IDEAS home Printed from https://ideas.repec.org/a/eee/enepol/v85y2015icp369-375.html
   My bibliography  Save this article

Raising the temperature of the UK heat pump market: Learning lessons from Finland

Author

Listed:
  • Hannon, Matthew J.

Abstract

Heat pumps play a central role in decarbonising the UK's buildings sector as part of the Committee on Climate Change's (CCC) updated abatement scenario for meeting the UK's fourth carbon budget. However, the UK has one of the least developed heat pump markets in Europe and renewable heat output from heat pumps will need to increase by a factor of 50 over the next 15 years to be in line with the scenario. Therefore, this paper explores what lessons the UK might learn from Finland to achieve this aim considering that its current level of heat pump penetration is comparable with that outlined in the CCC scenario for 2030. Despite the two countries’ characteristic differences we argue they share sufficient similarities for the UK to usefully draw some policy-based lessons from Finland including: stimulating new-build construction and renovation of existing stock; incorporating renewable heat solutions in building energy performance standards; and bringing the cost of heat pumps in-line with gas fired heating via a combination of subsidies, taxes and energy RD&D. Finally, preliminary efforts to grow the heat pump market could usefully focus on properties unconnected to the gas-grid, considering these are typically heated by relatively expensive oil or electric heating technologies.

