7 100 % 4,8 100 %

Energy prices €/kWh

Electricity 0,13

Heating oil 0 08

Gas 0,06

Pellets (bulk delivery) 0,05

District heating 0,09

PRESENT MARKET SITUATIONGross domestic product grew more slowly in this year. Budget revenues are stillhigher than expected/planned, which means that the stated goal this year toreduce the deficit to 3.0 % of GDP can be achieved. Inflation continues to decline,but could easily start to rise again next year. Although uncertainty remains higherthan it was thought for 2013, there will be a GDP growth of 4,1 % and acceleratedgrowth of 4,5 % in 2014. In the first half of this year the unemployment rate varied,but it is likely to reduce and will reach 9,3 % in 2014.

MARKET TRENDSIn Lithuania there is no clear energy policy. The gas and electricity prices rise, theheating costs scare the population, but the lack of a progressive policy and the lackof money can not move the heat pump market. The private sector is still not eagerto invest in the building sector and it seeks for cheap heating alternatives in termsof investment. It decides rather for wood and gas than heat pumps.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

124 Focus reports on selected European markets | Lithuania

Table 6.12-1: Electricity mixfor Lithuania 2010 – 2011 [5]

Table 6.12-2: Energy pricesin Lithuania 2012 (averageend consumer pricesincluding distribution and taxes)

Page 127: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Competition behaves aggresively on the market. This year, manufacturers sellforemost directly to the end-consumers and, as such, push the installers to theside, in order to try to survive in the market with low distribution prices. Generally,the heat pump market is similar to the year before (see figure 6.12-1). Heat pump type 2009 2010 2011 2012 2011/2012

Air/water 141 161 193 195 1,0 %

Water/water 8 13 15 5 – 66,7 %

Brine/water 399 340 385 445 15,6 %

Direct expansion water 6 3 4 0 – 100,0 %

Total 554 517 597 645 8,0 %

125Focus reports on selected European markets | Lithuania

0

100

200

300

400

500

600

700

2009 2010 2011 2012

S

Space heating

0

500

1 000

1 500

2 000

2 500

3 000

3 500

2009 2010 2011 2012

S

Space heating

Figure 6.12-1: Lithuanianheat pump marketdevelopment 2009 – 2012

Figure 6.12-2: Heat Pumpsin operation in Lithuania(installed since 2009)

Table 6.12-3: Lithuanian 2009 – 2012 market by type of heat pump [4]

Page 128: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

RENEWABLE ENERGY USE IN HEATINGIn Lithuania renewable heating is dominated by biomass, followed by geothermaland solar thermal energy. In 2008 renewable energy in the heating sectoramounted to 28 per cent. 76 % of this were covered by directly fueled heatingsystems in households and other sectors. The rest consisted of district heat. 15 %of energy produced from renewable energy sources was fed to district heatingsystems in 2008. Rapid further renewable energy development is linked toincreasing the use of renewables in the district heating sector.

COSTSThe prices for heat pump units, including installation and required external equip -ment, material and labour costs are (for an average family house with heat lossesaround 10 kW):

Air-Water GSHP

Euro 6 500 – 12 000 8 000 – 11 000

BRAND NAMESSome of the most significant brand names existing in Lithuania’s market are listedbelow:

Ground-source heat pumpsAermec, Alpha-Innotec, Buderus, CTC, Dimplex, ECOLogic, IVT, Lämpoässä, Junkers,Nibe, Ochsner, Stiebel-Eltron, SVEO, Thermia, Vaillant, Viessmann, Waterkotte

Air/water heat pumpsAermec, Airpac, Alpha-Innotec, Buderus, CTC, Daikin, Dimplex, ECOLogic, IVT,Junkers, Mitsubishi, Nibe, Ochsner, Octopus, Sanyo, Stiebel-Eltron, SVEO, Thermia,Viessmann, LG, Pionnier, Atlantic

Air/air heat pumpsAtlantic, Carrier, Daikin, Fujitsu, Haier, IVT, LG, Midea, Mitsubishi, Panasonic, Sharp,Sanyo, Toshiba

DISTRIBUTION CHANNELSLike in the other countries, distribution channels are: from manufacturers to installers direct sales via wholesalers by web-stores

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

0

100

200

300

400

500

600

700

2009 2010 2011 2012

Direct expansion/water

Brine/water

Water/water

Air/water

Figure 6.12-3: Lithuanian2009 – 2012 market by type of heat pump

Table 6.12-4: Average heat pump unit prices in Lithuania

126 Focus reports on selected European markets | Lithuania

Page 129: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

NATIONAL INDUSTRY ASSOCIATIONSThe Lithuanian Heat Pump Association, founded in 2009, consists of manufacturersand importers of heat pumps as well as installers and other companies thatexpressed interest in the heat pump industry.

INCENTIVE SCHEMESA renewable energy law is in force. But it does not discuss about heat pumps ortheir active use. Financial support is not provided.

ENERGY PERFORMANCE REQUIREMENTS

SMART GRIDSThe smart meter roll out period is until 2020. Until this date smart metering shouldbe installed at 80 % of users.

Given the results of cost-benefit analysis, under the current assumptions, it followsthat smart accounting (metering) in Lithuania is not economically viable. However,in order to verify the assumptions, accuracy is necessary for pilot projects thatshow smart metering benefits for Lithuania. The cost-benefit analysis showed thatfor 80 % or 100 % of commercial consumers over 30 kW of power the result is

Table 6.12-5: Energyperformance requirementsin Lithuania [6]

New buildings Existing/renovated buildings

General information

Quantity expressing energy performance

Maximum energy demand Maximum energy demand

Definitions of relevant parameters

A denotes the floor area of the building A denotes the floor area of the building

Units kWh/m2 per year kWh/m2 per year

Requirements in detail

Single Family Houses 80 for A>3 000 m2

100 for 501< A < 3 000 m2

115 for A< 500 m2

110 for A> 3 000 m2

130 for 501< A < 3 000 m2

145 for A< 500 m2

Apartment Blocks 80 for A>3 000 m2

100 for 501< A < 3 000 m2

115 for A< 500 m2

110 for A> 3 000 m2

130 for 501< A < 3 000 m2

145 for A< 500 m2

Offices 80 for A>3 000 m2

100 for 501< A < 3 000 m2

115 for A< 500 m2

110 for A> 3 000 m2

130 for 501< A < 3 000 m2

145 for A< 500 m2

Educational Buildings 80 for A>3 000 m2

100 for 501< A < 3 000 m2

115 for A< 500 m2

110 for A> 3 000 m2

130 for 501< A < 3 000 m2

145 for A< 500 m2

Hospitals 80 for A>3 000 m2

100 for 501< A < 3 000 m2

115 for A< 500 m2

110 for A> 3 000 m2

130 for 501< A < 3 000 m2

145 for A< 500 m2

Hotels & Restaurants 80 for A>3 000 m2

100 for 501< A < 3 000 m2

115 for A< 500 m2

110 for A> 3 000 m2

130 for 501< A < 3 000 m2

145 for A< 500 m2

Wholesale and retail trade 80 for A>3 000 m2

100 for 501< A < 3 000 m2

115 for A< 500 m2

110 for A> 3 000 m2

130 for 501< A < 3 000 m2

145 for A< 500 m2

Notes/specifications

Notes/specifications New buildings must comply with at least class Cin the energy scale of the Lithuanian EPC

Renovated buildings must comply with at leastclass C in the energy scale of the Lithuanian EPC.For buildings with useful area over 1000 m2

which undergo major renovation only.

127Focus reports on selected European markets | Lithuania

Page 130: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

positive. So DSOs should continue to automate large commercial user’s accounts(half of which already have remote counters). Smart metering installation shouldbe carried out only, when the smart meters will pay for themselves, that is to saywhere the expected or experienced savings after the installation outweigh theirinstallation costs.

Sources

[1] 2012 Demographic balance and crude rates, Eurostat: www.epp.eurostat.ec.europa.eu[2] 2012 GDP at current prices per inhabitant, Eurostat: www.epp.eurostat.ec.europa.eu [3] 2011 Share of renewable energy in gross final energy consumption,

Eurostat: www.epp.eurostat.ec.europa.eu [4] CO2 emissions from fuel combustion – highlights, Ed. 2012,

IEA Statistics: www.iea.org/publications/freepublications/publication/ [5] EU Energy in figures – Statistical pocketbook 2013:

http://ec.europa.eu/energy/observatory/statistics/statistics_en.htm[6] BPIE – June 2013: www.buildingsdata.eu/bpie-data-hub

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

128 Focus reports on selected European markets | Lithuania

Page 131: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

6.13 The Netherlands

KEY FACTS [1]Population 1 January 2012 16 778 025Area 41 544 km2

GDP/capita [2] 32 800Capital Amsterdam

Number of single/two family houses 5 305 708Number of dwellings in multi-dwelling buildings 1 962 385Number of non-residential buildings 437 000Rate of new construction of single/two family houses 0,6 %

Average heat consumption for all residential buildings 1 600 m3

in cubic meters natural gasAverage heat consumption in new residential buildings 1 200 m3

in cubic meters natural gas, for buildings constructed in 2000 or later

Share of energy from renewable sources 4,3 %in final consumption of energy 2012 [3]

Binding target for the use of renewables in 2020 14 %National emission factor (CO2/kWhelectricity) 2010 [4] 415 g

Gross electricity generationFuel TWh Share

Nuclear 4 4 %

Hydro 0 0 %

Wind 5 5 %

Com. Renewables and waste 9 9 %

Natural gas 56 54 %

Oil 1 1 %

Coal 27 27 %

Other 0 0 %

Total 102 100 %

(gross electricity generation) 2010 2011Fuel TWh Share TWh Share

Gas 77,4 65,5 % 71,8 63,5 %

Petroleum products 1,3 1,1 % 1,5 1,3 %

Solid fuels 22,6 19,1 % 21,4 18,9 %

Nuclear 4,0 3,4 % 4,1 3,6 %

Renewables 11,2 9,5 % 12,3 10,9 %

Other 1,6 1,4 %

Total 118,1 100 % 113

129Focus reports on selected European markets | The Netherlands

Table 6.13-1: Electricityproduction in theNetherlands 2012 [1]

Table 6.13-2: Electricity mixfor The Netherlands2010 – 2011 [5]

Page 132: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Energy prices €/kWh

Electricity 0,13

Heat pumps (useful energy price) 0,04

Heating oil 0,12

Gas 0,08

Pellets (bulk delivery) 0,05

Pellets (sack delivery) 0,06

District heating 0,08

PRESENT MARKET SITUATION

Type of heating Number %

District heating (>600 kW) 330 000 4,60 %

Collective heating (60–600kW) 302 000 4,21 %

Individual central heating gas 5 869 000

Individual central heating heat pumps 70 000 0,98 %

Individual central heating oil 6 000 0,08 %

Individual central heating solid fuel 21 000 0,29 %

Individual central heating others 28 000 0,39 %

Total Individual central heating 5 994 000 83,62 %

Room heating 215 000 3,00 %

Various undefined 202 000 2,82 %

Total 7 168 000

New dwellings 35 000 0,49 %

Table 6.13-4 gives an overview of the housing stock and heating systems appliedtherein. Individual gas-fired central heating is predominant in the Netherlands.

Data related to the number of installed heat pumps is available up to andincluding 2012 (source Central Bureau of Statistics [1]). Housing numbers areupdated based on AgentschapNL reports.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

130 Focus reports on selected European markets | The Netherlands

Table 6.13-3: Energy pricesin Netherlands 2012(average end consumerprices includingdistribution and taxes)

Table 6.13-4: Housing parkby type of heating product,2012 [1]

0

1 000

2 000

3 000

4 000

5 000

6 000

7 000

8 000

9 000

10 000

2006 2007 2008 2009 2010 2011 2012

S

Space heating

Water heating

Figure 6.13-1: Dutch heatpump market development2006 – 2012 (excl. a/a units)

Page 133: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

In Table 6.13-5 the development of the total number of heat pumps installed in thetime period 1995 – 2012 (all types and sectors) is illustrated, including their impacton fossil fuel consumption and CO2 emission reductions. From 2010 to 2011 a steeprise in heat pump numbers is visible. This can be partly explained by the fact thatuntil 2010 reversible (air/air) heat pumps < 10 kW were excluded, because they weresupposed to be used for cooling only. In the discussion of the update of the nationalProtocol Monitoring Renewable Energy it was agreed in 2010 to include thesesmaller units, because they are reversible systems that can be used for heatingquite well. Because the actual use for heating is very uncertain it was decided to usea 50 % reduced number of full load hours. Also, since 2011 air-source heat pumps areonly included if they fulfill certain criteria for the COP. If they do not fulfill thecriteria it is assumed that they are not used for heating, but for cooling only. Themuch smaller increase in installed capacity is in line with the above.

Year Added number Added capacity Installed numberInstalled capacity Avoided fossil use CO2-emissions avoided[-] [MW] [-] [MW] [TJ] [kton]

1995 553 10 8 470 128 254 11

2000 2 412 38 16 054 224 589 20

2001 2 321 33 17 923 250 650 20

2002 4 897 42 22 366 284 772 24

2003 5 430 74 27 338 352 970 26

2004 7 676 119 35 060 471 1 365 38

2005 7 603 145 42 330 613 1 830 48

2006 11 788 222 53 784 831 2 566 74

2007 15 361 301 67 403 1 111 3 446 91

2008 18 251 382 85 082 1 491 4 622 127

2009 18 918 346 103 600 1 828 5 668 156

2010 16 970 351 120 017 2 170 6 726 185

2011 37 783 385 157 070 2 545 7 888 217

2012 36 635 342 192 405 2 876 8 914 245

However, for the sake of comparison, we opted to exclude the air/air units in ourgraphs and overall sales data, as we did in our previous reports for countries in the

131Focus reports on selected European markets | The Netherlands

Table 6.13-5: Number ofheat pumps installed in the Netherlands: 1995 – 2012 (incl. 50 % ofreversible a/a systems < 10 kW since 2010) [1]

* The installed number of heat pumps in any year (i) is calculated as [installed number in year(i-1)] + [added number in year(i)] –[installed number year(i-15)].

Figure 6.13-2: Heat pumpsin operation in TheNetherlands (installed since 2006, excl. a/a units) 0

10 000

20 000

30 000

40 000

50 000

60 000

2006 2007 2008 2009 2010 2011 2012

S

0

Space heating

Water heating

Page 134: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

average climate zone. In that way, we see that in the Netherlands 3,4 % less heatpumps were sold in 2012 in comparison to 2011, just reaching a number of above9 000 units (figure 6.13-1). A large share of this decrease was caused by the 40 %sales drop of sanitary hot water heat pumps (table 6.13-6). With almost 44 % of theoverall sales number, the brine-water heat pump market remained stable in 2012,with just below 4 000 units sold. This is fairly good, since 2011 was market by asteep increase in this segment.

MARKET TRENDSHeat pump type 2009 2010 2011 2012 2011/2012

Air/water 2 613 1 887 3 016 2 954 – 2,1 %

Water/water 2 572 2 918 1 527 1324 – 13,3 %

Brine/water 2 481 1 564 3 945 3 936 – 0,2 %

Exhaust air/air 244 325 0 0 0,0 %

Sanitary hot water 682 567 456 270 – 40,8 %

Total 8 845 8 497 9 330 9 010 –3,4 %

ENERGY PERFORMANCE REQUIREMENTSSee table 6.13-7 (page 133)

POLICY RECOMMENDATIONSIn May 2010 a cross-party initiative started which was called “The Netherlandsreceives new energy” (Nederland krijgt nieuwe energie). The people involvedrepresented almost all political parties, and shared their concern about thestagnant development of renewable energy in the Netherlands: in the period2000-2010 The Netherlands degraded from front-running country to a straggler.Eventually, this initiative made the Minister of Economic Affairs ask for advice tothe SER (Social Economic Council in the Netherlands). At the moment that thiscountry report is being prepared, the SER is in discussion with all market partiesinvolved and is preparing a long-term sustainable energy strategy plan. Theambition is to have this report including its recommendations published aroundthe summer holidays 2013.

The plan is important for heat pumps: It is expected that the energy tax ratiobetween gas and electricity, which turns out disastrous for electric heat pump pay-back times, will be dealt with.

SMART GRIDS

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

0

2 000

4 000

6 000

8 000

10 000

2009 2010 2011 2012

Sanitary hot water

Exhaust air

Brine/water

Water/water

Air/water

Figure 6.13-3: Dutch2009 – 2012 market by type of heat pump

Table 6.13-6: Dutch2009 – 2012 market by type of heat pump

132 Focus reports on selected European markets | The Netherlands

Page 135: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Heat pumps receive more and more recognition as one of the primary tools toabsorb electricity produced from renewable energy sources, and also function asa tool of choice for grid load management. Together with the utility grid operators,electricity suppliers and the national government, the DHPA has established aproject group ‘Heat Pumps in Smart Grids’ to address the various issues whicharise in the process of optimising the contribution of heat pumps to smart grids.

In 2013 the DHPA published a positioning paper ‘Heat pumps in Smart grids’; apositioning paper ‘Heat Pumps and Economy’ will become available in the thirdquarter of 2013.

The DHPA is also a member of the Advisory Board of the Dutch Knowledge Cluster“TKI2Smart Grids”, a high grade knowledge development cluster initiated by theDutch government.

There is also a connection between the DHPA and the International Energy Agency,Annex 42 ‘Heat Pumps in Smart Grids’, which is a 3-year running knowledgedissemination project under the IEA Heat Pump Program, with participants from8 countries from all over the world.

HEAT PUMP CITY OF THE YEARIn 2012, the city Etten-Leur was appointed as the “EHPA Heat Pump City of the Year2012”. In Etten-Leur’s district Schoenmakershoek one of the largest heat pumpprojects in the world with individual ground source heat pumps has beenconstructed: The gas-infrastructure (standard in the Netherlands) was omittedand 1.500 dwellings have individual heat pumps with vertical ground heatexchangers. During the thorough (and successful) system design, special attentionwas paid to the high density of vertical ground heat exchangers (a consequenceof the small garden area available per dwelling).

The Town Hall and various schools have heat pumps connected to an opengroundwater heat source.

THE NETHERLANDS JOINS EHPA QUALITY LABEL FOR HEAT PUMPS

New buildings Existing/renovated buildings

General information

Quantity expressing energy performance

Energy performance coefficient, EPN

Units Dimensionless

Requirements in detail

Single Family Houses EPN = 0,6 EPN = 0,6

Apartment Blocks EPN = 0,6 EPN = 0,6

Offices EPN = 1,1 EPN = 1,1

Educational Buildings EPN = 1,3 EPN = 1,3

Hospitals EPN = 2,6 EPN = 2,6

Hotels & Restaurants EPN = 1,8 EPN = 1,8

Sports facilities EPN = 1,8 EPN = 1,8

Wholesale and retail trade EPN = 2,6 EPN = 2,6

Notes/specifications

Notes/specifications The energy performance requirements are expressed in terms of the EPN coefficient factor.In 2015, the EPN requirements will be tightnedfurther (e.g. EPN= 0,4 for residential buildings).

Table 6.13-7: Energyperformance requirementsin The Netherlands [6]

133Focus reports on selected European markets | The Netherlands

Page 136: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

At the end of 2012 the Netherlands decided to join the EHPA Quality Label. In theNetherlands two laboratories meet EHPA’s requirements: TNO and KIWA.

EHPA WORKING GROUP THERMAL DRIVEN HEAT PUMPS (WGTHP)The WGTHP under the EHPA should offer clout on a Pan-European scale and levelto the gas heat pump technology. The bundled forces of companies and institutessuch as (but not limited to) the gas related national and international actingorganizations, component suppliers, manufacturers of gas heat pumps, knowledgeinstitutes etc. should be able to offer a comprehensive approach to all issues whichrelate to the further roll out gas heat pumps throughout Europe.

In 2012 and 2013 the startup phase of this Dutch initiative was completed, and aworking package is under development with the participating companies andinstitutes.

NATIONAL INDUSTRY ASSOCIATIONSIn the Netherlands three associations are active in the field of heat pumps:

1. Dutch Heat Pump Association (DHPA),2. Smart Cooling Foundation (SCF),3. Association of Suppliers of Air Conditioning Equipment (VERAC).

1. DHPA covers heat pump applications in the domestic market. In the new build segment the most popular heat pumps are brine-to-water(ground coupled) and water-to-water. In most cases these heat pumps aremonovalent, sometimes with an electric back-up heating system. Additionallysanitary hot water heat pumps that utilise exhaust air are quite popular in newhouses.The retrofit segment is a growing one in the Netherlands. The most popular heatpump system in this sector tends to be a bivalent electric air-to-water heat pumpcoupled with a (pre-existing) gas boiler (“air” includes both outside air and orventilation (exhaust) air). The auxiliary heating is produced by a (existing) gas-fired boiler. These systems are also referred to as “hybrids” referring to the factthat the bivalent system uses two energy sources: electricity and natural gas.

2. SCF deals with gas fired heat pumps, both absorption and gas engine driven,both for the domestic and utility market.

3. VERAC is primarily focused on air conditioning. As far as AC-equipment isreversible, it is included in heat pump statistics (referred to as “reversible” in thetables above).

