Mitsubishi Electric is joining the UK's leading heat pump manufacturers and installers to jointly set out a vision detailing how industry and Government can achieve a radical decarbonising of residential heating in the UK by 2030.
'The current regulatory environment remains a source of uncertainty for the sector, yet we have the eight leading heat pump companies ready and willing to work with Government to develop a solid regulatory plan that will allow heat pumps to move beyond subsidy by the end of this decade,' said John Kellett, general manager of the company's Domestic Heating Division.

Fewer than 15,000 domestic heat pumps are currently installed annually, yet the important role the technology can play in reducing carbon emissions has already been recognised in the Government's Carbon Plan and Heat Strategy.

In a report written by Ecuity Consulting LLP, the country's leading manufacturers and installers of heat pumps have come together to express strong support for the role identified for heat pumps, as a key technology that will enable decarbonisation of heat supply to individual buildings and limit consumer fuel bills.

To this end, the group believes that goals set out by the Committee on Climate Change in the 4th Carbon Budget - namely the deployment of around 2.6 million domestic heat pumps by 2025, rising to 6.8 million by 2030 - are both essential and realistic.

'Domestic heat pumps have now proved that they can deliver reductions in both CO2 emissions and running costs for consumers and we need Government to develop the long-term strategy and policy framework that helps encourage more take up,' Mr Kellett added.

The report argues that a long-term regulatory strategy must be in place, alongside necessary investment, to encourage timely heat pump uptake. According to the report, elements of this regulatory plan may include:

· Looking into innovative solutions to link the Green Deal with the Renewable Heat Incentive (RHI) so as to address the barrier to consumers of lack of up-front capital.
· Reviewing the case for raising the noise threshold for air source heat pumps under Permitted Development Rights from 42dB to 45dB to limit installation complexity.
· Reviewing specified default efficiency values for air source heat pumps and recognition of hybrid heat pump solutions under the Standard Assessment Procedure (SAP) to reflect the performance of new products.
· The report contains the results of detailed modelling of RHI possibilities for different tariff and duration options. Setting a tariff duration of less than 10 years under RHI Phase 2 for the domestic sector, to combine cost effectiveness with adequate consumer incentive. Maintaining the principles already established for the RHI in the commercial sector of delivering an attractive return on the additional (over and above a fossil fuel alternative) cost required to encourage the installation of renewable technologies.
· Using the Building Regulations, in retrofit as well as in new build, to push the decarbonising of residential heating systems to new limits towards the end of the decade without the fiscal burden that accompanies incentive schemes. That would allow a range of low carbon heating technologies to compete fairly and would move the UK's heating stock beyond today's default option of high efficiency gas boilers. A similar change in the Building Regulations in 2005, successfully transformed the residential heat market by outlawing lower efficiency systems.

To access the full report, click here.