Suggested Citation

  • Hannon, Matthew J., 2015. "Raising the temperature of the UK heat pump market: Learning lessons from Finland," Energy Policy, Elsevier, vol. 85(C), pages 369-375.
    • Handle: RePEc:eee:enepol:v:85:y:2015:i:c:p:369-375
    DOI: 10.1016/j.enpol.2015.06.016
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0301421515002347
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.enpol.2015.06.016?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Eyre, Nick & Baruah, Pranab, 2015. "Uncertainties in future energy demand in UK residential heating," Energy Policy, Elsevier, vol. 87(C), pages 641-653.
    2. Hannon, Matthew J. & Foxon, Timothy J. & Gale, William F., 2013. "The co-evolutionary relationship between Energy Service Companies and the UK energy system: Implications for a low-carbon transition," Energy Policy, Elsevier, vol. 61(C), pages 1031-1045.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Eggimann, Sven & Hall, Jim W. & Eyre, Nick, 2019. "A high-resolution spatio-temporal energy demand simulation to explore the potential of heating demand side management with large-scale heat pump diffusion," Applied Energy, Elsevier, vol. 236(C), pages 997-1010.
    2. Sovacool, Benjamin K. & Lipson, Matthew M. & Chard, Rose, 2019. "Temporality, vulnerability, and energy justice in household low carbon innovations," Energy Policy, Elsevier, vol. 128(C), pages 495-504.
    3. Xingchi Shen & Yueming Lucy Qiu & Pengfei Liu & Anand Patwardhan, 2022. "The Effect of Rebate and Loan Incentives on Residential Heat Pump Adoption: Evidence from North Carolina," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 82(3), pages 741-789, July.
    4. Sanghamitra Mukherjee & Séin Healy & Tensay Meles & L. (Lisa B.) Ryan & Robert Mooney & Lindsay Sharpe & Paul Hayes, 2020. "Renewable Energy Technology Uptake: Public Preferences and Policy Design in Early Adoption," Working Papers 202004, School of Economics, University College Dublin.
    5. Zhao, Chuandang & Xu, Jiuping & Wang, Fengjuan & Xie, Guo & Tan, Cheng, 2024. "Economic–environmental trade-offs based support policy towards optimal planning of wastewater heat recovery," Applied Energy, Elsevier, vol. 364(C).
    6. Qadrdan, Meysam & Fazeli, Reza & Jenkins, Nick & Strbac, Goran & Sansom, Robert, 2019. "Gas and electricity supply implications of decarbonising heat sector in GB," Energy, Elsevier, vol. 169(C), pages 50-60.
    7. Thomaßen, Georg & Kavvadias, Konstantinos & Jiménez Navarro, Juan Pablo, 2021. "The decarbonisation of the EU heating sector through electrification: A parametric analysis," Energy Policy, Elsevier, vol. 148(PA).
    8. Eom, Yong Hwan & Chung, Yoong & Park, Minsu & Hong, Sung Bin & Kim, Min Soo, 2021. "Deep learning-based prediction method on performance change of air source heat pump system under frosting conditions," Energy, Elsevier, vol. 228(C).
    9. Meles, Tensay Hadush & Ryan, Lisa, 2022. "Adoption of renewable home heating systems: An agent-based model of heat pumps in Ireland," Renewable and Sustainable Energy Reviews, Elsevier, vol. 169(C).
    10. Khosravi, Fatemeh & Lowes, Richard & Ugalde-Loo, Carlos E., 2023. "Cooling is hotting up in the UK," Energy Policy, Elsevier, vol. 174(C).
    11. Jan Rosenow & Duncan Gibb & Thomas Nowak & Richard Lowes, 2022. "Heating up the global heat pump market," Nature Energy, Nature, vol. 7(10), pages 901-904, October.
    12. Heiskanen, Eva & Matschoss, Kaisa, 2017. "Understanding the uneven diffusion of building-scale renewable energy systems: A review of household, local and country level factors in diverse European countries," Renewable and Sustainable Energy Reviews, Elsevier, vol. 75(C), pages 580-591.
    13. Eggimann, Sven & Usher, Will & Eyre, Nick & Hall, Jim W., 2020. "How weather affects energy demand variability in the transition towards sustainable heating," Energy, Elsevier, vol. 195(C).
    14. Wei, Zhichen & Calautit, John Kaiser, 2024. "Field experiment testing of a low-cost model predictive controller (MPC) for building heating systems and analysis of phase change material (PCM) integration," Applied Energy, Elsevier, vol. 360(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Omar Shafqat & Elena Malakhtka & Nina Chrobot & Per Lundqvist, 2021. "End Use Energy Services Framework Co-Creation with Multiple Stakeholders—A Living Lab-Based Case Study," Sustainability, MDPI, vol. 13(14), pages 1-24, July.
    2. Hall, Stephen & Foxon, Timothy J., 2014. "Values in the Smart Grid: The co-evolving political economy of smart distribution," Energy Policy, Elsevier, vol. 74(C), pages 600-609.
    3. Verástegui, Felipe & Lorca, Álvaro & Negrete-Pincetic, Matias & Olivares, Daniel, 2020. "Firewood heat electrification impacts in the Chilean power system," Energy Policy, Elsevier, vol. 144(C).
    4. Vassilis M. Charitopoulos & Mathilde Fajardy & Chi Kong Chyong & David M. Reiner, 2022. "The case of 100% electrification of domestic heat in Great Britain," Working Papers EPRG2206, Energy Policy Research Group, Cambridge Judge Business School, University of Cambridge.
    5. Sovacool, Benjamin K. & Martiskainen, Mari, 2020. "Hot transformations: Governing rapid and deep household heating transitions in China, Denmark, Finland and the United Kingdom," Energy Policy, Elsevier, vol. 139(C).
    6. Hall, Stephen & Roelich, Katy, 2016. "Business model innovation in electricity supply markets: The role of complex value in the United Kingdom," Energy Policy, Elsevier, vol. 92(C), pages 286-298.
    7. Child, Michael & Breyer, Christian, 2017. "Transition and transformation: A review of the concept of change in the progress towards future sustainable energy systems," Energy Policy, Elsevier, vol. 107(C), pages 11-26.
    8. Deakin, Matthew & Bloomfield, Hannah & Greenwood, David & Sheehy, Sarah & Walker, Sara & Taylor, Phil C., 2021. "Impacts of heat decarbonization on system adequacy considering increased meteorological sensitivity," Applied Energy, Elsevier, vol. 298(C).
    9. Keay, Malcolm, 2016. "UK energy policy – Stuck in ideological limbo?," Energy Policy, Elsevier, vol. 94(C), pages 247-252.
    10. Avinash Vijay & Adam Hawkes, 2017. "The Techno-Economics of Small-Scale Residential Heating in Low Carbon Futures," Energies, MDPI, vol. 10(11), pages 1-23, November.
    11. Bertoldi, Paolo & Boza-Kiss, Benigna, 2017. "Analysis of barriers and drivers for the development of the ESCO markets in Europe," Energy Policy, Elsevier, vol. 107(C), pages 345-355.
    12. Kattirtzi, Michael & Winskel, Mark, 2020. "When experts disagree: Using the Policy Delphi method to analyse divergent expert expectations and preferences on UK energy futures," Technological Forecasting and Social Change, Elsevier, vol. 153(C).
    13. Tereza Rogić Lugarić & Domagoj Dodig & Jasna Bogovac, 2019. "Effectiveness of Blending Alternative Procurement Models and EU Funding Mechanisms Based on Energy Efficiency Case Study Simulation," Energies, MDPI, vol. 12(9), pages 1-15, April.
    14. Helms, Thorsten, 2016. "Asset transformation and the challenges to servitize a utility business model," Energy Policy, Elsevier, vol. 91(C), pages 98-112.
    15. Zhong, Shengyuan & Wang, Xiaoyuan & Zhao, Jun & Li, Wenjia & Li, Hao & Wang, Yongzhen & Deng, Shuai & Zhu, Jiebei, 2021. "Deep reinforcement learning framework for dynamic pricing demand response of regenerative electric heating," Applied Energy, Elsevier, vol. 288(C).
    16. McCallum, Peter & Jenkins, David P. & Peacock, Andrew D. & Patidar, Sandhya & Andoni, Merlinda & Flynn, David & Robu, Valentin, 2019. "A multi-sectoral approach to modelling community energy demand of the built environment," Energy Policy, Elsevier, vol. 132(C), pages 865-875.
    17. Morley, Janine, 2018. "Rethinking energy services: The concept of ‘meta-service’ and implications for demand reduction and servicizing policy," Energy Policy, Elsevier, vol. 122(C), pages 563-569.
    18. Tarroja, Brian & Chiang, Felicia & AghaKouchak, Amir & Samuelsen, Scott & Raghavan, Shuba V. & Wei, Max & Sun, Kaiyu & Hong, Tianzhen, 2018. "Translating climate change and heating system electrification impacts on building energy use to future greenhouse gas emissions and electric grid capacity requirements in California," Applied Energy, Elsevier, vol. 225(C), pages 522-534.
    19. Gaspari, Michele & Lorenzoni, Arturo, 2018. "The governance for distributed energy resources in the Italian electricity market: A driver for innovation?," Renewable and Sustainable Energy Reviews, Elsevier, vol. 82(P3), pages 3623-3632.
    20. Brocks, Annette & Nyangon, Joseph & Taminiau, Job, 2016. "Utility 2.0: A multi-dimensional review of New York’s Reforming the Energy Vision (REV) and Great Britain’s RIIO utility business models," MPRA Paper 91489, University Library of Munich, Germany, revised 30 Sep 2016.

    More about this item

    Keywords

    Heat pumps; UK; Finland;
    All these keywords.

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:enepol:v:85:y:2015:i:c:p:369-375. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/enpol .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.