POLICY RECOMMENDATIONS1. Enforce the use of Energylabeling for domestic dwellings in all member states

including the Netherlands

2. Permit member states to vary VAT tariffs on renewable energy applications toterminate unlevel playing field situations for renewables compared to fossilfired conventional systems, and therewith stimulate use of heat pumps.

Sources

[1] CBS (Netherlands Central Bureau of Statistics), with thanks to Mr. Reinoud Segers.[2] 2012 GDP at current prices per inhabitant, Eurostat: www.epp.eurostat.ec.europa.eu [3] 2011 Share of renewable energy in gross final energy consumption,

Eurostat: www.epp.eurostat.ec.europa.eu [4] CO2 emissions from fuel combustion – highlights, Ed. 2012,

IEA Statistics: www.iea.org/publications/freepublications/publication/ [5] EU Energy in figures – Statistical pocketbook 2013:

http://ec.europa.eu/energy/observatory/statistics/statistics_en.htm[6] BPIE – June 2013: www.buildingsdata.eu/bpie-data-hub

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

134 Focus reports on selected European markets | The Netherlands

Page 137: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

6.14 Norway

KEY FACTS [1]Population [2] 5 051 275Area 385 000 km2

GDP/capita [3] 49 900Capital Oslo

Number of single/two family houses 1 600 000Rate of new construction / year 10 000

Average heat demand single/two family house 15 – 20 MW/year

Share of RES in final consumption of energy 2005 [4] 64,7 %Expected share of renewables sources by 2020 67,5 %

National emission factor (CO2/kWhelectricity) 2010 [5] 17 g

Energy mix(gross electricity generation) 2011Fuel TWh Share

Hydropower stations 121,5 95,2 %

Thermal power stations 4,8 3,8 %

Wind power stations 1,3 1,0 %

Total 127,6 100 %

Energy prices €/kWh

Electricity 0,06

Gas 0,03

Pellets 0,03

District heating 0,07

PRESENT MARKET SITUATIONLike many other European countries the heat pump market in Norway developedafter the first oil crisis in the 1970s. The 1980s saw a government-funded programto support the introduction of heat pumps. The main emphasis was on commercialheat pumps and industrial heat pumps. Many of these heat pumps are stillworking properly after many years of operations. The households in Norway aremainly heated with direct electricity and electricity prices have been very low inNorway during the post war period up to the 2000s. There were just a fewpioneers who installed heat pumps in private homes during the 1980s and 1990s.The production of hydropower in Norway varies from 90 to 150 TWh per year,depending on weather conditions. Normal consumption is about 120 TWh.Electricity supply in Norway, with indigenous production being dependent onweather conditions, benefits from connections to countries having powergeneration based on nuclear power, natural gas, coal or oil. The disadvantage forNorwegian consumers is that electricity prices rise significantly when it isnecessary to import electricity. In 2012 electricity prices were decreasing and themarket for heat pumps decreased by almost 20 % from 2011 to 67 383 units (table6.14-3). Most households in Norway have no hydronic heat distribution system.The most obvious and popular type of heat pump is therefore air-to-air heat

135Focus reports on selected European markets | Norway

Table 6.14-1: Electricity mixfor Norway 2011 [1]

Table 6.14-2: Energy pricesin Norway 2009 (averageend consumer pricesincluding distribution and taxes)

Page 138: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

pumps. These heat pumps have an installation cost of about 2 500 Euro and save5 000 – 8 000 kWh a year. In recent years installations with low temperatureoutput have become more popular, and most houses that install this technologychoose a heat pump as heat source. More than 30 % of single-family houses inNorway have a heat pump.

In 2012 the total heat pump sales in Norway were 67 383 units where 61 050 unitswere air-to-air heat pumps, 2 806 units were air-to-water heat pumps and 3 211units were brine-to-water heat pumps (figure 6.14-3). In addition there is a smallmarket for ventilation air heat pumps and VRF/VRV heat pumps. For the futurewe expect a higher penetration of heat pumps in larger buildings, where moreinsulation is reducing the need for heating and increasing the need for cooling.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

136 Focus reports on selected European markets | Norway

Figure 6.14-1: Norwegianheat pump marketdevelopment 2005 – 2012(incl. 90 % of a/a units)

0

10 000

20 000

30 000

40 000

50 000

60 000

70 000

80 000

90 000

100 000

2009 2010 2011 2012

S

Space heating

0

50 000

100 000

150 000

200 000

250 000

300 000

350 000

400 000

2005 2006 2007 2008 2009 2010 2011 2012

S

Space heating

Figure 6.14-2: Heat Pumpsin operation in Norway(installed since 2005, incl. 90 % of a/a units)

Page 139: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

MARKET TRENDSHeat pump type 2009 2010 2011 2012 2011/2012

Air/water 4 154 3 530 2 914 2 806 -3,7 %

Brine/water 3 532 2 863 3 677 3 211 -12,7 %

Air/air (with 75 626 87 222 76 394 60 959 -20,2 %main heating function)

Exhaust air/air 724 227 473 316 -33,2 %

Total 84 036 93 842 83 458 67 383 -19,3 %

BRAND NAMESSome of the most significant brand names in the Norwegian market are listed inalphabetical order below.

Ground source – water/water heat pumps: CTC, Glen Dimplex, IVT, NIBE, Thermia,Vaillant, Qvantum.

Air/water heat pumps: CTC, Daikin, Glen Dimplex, Fujitsu, IVT, LG, MitsubishiElectric, NIBE, Panasonic, Sanyo, Qvantum, Thermia, Vaillant.

Air/air heat pumps: Daikin, Carrier, Fujitsu, IVT, Toshiba, LG, Mitsubishi Electric,Mitsubishi Heavy Industry, Panasonic, Sanyo.

Exhaust air heat pumps: IVT, NIBE, NILAN.

DISTRIBUTION CHANNELSWholesalers and retailers.

NATIONAL INDUSTRY ASSOCIATIONSIndustry is represented by the Norwegian heat pump association (Norsk Varme -pumpeforening or NOVAP), which was established in 1991 by distributors andinstallers. Today, the Association has two employees and is working on trainingand education, public information and the creation of a political framework forthe heat pump industry.

!!"!

!#"!"""!

!$"!"""!

!%"!"""!

!&"!"""!

!'"!"""!

!("!"""!

!)"!"""!

!*"!"""!

!+"!"""!

!#""!"""!

$""+! $"#"! $"##! $"#$!

,-./0-.!12-34!50-6!470869!:;6<8=6>!

?@40;A3!0-.!

B.-67/2037.!

,-./2037.!

!! !

! ! !

! ! !

! ! !

! ! !

! ! !

! ! !

! ! !

! ! !

! ! !

! ! !

! ! ! !

,-./0-.!12-34!50-6!470869!:;6<8=6>!

? ! !

!

!

!! !

! ! !

! ! !

! ! !

! ! !

! ! !

! ! !

! ! !

! ! !

! ! !

! ! !

! ! ! !

! ! ! ! !

?@40;A3!0-.!

B.-67/2037.!

,-./2037.!

!! !

! ! !

! ! !

! ! !

! ! !

! ! !

! ! !

! ! !

! ! !

! ! !

! ! !

! ! ! !

! ! !470869!:;6<8=6>!

? ! !

!

!

Figure 6.14-3: Norwegian2009 – 2012 market by typeof heat pump

137Focus reports on selected European markets | Norway

Table 6.14-3: Sales of heat pumps in Norway2009 – 2012

Page 140: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

INSTITUTIONAL AND FINANCIAL SUPPORTThe Norwegian Government has established a public company Enova SF tosupport renewable energy and energy efficiency in Norway. Enova gives a subsidyof 1 100 Euro for private households who install a ground source or air-to-waterheat pump system in houses with a hydronic distribution system. If you remove anoil burner in a household and replace it with a heat pump you receive about 3 000Euro in subsidy. There are no subsidies for air-to-air heat pumps. For commercialbuildings and industrial heat pumps you can receive a financial support with alimitation on return on investment, which means that not all heat pumps getfinancial support. In new buildings larger than 500 square meters it is requiredthat more than 60 percent of heat demand comes from a renewable heat source.

ENERGY PERFORMANCE REQUIREMENTS

Sources

[1] Statistics Norway, 2010: www.ssb.no/bygg_en [2] 2012 Demographic balance and crude rates, Eurostat: www.epp.eurostat.ec.europa.eu[3] 2012 GDP at current prices per inhabitant, Eurostat: www.epp.eurostat.ec.europa.eu [4] 2011 Share of renewable energy in gross final energy consumption,

Eurostat: www.epp.eurostat.ec.europa.eu [5] CO2 emissions from fuel combustion – highlights, Ed. 2012, IEA Statistics:

www.iea.org/publications/freepublications/publication/ [6] EU Energy in figures – Statistical pocketbook 2013:

http://ec.europa.eu/energy/observatory/statistics/statistics_en.htm[7] BPIE – June 2013: www.buildingsdata.eu/bpie-data-hub

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

New buildings Existing/renovated buildings

General information

Quantity expressing energy performance

Maximum energy demand Maximum energy demand

Energy type if applicable Useful energy Useful energy

Units kWh/m2 per year kWh/m2 per year

Requirements in detail

Single Family Houses 120 + 1600/A for single family houses apply to small houses, included holiday homes with150 m2 heated floor area or more, where A isheated floor area

120 + 1600/A for single family houses apply to small houses, included holiday homes with150 m2 heated floor area or more, where A isheated floor area

Apartment Blocks 115140 for day nurseries

115140 for day nurseries

Offices 150 150

Educational Buildings 120 for schools160 for universities

120 for schools160 for universities

Hospitals 300 for hospitals330 for hospitals (when the heat recovery of ventilation air may rise concerns on spreadingcontaninants/infections)215 for nursing homes250 for nursing homes (when the heat recoveryof ventilation air may rise concerns on spreadingcontaninants/infections)

300 for hospitals330 for hospitals (when the heat recovery of ventilation air may rise concerns on spreadingcontaninants/infections)215 for nursing homes250 for nursing homes (when the heat recoveryof ventilation air may rise concerns on spreadingcontaninants/infections)

Hotels & Restaurants 220 for hotels only 220 for hotels only

Sports facilities 170 170

Wholesale and retail trade 210 for commercial buildings 210 for commercial buildings

Notes/specifications

Notes/specifications Only when the purpose or use of the building ischanged, or when retrofitting by the municipalauthorities is considered to be so extensive thatthe building is fundamentally renewed (main reconstruction)

Table 6.14-4: Energyperformance requirementsNorway [6]

138 Focus reports on selected European markets | Norway

Page 141: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

6.15 Poland

KEY FACTSPopulation [1] 38 533 299Area 312 600 km2

GDP/Capita [2] 16 200Capital WarsawNumber of single/two-family houses [3] 6 000 000Average heat demand single/two family house (150 m2) [3] New houses:

15 – 20 MWh/year Old houses25 – 35 MWh/year

Number of all buildings (houses and apartments) [3] 13 000 000

Share of energy from renewable sources in final consumption of energy 2012 [4] 10,4 %Binding target for the use of renewable sources by 2020 15,0 %Rate of new construction single/two family houses 2010 [3] 1,5 %Generation capacity of electricity 2010 33 GWNet Supplies of electricity 2010 [3] 150 913 GWh

National emission factor (CO2/kWhelectricity) 2010 [5] 781 g

ENERGY MARKET AND PRICES(gross electricity generation) 2010 2011Fuel TWh Share TWh Share

Gas 6,5 4,1 % 7,4 4,5 %

Petroleum products 2,9 1,8 % 2,5 1,5 %

Solid fuels 136,6 86,6 % 139,9 85,6 %

Nuclear

Renewables 11,5 7,3 % 13,6 8,3 %

Other 0,2 0,1 % 0,1 0,1 %

Total 157,7 100 % 163,5 100 %

Average end consumer prices including distribution and taxes during 2010:Energy prices [€/kWh]

Electricity* 0,14

Heating oil 0,10

Gas 0,06

Pellets (bulk delivery) 0,06

Pellets (sack delivery) 0,07

District heating 0,08

Energy prices have substantially influenced the structure of primary energyproduction and consumption over the last number of years in Poland. Electricitygeneration in Poland is still mainly based on coal (91 %). Domestically producedhard coal still dominates but its share in national energy consumption is beingreduced with a corresponding decrease in coal production. The result has been anincrease in the use of alternative energy sources such as oil, natural gas, LPG and

139Focus reports on selected European markets | Poland

Table 6-15.1: Energy mix for Poland 2010 – 2011 [6]

Table 6.15-2: Energy pricesin Poland in 2012

Page 142: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

various renewable energy sources (mainly hydro energy and biomass). Theserenewable sources accounted for 10 % of the total energy consumption share in2012. There are no nuclear power plants in operation in Poland. However, at thebeginning of 2012, the Polish government announced that it intends to build thefirst nuclear power plant in �arnowiec in the north of the country. This power plantis due to be finished by 2021.

The structure of primary energy consumption is currently as follows:2012 Share

Coal (hard coal and lignite) 57 %

Oil 20 %

Natural Gas 13 %

Renewables and other 10 %

Most of the renewables contribution (around 90 %) can be accounted for biomass,and about 7 % by hydropower. Poland has to achieve a share of RES in primaryenergy of 15 % by 2020 as set out by the EU RES Directive. The current price of oilis approximately four times higher than five years ago. At the beginning of 2013the price of natural gas decreased about 10 % however it is expected to increaseannually at about 20 %, as in recent years.

PRESENT MARKET SITUATIONThe prevailing energy policy currently promotes the use of biomass, wind and solarenergy more than heat pumps. The market for domestic heat pumps in Poland isgrowing continuously (about 20 – 30 % annually). In 2012 the increase in total heatpump sales was 20 % compared to 2011 (figure 6.15-1), due to a major increase inair/water and domestic hot water heat pumps.

The current penetration of heat pumps in Polish single-family houses is around 1 %. One of the main challenges for the Polish heat pump market is to overcomethe barriers set by a lack of recognition and acceptance amongst the generalpublic. Total space heating heat pump sales in 2012 exceeded 6 000 units. Thecurrent statistics do not include air/air systems. Of this number, ground sourceunits accounted for approximately 4 100 units, which, due to the relatively coldclimate, are typically the solution of choice. Systems are usually installed in new

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

140 Focus reports on selected European markets | Poland

Table 6.15-3: Primary energy consumption in Poland in 2012

Figure 6.15-1: Polish heatpump market development2000 – 2012 (excl. a/a units) 0

2 000

4 000

6 000

8 000

10 000

12 000

14 000

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

S

Space heating

Water heating

Page 143: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

houses, which have the accompanying land to allow the installation of a groundcollector. In contrast to 2011, 2012 was a good year for outdoor air to water systems.This segment recorded an increase of about 36 %, with an overall sales level ofabout 1 280 units (figure 6.15-3). At the same time there has been a significantinterest in sanitary hot water heat pumps that utilize internal (exhaust) air, asconsumers seek to replace old electrical water heaters and other dedicated waterheaters with this type of product. Sales in this category grew from about 4 500units in 2011 to 5 600 units in 2012 (table 6.15-4).

MARKET TRENDSIn Poland, systems in the 6-12 kW capacity range account for about 44 % of theoverall ground source heat pump segment. These systems are generally installedin new houses of 150-200 m² size, which account for 80 % of all newly-builthouses. This trend has attracted the interest of developers, who see theopportunity of developing homes equipped with devices using energy fromrenewable energy sources. Heat pumps with a capacity of 13 – 20 kW in 2012accounted for approximately 30 % in this segment.

During 2012 the demand for large capacity heat pumps remained similar to 2011.The type typically used for heating multi-family buildings, offices, tourist andrecreational, religious and industrial buildings. Up until 2007, this type ofinstallation was primarily confined to the retrofit segment. However, in recentyears, it has continued to make inroads in new constructions as well.

Air/water heat pumps, both monobloc and split systems with output under 15 kW,are usually installed in new single-family houses, often located in cities or suburbs,where there is not enough space for a ground collector. In recent years, a numberof new players introduced split units to the market and their share in this segmenthad increased to about 40 % by the end of 2012.

Sales levels of sanitary hot water heat pumps continued to increase (about 25 %in 2012). The increase in sales of these units is primarily being driven by their lowprice and the simplicity of installation. Sanitary hot water heat pumps comparefavorably with solar thermal systems in that they are less expensive, can guaranteeyear round production of hot water, with the additional option of cooling. Themost popular units are in the 200-300 litres capacity range (units over 200 litresaccount for over 60 % of all units sold).

141Focus reports on selected European markets | Poland

Figure 6.15-2: Heat Pumpsin operation in Poland(installed since 2000, excl. a/a units) 0

10 000

20 000

30 000

40 000

50 000

60 000

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

S

0

Space heating

Water heating

Page 144: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

The deadline for the implementation of the RES Directive by Poland expired at theend of 2010. Since then, four preliminary drafts of legislation were presented – thelast one in October 2012. In 2013 the European Commission summoned Poland tothe European Court of Justice for not implementing the RES Directive. It isexpected that this will be implemented in 2013. Also the recast EPBD should beimplemented in 2013 and both regulations should play an important role inensuring heat pumps gaining increased market shares. It is planned that smallRES installations should have 25 % subsidies and that new built buildings shoulduse RES at a level of 13 %. It is expected that overall sales of heat pumps will morethan double in the next four years.

Heat pump type 2010 2011 2012 2011/2012

Air/water 1 200 940 1 280 36,2 %

Water/water 450 250 145 – 42,0 %

Brine/water 3 050 3 825 4 100 7,2 %

Direct expansion/water 620 220 342 55,5 %

Exhaust air/air 95 105 155 47,6 %

Sanitary hot water 2 060 4 500 5 600 24,4 %

Total 8 245 10 640 12 568 18,1 %

COSTSThe below table depicts average end consumer prices, including VAT, for turnkeyinstallation in single family houses. The turnkey solutions include everything tofully commission the entire system – i.e. the heat pump, auxiliary equipment,material and labour costs.

Average cost Air/air Air/water Ground source (Horizontal) (Vertical)

Euro 5 000 – 9 000 8 000 – 12 000 10 000 – 15 000 12 000 – 18 000

The price of heat pumps is forecast to decrease within the next few years and theongoing rise in energy prices is expected to favour heat pumps. Air/air heat pumpsare predominantly installed in existing houses using direct electric heating, thiscurrently being the most cost-effective solution for this type of house. A recenttrend is to install air/air heat pumps in holiday homes/summer cottages, as acomplement to direct electric heating.

Air/water heat pumps are generally replacing or complementing oil or coal boilersand, for climatic reasons, such replacement is more frequent in the northern partof Poland.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Figure 6.15-3: Polish 2009–2012 market by type of heat pump 0

2 000

4 000

6 000

8 000

10 000

12 000

14 000

2010 2011 2012

Reversible (total heat)

Sanitary hot water

Exhaust air

Direct expansion/water

Brine/water

Water/water

Air/water

Table 6.15-4: Sales of heat pumps in Poland2010 – 2012

Table 6.15-5: Typical cost for an installed heat pumpin Poland, 2012

142 Focus reports on selected European markets | Poland

Page 145: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Ground source heat pumps are dominated by vertical indirect systems (60 %).Horizontal systems are restricted in use due to the significant space requirementsand its share is approximately 40 % of the entire volume of ground source heatpump installations. Water/water heat pumps can be used only in specificgeological environments and special permits apply.

BRAND NAMESSome of the most significant brand names present on the Polish market are listedin alphabetical order below.

Ground source heat pumps: Alpha-InnoTec, Buderus, Danfoss, De Dietrich, Dimplex,Hibernatus, Hoval, IVT, Junkers, Nateo, Ochsner, NIBE, Sofath, Stiebel-Eltron, Vaillant,Vatra, Viessmann.

Air/water heat pumps: Alpha-InnoTec, Danfoss, Daikin, De Dietrich, Euronom, IVT,LG, Mitsubishi, NIBE, Panasonic, Sanyo, Stiebel-Eltron, Vaillant, Viessmann.

Air/air heat pumps: Daikin, IVT, LG, Mitsubishi

Exhaust air heat pumps: Buderus, Dimplex, Hewalex, NIBE, Viessmann

DISTRIBUTION CHANNELSDedicated retail networks and wholesalers dominate the heat pump market.Nonetheless, for the last couple of years, air/air heat pumps are offered atconstruction material stores, mail-order firms and web-stores.

NATIONAL INDUSTRY ASSOCIATIONSPoland has two national heat pump industry associations.

The Polish Organization of Heat Pump Technology Development (PolskaOrganizacja Rozwoju Technologii Pomp Ciepła or PORT PC), founded in January2011, has approximately 40 members and since 2012 is a member of the EuropeanHeat Pump Association. The members consist of heat pump and componentmanufacturers, experts, scientists and other companies with an interest in theindustry. The Association serves as the official voice for scientists and the heatpump industry at national level.

The Polish Heat Pump Association (Polskie Stowarzyszenie Pomp Ciepła or PSPC)formed in 2002, has approximately 30 members and since 2006 is a member ofthe European Heat Pump Association. The members comprise scientists, designersand installers.

TRAINING AND CERTIFICATIONCurrently, training is mainly carried out by manufacturers of heat pumps. PORT PCis planning to establish a training program based on EUCERT. First trainings areplanned for the second half of 2013. The first training centre will be located inKatowice. In future it is planned to build another training centre in the northernpart of Poland.

