Heat pumps are a renewable technology. They are available to use within your home or business. They can provide a great source of energy efficient heat and hot water.
Finding out what you should pay for a heat pump is tricky. Installation prices vary a lot as many factors contribute to the price. To get an exact price you will need a full quote.
We can, however, look at the prices you can expect. We can also look at what you can expect to save and make by being part of the RHI scheme.
Heat pump prices
The installation cost of heat pumps is high. The overall cost will depend on the size and the area they are installed on.
A ground source heating system’s cost is higher. This is due to the installation of the pipes under the ground. On an existing property the ground will need digging. This means it will cost more for an existing property than a newly built one. If used and installed correctly, they can save you money on your heating bills.
The most expensive of the heat pump systems is a ground source heat pump. GSHPs cost anything between £11,000 and £15,000. Air source heat pumps comes in at around half that, between £5000 and £8000. Again, this depends on size and area. There are different types to consider such as air to air heat pumps and air to water heat pumps.
When thinking about heat pumps, the savings to your energy bills is an important factor.
Let’s look at the savings with different kinds of heating:
If you currently have oil fired heating, the Energy Savings Trust says you could save between £475-£735 a year.
If your home has electric heating, the saving is much higher at £830-£1465 throughout the year.
Finally, if your home has gas heating, then the savings are £1315-£1975 yearly by having a heat pump installed.
When thinking about installation cost, you should also consider any home improvement cost there might be. This will be important to ensure you get the most out of your heat pump. Some examples are:
1.Your garden may need work if it is to have a ground source heat pump installed. A cluttered garden will affect your heat pump – a garden that has access to as much sunlight as possible improves efficiency.
2. You may need insulation installed to improve efficiency. Insulation is one of the most important factors when installing a heat pump. A properly insulated home will save much more money on its energy bills than one that is not.
Another thing you may want to look at is underfloor heating. Heat pumps are very effective for this purpose. You may also need to change your boiler if you are planning on heating your water this way. A conventional boiler is not as effective with the lower heat temperature. The easiest solution is to change your hot water cylinder to a heat pump compatible one. All these need to be considered as potential costs before you decide on installing a heat pump.
Choosing an installer is important as a properly installed heat pump will save you money and will be more efficient, meaning you recoup your initial investment quicker.
The government also offers an incentive for this kind of heating alternative. The scheme is called the RHI (or the domestic and non-domestic heat incentive). You can receive money from this scheme for 7 years for renewable heating costs. Heat pumps, biomass and solar water heating are entitled to payments within the scheme. To receive the payments, you will need to meet the MCS standards. Your payments will depend on the type and size of system you have. Visit Ofgem for tariffs and more information
Another important thing to consider is the COP, or coefficient of performance. This value can tell you how efficient your heat pump is. It works by measuring its power input compared to power output. The more efficient the pump is the more money you save compared to traditional heating methods such as a gas boiler. It is estimated you can save up to 52% when used for space heating. The average heat pump has a figure of 4.
You will need a full survey and quote to get an exact price for your property. This is often done for free by a reputable installer. It is always wise to get more than one quote.
It Is important to choose the right system for your home. They can be better suited to underfloor heating instead of replacing central heating. This is because the heat produced is at a lower temperature. It is likely to be false economy if you home is appropriately insulated.
Overall you will need to ensure you can cover the initial outlay and can expect to pay up to £15,000. There is no quick solution or funding for the initial cost, but there are incentives. Over the 7 years for a ground source heat pump you will receive £29,442 in RHI payments and for an ASHP you can receive £9,498. As well you will have a 26% reduction on energy bills. Compared to other renewable heating options the figures look attractive. RHI payments are more than double that of biomass and solar thermal.
We can help you on your journey to finding the right installer. Our trusted installers can give you quotes and advice on which heat pump is best for you and an idea of how much this will cost. For a full introduction and more information on heat pumps click here. Fill in your details to compare prices from local companies – it’s both fast and free!