INCENTIVE SCHEMES

The European Union subsidies

As Poland is a member of the European Union, Polish traders, institutes, farmersetc. may benefit from subsidies for heating systems based on RES (including heatpump systems). All of the investments should be connected with their trading,economic and enterprise activity.

The National Fund for Environmental Protection and Water Management

The National Fund has been operating since 1st July 1989 and was established onthe basis of an amended Act concerning environmental protection – enacted on

143Focus reports on selected European markets | Poland

Page 146: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

27 April 1989. It offers loans, subsidies and equity funding, but is limited to heatpump installations exceeding 300 kW.

Environmental Protection Bank (Bank Ochrony Srodowiska S.A. – BOS)The Environmental Protection Bank (BOS) is a universal, commercial bankspecializing in financing activities connected with environmental protection andwater management. Soft loans are provided for projects with real environmentalbenefit, including utilization of renewable sources of energy and heat (geothermal,solar, photovoltaic, heat pumps and the usage of waste).

SMART GRIDSThe Polish government and authorities currently do not see the connectionbetween heat pump technology and smart grid systems. PORT PC is planning toorganize a conference in 2013 to present the role of heat pumps within smart grids.

Sources

[1] 2012 Demographic balance and crude rates, Eurostat: www.epp.eurostat.ec.europa.eu[2] 2011 GDP at current prices per inhabitant, Eurostat: www.epp.eurostat.ec.europa.eu [3] Central Statistical Office Poland, www.stat.gov.pl[4] 2011 Share of renewable energy in gross final energy consumption,

Eurostat: www.epp.eurostat.ec.europa.eu [5] CO2 emissions from fuel combustion – highlights, Ed. 2012, IEA Statistics:

www.iea.org/publications/freepublications/publication/ [6] EU Energy in figures – Statistical pocketbook 2013:

http://ec.europa.eu/energy/observatory/statistics/statistics_en.htm

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

144 Focus reports on selected European markets | Poland

Page 147: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

6.16 Portugal

KEY FACTS Population [1] 10 637 713Area 92 090 km2

GDP/Capita [2] 19 200Capital Lisbon

Number of single/two family houses and dwellings in multi-dwelling buildings (2011) [3] 5 865 390Number of non-residential buildings (2011) [3] 24 907Rate of new construction of single/two family houses (2010) [4] 56 %

Share of RES in final consumption of energy 2011 [5] 24,9 %Binding target for the use of renewable sources by 2020 31 %

National emission factor (CO2/kWhelectricity) 2010 [6] 255 g

Gross electricity generation 2010 2011Fuel TWh Share TWh Share

Gas 14,9 27,5 % 14,9 28,5 %

Petroleum products 3,0 5,5 % 2,7 5,2 %

Solid fuels 7,1 13,1 % 9,8 18,8 %

Nuclear

Renewables 28,8 53,2 % 24,7 47,3 %

Other 0,3 0,6 % 0,1 0,2 %

Total 54,1 100 % 52,2 100 %

Energy prices €/kWh

Electricity 0,21

Heat pumps (useful energy price) 0,07

Heating oil 0,11

Gas 0,07

Pellets 0,08

PRESENT MARKET SITUATION AND MARKET TRENDS [6]The overall heat pump market in Portugal shows a decreasing trend since 2009,with the exception of 2010, which was marked by an increase (figure 6.16-1). In2012 there was a huge decrease in heat pumps installation, mostly due to theeconomic crisis. As it can be observed in figure 6.16-3, the majority of heat pumpsinstalled in Portugal are reversible air/air units. The main reason to installreversible units is the Mediterranean climate, which creates a need for bothheating and cooling. Air-to-air units are very widespread and it is easy to find aninstaller.

Some heat pump categories have only been considered in statistics in recent years(geothermal and sanitary hot water: 2009). The heat pump market evolutionbetween 2011 and 2012 is really negative, showing a drecrease of almost 50 % ofsales, mainly due to the sales drop of air-source systems (table 6.16-3). As statedbefore, the main reason is the economic crisis.

145Focus reports on selected European markets | Portugal

Table 6.16-1: Electricity mixfor Portugal 2012 [7]

Table 6.16-2: Energy pricesin Portugal 2012 (averageend consumer pricesincluding distribution andtaxes) [8] * not official

Page 148: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Heat pump type 2009 2010 2011 2012

Air/air (total) 76 382 113 528 97 120 47 155

Reversible (total heat) 11 667 18 406 14 096 8 072

Air/air (with main heating function) 8 364 12 534 10 566 5 247

Air/water 606 748 430 519

Brine-water / water 223 405 24 39

VRF 2 474 4 719 3 076 2 267

Sanitary hot water 53 374 475 458

Industrial (air source) 7 71 217 139

Total 11 727 18 851 14 788 8 669

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

146 Focus reports on selected European markets | Portugal

Figure 6.16-2: Heat Pumps in operation in Portugal(installed since 2009, incl. 9,5 % a/a units)

0

2 000

4 000

6 000

8 000

10 000

12 000

14 000

16 000

18 000

20 000

2009 2010 2011 2012

S

Space heating

Water heating

0

10 000

20 000

30 000

40 000

50 000

60 000

2009 2010 2011 2012

S

Space heating

Water heating

Figure 6.16-1: Portugueseheat pump marketdevelopment 2009 – 2012(incl. 9,5 % of a/a units)

Table 6.16-3: Sales of heat pumps in Portugal2007 – 2012 [9] (air/waterincluding reversible units)

Page 149: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

In the past, the most common application of heat pumps was in the commercialand public sectors such as offices, hospitals, schools, retail outlets etc. In morerecent times however, heat pumps are being promoted more intensively fordomestic heating and cooling. This has led to increased deployment in theresidential sector. Given the Portuguese climate, the requirement for coolingapplications cannot be underestimated, especially in commercial buildings. Thispresents an opportunity for reversible heat pumps to become the dominantcooling solution in this sector, as they also provide heating functionality at areasonable cost.

BRAND NAMES Many European heat pump manufacturers have established their presence in thePortuguese market in recent years; the market however is quite fragmentedwithout one dominant player.

DISTRIBUTION CHANNELS The principal routes to market are through distributors and installers, with only avery small percentage of sales though direct channels, online, web stores andspecialized outlets, etc.

INCENTIVE SCHEMES AND HEAT PUMP RELATED LEGISLATIONConcerning heat pumps for space heating and cooling, there are no benefits orincentives at national level. However, some discussions are currently underway,which may change this situation by recognizing and rewarding the renewableenergy contribution of heat pump technology.

147Focus reports on selected European markets | Portugal

0

2 000

4 000

6 000

8 000

10 000

12 000

14 000

16 000

18 000

20 000

2009 2010 2011 2012

I

Reversible (heat)

20 000

14 000

16 000

18 000

8 000

10 000

12 000

veeR

v e

2 000

4 000

6 000

0

2009 2010

2010 1 201

2012

Industrial (air source)

Sanitary hot water

VRF

Brine-water / water

Air/water

Air/air (with main heating function)

I

Sa

rceusor i(alaristudn

r etawtohry atinSa

)

VR

Bri

Ai

Ai

FVR

r etaw/r eta-wenBri

r etawr/Ai

nimahti(wr iar/Ai

Aih

nimahti(wr iar/Ai) noictnufgnitaeh

Figure 6.16-3: Portugal2005 – 2012 market by type of heat pump

Reversible (heat)

veeR

v elbrsie

(heat)

) tae(h

Page 150: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

ENERGY PERFORMANCE REQUIREMENTS

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

148 Focus reports on selected European markets | Portugal

New buildings

General information

Quantity expressing energy performance

Maximum energy demand

Energy type if applicable Useful energy

End uses considered Heating, cooling, ventilation

Definitions of relevant parameters

GD denotes the degree daysFF a ratio between the sum of the areas of the outer envelope (Aext) and inner (Aint) of the building or building unit with thermal requirements and its interior volume (V).

Units kWh/m2 per year

Requirements in detail

Single Family Houses Ni = 4,5 + 0,0395 GD for FF < 0,5Ni = 4,5 + (0,021 + 0,037 FF) GD for 0,5 < FF < 1Ni = [4,5 + (0,021 + 0,037 FF) GD] (1,2 – 0,2 FF) for 1 ‹ FF < 1,5Ni = 4,05 + 0,068 85 GD for FF › 1,5

Apartment Blocks Ni = 4,5 + 0,0395 GD for FF < 0,5Ni = 4,5 + (0,021 + 0,037 FF) GD for 0,5 < FF < 1Ni = [4,5 + (0,021 + 0,037 FF) GD] (1,2 – 0,2 FF) for 1 ‹ FF < 1,5Ni = 4,05 + 0,068 85 GD for FF › 1,5

Offices Ni = 4,5 + 0,0395 GD for FF < 0,5Ni = 4,5 + (0,021 + 0,037 FF) GD for 0,5 < FF < 1Ni = [4,5 + (0,021 + 0,037 FF) GD] (1,2 – 0,2 FF) for 1 ‹ FF < 1,5Ni = 4,05 + 0,068 85 GD for FF › 1,5

Educational Buildings Ni = 4,5 + 0,0395 GD for FF < 0,5Ni = 4,5 + (0,021 + 0,037 FF) GD for 0,5 < FF < 1Ni = [4,5 + (0,021 + 0,037 FF) GD] (1,2 – 0,2 FF) for 1 ‹ FF < 1,5Ni = 4,05 + 0,068 85 GD for FF › 1,5

Hospitals Ni = 4,5 + 0,0395 GD for FF < 0,5Ni = 4,5 + (0,021 + 0,037 FF) GD for 0,5 < FF < 1Ni = [4,5 + (0,021 + 0,037 FF) GD] (1,2 – 0,2 FF) for 1 ‹ FF < 1,5Ni = 4,05 + 0,068 85 GD for FF › 1,5

Hotels & Restaurants Ni = 4,5 + 0,0395 GD for FF < 0,5Ni = 4,5 + (0,021 + 0,037 FF) GD for 0,5 < FF < 1Ni = [4,5 + (0,021 + 0,037 FF) GD] (1,2 – 0,2 FF) for 1 ‹ FF < 1,5Ni = 4,05 + 0,068 85 GD for FF › 1,5

Sports facilities Ni = 4,5 + 0,0395 GD for FF < 0,5Ni = 4,5 + (0,021 + 0,037 FF) GD for 0,5 < FF < 1Ni = [4,5 + (0,021 + 0,037 FF) GD] (1,2 – 0,2 FF) for 1 ‹ FF < 1,5Ni = 4,05 + 0,068 85 GD for FF › 1,5

Wholesale and retailtrade

Ni = 4,5 + 0,0395 GD for FF < 0,5Ni = 4,5 + (0,021 + 0,037 FF) GD for 0,5 < FF < 1Ni = [4,5 + (0,021 + 0,037 FF) GD] (1,2 – 0,2 FF) for 1 ‹ FF < 1,5Ni = 4,05 + 0,068 85 GD for FF › 1,5

New buildings

Notes/specifications For a small building the following values apply: 52 – 117 for heating 18 for cooling 38,9 for DHW

Table 6.16-4: Energyperformance requirementsPortugal [10]

Sources

[1] 2010 Demographic balanceand crude rates, Eurostat: www.epp.eurostat.ec.europa.eu

[2] 2012 GDP at current prices per inhabitant, Eurostat:www.epp.eurostat.ec.europa.eu

[3] QUERCUS: www.quercus.pt/comunicados/2013/janeiro/782-apren-e-quercus-analisam-dados-da-producao-de-eletricidade-em-2012

[4] INE http://www.ine.pt/xportal/xmain?xpid=INE&xpgid=ine_main

[5] 2011 Share of renewable energy in gross final energyconsumption, Eurostat: www.epp.eurostat.ec.europa.eu

[6] CO2 emissions from fuel combustion – highlights, Ed. 2012, IEA Statistics: www.iea.org/publications/freepublications/publication

[7] EU Energy in figures – Statistical pocketbook 2013: http://ec.europa.eu/energy/observatory/statistics/statistics_en.htm

[8] DGEG: www.dgge.pt[9] APIRAC (Associação

Portuguesa da Indústria de Refrigeração e Ar Condicionado).

[10] BPIE – June 2013: www.buildingsdata.eu/bpie-data-hub

Page 151: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

6.17 Slovakia

KEY FACTSPopulation [1] 5 410 836Area 49 000 km2

GDP/capita [2] 19 200Capital Bratislava

Number of single/two-family houses 900 000Number of dwellings in multi-dwelling buildings 1 000 000Number of non-residential buildings 14 525Rate of new construction of single/two family houses 7 300

Average heat demand single/two family house (2010) 18–22 MWh/year

Share of RES in final consumption of energy 2011 [3] 9,7 %Binding target for the use of renewable sources by 2020 14 %

National emission factor (CO2/kWhelectricity) 2010 [4] 197 g

Gross electricity generation 2010 2011Fuel TWh Share TWh Share

Gas 2,7 9,7 % 3,6 12,5 %

Petroleum products 0,6 2,2 % 0,6 2,1 %

Solid fuels 3,6 12,9 % 3,6 12,5 %

Nuclear 14,6 52,3 % 15,4 53,7 %

Renewables 6,3 22,6 % 5,4 18,8 %

Other 0,1 0,3 % 0,1 0,3 %

Total 27,9 100 % 28,7 100 %

Energy prices €/kWh

Electricity 0,17

Heat pumps (useful energy price) 0,12

Gas 0,06

Pellets 0,04

District heating 0,07

PRESENT MARKET SITUATIONThe market for domestic heat pumps in Slovakia is quite limited primarily due tothe existence of a dense gas network. The technology is however slowly reachinga level of recognition and acceptance amongst the general public. Heat pumpspresent an interesting alternative in the new-build sector, but are less attractive inthe retrofit segment. As with many other markets, the general economic downturnadversely affected the rate of new construction in the building sector in recenttimes, and so the Slovak heat pump market decreased in 2011. It did however growagain in 2012, as you can see in figure 6.17-1. Currently, sales are not stimulated byany form of subsidy scheme. The current challenge for the Slovak heat pumpmarket is to overcome the barriers set by the economic situation and a generalresistance to any changes in heating systems.

149Focus reports on selected European markets | Slovakia

Table 6.17-2: Energy pricesin Slovakia 2012 (averageend consumer pricesincluding distribution andtaxes) [6]

Table 6.17-1: Electricity mixfor Slovakia 2010 – 2011 [5]

Page 152: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

MARKET TRENDSFigure of heat pump market development shows a peak in the year 2010 and adecline in the year 2011, caused by higher purchase of heat pumps in the year 2010,which were installed later in the year 2011. Taking into account later installations,then the overall trend that can be observed is that sales of heat pumps aregrowing again, but after the year 2010 the growth was slower. That was caused bythe economic situation. People were more careful with higher investments, gettingthem to deficit budget. It is reasonable to forecast a growing share mainly ofair/water, and then brine/water, and water/water systems in the new constructionsector, based on favourable climatic conditions in many locations in Slovakia. Inthe year 2012 the number of installed HPs started to grow again.Heat pump type 2009 2010 2011 2012 2011/2012

Air/water 270 380 226 136 – 39,8 %

Water/water 50 90 72 100 38,9 %

Brine/water 140 220 147 145 – 1,4 %

Exhaust air/air 30 41 4 11 175,0 %

Sanitary hot water 11 11 0,0 %

Reversible (total heat) 60 115 51 291 470,6 %

Other 10 14 15 11 – 26,7 %

Total 560 860 530 705 33,0 %

Air/water heat pumps are installed in new houses with limited space and aregenerally replacing or complementing electric or gas boilers. The ground sourcesegment is completely dominated by horizontal indirect systems. Vertical systemsdo exist but are restricted in use due to the significant higher cost demands andlegislation requirements. It is expected that skewed vertical systems for drillingup to 30 metres will become more prevalent. Water/water heat pump systems aremore successful in environments where a combination with air-conditioningsystems is required. Table 6.17-3 and figure 6.17-3 clearly show that the reversiblesystems take up the majority part (+470 %) of the 2012 growth, whereas air/watersystems show a decrease.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Figure 6.17-1: Slovakian heatpump market development2009–2012 (excl. a/a units) 0

100

200

300

400

500

600

700

800

2009 2010 2011 2012

S

150 Focus reports on selected European markets | Slovakia

Table 6.17-3: Sales of heat pumps in Slovakia2009 – 2010 – 2012

Space heating

Water heating

Page 153: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

COSTSAir/water Brine/water

Euro 6 000 – 12 000 9 000 – 15 000

Average end consumer prices, including VAT, for a turnkey installation in singlefamily houses are in the range of € 6000 to € 15000 depending on the type andcapacity of the heat pump. The turnkey solutions include everything to fullycommission the installation – i.e. the heat pump, auxiliary equipment, materialand labour costs.

BRAND NAMESDomestic producers of heat pumpsFiving s.r.o. Liptovsky Mikulás, Wamak s.r.o. Banská Stiavnica, Al Trade s.r.o. Trstena,Jares ZM.

Figure 6.17-2: Heat Pumpsin operation in Slovakia(installed since 2009, excl. a/a units)

Figure 6.17-3: Slovak 2009 – 2012 market by type of heat pump

Table 6.17-4: Typical endconsumer prices for turnkeysolutions in Slovakia

0

100

200

300

400

500

600

700

800

900

2009 2010 2011 2012

Other

Reversible (total heat)

Sanitary hot water

Exhaust air

Direct expansion/water

Brine/water

Water/water

Air/water

151Focus reports on selected European markets | Slovakia

0

500

1 000

1 500

2 000

2 500

2009 2010 2011 2012

S

Space heating

Water heating

Page 154: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Some of the most significant brand names existing on the Slovak market are listedin alphabetical order below.

Ground source heat pumps: IVT, NIBE, Stiebel Eltron, Wamak, Viessmann.

Water/water heat pumps:Dimplex, IVT, Mach, Mygren, Stiebel Eltron, Viessmann, Wamak.

Air/water heat pumps:Carrier, Daikin, Dimplex, Fiving, IVT, Mach, Mygren, NIBE, PZP, Viessmann, Wamak.

Exhaust air heat pumps: Fiving.

DISTRIBUTION CHANNELSDedicated retail networks and wholesalers dominate the heat pump market.Nonetheless, for the last couple of years, air/air heat pumps have been offered byconstruction material stores, mail-order firms and web-stores.

INDUSTRY INFRASTRUCTUREThere are four small manufactures, more than ten distributors of heat pumps,more than fifty certified heat pump installers and approximately 20 certifiedcompanies in Slovakia.

NATIONAL INDUSTRY ASSOCIATIONSThe Slovak Association for Cooling and Air-conditioning Technology (Slovenskýzväz pre chladiacu a klimatiza�nú techniku or SZ CHKT), formed in 1993, hasapproximately 690 members. The members consist of manufacturers andimporters, installers, and other companies with an interest in the RAC and heatpump industry. The association serves as the official voice for the heat pumpindustry at national level together with the Slovak Technical University inBratislava.

TRAINING AND CERTIFICATION OF INSTALLERS AND COMPANIESTraining according to the European Certified Heat Pump Installer scheme,accredited by the Ministry of Education is already in place, comprising theelectronic certification of companies via the web.

ENERGY PERFORMANCE REQUIREMENTSSee table 6.17-5 (page 153)

INCENTIVE SCHEMESCurrently there is no incentive scheme for heat pump installations in Slovakia.

SMART GRIDSThere are three projects aimed to electricity production using RES. Heat pumpsare mentioned in these projects, but they have not been assigned an importantrole so far.

Sources

[1] 2013 Demographic balance and crude rates, Eurostat: www.epp.eurostat.ec.europa.eu[2] 2012 GDP at current prices per inhabitant, Eurostat: www.epp.eurostat.ec.europa.eu [3] 2011 Share of renewable energy in gross final energy consumption,

Eurostat: www.epp.eurostat.ec.europa.eu [4] CO2 emissions from fuel combustion – highlights, Ed. 2012,

IEA Statistics: www.iea.org/publications/freepublications/publication/ [5] EU Energy in figures – Statistical pocketbook 2013:

http://ec.europa.eu/energy/observatory/statistics/statistics_en.htm[6] Data from SZ CHKT[7] BPIE – June 2013: www.buildingsdata.eu/bpie-data-hub

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

152 Focus reports on selected European markets | Slovakia

Page 155: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

New buildings Existing/renovated buildings

General information

Units - Dimensionless- kWh/m2 per year

- Dimensionless- kWh/m2 per year

Requirements in detail

Single Family Houses - B- 160

- B- 160

Apartment Blocks - B- 126

- B- 126

Offices B B

Educational Buildings B B

Hospitals B B

Hotels & Restaurants B B

Sports facilities B B

Wholesale and retail trade B B

Notes/specifications

Notes/specifications For major renovated, the requirements apply only if it is technically, functionally and economically possible.

Table 6.17-5: Energyperformance requirementsSlovakia [7]

153Focus reports on selected European markets | Slovakia

Page 156: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

6.18 Spain

KEY FACTSPopulation [1] 46 152 926Area 505 963 km2

GDP/capita [2] 24 900Capital Madrid

Number of single/two family houses 1 500 000Number of dwellings in multi-dwelling buildings 24 000 000

Share of RES in final consumption of energy 2011 [3] 15,1 %Binding target for the use of renewable sources by 2020 20 %

National emission factor (CO2/kWhelectricity) 2010 [4] 238 g

Gross electricity generation 2010 2011Fuel TWh Share TWh Share

Gas 95,8 31,8 % 85,7 29,4 %

Petroleum products 16,6 5,5 % 15,2 5,2 %

Solid fuels 25,3 8,4 % 43,8 15,0 %

Nuclear 62,0 20,6 % 57,7 19,8 %

Renewables 101,0 33,5 % 88,5 30,3 %

Other 0,8 0,2 % 0,9 0,3 %

Total 301,5 100 % 291,8 100 %

Energy prices €/kWh

Electricity 0,14

Heat pumps (useful energy price) 0,05

Gas 0,05

PRESENT MARKET SITUATIONThe Spanish market in 2012 for compressor driven machines, chillers and reversibleunits, showed a decrease of more than 30 %, compared to 2011 (figure 6.18-1). Since2010, about 200 000 heat pumps have been put into operation in Spain, as figure6.18-2 shows. Table 6.18-3 shows 2011 and 2012 total market values in millions ofEuros.Type 2011 2012 2011/12

Tertiary / Industrial 133,43 109,05 – 18,27 %

Commercial 247,28 193,06 – 21,93 %

Residential / Domestic 308,62 241,30 – 21,81 %

MARKET TRENDSIn the commercial sector in Spain, heat pumps are the primary source for heating,whilst residential/domestic dwellings are generally equipped with small gasboilers for single-family homes, and central heating systems for larger buildings.The use of air/air reversible heat pumps for heating applications is still quitelimited.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

154 Focus reports on selected European markets | Spain

Table 6.18-1: Electricity mixfor Spain 2010 – 2011 [5]

Table 6.18-2: Energy pricesin Spain 2012 (average endconsumer prices includingdistribution and taxes)

Table 6.18-3: Spanish heat pump market value (€ millions) 2011 – 2012

Page 157: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Of total sales the percentage of reversible units sold into the residential/domesticsector is in excess of 95 % (figure 6.18-3). In the commercial sector this figure isapproximately 75 % (up to 100 kW). For capacity ranges from 100 up to 700 kW, thepercentage declines to about 50 %.

In South Spain and in a part of the Mediterranean coast however, air/air heatpumps are used extensively as the primary source for heating and cooling, oftencombined with electric heaters.

Ground source heat pump applications are expanding, but the cost is still veryhigh and the return on investment period is too long to be affordable by ordinaryconsumers.

155Focus reports on selected European markets | Spain

Figure 6.18-1: Spain heatpump market development2010 – 2012 (incl. 9,5 % ofa/a units) 0

10 000

20 000

30 000

40 000

50 000

60 000

70 000

80 000

2010 2011 2012

S

Space heating

Water heating

0

10 000

20 000

30 000

40 000

50 000

60 000

70 000

80 000

2010 2011 2012

S

Space heating

Water heating

Figure 6.18-2: Heat Pumpsin operation in Spain(installed since 2010, incl. 9,5 % of a/a units)

Page 158: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Heat pump type 2010 2011 2012 2011/2012

Reversible systems (heating function) 71 616 72 658 49 625 – 31,7 %

Hydronic heat distribution 2 477 (387) 511 (511) – 79,4 %(of which water/water)

Sanitary hot water 257 282 9,7 %

Total 143 233 75 392 50 418 –33,1 %

BRAND NAMESAirlan, Airwell, Carrier, Ciat, Clivet España, Daikin, Daitsu, Eurofred, Fagor, Férroli,Frigicoll, Haier, Hitachi, Hitecsa, Hiyasu, Johnson Controls, Lennox Refac, LG,Lumelco, Mcquay, Mitsubishi Electric, Olimpia, Panasonic, Samsung, Saunier Duval,Schako, Sedical, Sharp, Tecnivel, Tecnosakura, Termoven, Top Clima, Toshiba, TraneAire Acondicionado.

DISTRIBUTION CHANNELSResidential and domestic: 27 % of the market is covered by installers, 46 % bydistributors and 30 % by commercial centres, department stores, specialized shops,etc.

Commercial and tertiary: Mainly through installers.

INDUSTRY INFRASTRUCTURE Ciat, Fagor, Férroli, Hitachi, Hitecsa, Johnson Controls, Lennox Refac, Tecnivel andTermoven among others have manufacturing facilities, of different sizes and typesof production in Spain.

Some other well known companies like: Airwell, Carrier, Daikin, Haier,LG,Mitsubishi, Samsung, Sharp, Toshiba, etc. are directly involved in the Spanishmarket with their own commercial infrastructure and sales departments.

NATIONAL INDUSTRY ASSOCIATIONAFEC, Air Conditioning Equipment Manufacturers Association of Spain, is a not-for-profit association, constituted in the year 1977, to represent and defend theprofessional interests of the manufacturers of the air conditioning sector.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Figure 6.18-3: Spanish2010 – 2012 market by type of heat pump 0

10 000

20 000

30 000

40 000

50 000

60 000

70 000

80 000

2010 2011 2012

O

Reversible (heat)

80 000

60 000

70 000

30 000

40 000

50 000

10 000

20 000

R elbrsiveeR

0

2010

1 201

2012

0

(heat)

) tae(h

0

0

Other

Sanitary hot water

VRF

Air/water

Air/air (with main heating function)

r ehtO

etawtohry atinSa

FVR

r e

r etawr/Ai

nimahti(wr iar/Ai) noictnufgnitaeh

n)

0

156 Focus reports on selected European markets | Spain

Table 6.18-4: Sales of heat pumps in the Spain2010 – 2012

Page 159: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

INCENTIVES SCHEMES AND HEAT PUMP RELATED LEGISLATIONThere are some incentives schemes in the planning phase to contribute to thepromotion of ground source heat pumps. So far, nothing is foreseen at nationallevel for air source heat pumps.

Several regional governments have introduced the so-called “Planes Renove” topromote the substitution of old and inefficient air conditioners by new A ratedunits (labelled in accordance with requirements of Directive 2002/31/EC withregard to energy labelling of household air-conditioners).

These programs take the form of subsidies when purchasing, in the range of € 150 – 350 per unit.

ENERGY PERFORMANCE REQUIREMENTS

Sources

[1] 2011 Demographic balance and crude rates, Eurostat: www.epp.eurostat.ec.europa.eu[2] 2012 GDP at current prices per inhabitant, Eurostat: www.epp.eurostat.ec.europa.eu [3] 2011 Share of renewable energy in gross final energy consumption,

Eurostat: www.epp.eurostat.ec.europa.eu [4] CO2 emissions from fuel combustion – highlights, Ed. 2012, IEA Statistics:

www.iea.org/publications/freepublications/publication/ [5] EU Energy in figures – Statistical pocketbook 2013:

http://ec.europa.eu/energy/observatory/statistics/statistics_en.htm[6] BPIE – June 2013: www.buildingsdata.eu/bpie-data-hub

New buildings

Notes/specifications

Notes/specifications No requirements in terms of energy performance exist.Instead there are requirements on- Limiting energy demand (maximum thermal

transmittance, condensation control and air permeabilityof the windows and doors)

- Performance of heating/cooling systems- Performance of lighting systems- Renewables (solar water heater, PVs)

Table 6.18-5: Energyperformance requirementsSpain [6]

157Focus reports on selected European markets | Spain

Page 160: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

6.19 Sweden

KEY FACTSPopulation [1] 9 555 893 Area 450 000 km2

GDP/capita [2] 32 800Capital Stockholm

Number of single/two-family houses 1 896 000Number of dwellings in multi-dwelling buildings 2 502 000Number of non residential buildings 58 400Rate of new construction single/two family houses 2009 6 500

Average heat demand single/two family house 20 – 25 MWh/year

Share of RES in final consumption of energy 2011 [3] 46,8 %Binding target for the use of renewable sources by 2020 49 %

National emission factor (CO2/kWhelectricity) 2010 [4] 30 g

Energy mix (gross electricity generation)Fuel TWh 2010 Share TWh 2011 Share

Gas 3,8 2,6% 2,3 1,5%

Petroleum and Products 1,8 1,2% 0,8 0,5%

Solid fuels 1,8 1,2% 1,3 0,9%

Nuclear 57,8 38,9% 60,5 40,2%

Renewables 82,2 55,3% 84,2 56,0%

Other 1,2 0,8 % 1,3 0,9 %

Total 148,6 100 % 150,4 100 %

Energy prices €/kWh

Electricity 0,13

Heat pumps (useful energy price) 0,04

Heating oil 0,16

Gas 0,12

Pellets (bulk delivery) 0,07

Pellets (sack delivery) 0,07

District heating 0,10

*Distribution included if delivery exceeds a specified quantity

ENERGY PRICE RATIOSWhilst analysing the market opportunities for electric heat pumps in a specificcountry, one of the first things to look at are the existing energy price ratios – i.e.the ratio between the price of electricity and the price of 1 kWh heating producedby the competing technologies. The energy price ratio corresponds to the seasonalperformance factor that has to be overcome in order to result in lower heatingcosts for the heat pump system. Given below are the relevant energy price ratiosfor Sweden. As an assumption for the calculations below the annual performanceof the oil and pellet systems are set to 85 % and 100 % for district heating.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

158 Focus reports on selected European markets | Sweden

Table 6.19-1: Electricity mixfor Sweden 2010 – 2011 [5]

Table 6.19-2: Energy pricesin Sweden 2012 (averageend consumer pricesincluding distribution andtaxes)

Page 161: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Electricity/ heating oil 0,82

Electricity/Gas n.a.

Electricity/Pellets (bulk delivery) 1,6

Electricity/Pellets (sack delivery) 1,5

Electricity/District heating 1,29

PRESENT MARKET SITUATIONThe market for domestic heat pumps in Sweden is mature, the technology havingreached full recognition and acceptance amongst the general public over manyyears. There are more than 1,2 million heat pumps in operation (figure 6.19-2). Heatpumps are now the preferred choice in new construction as well as for retrofittingthe existing building stock. As a consequence of the high sales figures during thelast decade, heat pumps are now in use in more than 50 % of Swedish single familyhomes. The market is now focused on sales to the late majority and laggards.Whilst sales in the market segment for single-family houses are levelling out, theinterest in heat pumps for multifamily homes and commercial buildings isincreasing.

District heating dominates the segment for multi-family dwellings andcommercial buildings in densely populated areas. District heating companies,which to a large extent are owned by municipalities, sometimes attempt to putbarriers in place regarding the use of heat pumps. As district heating companiesare in possession of the production facilities as well as the distribution grid, theytend to hold monopoly positions at a local level. For this reason consumersgenerally tend to be placed in a weak position in negotiations with district heatingcompanies. This has led to calls for third party access to the grid to encouragecompetition. Combined with high price increases for district heating in recentyears, this has created a window of opportunity for heat pumps with increasingnumbers of real estate owners favouring heat pumps above district heatingschemes. However, as a counter balance, the prevailing energy policy is promotingthe use of biomass and trying to limit the use of electricity for heating. This hasimpacted strongly on decision makers and energy advisers, who tend to promotebiomass-based district heating and pellet systems rather than heat pumps.

The market for pellet burners, typically replacing the oil burner in an existing boiler,has dropped by more than 80 % since it peaked in 2006. The reason behind the

159Focus reports on selected European markets | Sweden

Table 6. 19-3: Energy priceratio in Sweden 2012

0

20 000

40 000

60 000

80 000

100 000

120 000

140 000

Space heating

Figure 6.19-1: Swedish heat pump marketdevelopment 1995 – 2012(incl. 90 % of a/a units)

Page 162: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

2006 peak was the promotion of and accompanying subsidy scheme for replacingoil heating at that time. Since then, the subsidy scheme has ended and the priceof pellets has increased. In many cases, the installations have failed to meetexpectations, mainly due to malfunctioning or underperforming systems. Anincreasing number of these pellet systems that were installed in recent years arenow being replaced by heat pumps. According to a survey of the members of theSwedish Heat Pump Association, SVEP, 8 % of all heat pump installations made in2012 were replacement systems for pellet systems. The table below illustrate thetype of heating systems heat pumps installed in 2012 replaced or complemented.

The market is completely dominated by retrofit installations in single-familyhouses and cottages. Less than 5 % of all heat pumps sold in 2012 were installedin new buildings.

Direct electricity 21 %

Electric boiler 22 %

Oil boiler 18 %

District heating 4 %

Firewood boiler 11 %

Pellets 8 %

Old heat pump (replacement) 12 %

New construction 4 %

Gas boiler 1 %

MARKET TRENDSThe total sales of heat pump units decreased by 23 % in 2012 (figure 6.19-1). Sales ofair/water heat pumps have continued to decline over the last year. The drop in salesof air/water units in 2012 amounts to – 29 %. Sales of exhaust air heat pumps havebeen suffering from the recession in the construction market leading to a decline insales of 20 %. Ground source heat pumps follow the same negative trend and endedat –22 % for the whole year (table 6.19-7). Sales for multifamily houses and commercialbuildings decreased by 10 %. The value of this market segment now stands for morethan 10 % of the total heat pump market. The total market value for the Swedish heatpump market including GSHP, air/water and exhaust air heat pumps (excludingair/air) is estimated to be 611 million Euro (excluding service and maintenance).

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Table 6.19-4: Type ofheating system replaced byheat pump installation [6]

Figure 6.19-2: Heat Pumpsin operation in Sweden(installed since 1995, incl. 90 % of a/a units)

160 Focus reports on selected European markets | Sweden

0

200 000

400 000

600 000

800 000

1 000 000

1 200 000

1 400 000

Space heating

Page 163: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

As the general knowledge of heat pump technology has reached a high level inSweden, customers have become much more aware of options and choicesavailable to them. Features such as remote control, capacity control and onlineconnections through the Internet are gaining interest. Significant for Sweden isthat the availability of gas is very limited, thus gas boilers have a negligible marketshare in the heating sector. As Sweden has historically benefitted from relativelylow prices of electricity, direct electricity heating is in use to a large extent.

Direct electricity 3 %

Air/air heat pumps* 19 %

Electric boilers 4 %

Exhaust air heat pumps 10 %

Oil boilers 1 %

Combi boilers elec/bio 21 %

District heating 13 %

Brine/water heat pumps 23 %

Air/water heat pumps 6 %

* This figure mainly represents houses heated by direct electricity heating complemented by an air/air HP.

District heating 82 %

Combinations with heat pumps 8 %

Heating oil 1 %

Electricity 3 %

Other combinations 6 %

Heat pump type 2009 2010 2011 2012 2011/2012

Air/water 15 941 13 120 8 958 6 384 – 29 %

Water/water 18

Brine/water 27 544 31 954 31 384 24 502 – 22 %

Direct expansion/water

Exhaust air 13 415 12 500 11 433 9 203 – 20 %

Air/air (with 60 000 70 000 55 000 55 000 0 %main heating function)

Total 116 900 127 574 106 775 95 107 – 11 %

Table 6.19-5: Estimatedshares for different types of heating in single andtwo family houses [7]

Table 6.19-6: Estimatedshares for different types of heating in multifamilydwellings [8]

Table 6.19-7: Sales of heat pumps in Sweden2009 – 2012

Figure 6.19-3: Swedish2009 – 2012 market by type of heat pump 0

20 000

40 000

60 000

80 000

00 000

20 000

40 000

2009 2010 2011 2012

Air/air (with main heating function) Exhaust air

Brine/water

161Focus reports on selected European markets | Sweden

Page 164: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

COSTSThe table below illustrates the average end consumer prices, including VAT, for aturnkey installation in single-family houses. The solution cost includes everythingto fully commission the system – i.e. the heat pump, auxiliary equipment, materialand labour costs.

Air/air Air/water Ground source

Euro 700 – 2 900 10 000 – 13 000 16 000 – 19 000

Air/air heat pumps are predominantly installed in existing houses using directelectric heating, being the most cost effective solution for these types of dwellings.A recent trend is to install air-air heat pumps in holiday homes. Several productsoffer new features enabling frost protection or maintenance heating duringwintertime and remote monitoring and control systems via GSM-modem. Air/airheat pumps are often used to complement direct electric heating. As ducted airsystems for heating are very rare in Sweden, almost all air/air heat pumps in theresidential market are of single split type in the single family houses. Additionally,air/air heat pumps are used in small shops, offices and restaurants. The largerducted air/air systems are used in hotels and office buildings.

Air/water heat pumps are generally replacing boilers and for climatic reasons morecommon in the southern part of Sweden. Due to strict limitations relating toelectric peak power demand set down by the new building regulations, air/waterheat pumps may only be deployed in the southern part of Sweden in the case ofnew build. They may however be installed without restriction throughout thecountry in the case of retrofit.

Ground source heat pumps are completely dominated by vertical indirect systems.Horizontal systems do exist but are restricted in use due to the significant spacerequirements. The main reasons that vertical systems have become so prevalentin Sweden are:

Liberal regulations regarding drilling,

Favourable crystalline bedrock of high thermal conductivity,

Reasonable costs for drilling (25 – 28 Euro/meter including VAT).

Ground water heat pumps are mainly used in areas where the bedrock is coveredby a thick layer of soil (>15 m) and thus would result in high costs for a normalvertical indirect system. Such areas are however quite often enriched with largequantities of ground water and consequently enable the use of ground water heatpumps.

BRAND NAMESSome of the most significant brand names active in the Swedish market are listedin alphabetical order below.

Brine/water heat pumps:Bosch, CTC, Danfoss, Euronom, EVI, IVT, NIBE, Thermia, Vaillant, Viessmann,Qvantum.

Air/water heat pumps: Aermec, Bosch, CTC, Daikin, Euronom, IVT, Mecaterm, Mitsubishi, NIBE, Panasonic,Thermia, Toshiba, Vaillant, Viessmann, Qvantum.

Air/air heat pumps: Bosch (Sharp), Daikin, Electrolux (Sharp), Foma, Fujitsu, IVT (Sharp), LG, Mitsubishi,Panasonic, Sharp, Toshiba.

Exhaust air heat pumps: Euronom, IVT, NIBE, ComfortZone.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Table 6.19-8: Average endconsumer prices for turnkeysolutions in Sweden

162 Focus reports on selected European markets | Sweden

Page 165: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

DISTRIBUTION CHANNELSWholesalers and dedicated retail networks dominate the Swedish heat pumpmarket. Nonetheless, during the last couple of years, air/air heat pumps have beenoffered through DIY-stores, mail-order firms and web-stores.

INDUSTRY INFRASTRUCTUREThe following sections highlight some of the existing industry supportorganisations and schemes that serve as part of the industry’s infrastructure.

NATIONAL INDUSTRY ASSOCIATIONSThe Swedish Heat Pump Association (Svenska Värmepumpföreningen or SVEP),founded in 1981, represents approximately 600 members. The members comprisemanufacturers and importers of heat pumps (15), installers, and otherorganisations with an interest in the industry. The Association serves as the officialvoice for the heat pump industry at a national level. It handles all proposals fornew national regulation and legislation as well as international standards thatare sent for circulation. SVEP serves as a coordinator for common research activitieswithin the national research programmes for the refrigeration and heat pumpindustry.

TRAINING AND CERTIFICATIONTraining according to the European Certified Heat Pump Installer scheme is offeredby Mid Sweden University, IVT, Thermia and NIBE. Third party certification isvoluntary and available according to the European Certified Heat Pump Installerscheme.

CONSUMER COMPLAINTS BOARDSince 1989, SVEP administers a consumer complaints board for heat pumpinstallations. The board was initiated by SVEP and the Swedish Association forHVAC Installers on request by the Swedish National Board for ConsumerComplaints as the national board lacked the technical competence and resourcesto handle complaints related to heat pump installations. The board is composedof representatives of the installers and manufacturers. SVEP administers andprepares the documentation for the board, but does not take part in the finaldecision of the board. The board’s ruling in these cases has no legal status, butserves as a strong recommendation, and members of SVEP are bound by thestatutes to obey the recommendations handed down by the board. Since the start,the board has dealt with more than 500 complaints and presently about 40 casesare handled per year.

PRODUCT LABELSExisting product labels covering heat pumps are:

EHPA Quality Label – Sweden is a full member of the EHPA Quality Labelscheme. The national quality commission is chaired by SVEP.

P-Mark, issued by the Swedish Testing and Research Institute, SP.

Nordic Swan – Ecolabelling scheme administrated by SIS-Miljömärkning.

INCENTIVE SCHEMESSince 8 December 2008, heat pump installations qualify for the tax reductionscheme that applies to renovation and extension works in private households.According to the scheme, up to 50 % of the labour costs related to retrofit worksmay be offset against tax for each owner of a private property. The maximumamount that may be deducted is 50 000 SEK (approximately € 5 000).

163Focus reports on selected European markets | Sweden

Page 166: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

ENERGY PERFORMANCE REQUIREMENTS

SMART GRIDSSmart grids are generally discussed at energy conferences and in the media. Thereare however still very little realised. There is some project driven development forheat pumps.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

New buildings

General information

Quantity expressing energy performance

Maximum energy demand

Energy type if applicable Final energy

Units kWh/m2 per year

Requirements in detail

Single Family Houses For electric heated buildings- 55 for climatic zone 1- 75 for climate zone 2- 95 for climate zone 3

For non-electric heated buildings- 110- 130- 150

Apartment Blocks For electric heated buildings- 55 for climatic zone 1- 75 for climate zone 2- 95 for climate zone 3

For non-electric heated buildings- 110- 130- 150

Offices For electric heated buildings- 55 for climatic zone 1- 75 for climate zone 2- 95 for climate zone 3

For non-electric heated buildings- 100- 120- 140

Educational Buildings For electric heated buildings- 55 for climatic zone 1- 75 for climate zone 2- 95 for climate zone 3

For non-electric heated buildings- 100- 120- 140

Hospitals For electric heated buildings- 55 for climatic zone 1- 75 for climate zone 2- 95 for climate zone 3

For non-electric heated buildings- 100- 120- 140

Table 6.19-9: Energyperformance requirementsSweden [9]

Sources

[1] 2013 Demographic balance and crude rates, Eurostat:www.epp.eurostat.ec.europa.eu

[2] 2012 GDP at current prices perinhabitant, Eurostat:www.epp.eurostat.ec.europa.eu

[3] 2011 Share of renewable energy in gross final energyconsumption, Eurostat:www.epp.eurostat.ec.europa.eu

[4] CO2 emissions from fuel com-bustion – highlights, Ed. 2012, IEA Statistics: www.iea.org/publications/freepublications/publication/

[5] EU Energy in figures – Statistical pocketbook 2013: http://ec.europa.eu/energy/observatory/statistics/statistics_en.htm

[6] Member questionnaire SwedishHeat Pump Association 2013.

[7] Rough estimation from SVEP,based on several existing and Swedish Energy Agency.

[8] Swedish Energy Agency.[9] BPIE – June 2013:

www.buildingsdata.eu/bpie-data-hub

164 Focus reports on selected European markets | Sweden

Page 167: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

6.20 Switzerland

KEY FACTS [1]Population 2012 [2] 7 954 662Area 41 290 km2

GDP/capita [3] 40 800Capital Berne

Number of new single/two-family houses 2009 9 149Number of new dwellings (2009) 14 166Dwelling Stock (2009) 3 919 064

Average heat demand single/two family house n/a

Share of RES in final consumption of energy 2012 [4] 20,8 %Binding target for the use of renewable sources by 2020 n/a

National emission factor (CO2/kWhelectricity) 2010 [5] 27 g

Gross electricity generation 2009 2010Type TWh Share TWh Share

Water power stations 37,1 55,9 % 37,5 56,5 %

Nuclear power stations 26,1 39,3 % 25,2 38,0 %

Thermal power stations 2,8 4,2 % 3,1 4,7 %

Renewable sources 0,4 0,6 % 0,5 0,7 %

Total 66,4 100 % 66,3 100 %

Energy prices €/kWh

Electricity 0,14

PRESENT MARKET SITUATION AND MARKET TRENDSThe Swiss building market is running at full speed. Planners and installers areworking at capacity, new employees are urgently needed. New construction hasreached new highs of 48 000 units. This number includes 10 000 new single familyhouses, 85 % of which are equipped with heat pump technology. Heat pumps havenow reached and are maintaining a dominant market share in new constructionand a significant market share in the renovation segment.

While oil- and gas prices increased from 2011 to 2012, the price for electricitydecreased slightly. The discussion on a sufficient electricity supply lost ground.

The heat pump market itself was characterized by a number of newdevelopments:

Air-water heat pumps are no longer subsidized

Ground coupled heat pumps only receive subsidies if a direct electric heatingis replaced

New regulations concerning sound emissions, the use of refrigerant and theplanning for geothermal sources came into force and need to be followed.

165Focus reports on selected European markets | Switzerland

Table 6.20-1: Electricity mix for Switzerland2009 – 2010 [6]

Table 6.20-2: Energy pricesin Switzerland 2010(average end consumerprices includingdistribution and taxes)

Page 168: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Heat pump type 2009 2010 2011 2012 2011/2012

Air/water 11 464 11 773 11 252 11 100 – 1,4 %

Water/water 600 614 538 400 – 25,7 %

Brine/water 8 507 7 595 7 114 7 900 11,0 %

Exhaust air/air 0 62 538 n/a n/a

Sanitary hot water 443 618 1 320 2 097 58,9 %

Total 21 039 2 662 19 442 19 400 –0,2 %

Compared to 2011, sales numbers stabilised and the year finished with a slightlypositive result (+2,9 %), as you can notice in figure 6.20-1. Having in mind that heat pumps have a life-span of about 20 years, by the end of 2012, almost 200000heat pumps are in operation in Switzerland (figure 6.20-2). Like in other Europeancountries, growth is mainly driven by increased sales of heat pumps using air asthe energy source. Figure 6.20-3 shows the sales of heat pumps on the Swissmarket by heat pump type.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

166 Focus reports on selected European markets | Switzerland

Figure 6.20-1: Swiss heatpump market development2008 – 2012 (excl. a/a units) 0

5 000

10 000

15 000

20 000

25 000

2008 2009 2010 2011 2012

S

Space heating

Water heating

0

20 000

40 000

60 000

80 000

100 000

120 000

140 000

160 000

180 000

200 000

2008 2009 2010 2011 2012

S

Space heating

Water heating

Table 6.20-3: Sales of heat pumps in Switzerland2005 – 2012

Figure 6.20-2: Heat Pumpsin operation in Switzerland(installed since 2008, excl. a/a units)

Page 169: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

167Focus reports on selected European markets | Switzerland

0

5 000

10 000

15 000

20 000

25 000

2009 2010 2011 2012

Sanitary hot water

Exhaust air

Brine/water

Water/water

Air/water

Figure 6.20-3: Swiss2009 – 2012 market by type of heat pump

New buildings Existing/renovated buildings

General information

Quantity expressing energy performance

Maximum space heating demand Maximum space heating demand

Energy type if applicable Effective energy Effective energy

End uses considered Heating Heating

Units Litres of oil equivalent per m2

in a yearkWh/m2 per year

Litres of oil equivalent per m2

in a yearkWh/m2 per year

Requirements in detail

Single Family Houses 4,854

668

Apartment Blocks 4,842

653

Offices 4,846

658

Educational Buildings 4,843

654

Hospitals 4,844

655

Hotels & Restaurants 4,858

673

Sports facilities 4,840

650

Wholesale and retail trade 4,836

645

Notes/specifications

Notes/specifications The first values represent the oilequivalent requirement and thesecond values represent examplevalues in a typical building shapeof each building type.

According to MuKEn 2008, a renovated building should not use more than 125 % of the spaceheating limit of new buildings.These represent example values in a typical building shape of eachbuilding type.

Table 6.20-4: Energyperformance requirementsSwitzerland [7]

Page 170: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Heat pumps were able to close the gap to gas condensing boilers: in 2012 bothtechnologies saw the same number of units sold. Sales of oil boilers continued todecline and the market for biomass boilers is small.

INDUSTRY INFRASTRUCTUREThe Swiss Heat Pump Association (Fördergemeinschaft Wärmepumpen Schweiz orFWS) represents the industry in Switzerland.

Of central importance is the cooperation with the various organisations andassociations in the sector, specifically ”suissetec”, which is the body representingheating companies, and SWKI, the association representing building technologyengineers. Other Groups also assist in furthering the development of therenewable energy sector such as Swissolar, Holzenergie Schweiz (Wood Energy),Biomasse Schweiz, the District Heating Association and the representative bodyfor Infrastructure Installations.

ENERGY PERFORMANCE REQUIREMENTS See table 6.20-4 (page 167)

Sources

[1] Statistics Suisse: Grundlagen und Übersichten – Die Schweiz im Überblick: www.bfs.admin.ch/bfs/portal/de/index/themen/00/01/blank/02.html

[2] 2012 Demographic balance and crude rates, Eurostat: www.epp.eurostat.ec.europa.eu[3] 2012 GDP at current prices per inhabitant, Eurostat: www.epp.eurostat.ec.europa.eu [4] Schweizerische Statistik der erneuerbaren Energien, Ausgabe 2012 – Vorabzug: www.bfe.admin.ch[5] CO2 emissions from fuel combustion – highlights, Ed. 2012,

IEA Statistics: http://www.iea.org/publications/freepublications/publication[6] Office fédéral de l'énergie OFEN, Swiss statistics on electricity. [7] BPIE – June 2013: www.buildingsdata.eu/bpie-data-hub

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

168 Focus reports on selected European markets | Switzerland

Page 171: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

6.21 United Kingdom

KEY FACTSPopulation [1] 62 026 962Area 241 590 km2

GDP/capita [2] 28 400Capital London

Number of single/two-family houses 22 311 550Number of all buildings 26 838 000Rate of new construction single/two family houses (2010) 89 300

Average heat consumption for all residential buildings 2 Toe

Share of RES in final consumption of energy 2011 [3] 3,8 %Binding target for the use of renewable sources by 2020 15 %

National emission factor (CO2/kWhelectricity) 2010 [4] 457 g

Energy mix (gross electricity generation)Fuel TWh 2010 Share TWh 2011 Share

Gas 176,8 46,3 % 148,0 40,2 %

Petroleum products 4,8 1,3 % 3,7 1,0 %

Solid Fuels 107,7 28,2 % 108,6 29,5 %

Nuclear 62,1 16,3 % 69,0 18,8 %

Renewables 29,0 7,6 % 37,3 10,1 %

Other 1,4 0,3 % 1.2 0,3 %

Total 381,8 100 % 367,8 100 %

Energy prices €/kWh

Electricity 0,16

Heat pumps (useful energy price) 0,05

Heating oil 0,06

Gas 0,04

Pellets (bulk delivery) 0,04

Pellets (sack delivery) 0,05

PRESENT MARKET SITUATIONThe UK market for heat pumps has been further decreasing in 2012, failing to buildon the significant 90 % growth trend of 2009, which was induced by rising oilprices. Overall the market shrank by about 3,4 % in volume terms over the 2012calendar year. The picture varies by heat pump type: in the UK, the market isdominated by air source technology, some 86 – 87 % share of currently 17 869 heat pumps sold. The market for air source shrank by 4,8 %, mostly due to thesteep decline of exhaust air heat pumps. The market of ground source units stayedfairly flat from 2011 to 2012.

There is a growing interest in sanitary hot water heat pumps in the UK and theMicrogeneration Certification Scheme is now developing an assessment standardfor products and installers that is consistent with Ecodesign requirements and theRES Directive.

169Focus reports on selected European markets | United Kingdom

Table 6.21-1: Energy mix for the United Kingdom2012 [5]

Table 6.21-2: Energy pricesin the United Kingdom 2012

Page 172: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

The overall market reached a volume of 17 869 units in 2012, compared to 18 500in 2011 (see figure 6.21-1). To put sales in context, the heat pump market remainsvery small compared to the huge boiler market in the UK, with more than 1,5million units sold every year.

It should be noted that this growth occurred against the backdrop of a poormacroeconomic climate, with the economic outlook still remaining somewhatsubdued, and construction activity low compared with previous years.

MARKET TRENDSThe UK market is expected to maintain a growth trajectory in the coming years.This growth is expected mainly in the air/water segment, whereas ground sourceunits are forecasted to exhibit only moderate growth. It should be rememberedthat growth in the UK is occurring from a relatively small base with penetration

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

170 Focus reports on selected European markets | United Kingdom

Figure 6.21-1: UK heat pumpmarket development2005 – 2012 (excl. a/a units) 0

2 000

4 000

6 000

8 000

10 000

12 000

14 000

16 000

18 000

20 000

2005 2006 2007 2008 2009 2010 2011 2012

S

Space heating

0

10 000

20 000

30 000

40 000

50 000

60 000

70 000

80 000

90 000

2005 2006 2007 2008 2009 2010 2011 2012

S 0

Space heating

Figure 6.21-2: Heat Pumpsin operation in the UK(installed since 2005, excl. a/a units)

Page 173: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

of heat pumps per 10 000 households significantly lower than that of many otherEuropean countries. Political support for renewable energy systems is nowproviding a positive impetus for further growth and development. It is widelyaccepted that heat pumps will play an important part in future efforts in the UKto improve the energy efficiency of buildings and reduce CO2 footprint.

The market in the UK has been heavily influenced by ever tightening buildingregulations, and incentives will play an important role in the future growthprospects. The introduction of the RHI (Renewable Heat Incentive) scheme waswidely anticipated in early 2011. The initial phase allows for support for commercialapplications and ground source systems. The RHI for residential applications willnow also enter into force soon, since the Government announced it in thebeginning of July 2013 (cfr. infra).

The following table shows how the UK market has developed in recent years.Heat pump type 2009 2010 2011 2012 2011/2012

Air/water 8 325 11 840 12 765 14 455 13,2 %

Geothermal 3 980 3 850 2 255 2 294 1,7 %

Exhaust air/air 4 150 3 050 3 480 1 050 – 69,8 %

Sanitary hot water 70

Total 16 455 18 740 18 500 17 869 –3,4 %

Please note “Geothermal” contains all geothermal heat pumps (brine/water, Water/water and dx/water).

COSTSEven in a relatively small market such as the UK there is a wide variety of heatpumps sold. Products vary significantly according to energy source, capacity,system architecture, and technical specification. As a result there are quitedisparate costs – including installation costs.

Ground source heat pumps sold in the UK are on average higher priced than airsource heat pumps. The reason for this is that ground source heat pumps spanhigher capacity (kW) ranges than air/water heat pumps.

Installation of a ground source heat pump is markedly more expensive than anair source pump. The price of the heat pump itself is just one part of totalinvestment that may comprise boreholes, excavation and the cost of installation.There may be local differences in the costs of drilling or excavation depending forinstance on local conditions, the type of soil, the surface or the year the propertywas built.

171Focus reports on selected European markets | United Kingdom

0

2 000

4 000

6 000

8 000

10 000

12 000

14 000

16 000

18 000

20 000

2009 2010 2011 2012

Exhaust air

Brine/water

Air/water

Figure 6.21-3: UK 2009 – 2012 market by type of heat pump

Table 6.21-3: Sales of heat pumps in the UK2009 – 2012

Page 174: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Additionally, the companies who sell heat pumps are independent organisations(installers or distributors) and are free to set their own prices.

Manufacturer selling price Air/water GSHP (horizontal)

Euro 6 056 13 200

Specifically regarding ground source heat pumps, the estimated cost of aninstalled system ranges from € 7 500 to 25 000. The selling prices of the pump varyfrom about € 950 to 1 500 per kW of peak heat output. The installation costsrepresent an additional and major part of the investment. The figure presentlyused in the UK is 10 metres of horizontal slinky trench for every 1 kW of heatdelivered from the heat pump. For vertical systems, one 80-metre borehole shoulddeliver between 3 and 5 kW of heat delivered from the heat pump. A vertical loop installation costs around € 18 000 while a horizontal loop installation costsaround € 11 000.

Air/source heat pumps also vary considerably in price. Units sold by Japanese,Korean or Chinese suppliers are generally lower priced than many European-madeproducts. The reason for this is lower production costs or higher unit productionand economy of scale effects. A typical 6 kW air source heat pump installed in adetached house costs in the range of € 8 800 to € 12 000 in the UK today.

An exhaust air system including a heat cylinder costs in the region of € 4 000. Thistype of system is best suited for flats and apartments.

BRAND NAMESGround source heat pumps: IVT, Worcester, Calorex, Nibe, Kensa, Danfoss, Nutherm,Dimplex, Viessmann, Stiebel Eltron, BDR Thermea, Vaillant.

Air/water heat pumps: Mitsubishi Electric, Daikin, HeatKing, Calorex, IVT, NIBE,Kingspan, Dimplex, Danfoss, Stiebel Eltron, BDR Thermea, Vaillant.

Exhaust air heat pumps: mainly NIBE

DISTRIBUTION CHANNELSMost manufacturers sell to wholesalers and to installers, installers being the mostimportant route to the market. There are some manufacturers, such as Worcester,that sell exclusively to merchants. As heat pumps enter the mainstream in the UKit is likely that the two step merchant distribution process will be the commonchannel.

NATIONAL INDUSTRY ASSOCIATIONSThe Heat Pump Association (HPA) and BEAMA Domestic Heat Pump Associationare the UK's leading authorities on the use and benefits of heat pump technology.They represent many of the country's leading manufacturers of heat pumps,components and associated equipment, with BEAMA providing the dedicateddomestic market focus.

TRAINING AND CERTIFICATIONIn order to educate the still nascent market, manufacturers run regular trainingprogrammes for installers.

INCENTIVE SCHEMESThe Renewable Heat Incentive (RHI) is a payment system for the generation ofheat from renewable energy sources and was introduced in the United Kingdomin July 2011. The RHI replaces the Low Carbon Building Programme, which closed in2010.

The RHI operates in a similar manner to the existing Feed-in Tariff system, and wasintroduced under the same legislation – the Energy Act 2008. In the first phase of

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Table 6.21-4: Typical cost for an installed heat pumpin the UK, 2012

172 Focus reports on selected European markets | United Kingdom

Page 175: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

the RHI, cash payments will be eligible to owners who install renewable heatgeneration equipment in non-domestic buildings.

Until 2014 the RHI is limited to commercial and industrial scale applications andsupports only ground source heat pumps. Since launch, the poor calibration oftariffs has left ground source very underutilised in the scheme with most take upallocated to biomass. This situation will change as ground source heat pump tariffsare due to be increased alongside the introduction of air to water heat pumpstariffs for the first time.

The Domestic RHI has been confirmed in July 2013. Householders will be eligible toreceive a payment for generating heat by heat pumps, thermal panels and biomassboilers. The tariff levels have been set at:

Air source heat pumps 7,3 p/kWh

Ground source heat pumps 18,8 p/kWh

Biomass boilers 12,2 p/kWh

Solar thermal 19,2 p/kWh

ENERGY PERFORMANCE REQUIREMENTS

POLICY RECOMMENDATIONSThe heat pump market is currently incentivised through the Renewable HeatIncentive or derivative Premium Payment scheme. However, there are still somemissing policy interventions that require consideration up to and beyond 2020.

1. The relevant Departments across England, Wales, Scotland and NorthernIreland should make a firm commitment to link replacement heat systemminimum requirements to the higher levels of the energy label by 2020. Such a move would promote heat pumps but ensure a balance is retained for condensing systems working alongside renewable heat technologies.

2. Current mechanisms for heat loss calculation and estimating deemed heatdemand are set within different models linked to MCS, building regulationsand other modelling based policy initiatives. There is a need for a singlealigned model that can produce single consistent figures to prevent customerand supply chain confusion.

3. The UK has a liberalised energy market and complex heat supply chain, which makes it difficult to plan for infrastructure change and development.The concept of Renewable Heat Zones is recommended, backed by 5 yearregional growth plans that generate confidence for network operators (assetreinforcement/replacement); manufacturers (investment in marketing andtraining); installers (investing in new technology learning); energy suppliers(trialling innovative tariff offers by region) and customers (receiving positiveregional messaging and a sense of community change).

New buildings

General information

Quantity expressing energy performance Building Emission Rate (BER)

Units kgCO2/m2 per year

Requirements in detail

Single Family Houses 17 – 20

Apartment Blocks 16 – 18

Table 6.21-5: Energyperformance requirementsUnited Kingdom [6]

173Focus reports on selected European markets | United Kingdom

Page 176: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

SMART GRIDSThe primary heat fuel in the UK is gas, delivering heat through gas boilers in over18 million homes. The forward UK strategy for heat is to switch to electric options,primarily via heat pumps. The Carbon Plan shows no role for gas in 2050. However,in order to do this there will be a need for significant shifting towards DemandSide Response techniques to ensure balancing and capacity is not adverselyaffected.

From 2015 the District Network Operators (DNOs) enter a new price control periodup to 2023. The structure of this period’s rules will drive energy networks to havethe ability to accommodate new low carbon technologies.

The UK has a Smart Grid Forum (co-chaired by DECC and the regulator OFGEM)which has developed a smart grid cost benefit model – ‘Model Transform’ – to helpDNOs with their business planning. In preparation for the advent of a Smart Grid,all of the DNOs have been participating in trialling new and innovative means ofmanaging the network through the Low Carbon Network Fund (LCNF). LCNFprojects are due to report this year and information is not publicly available attime of writing but there are active research schemes looking at the role of heatpumps within a Smart Grid system. These are led by assessing consumer behaviourlinked to direct control of heat pumps.

Sources

[1] 2010 Demographic balance and crude rates, Eurostat: www.epp.eurostat.ec.europa.eu[2] 2012 GDP at current prices per inhabitant, Eurostat: www.epp.eurostat.ec.europa.eu [3] 2011 Share of renewable energy in gross final energy consumption,

Eurostat: www.epp.eurostat.ec.europa.eu [4] CO2 emissions from fuel combustion – highlights, Ed. 2012, IEA Statistics:

www.iea.org/publications/freepublications/publication/ [5] EU Energy in figures – Statistical pocketbook 2013:

http://ec.europa.eu/energy/observatory/statistics/statistics_en.htm[6] BPIE – June 2013: www.buildingsdata.eu/bpie-data-hub

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

174 Focus reports on selected European markets | United Kingdom

Page 177: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

175

Focus reports on selected markets7

Page 178: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

176 Focus reports on selected markets | Japan

7.1 Japan

KEY FACTS [1]

Population (2011) 127 799 000Area 377 955 km2

GDP/capita [2] 26 000Capital Tokyo

Number of single/two family houses (2008) 30 128 000Number of dwellings in multi-dwelling buildings (2008) 27 458 000Number of dwellings (2008) 57 586 000Rate of new construction single/two family houses (2012) 2,9 %New construction of individual houses (2012) [3] 887 797

Total final energy consumption for residential sector (2011) [4] 52 630 [1 010 kcal]/year

Share of RES in final consumption of energy (2010) [5] 10 %Target for the use of renewable source by 2030 [5] 30 %

National emission factor (CO2/kWhelectricity) 2010 [6] 416 g

Energy mix gross electricity generation 2010 2011Fuel TWh Share TWh Share

Gas 266 27 % 377 40 %

Petroleum products 81 8 % 137 14 %

Solid fuels 232 24 % 239 25 %

Nuclear 300 31 % 102 11 %

Hydro 85 9 % 86 9 %

Other RES 12 1 % 13 1 %

Total 976 100 % 954 100 %

ENERGY PRICES

Electricity (domestic) 0,17 €/kWh

Electricity (industrial) 0,09 €/kWh

Heavy oil 0,65 €/kWh

City gas 1,19 €/m3

Kerosene 0,74 €/liter

PRESENT MARKET SITUATIONIn Japan, heat pump technology has a long history of use for both heating andcooling across residential, commercial and industrial sectors.

In the residential sector, heat pumps are deployed not only for space heating andcooling but also for refrigerators in the majority of households in Japan. In recentyears, heat pumps have additionally been incorporated into water heaters andwashing machines and dryers, and their market share is increasing rapidly due totheir high potential in energy savings and CO2 emissions reduction.

In the commercial sector, heat pumps are used for space heating and cooling inoffice buildings and retail outlets. The technology is widely utilised in commercial

Table 7.1-1: Electricity mixfor Japan 2010 – 2011 [7]

Table 7.1-2: Energy prices inJapan 2011 [4] [8]

Approximate figures, 1 Euro = 132 Yen

Page 179: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

177Focus reports on selected markets | Japan

applications for refrigeration and refrigerated display cabinets for fresh food insupermarkets or vending machines, which can be seen in our daily life. On theother hand, after commercial water heaters came into market, heat pumps havebeen introduced instead of boilers to some hotels in an eco-friendly aspect.

For DHC (district heating and cooling) systems, heat pumps that utilise varioustypes of heat sources, such as heat in the air, river water and sewage have beeninstalled. These systems can provide higher energy efficiency and much lowerenvironmental loads compared with conventional combustion systems. Forexample, one of Japan’s newest DHC schemes, TOKYO SKYTREE TOWN®, usesground source heat pumps and a thermal storage system. As a result it is expectedto achieve more than 1,35 in annual total primary energy efficiency, the highestefficiency level in DHC systems in Japan.

In the industrial sector heat pumps with the natural refrigerant NH3 (ammonia)are typically utilised for cryogenic warehouses for the storage of frozen food andfor maintaining the freshness of agricultural products. Also, due to the recenttechnological advances, heat recovery heat pumps which can supply heat and coldsimultaneously have been developed, and the areas where heat pumps could beapplied are increasing inside the factories too.

In some sectors heat pumps are already the typical system and the market hasreached maturity. Moreover, thanks to the efforts and support of both governmentand manufacturers, the efficiency and applicable fields have improved dramaticallyin the last decade and have positively impacted the market development.

MARKET TRENDSIn the residential sector, most room air conditioners (RACs) sold in Japan have a“reversible” function and the “heating” function is becoming ever more popular asits efficiency is far superior to that of combustion-based heaters. The market forthese products is now mature and saturated, to the extent that annual salesvolumes have been static since the mid 1990s. Annual sales of RACs peaked in 2005and since then the trend has been a declining one. However, in 2009 the EnergyConservation Law was amended and residential & commercial sectors were addedas targets, which encouraged the facilities renewal. Replacement of older non-inverter units by newer inverter products contributed to market recover. As a resultthe annual shipment of RACs in 2012 was 8,52 million units/year. In the buildingstock millions of older non-inverter units are considered still in operation and theyare expected to be upgraded to newer inverter ones.

On the other hand, the sanitary hot water product category known as “EcoCute“,which was introduced in 2001, continues to boom. EcoCute comprises a heat pumpwater heater that efficiently heats water using outside air as the heat source, andutilises CO2 as the refrigerant. Its COP (Coefficient of Performance) has reached 5,1(A16/W17-65), providing a more energy efficient solution in comparison with fossilfuel based water heaters. The use of cheaper night rate electricity also contributesto reduced running costs. Despite the Government‘s decision to terminate itssubsidy programme in 2010 the deployment of EcoCute has continued to increase,in part driven by strong environmental considerations, which recognise EcoCute’ssignificant CO2 emissions reduction potential. As of the end of March 2013, theinstalled base of EcoCute totalled 3,76 million units in Japan, and the annual salesvolume was around 450 000 units in the financial year 2012 (April 2012 – March 2013).

In commercial and business sectors, reversible air/air heat pumps, such aspackaged air conditioners and variable refrigerant flow units (VRF), which controleach inside unit independently, are widely deployed in environments from smallretail units to midsized office buildings. VRF systems are increasingly replacingpreviously used central air conditioning with ducted systems.

For midsized buildings with central air conditioning systems, air/water chillers,air/water heat pumps and water/water chillers have maintained their market

Page 180: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13 shares. In this sector, chillers are typically used for cooling, and boilers installed forspace heating. It is expected to see central air conditioning systems now also beingdeployed in larger buildings. Although absorption chillers/heaters have beenmainstream for some time, electrically driven chillers – such as centrifugal chillers– are now being widely adopted in light of global warming issues. With regard toequipment costs, it would still appear that centrifugal chillers are more expensivethan absorption chillers, though their additional capital costs are recoveredthrough lower operational costs.

Also hot water heat pumps for the commercial sector have been in use sincearound 2002 and the market has been expanding rather slowly as the awarenessfor the technology rises. In 2008, the remarkable rise in crude oil prices and theintroduction of subsidies triggered a sudden increase of shipments and totalshipments reached around 18 000 units in 2010.

In the industrial sector, particularly in the food, beverage, and agriculture sectors,operating temperatures are often relatively low, thus lending themselves to theuse of heat pumps. Moreover, recent technological advances in capacity andoutput temperature are extending the potential application of heat pumps in theindustrial sector. Currently, heat pumps producing hot air up to 120 ºC and steamup to 165 ºC are being commercialised in Japan.

For large-scale centrifugal chillers the annual sales volume declined in 2009 dueto the global financial crisis, and it ended up with approximately 400 units in 2012.

In cold climates, recent air-source heat pumps are able to supply heat even withoutside air temperatures of – 25 ºC, using injection circuits which bypass theevaporator and inject fluid into the compressor for cooling during compression ortwo-stage compression to increase fluid circulation volume. Freezing risks havebeen prevented by passing hot fluid through the colder part of the heat exchangerin the outdoor units. The time needed for defrosting and from start-up to blow-offof heated air has also been shortened. These component technologies havesignificantly contributed to improve the space heating performance and efficiencyof heat pumps. All these improvements have enabled the use of air-source heatpumps in cold climates for applications like space heating, floor heating, waterheating and even road heating for snow melting.

COSTSThe following table illustrates the cost for a reversible air/air room air conditionerand an EcoCute, inclusive of installation costs and consumption tax.

Air/air (Mini-split ) EcoCute

Total cost per unit (Euro) 800 – 1 500 2 500 – 4 000

Air/air room air conditioners (unducted mini-split) are the most popular solutionsfor space heating and cooling in the residential sector in Japan. On average, eachhousehold utilises 3.0 room air conditioners (2012). Systems of this type installedtoday are almost all reversible types.

The number of ground source heat pumps has been increasing, particularly in coldregions, such as the northern part of Japan. Average installation costs of acomplete system is approximately Euro 21 000 including radiators.

BRAND NAMESGround source heat pumps: SUNPOT, ZENERAL HEATPUMP.

Water/water chillers: Daikin, Mitsubishi, Toshiba, Hitachi, Mitsubishi heavyindustries, KOBELCO, Ebara, ZENERAL HEATPUMP, Trane.

Air/water heat pumps: Daikin, Mitsubishi, Toshiba, Hitachi, Mitsubishi heavyindustries, KOBELCO, MAYEKAWA, ZENERAL HEATPUMP, Toyo.

Table 7.1-3: Investment costfor heat pumps in Japan2012

178 Focus reports on selected markets | Japan

Page 181: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

“EcoCute” sanitary hot water heat pumps: Daikin, Mitsubishi, Toshiba, Hitachi,Mitsubishi heavy industries, MAYEKAWA, Corona, Toto, Panasonic, CHOFU, Itomic,Takara.

Air/air heat pumps: Daikin, Mitsubishi, Toshiba, Hitachi, Mitsubishi heavyindustries, Trane, Toyo, Sharp, Fujitsu, Panasonic, ZENERAL HEATPUMP, PMAC, Toyo.

NATIONAL INDUSTRY ASSOCIATIONThe Heat Pump and Thermal Storage Technology Center of Japan (HPTCJ) wasfounded in 1986 as a public organisation by the Japanese government. It has aboutone hundred members comprising heat pump manufacturers, energy utilitycompanies, construction companies, architects, etc. Its purpose is to promote heatpumps and thermal storage systems through international collaboration andcooperation, public awareness and R&D.

HPTCJ, as Japan’s representative body to the IEA for heat pumps, also participatesin international collaborative R&D programmes regarding heat pumps based onthe Implementation Agreement with IEA.

HPTCJ created the Asian Heat Pump and Thermal Storage Technologies Network inAsia (2011) to encourage the use and development of heat pump and thermalstorage technologies in Asian countries.

PRODUCT LABELSEnergy Conservation Labelling Programme (since 2000).

For the purpose of providing consumers with necessary key information, an energyconservation labelling system was launched in Japan in 2000. The labels areaffixed to products to indicate their level of achievement of specific energyconservation standards. A total of 18 product types, including air conditioners, aretargeted by the programme as of 2012.

INCENTIVE SCHEMES

SubsidiesUntil 2010, there were two subsidy schemes by the government. One was forbusiness and commercial sector air/air heat pumps, air/water heat pumps andcentrifugal chillers that met a certain level of efficiency. The other was for theEcoCute.

The incentive scheme, which is open to public by the government at present, is atax break to companies that install heat pumps and chillers that meet a certainlevel of efficiency.

Also some local governments provide subsidies for heat pumps.

Top Runner Programme

The Top Runner Programme, introduced in 1999, makes provisions for systems andequipment covered in the Law Concerning the Rational Use of Energy. This lawimposes on manufacturers the requirement to meet certain standard values toensure they manufacture energy-conserving products. On a regular basis, officialstest all the products currently available in a category, determine the most efficientmodel, and make that model’s level of efficiency the new baseline. The bestavailable becomes the new ‘normal’. This drives other manufacturers to try tomake even more efficient models to compete, which in turn means the next time officials set standards, the best available products will be even more efficient.A total of 23 product types, including air conditioners, are targeted by theprogramme as of 2012.

179Focus reports on selected markets | Japan

Sources

[1] Japan Statistics Bureau: www.stat.go.jp[2] 2012 GDP at current prices per inhabitant,

Eurostat: www.epp.eurostat.ec.europa.eu [3] Ministry of Land, Infrastructure,

Transport and Tourism:www.mlit.go.jp/common/000986199.pdf

[4] EDMC handbook of energy and economicstatistics in Japan 2012

[5] Ministry of Economy, Trade and Industry:www.enecho.meti.go.jp/policy/cogeneration/2-2.pdf

[6] CO2 emissions from fuel combustion –highlights, Ed. 2012, IEA Statistics:www.iea.org/publications/freepublications/publication

[7] Agency for Natural Resources and Energy:www.enecho.meti.go.jp/topics/hakusho/2012energyhtml/2-1-4.html

[8] The Institute of Energy Economics, Japan:http://oil-info.ieej.or.jp/price/price.html

Page 182: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13 7.2 Malta

KEY FACTS

Population [1] 421 230Area 300 km2

GDP/capita [2] 22 000Capital Valletta

Number of family houses (2005) 68 586Number of apartments (2005) 56 864Number of dwellings in multi-dwelling buildings n/aNumber of newly built non-residential buildings n/aTotal number of non-residential buildings n/a

Share of RES in final consumption of energy 2011 [3] 0,4 %Binding target for the use of renewable sources by 2020 10 %

National emission factor (CO2/kWhelectricity) 2010 [4] 872 g

Energy mix gross electricity generation 2010 2011Fuel TWh Share TWh Share

Gas

Petroleum products 2,1 100 % 2,2 100 %

Solid fuels

Nuclear

Renewables

Total 2,1 100 % 2,2 100 %

ENERGY PRICESThe electricity tariff for final household consumers has remained steady over thepast 3 years (around 0,16 €/kWh) [6]. No grants or special tariffs are offered forheat pumps.

The new government plans to install new power stations and convert the existingones to run on natural gas by 2015. An estimated reduction of up to 25 % inelectricity tariffs is envisaged as of 2014.

PRESENT MARKET SITUATIONSplit-unit air-to-air reverse-cycle heat pumps are very popular in Malta. However,they are mostly used for cooling during summer. It is estimated that only 20 % ofthe population use air conditioning for space heating in winter, with the rest usingportable gas heaters or electric heaters.

The tendency for the year 2013 has been driven by the demand for energy efficientheat pumps and therefore the market has virtually stopped supplying constantvolume heat pumps, at least for the domestic sector. The use of dc inverter drivenheat pumps has also become more popular thanks to the drop in costs. A typical12 000 BTU/h air-to-air heat pump costs around 500 Euro.

Statistics for the import of heat pumps are not directly available because importsare based on weights of container, rather than on the number of units imported.It is also difficult to know the number of heat pumps imported based on their

Table 7.2-1: Electricity mixfor Republic for Malta 2012 [5]

180 Focus reports on selected markets | Malta

Page 183: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

181Focus reports on selected markets | Malta

capacity. However, the domestic market is not difficult to predict because the mostpopular size of air conditioner is the 12 000 BTU/h. Other systems are also suppliedat 9 000, 18 000, 24 000 and 36 000 BTU/h.

Estimates for the import of domestic type air conditioning systems are shown inthe figure below. Most of the pre-2005 models are rated as Class C, constantvolume heat pumps [7, 8]. On the other hand, almost all market offers in 2013 forthe domestic sector are of the variable refrigerant volume type.

Larger heat pumps systems for non-residential buildings range from packaged air-to-air heat pumps to other options such as chillers, variable refrigerant volumesingle and double duct systems, with and without fresh air intake, which in turncome with or without heat recovery systems.

There are very few geothermal or sea-water heat pump systems (mostly installedin large hotels near the sea), the most recent is the installation at the newparliament building in Valletta, which is a deep-well heat pump system.

Electrical resistance boilers with storage primarily power water heating. The mostcommon storage capacity is 80 liters per family.

The market does offer air-to-water and thermodynamic heat pumps for waterheating. However, the price is still relatively high compared to a traditional electricresistance boiler. The storage capacities of heat pump systems for water heatingrange between 100 litres and 300 litres and the price to the consumer is around 2 000 Euro installed. The guarantees offered are 5 years.

HEAT PUMP INDUSTRYThere is no industry for the manufacturing of heat pumps and all systems areimported from popular suppliers. Agents representing renowned brands areavailable locally and there is technical and after-sales service for all systems.

DISTRIBUTION CHANNELSImporters of heat pumps for air conditioning also offer installation services, sothat the whole process of acquiring an air conditioner is based on a single-shopprocedure. There are also large suppliers of air conditioning components and spareparts, but these do not provide installation services.

TRAINING AND CERTIFICATIONThe Malta College for Arts, Science and Technology (MCAST) offers a short trainingcourse for certifying installers of heat pumps, in accordance with the requirementsas set by the EU RES Directive for certifying installers of small-scale systems. The

!"#!!!!"$!!!!"%!!!!"&!!!!"'!!!!!"'#!!!!"'$!!!!"

()*"+,-./0012"#!!3"

()*"+4567.12"#!!8"

()*"+4567.12"#!!&"

()*"+4567.12"#!!9"

()*"+4567.12"#!'!"

()*"+4567.12"#!''"

()*"+4567.12"#!'#"

()*"+4567.12"#!!8:#!'#"

$!!!!"%!!!!"&!!!!"'!!!!!"'#!!!!"'$!!!!"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"!"

#!!!!"$!!!!"

3!!3!!!##!22 #112001./0/00

--.,,-++,** +))*(()

8!!8!!!##!22 #.11277.667556445++4** +))*(()

2.11277.667556445++4** +))*(()"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"&!!&!!!##!22 #112

9!!9!!!##!22 #.11277.667556445++4** +))*(()

!''!!!'##!22 #.11277.667556445++4** +))*(()

!##!22 #.11277.667556445++4** +))*(()*))*(()

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"

"''''!!'#''#!!'##!22 #.11277.667556445++4** +

#''#!!'##!::#8!!8!!!##!22 #.11277.667556445++4** +))*(()

Figure 7.2-1: Air-to-air unitsin Malta 2005 – 2012

Page 184: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

182 Focus reports on selected markets | Malta

College also offers other diplomas and technical courses leading to a highertechnical degree in refrigeration and air conditioning.

Suppliers of large systems that are usually more complicated and requirespecialised training train their personnel at the mother company or one of itssubsidiaries, according to their needs.

CONTRIBUTION TO RENEWABLE ENERGYA study has concluded that heat pumps in the domestic sector contributed 0,03 %renewable energy in 2011, to a total of 0,4 %. If citizens shift to heating with heatpumps, then the percentage contribution increases to 0,15 %. This shows that theuse of heat pumps for space heating is still very low and requires strongeducational and information campaigns [7].

Sources

[1] 2012 Demographic balance and crude rates, Eurostat: www.epp.eurostat.ec.europa.eu[2] 2012 GDP at current prices per inhabitant, Eurostat: www.epp.eurostat.ec.europa.eu [3] 2011 Share of renewable energy in gross final energy consumption,

Eurostat: www.epp.eurostat.ec.europa.eu [4] CO2 emissions from fuel combustion - highlights, Ed. 2012,

IEA Statistics: http://www.iea.org/publications/freepublications/publication/ [5] EU Energy in figures – Statistical pocketbook 2013:

http://ec.europa.eu/energy/observatory/statistics/statistics_en.htm[6] Electricity prices by type of user (EUR per kWh), Eurostat: www.epp.eurostat.ec.europa.eu[7] Renewable Energy Contribution of Air-Conditioning Heat Pumps for the Domestic Sector in Malta,

Yousif Charles, Ruiz Sánchez, Carlos Javier, Proceedings of Clima 2013, 11th REHVA World Congress and 8th International Conference on IAQVEC, 16th– 19th June 2013, Prague, Czech Republic

[8] Lifestyle Trends for Heating and Cooling in Maltese Households, Aaron Grech, Charles Yousif, Proceedings of the 13th European IAEE Conference, Dusseldorf, Germany, 18 –21 August 2013

Page 185: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Heat pump technology is an energy efficient solution for heating cooling and theprovision of hot water. Its environmental and economic benefits are by nowundisputed.

A high quality heat pump system provides the user with the expected service in areliable, an efficient and economic manner. Only such systems will fully unleashthe environmental potential of heat pump technology.

A quality heat pump system requires good components, a good heat pump unitand good design. The latter is characterised by a fit between the buildings energydemand, the heat pumps and (in case of a ground- or water based system) theheat source. Thus a proper system design and implementation requires speciallytrained designers, architects, drillers and installers.

Quality systems are deemed paramount to ensure trust in heat pumps byconsumers and related stakeholders and to speed up market uptake.

The members of the European Heat Pump Association have taken on thischallenge early on by establishing a Quality Label for heat pumps and bycoordinating a training and certification scheme for installers - both on theEuropean level.

8.1 | The EHPA Quality Label

The EHPA Quality Label (QL) is a product-based label aimed at the end-consumer.

Heat pumps or heat pump model ranges bearing this label have been tested forefficiency, sound and operation safety by independent third party test centres.While the test procedures follow European standards (EN 14511, EN 14825, EN 16147,EN 15879-1 and EN 12102), the testing institutes need to be accredited according tointernational rules for product testing (ISO 17025).

Additional requirements include

1. the existence of a customer service network,

2. a two year full warranty guarantee,

3. a ten year spear part warranty, and

4. the need to provide the installation manual in the local language.

The label is granted by cooperation of the EHPA and the national heat pumpassociations. Applications must be done on a "per-country" basis and the label iscurrently available in 11 European countries. Once granted, it is valid for 3 years andthe validity can be prolonged two times. Afterwards, a retest is required.

Except in France and the UK, the label is mutually accepted in all the participatingcountries. Over the past years, this has resulted in more than 3 300 labels being

183Product and installation quality

valid

in: A

T |

CH

| D

E |

SE

| ch

eck:

ww

w.e

hpa.

org/

QL

Product andinstallation quality8

Page 186: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

granted out in 6 countries. A validity check can be performed online using EHPAsdatabase. All the labelled models can be found in our online database(www.ehpa.org/ehpa-quality-label/qldb).

In a next step, EHPA and its members are developing the Quality Label towards acomplete certification scheme, including a quality assurance system, comprisingfactory production control, audits and overall quality management. The certificatewill be part of an ISO type 5 system including factory production audits, re-testingof products and round-robin tests. It will thus comply with most requirements onquality defined by countries in Europe.

With this development, the heat pump industry contributes towards a trulyEuropean market for heat pumps: product performance and production qualitywill be tested once and the resulting certificate is then accepted across Europe. Itdoes not only create trust in the technology but can also be used to ensure thatgovernment subsidies are channelled in the direction of quality products.

8.2 | EUCERT programme

Product quality needs to be complemented by proper design and a goodinstallation in order to achieve well performing and reliable systems. This aspecthas been recognised by the European Union when drafting its Directive on thepromotion of use of renewable energy sources (EU RES Directive). Article 14(3)obliges Member States to set up training and certification for installers ofrenewable energy systems in general and heat pumps in particular.

The requirements are nearly identical to those put down by EHPA when creatingits installer training and certification scheme back in 2006. Today's EUCERT schemeoriginates in the EUCERT-HP project and has been developed over time. It provides– through comprehensive theoretical and practical training – the know-how anycraftsmen willing to install a heat pump system needs to have.

The EUCERT certificate can be granted to interested installers that pass theschemes final exams and fulfil additional requirements. They must have theequivalent of three years of education in a relevant field (installer, plumber,electrician or similar) and must be able to proof that they are working with heatpumps by handing in a number of heat pump system designs. The certificate isvalid for three years and can be renewed twice.

An overview of the certified persons can be found at our website (www.ehpa.org/european-certified-hp-installer/certified-installer-database). Below you can finda development graph.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

184 Product and installation quality

Figure 8-1: Development ofEUCERT trainees !"

#!!"$!!"%!!"&!!"'!!!"'#!!"'$!!"'%!!"

#!!%" #!!(" #!!&" #!!)" #!'!" #!''" #!'#"

! (

'!!!"'#!!"'$!!"'%!!"

(

!"#!!"$!!"%!!"&!!"

#!!%" #!!("#!!(" #!!&" #!!)" #!'!" #!''" #!'#"#!'#"

Page 187: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

The scheme is currently in place/under development in 14 countries. Up until now,more than 6 300 persons have been (re-)trained through the EUCERT manual andclassroom courses, most of them in France. It is to be noted that not all of these areofficially certified.

Figure 8-1, shows the development of the number of trained installers over time.After an initial boost in requests for training, the number is now stagnating. Thishas a number of reasons, such as cost for training and time required, limiteddemand for certificates from the end-consumer or governments, competition withother schemes and the fact that manufacturers usually offer their own trainings.

To address the timing and cost issue, EHPA is currently developing an online E-learning platform based on the original course material. The services availablevia this platform will be integrated in the current training system making itmodular and thus more flexible. This should enter into force within the next 6 months.

185Product and installation quality

Page 188: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

187Annex I

ANNEX IEHPA sales data acquisition and processingmethodology

The Outlook 2012 provides data on heat pumps providing heating, heating &cooling and/or sanitary hot water, as well on those providing process heat. Unitssold are collected via a standardized questionnaire (cf annex II) by national heatpump associations, statistics bureaus and research facilities alike (cf page 2).

Deviation between totals presented in chapter 1 and chapter 5 and nationalmarkets presented in chapter 6 results from

� availability of detailed longitudinal data. Aggregated numbers were not usedfor data accumulation but were only listed in the national chapters.

� lack of transparency for numbers provide in the category “other”. Units sold wereintegrated in total sales, but not used in the calculation for RES use, energyefficiency and GHG savings.

� numbers on industrial heat pumps. They are shown in table 5-3, but not innational chapters. Their contribution to RES use, energy efficiency and GHGsavings is not yet counted.

Details on the calculation of energy savings, the use of RES and CO2 savings can befound directly in chapters 5.7 & 5.8.

ACCOUNTING FOR SALES OF REVERSIBLE HEAT PUMPSThe Outlook maintains a focus on heat pumps providing a heating function and/orsanitary hot water in line with the requirements of the RES Directive (see. ch. 3). To ensure this focus, the following corrections have been applied:

AIR/AIR UNITS� the use of air/air heat pumps predominantly for heating is assumed for

countries in cold climates (Estonia, Finland, Lithuania, Norway, Sweden). Thenumber of units reported results from total sales adjusted by a correction factor(around 10 %) aiming to exclude AC-only units. It is applied by the national heatpump associations.

� Air/air units sold in the average climate zone have not been counted, due to alack of reliable information on their use for heating or cooling.

� For countries in the warm climate zone (France, Italy, Portugal and Spain) only ashare of the total sales number has been included in the report. A study of theItalian market comes to the conclusion that in 9,5 % of all dwellings, reversibleair/air heat pumps were the only heat generator installed. This value is used forItaly with a similar assumption being taken for Portugal, Spain and southernFrance (see table 5-8 for more details).

� For information purposes, the total sales number of air/air units is shown intable 5-3.

� Integration of sales data for air/air units is up for revision for the Outlook 2013.Please provide your comments by mail to [email protected] using “Air/air countrevision 2013” as a subject line.

AIR/WATER & BRINE/WATER UNITS� Reversible heat pumps connected to hydronic systems are always counted, as

their use as heating system can be assumed.

Page 189: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

VRF UNITS� VRF systems are counted, as they are specifically designed for heating and

cooling. 80 % of the declared sales number are included in the EHPA statistics toallow for deviations from declared use.

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

188 Annex I

AT BE CH CZ DE DK EE ES FI FR HU IE IT LT NL NO PL PT SE SK UK

EU-14 yes yes yes yes yes yes yes yes yes yes yes yes yes yes yes

EU-21 yes yes yes yes yes yes yes yes yes yes yes yes yes yes yes yes yes yes yes yes yes

Reversible no no no no no yes yes yes yes yes no no yes yes no yes no yes yes no noair/air (90%) (90%) (9,5%) (90%) (9,5%) (9,5%) (90%) (9,5%) (90%)counted?

Page 190: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

189Annex II

Country:

1. Space heating(residential and tertiary sector)

1.1 Heating only2

1.1.1 Hydronic distribution systemair / waterwater / waterbrine / water direct expansion / waterothers5

Subtotal 1.1.11.1.2 Exhaust air

air / air3

air / air + HX4

air / water3

air / water + HX4

others5

Sutotal 1.1.2Subtotal heating only

1.2 Reversible (heating and/or cooling)6

air / air7

air / waterbrine / waterVRF / VRV8

others5

Subtotal reversible

Total space heating

2. Sanitary hot water 2.1 Heat pump water heaters2.2 Exhaust air

Subtotal tap water

3. District Heating9

4. Industrial Heat Pumps

5. Thermically driven Heat Pumps

Total heat pumps

Country:

Completed by:

Date:

Number of inhabitants:

Annex IIEHPA heat pump statistics: questionnaire used

Sales Figures 2012

<20 >20 TotalkWth1 kWth1

kW installed 2012

<20 >20 TotalkWth1 kWth1

General remarks for completingthis form:

Please:

Fill in the coloured fields only.

Attach as much additional information and comments explaining the given sales figures as necessary and available.

Indicate any problems arising from the completion of thisform.

Notes/comments:

(insert your country)

EHPA Heat Pump Statistics,Sales figures 2012

1 Heating Capacity

2 Hot tap water can be provided by the same heat pump (or not).

3 Small heat pumps for heat recoveryfrom domestic exhaust air.

4 HP with heat exchanger

5 Please specify

6 Must be able to provide heating in winter (able to work below –7°C external temperature).

7 In Scandinavian countries primarily used for heating purposes.

8 Variable Refrigerant Flow / Variable Refrigerant Volume

9 Heating capacity >500 kW, smaller central heat pumps for heating several buildings have to be included under point 1.

Page 191: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

190 Annex

ANNEX III Consolidated sales of heat pump units 2005–2012

2012 Austria Czech Rep. Denmark Estonia Finland France Germany Italy Netherlands Norway Portugal Sweden Switzerland UK Subtotals Growth by typeHeating only HP 13 495 6 544 5 304 1 990 13 932 60 662 59 600 14520 8 740 6 017 560 30 904 19 400 16 749 258 417 14 %Hydronic distribution system

air/water 7 083 4 212 2 113 790 979 54 214 37 400 12 801 2 954 2 806 521 6 384 11 100 14 455 157 812 37 %water/water 1 029 70 0 0 0 1 295 2 800 408 1 324 0 0 18 400 0 7 344 -8 %brine/water 4 724 2 250 3 072 1 200 12 953 3 593 16 800 1 311 3 936 3 211 0 24 502 7 900 2 294 87 785 -10 %direct exchange 659 0 119 0 0 658 0 0 0 0 0 0 0 0 1 436 19 %Others 0 12 0 0 0 902 2 600 0 526 0 0 0 0 0 4 040 -6 %Exhaust air HP 115 118 997 55 1 912 0 0 0 0 316 0 9 203 0 1 050 13 766 -27 %Reversible HP 0 0 21 635 11 450 45 156 46 504 0 103 739 0 61 050 7 514 55 000 0 0 352 048 -9 %(heating and/or cooling)

air/air with heating function 0 0 21 635 11 450 44 956 31 709 0 92 800 0 60 959 5 247 55 000 0 0 323 755 -9 %VRF 0 0 0 0 200 14 795 0 10 939 0 91 2 267 0 0 0 28 292 -11 %Sanitary hot water HP 3 884 0 2 457 0 0 34 900 10 700 0 270 0 458 0 2 097 70 54 836 23 %District heating HP 0 0 0 0 1 0 0 91 0 0 0 0 0 0 92 15 %Industrial HP 0 0 0 0 5 0 0 0 0 0 139 0 0 0 144 -34 %Thermally driven HP 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0Total 2012 17 494 6 662 30 393 13 495 61 006 142 066 70 300 118 350 9 010 67 383 8 313 95 107 21 497 17 869 679 303 -5,41 %

2011 Austria Czech Rep. Denmark Estonia Finland France Germany Italy Netherlands Norway Portugal Sweden Switzerland UK Subtotals Growth by typeHeating only HP 11 989 6 446 5 769 1 730 14 933 63 061 57 020 16 014 8 874 6 591 454 40 342 18 904 15 020 207 147 3 %Hydronic distribution system

air/water 5 399 4 212 1 597 710 992 55 299 32 616 14 292 3 016 2 914 430 8 958 11 252 12 765 154 452 3 %water/water 988 74 0 0 0 1 703 2 758 424 1 527 0 0 0 538 0 8 012 -14 %brine/water 4 899 2 150 4 172 1 020 13 941 4 223 19 089 1 298 3 945 3 677 24 31 384 7 117 2 255 99 191 4 %direct exchange 703 0 0 0 0 507 0 0 0 0 0 0 0 0 1 210 -3 %Others 0 10 0 0 0 1 329 2 557 0 386 0 0 0 0 0 4 282 44 %Exhaust air HP 450 0 966 26 2 048 0 0 0 0 473 0 11 433 0 3 480 18 876 -5 %Reversible HP 0 0 15 513 10 050 55 286 49 757 0 111 725 0 76 394 13 642 55 000 0 0 387 367 -5 %(heating and/or cooling)

air/air with heating function 0 0 15 513 10 050 55 286 34 279 0 98 578 0 76 394 10 566 55 000 0 0 355 666 -5 %VRF 0 0 0 0 0 15 478 0 13 147 0 0 3 076 0 0 0 31 701 -4 %Sanitary hot water HP 4 247 10 2 386 0 0 26 700 8 853 0 456 0 475 0 1 320 0 44 447 56 %District heating HP 0 0 0 0 0 0 0 80 0 0 0 0 0 0 80 82 %Industrial HP 0 0 0 0 0 0 0 0 0 0 217 0 0 0 217 168 %Total 2011 16 686 6 456 24 634 11 806 72 267 139 518 65 873 127 819 9 330 83 458 14 788 106 775 20 224 18 500 718 134 1 %

2010 Austria Czech Rep. Denmark Estonia Finland France Germany Italy Netherlands Norway Portugal Sweden Switzerland UK Subtotals Growth by typeHeating only HP 10 894 6 436 5 462 1 345 9 241 62 055 54 347 13 114 7 605 6 393 1 153 45 074 19 982 15 690 258 791 -19 %Hydronic distribution system

air/water 4 412 4 212 1 325 360 1 150 53 854 29 778 12 012 2 037 3 530 748 13 120 11 773 11 840 150 151 -25 %water/water 1 111 74 0 0 0 1 627 2 834 179 2 918 0 0 0 614 0 9 357 -16 %brine/water 4 577 2 150 4 137 985 8 091 5 031 5 031 923 2 650 2 863 405 31 954 7 595 3 850 95 067 -6 %direct exchange 794 0 0 0 0 454 0 0 0 0 0 0 0 0 1 248 -61 %Others 0 0 0 0 0 1 089 1 879 0 0 0 0 0 0 0 2 968 -31 %Exhaust air HP 578 0 1 028 21 1 988 0 0 0 325 227 0 12 500 62 3 050 19 779 -8 %Reversible HP 0 0 11 240 9 100 53 821 48 520 0 110 219 0 87 222 17 253 70 000 0 0 407 375 14 %(heating and/or cooling)

air/air with heating function 0 0 11 240 9 100 53 821 34 597 0 95 726 0 87 222 12 534 70 000 0 0 374 240 10 %VRF 0 0 0 0 0 13 923 0 14 493 0 0 4 719 0 0 0 33 135 106 %Sanitary hot water HP 5 490 10 5 430 0 0 7 600 8 401 0 567 0 374 0 618 0 28 490 -1 %District heating HP 0 0 0 0 0 0 0 44 0 0 0 0 0 0 44 -24 %Industrial HP 0 0 0 0 10 0 0 0 0 0 71 0 0 0 81 1 058 %Total 2010 16 962 6 391 23 160 10 466 65 060 118 175 62 748 123 377 8 497 93 842 18 851 127 574 20 662 18 740 714 560 -2 %

2009 Austria Czech Rep. Denmark Estonia Finland France Germany Italy Netherlands Norway Portugal Sweden Switzerland UK Subtotals Growth by typeHeatng only HP 11 713 3 622 4 598 1 190 7 956 128 845 56 542 12 456 7 919 7 686 829 43 485 20 571 12 305 319 717 -4 %Hydronic distribution system

air/water 4 501 1 864 1 123 510 1 819 108 921 26 188 11 385 2 758 4 154 606 15 941 11 464 8 325 199 559 -5 %water/water 1 192 68 0 0 0 2 973 3 782 0 2 572 0 0 0 600 0 11 187 -18 %brine/water 5 083 1 531 3 475 680 6 137 12 544 24 563 1 071 2 589 3 532 223 27 544 8 507 3 980 101 459 3 %direct exchange 937 0 0 0 0 1 219 1 026 0 0 0 0 0 0 0 3 182 -69 %Others 0 159 0 0 0 3 188 983 0 0 0 0 0 0 0 4 330 319 %Exhaust air HP 573 0 658 25 1 819 0 0 0 244 724 0 13 415 0 4 150 21 608 -7 %Reversible HP 0 0 18 540 9 000 57 977 30 115 0 94 478 0 75 626 10 838 60 000 25 0 356 599 -14 %(heating and/or cooling)

air/air with heating function 0 0 18 540 9 000 57 977 15 058 0 80 900 0 75 626 8 364 60 000 25 0 340 547VRF 0 0 0 0 0 0 0 13 578 0 0 2 474 0 0 0 16 052Sanitary hot water HP 5 852 0 273 0 0 11 000 10 406 0 682 0 53 0 443 0 28 709 1 %District heating HP 0 0 0 0 0 0 0 58 0 0 0 0 0 0 58Industrial HP 0 0 0 0 0 0 0 0 0 0 7 0 0 0 7 Total 2009 18 138 3 622 24 069 10 215 67 752 169 960 66 948 106 992 8 845 84 036 11 727 116 900 21 039 16 455 726 698 -12 %

Page 192: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

191Annex III

2008 Austria Czech Rep. Denmark Estonia Finland France Germany Italy Netherlands Norway Portugal Sweden Switzerland UK Subtotals Growth by typeHeating only HP 12 645 2 582 5 498 1 410 10 006 152 510 64 549 767 6 038 7 205 0 41 923 20 520 7 260 332 913 61 %Hydronic distribution system

air/water 4 292 1 150 1 377 440 2 500 133 080 28 002 767 2 172 3 985 0 16 785 11 802 3 280 209 632 107 %water/water 1 494 51 0 0 0 4 500 4 457 0 2 415 0 0 0 653 0 13 570 51 %brine/water 5 678 1 381 4 121 970 7 506 7 030 29 993 0 1 451 3 220 0 25 138 8 065 3 980 98 533 17 %direct exchange 1 181 0 0 0 0 7 900 1 064 0 0 0 0 0 0 0 10 145 -15 %Others 0 0 0 0 0 0 1 033 0 0 0 0 0 0 0 1 033 26 %Exhaust air HP 488 0 1 292 50 2 500 0 0 0 353 650 0 16 460 250 1 300 23 343 4 %Reversible HP 0 0 7 969 10 050 67 300 17 309 975 143 912 171 76 830 15 612 75 000 0 0 415 128 15 %(heating and/or cooling)

air/air with heating functionVRF Sanitary hot water HP 5 572 0 310 0 0 5 400 15 861 0 949 0 0 0 426 0 28 518 106 %District heating HPIndustrial HPTotal 2008 18 705 2 582 15 069 11 510 79 806 175 219 81 385 144 679 7 511 84 685 15 612 133 383 21 196 8 560 799 902 32 %

2007 Austria Czech Rep. Denmark Estonia Finland France Germany Italy Netherlands Norway Portugal Sweden Switzerland UK Subtotals Growth by typeHeating only HP 10 398 2 677 2 005 1 310 5 750 69 600 44 649 0 3 349 5 500 0 41 643 16 622 3 600 207 103 12 %Hydronic distribution system

air/water 2 110 1 210 210 210 450 51 000 17 762 0 1 205 3 200 0 13 705 9 181 1 200 101 443 30 %water/water 1 413 51 0 0 0 2 500 3 350 0 1 339 0 0 0 344 0 8 997 19 %brine/water 5 601 1 413 1 795 1 100 5 300 6 500 21 672 0 805 2 300 0 27 938 7 097 2 400 83 921 -4 %direct exchange 1 274 0 0 0 0 9 600 1 051 0 0 0 0 0 0 0 11 925 6 %Others 0 3 0 0 0 0 814 0 0 0 0 0 0 0 817 299 %Exhaust air HP 486 0 1 246 80 2 500 0 0 0 0 800 0 17 107 100 200 22 519 4 %Reversible HP 0 0 4 414 6 170 47 250 21 565 627 167 232 0 64 000 16 250 35 000 0 0 362 508 18 %(heating and/or cooling)

air/air with heating functionVRF Sanitary hot water HP 4 264 0 567 0 0 0 7 354 0 1 655 0 0 0 0 0 13 840 -36 %District heating HPIndustrial HPTotal 2007 15 148 2 677 8 232 7 560 55 500 91 165 52 630 167 232 5 004 70 300 16 250 93 750 16 722 3 800 605 970 13 %

2006 Austria Czech Rep. Finland France Germany Italy Netherlands Norway Portugal Sweden Switzerland UK Subtotals Growth by typeHeating only HP 8 853 2 027 4 900 48 080 40 511 0 3 318 4 500 0 54 774 15 740 1 800 184 503 62 %Hydronic distribution system

air/water 1 618 797 400 35 060 13 292 0 1 194 2 000 0 14 757 8 610 500 78 228 113 %water/water 945 71 0 540 4 401 0 1 327 0 0 0 301 0 7 585 60 %brine/water 4 714 1 159 4 500 3 850 21 544 0 797 2 500 0 40 017 6 829 1 300 87 210 45 %direct exchange 1 576 0 0 8 630 1 069 0 0 0 0 0 0 0 11 275 -4 %Others 0 0 0 0 205 0 0 0 0 0 0 0 205 -64 %Exhaust air HP 723 0 2 000 0 0 0 0 1 000 0 17 699 66 70 21 558 16 %Reversible HP 0 0 39 750 17 243 712 135 842 0 50 000 14 829 50 000 0 0 308 376 12 %(heating and/or cooling)

air/air with heating functionVRF Sanitary hot water HP 3 942 0 0 5 000 10 604 0 2 048 0 0 0 0 0 21 594 92 %District heating HPIndustrial HPTotal 2006 13 518 2 027 46 650 70 323 51 827 135 842 5 366 55 500 14 829 122 473 15 806 1 870 536 031 28 %

2005 Austria Czech Rep. Finland France Germany Italy Norway Portugal Sweden Switzerland UK Subtotals Growth by typeHeating only HP 6 100 1 363 3 407 25 200 17 281 0 3 000 0 44 972 11 877 750 113 950Hydronic distribution system

air/water 867 546 7 12 000 4 529 0 1 500 0 10 409 6 749 100 36 707water/water 720 43 0 1 700 1 972 0 0 0 0 292 0 4 727brine/water 3 174 755 3 400 2 000 9 319 0 1 500 0 34 563 4 836 650 60 197direct exchange 1 339 0 0 9 500 908 0 0 0 0 0 0 11 747Others 0 19 0 0 553 0 0 0 0 0 0 572Exhaust air HP 349 0 1 900 0 0 0 0 0 16 357 0 0 18 606Reversible HP 0 0 31 850 12 968 551 140 310 37 000 13 132 40 000 0 0 275 811(heating and/or cooling)

air/air with heating functionVRF Sanitary hot water HP 3 253 0 0 0 8 000 0 0 0 0 0 0 11 253District heating HPIndustrial HPTotal 2005 9 702 1 363 37 157 38 168 25 832 140 310 40 000 13 132 101 329 11 877 750 419 620

Page 193: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

192 List of figures

List of figures

Figure 1-1: Development of heat pump sales in Europe 2005–2012 | by category 7Figure 1-2: Development of heat pumps sales in 21 European countries 2010–2012 8Figure 1-3: RES from air, water and ground produced by all heat pumps sold from 2005–2012 9Figure 1-4: Greenhouse gas emissions saved by heat pumps sold from 2005–2012 10

Figure 2-1: Economic value of fossil-fuel consumption subsidies by fuel 12Figure 2-2: Total CO2-eq emissions for all countries 13

Figure 3-1: Planned versus estimated trend in EU renewable energy 18Figure 3-2: Implementing measures to the ErP Directive with relevance to heat pumps 21Figure 3-3: Energylabel for a heat pump combi-heater from 2019 onwards 23Figure 3-4: Energylabel for a heat pump water heater from 2017 onwards 23Figure 3-5: Ecolabel 24

Figure 4-1: The changing landscape of the European heat pump market 32Figure 4-2: Changing trends in European distribution 35Figure 4-3: Main components of a compression heat pump 36Figure 4-4: Capacity as a function of outside temperature for fixed and capacity modulating units 37Figure 4-5: Smart Grid (SG) Ready logo 38Figure 4-6: Combination options for different energy sources into heat pump based hybrid systems 41Figure 4-7: Gas sorption heat pumps: Total sales in DE, NL, UK, IT 44

Figure 5-1: Energy price ratios for 8 selected European countries 49Figure 5-2: European heat pump market development in 14 and 21 countries from 2005 to 2012 51 Figure 5-3: Heat pump sales numbers in 21 countries 54Figure 5-4: Change of heat pump sales in 21 countries in absolute numbers 54Figure 5-5: Change of heat pumps sales in 21 European countries 2011–2012, sorted 55

by annual growth 2011–2012Figure 5-6: Development of sales by product category, 2012 (EU-21) 55Figure 5-7: Development of sales by energy source 2005–2012 (EU-21) 56Figure 5-8: Share of energy used per country, 2012 57Figure 5-9: Development of sanitary hot water heat pump sales 2005–2012 57Figure 5-10: Heat pump sales per 10 000 households 2012 and per 10 000 households 58

based on accumulated sales 2005–2012 Figure 5-11: Heat pump sales by capacity class 59Figure 5-12: Categories of heat pump employment 60Figure 5-13: Man-years required to substantiate sale per country, 2012 61Figure 5-14: Final and primary energy savings from heat pumps based on sales 2012, 61

per country (in Twh)Figure 5-15: Renewable thermal energy provided per country, by type, 2012 64Figure 5-16: Greenhouse-gas emissions savings from the use of heat pumps (2012, in Mt); EU-21 65Figure 5-17: Sales outlook 2013 66

Figure 6.1-1: Austrian heat pump market development 2005–2012 69Figure 6.1-2: Austrian heat pump market development 1975–2012 69Figure 6.1-3: Austrian 2009–2012 market by type of heat pump 70Figure 6.2-1: Belgian heat pump market development 2009–2012 74Figure 6.2-2: Heat pumps in operation in Belgium 75Figure 6.2-3: Belgian 2009 – 2012 market by type of heat pump 75Figure 6.3-1: Czech heat pump market development, 2005 – 2010, by type of heat pump 78Figure 6.3-2: Heat Pumps in operation in Czech Republic 79Figure 6.3-3: Czech 2005–2010 market by type of heat pump 79Figure 6.4-1: Danish heat pump market development 2007–2012 82Figure 6.4-2: Heat pumps in operation in Denmark 82Figure 6.4-3: Danish 2009–2012 market by type of heat pump 83Figure 6.5-1: Estonian heat pump market development 2008 – 2012 88Figure 6.5-2: Heat Pumps in operation in Estonia 88Figure 6.5-3: Estonian 2009–2012 market by type of heat pump 89Figure 6.6-1: Finnish heat pump market development 2005 – 2012 93Figure 6.6-2: Heat Pumps in operation in Finland 94Figure 6.6-3: Finnish 2009–2012 market by type of heat pump 95Figure 6.7-1: French heat pump market development 2005–2012 99Figure 6.7-2: Heat pumps in operation in France 2005–2012 100Figure 6.7-3: French 2009–2012 market by type of heat pump 100Figure 6.8-1: German heat pump market development 1978–2012 105Figure 6.8-2: Heat pumps in operation in Germany 105Figure 6.8-3: German 2009–2012 market by type of heat pump 106Figure 6.9-1: Hungarian heat pump market development 2009 – 2012 111Figure 6.9-2: Heat pumps in operation in Hungary 2009–2012 111Figure 6.9-3: Hungarian 2009-2010 market by type of heat pump 112Figure 6.10-1: Irish heat pump market development 2009–2012 115Figure 6.10-2 Heat pumps in operation in Ireland 117Figure 6.10-3: Irish 2012 market by type of heat pump 117

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

Page 194: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

193List of figures

Figure 6.11-1: Italian heat pump market development 2009 – 2012 121Figure 6.11-2: Heat pumps in operation in Italy 121Figure 6.11-3: Italian 2009–2012 market by type of heat pump 122Figure 6.12-1: Lithuanian heat pump market development 2009 – 2012 125Figure 6.12-2: Heat Pumps in operation in Lithuania 125Figure 6.12-3: Lithuanian 2009–2012 market by type of heat pump 126Figure 6.13-1: Dutch heat pump market development 2006–2012 130Figure 6.13-2: Heat pumps in operation in The Netherlands 131Figure 6.13-3: Dutch 2009–2012 market by type of heat pump 132Figure 6.14-1: Norwegian heat pump market development 2005–2012 136Figure 6.14-2: Heat Pumps in operation in Norway 136Figure 6.14-3: Norwegian 2009–2012 market by type of heat pump 137Figure 6.15-1: Polish heat pump market development 2000–2012 140Figure 6.15-2: Heat Pumps in operation in Poland 141Figure 6.15-3: Polish 2009–2012 market by type of heat pump 142Figure 6.16-1: Portuguese heat pump market development 2009–2012 146Figure 6.16-2: Heat Pumps in operation in Portugal 146Figure 6.16-3: Portugal 2005–2012 market by type of heat pump 147Figure 6.17-1: Slovakian heat pump market development 2009–2012 150Figure 6.17-2: Heat Pumps in operation in Slovakia 151Figure 6.17-3: Slovak 2009–2012 market by type of heat pump 151Figure 6.18-1: Spain heat pump market development 2010–2012 155Figure 6.18-2: Heat Pumps in operation in Spain 155Figure 6.18-3: Spanish 2010–2012 market by type of heat pump 156Figure 6.19-1: Swedish heat pump market development 1995–2012 159Figure 6.19-2: Heat Pumps in operation in Sweden 160Figure 6.19-3: Swedish 2009–2012 market by type of heat pump 161Figure 6.20-1: Swiss heat pump market development 2008–2012 166Figure 6.20-2: Heat Pumps in operation in Switzerland 166Figure 6.20-3: Swiss 2009–2012 market by type of heat pump 167Figure 6.21-1: UK heat pump market development 2005 – 2012 170Figure 6.21-2: Heat Pumps in operation in the UK 170Figure 6.21-3: UK 2009–2012 market by type of heat pump 171

Figure 7.2-1: Air-to-air units in Malta 2005–2012 181

Figure 8-1: Development of EUCERT trainees 184

Page 195: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13 List of tables

Table 1-1: Heat pump sales in Europe, 2005–2012 | absolute numbers 7

Table 2-1: Primary energy consumption in the EU 27 in 2011 compared with 112020 and 2030 forecasts from different scenarios (values in Mtoe)

Table 4-1: Standard components and improvement potential 35Table 4-2: Properties of different refrigerant options 42

Table 5-1: Energy prices for selected countries 2012 48Table 5-2: Price energy ratios for 15 countries 49Table 5-3: Heat pump sales in EU-21 countries 52Table 5-4: Market segments for smaller units 59Table 5-5: Installed capacity per buildings for different types of heat pumps, 62

distinguished by climate zoneTable 5-6: Qusablehours for different types of heat pumps, distinguished by climate zone 63Table 5-7: SPF assumptions for Europe, distinguished by climate zone 63Table 5-8: Distribution of heat pumps and contribution to heating in Southern European markets 63Table 5-9: Renewable energy provided by heat pumps installed in 2012 and cumulated 64

value for all units installed from 2005 – 2012 (in TWh)Table 5-10: Greenhouse gas emission savings from the use of heat pumps installed 65

in 2012 and cumulated value for all units installed from 2005 – 2012 (in Mt)Table 5-11: Consolidated contribution of heat pumps in a nutshell: Energy production, 65

RES share, primary and final energy savings as well as GHG emissions reduction 2005 – 2020

Table 6.1-1: Electricity mix for Austria 2010–2011 68Table 6.1-2: Energy prices in Austria 68Table 6.1-3: Sales of heat pumps in Austria 2009–2012 71Table 6.1-4: Energy performance requirements in Austria 71Table 6.2-1: Electricity mix for Belgium 2010–2011 73Table 6.2-2: Energy prices in Belgium 2010 73Table 6.2-3: Sales of heat pumps in Belgium 2009–2012 74Table 6.2-4: Average heat pump unit prices 74Table 6.2-5: Energy performance requirements in Belgium 76Table 6.3-1: Electricity mix for the Czech Republic 2012 77Table 6.3-2: Energy prices in Czech Republic 2012 77Table 6.3-3: Sales of heat pumps in the Czech Republic 2009 – 2012 78Table 6.3-4: Average heat pump unit prices including installation for an 79

average family house with heat losses around 10 kWTable 6.4-1: Electricity mix for Denmark 2010–2011 81Table 6.4-2: Energy prices in Denmark 2012 81Table 6.4-3: Sales of heat pumps in Denmark 2009–2012 83Table 6.4-4: Smart Grid and heat pump projects in Denmark 85/86Table 6.5-1: Electricity mix for Estonia 2010–2011 87Table 6.5-2: Energy prices in Estonia 2012 87Table 6.5-3: Sales of heat pumps in Estonia 2009–2012 89Table 6.5-4: Average heat pump end consumer prices in Estonia 89Table 6.5-5: Energy performance requirements in Estonia 91Table 6.6-1: Electricity mix for Finland 2010–2011 92Table 6.6-2: Energy prices in Finland 2012 92Table 6.6-3: Finnish 2009–2012 market by type of heat pump 95Table 6.6-4: Average heat pump unit prices in Finland 96Table 6.6-5: Energy performance requirements in Finland 97Table 6.7-1: Electricity mix for France 2010–2011 98Table 6.7-2: Energy prices in France 2012 98Table 6.7-3: Sales of heat pumps in France 2009–2012 101Table 6.7-4: Typical heat pump end consumer prices for France 101Table 6.7-5: Energy performance requirements in France 103Table 6.8-1: Electricity mix for Germany 2011–2012 104Table 6.8-2: Energy prices in Germany 2012 104Table 6.8-3: Sales of heat pumps in Germany 2009–2012 107Table 6.8-4: Typical investment costs for heat pump systems in 107

single family houses in Germany (2009)Table 6.8-5: Energy performance requirements in Germany 108Table 6.9-1: Electricity mix for Hungary 2012 110Table 6.9-2: Energy prices in Hungary 2012 110Table 6.9-3: Sales of heat pumps in Hungary 2009–2012 112Table 6.9-4: Typical investment costs for heat pump systems in 112

single family houses in HungaryTable 6.9-5: Former heat pump incentive scheme in Hungary 113Table 6.9-6: Energy performance requirements in Hungary 113Table 6.10-1: Electricity mix for Ireland 2010–2011 114

194 List of tables

Page 196: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Table 6.10-2: Energy prices in Ireland 2012 114Table 6.10-3: Sales of heat pump in Ireland 2009–2012 116Table 6.10-4: Irish 2009–2012 market by type of heat pump 117Table 6.10-5: Average heat pump end user unit prices (incl. VAT) 118Table 6.10-6: Energy performance requirements in Ireland 119Table 6.11-1: Electricity mix for Italy 2010–2011 120Table 6.11-2: Energy prices in Italy 2012 120Table 6.11-3: Sales of heat pumps in Italy 2010–2012 122Table 6.12-1: Electricity mix for Lithuania 2010–2011 124Table 6.12-2: Energy prices in Lithuania 2012 124Table 6.12-3: Lithuanian 2009–2012 market by type of heat pump 125Table 6.12-4: Average heat pump unit prices in Lithuania 126Table 6.12-5: Energy performance requirements in Lithuania 127Table 6.13-1: Electricity production in the Netherlands 2012 129Table 6.13-2: Electricity mix for The Netherlands 2010–2011 129Table 6.13-3: Energy prices in Netherlands 2012 130Table 6.13-4: Housing park by type of heating product, 2012 130Table 6.13-5: Number of heat pumps installed in the Netherlands: 1995–2012 131Table 6.13-6: Dutch 2009–2012 market by type of heat pump 132Table 6.13-7: Energy performance requirements in The Netherlands 133Table 6.14-1: Electricity mix for Norway 2011 135Table 6.14-2: Energy prices in Norway 2009 135Table 6.14-3: Sales of heat pumps in Norway 2009–2012 137Table 6.14-4 Energy performance requirements Norway 138Table 6-15.1: Energy mix for Poland 2010–2011 139Table 6.15-2: Energy prices in Poland in 2012 139Table 6.15-3: Primary energy consumption in Poland in 2012 140Table 6.15-4: Sales of heat pumps in Poland 2010–2012 142Table 6.15-5: Typical cost for an installed heat pump in Poland, 2012 142Table 6.16-1: Electricity mix for Portugal 2012 145Table 6.16-2: Energy prices in Portugal 2012 145Table 6.16-3: Sales of heat pumps in Portugal 2007–2012 146Table 6.16-4: Energy performance requirements Portugal 148Table 6.17-1: Electricity mix for Slovakia 2010–2011 149Table 6.17-2: Energy prices in Slovakia 2012 149Table 6.17-3: Sales of heat pumps in Slovakia 2009–2010–2012 150Table 6.17-4: Typical end consumer prices for turnkey solutions in Slovakia 151Table 6.17-5: Energy performance requirements Slovakia 153Table 6.18-1: Electricity mix for Spain 2010–2011 154Table 6.18-2: Energy prices in Spain 2012 154Table 6.18-3: Spanish heat pump market value 2011–2012 154Table 6.18-4: Sales of heat pumps in the Spain 2010–2012 156Table 6.18-5: Energy performance requirements Spain 157Table 6.19-1: Electricity mix for Sweden 2010–2011 158Table 6.19-2: Energy prices in Sweden 2012 158Table 6. 19-3: Energy price ratio in Sweden 2012 159Table 6.19-4: Type of heating system replaced by heat pump installation 160Table 6.19-5: Estimated shares for different types of heating in single and two family houses 161Table 6.19-6: Estimated shares for different types of heating in multifamily dwellings 161Table 6.19-7: Sales of heat pumps in Sweden 2009–2012 161Table 6.19-8: Average end consumer prices for turnkey solutions in Sweden 162Table 6.19-9: Energy performance requirements Sweden 164Table 6.20-1: Electricity mix for Switzerland 2009–2010 165Table 6.20-2: Energy prices in Switzerland 2010 165Table 6.20-3: Sales of heat pumps in Switzerland 2005–2012 166Table 6.20-4: Energy performance requirements Switzerland 167Table 6.21-1: Energy mix for the United Kingdom 2012 169Table 6.21-2: Energy prices in the United Kingdom 2012 169Table 6.21-3: Sales of heat pumps in the UK 2009–2012 171Table 6.21-4: Typical cost for an installed heat pump in the UK, 2012 172Table 6.21-5: Energy performance requirements United Kingdom 173

Table 7.1-2: Energy prices in Japan 2011 176Table 7.1-1: Electricity mix for Japan 2010–2011 176Table 7.1-3: Investment cost for heat pumps in Japan 2012 178Table 7.2-1: Electricity mix for Republic for Malta 2012 180

195List of tables

Page 197: European Heat Pump Market and Statistics Report 2013€¦ · Tarek Maiyaleh Hungarian Heat Pump Association Phone: +361 463 26 24 maiyaleh@energia.bme.hu Ireland Jonathan Jennings

Euro

pean

Hea

t Pum

p M

arke

t and

Sta

tistic

sRE

PORT

20

13

196 Glossary

Air-source (monobloc) Heat pump unit withthe refrigeration cycle contained within oneunit 'monobloc' which is then connected by piping to the heat distribution system. No refrigerant flows outside of the monobloccasing – just water, making installationpossible by a plumber.

Air source (bi-bloc or split) Heat pump unitwith the entire refrigeration cycle being 'split'between separate outdoor and indoor units –which are connected using piping filled withrefrigerant. Installation requires a refrigerantengineer.

Air-based distribution system The heatdistribution system using air to distribute theheat/cooling in the house – blown or forcedair through ducts or grilles or wall hung a/c units.

Fixed speed compressor A compressor thatcan only run with one speed and thus constantcapacity. To vary the capacity over time, thecompressor is switched on or off (on-offoperation).

Hydronic (Water Based) distribution systemThe heat distribution system is water based –e.g. the heat pump is connected to radiators,underfloor heating, fan convectors/fan coils.

Variable (modulating) speed compressor Thecompressor speed can be controlled (varied) to change the heating capacity of the system.The main types used are inverter compressors,digital scroll compressors and multiplecompressors:

Inverter compressors control the speed bychanging the frequency of the power input.

Digital Scroll compressor technologyoperates on the principle of loading andunloading of scrolls i.e. the scrolls areengaged and disengaged periodically to get durations of “full capacity” and “nocapacity”. Time averaging of the loading andunloading state results in variable capacityoutput to vary the compressor speed.

Multiple compressors can be used in toprovide extended variable output. A step-wise capacity variation can be achieved bystarting/stopping additional compressors.

Ground-to-x heat pump, geothermal heatpump (GSHP, closed loop) Uses heat from the ground, either via drillings (vertical) or via horizontal collector. Either pure water orbrine (water-glycol mixture) is circulated inthe heat exchanger. Naming variation dependon the medium used for energy disseminationincluding ground-to-water, or ground-to-airheat pumps. Direct expansion systems (DX)circulate a refrigerant in the collector. Directexpansion-water units use a hydronic heatdistribution system.

Thermally driven heat pump Heat pumpsthat come in different variations using gas as auxiliary energy. They can either use gas to run a gas motor (gas motor driven) andoperate as conventional compression unit.They can also use a thermal process(adsorbtion or absorbtion) as an alternativeto mechanical compression.

Water-to-water heat pump (WSHP, open loop)Uses heat from a water source such as a well.Typically water is pumped from the source inan open system through the heat exchangerand returned to the source. In case of water-to-water heat pumps, they are often monoblocunits with hydronic distribution. In case ofwater-to-air heat pumps, air is used as theheat distribution medium.

Air-to-water heat pump (ASHP) Uses heat fromthe ambient air, they may be monobloc units orsplit. Air/water systems are always connectedto a hydronic heat distribution by definition.

Air-to-air / Reversible (AAHP) Air-to-air heatpumps use air for both the heat source andthe heat sink. They are either developed fromtraditional air-conditioners extended toprovide also heating functionality or they areoptimized for heating and can then also beused for cooling. They are always split systemswith a separate outdoor and indoor unitconnected by pipes containing refrigerant.Generally these systems have to be installedby qualified refrigeration engineers and aresold through a cooling/refrigeration channel.

Exhaust air heat pump Exhaust air heat pumpsuse energy from indoor air to provide heating,sanitary hot water. They can either use indoorair or be connected to a forced ventilationsystem. Most often, these systems are used forsanitary hot water preparation, not heating,due to limited heating capacity, but increasinglybeing marketed as a heating solution.

Sanitary hot water heat pump (SHW)Sanitary hot water heat pumps use mostly air to produce hot water (up to 65 °C). Theycan use indoor or outdoor air to achieve thispurpose. They are either built as compactunits with an integrated tank or they areconnected to an external hot water tank. Alternative name: Domestic hot water unit

VRF systems (multi-split) Air conditioningheating and cooling technology. One outdoorunit (condenser) connected to multiple indoorunits, all of which may operate independently,i.e. providing heating and/or cooling at thesame time. VRF systems are a more sophisticatedversion of the minisplit HVAC system usedthroughout the world. They distribute therefrigerant instead of piping hot water andchilled water to each fan coil unit (FCU) or airhandling unit (AHU). By supplying differentamounts of refrigerant to evaporators, thesystems may provide simultaneous heatingand cooling.

Glossary