The market for domestic hot water heat pumps (DHW HP) in the UK and European Union will at least double in size by 2017… that’s according to a new in-depth research report, just published by specialist energy research and consulting business, Delta Energy & Environment (Delta-ee).
Domestic hot water heat pumps have been the only sector of the European heat pump market to have grown significantly in the last few years. The market has more than quadrupled over the last five years, to over 60,000units pa, across the UK and Europe. However, Delta-ee forecasts further growth is on the cards, with the market set to at least double by 2017.
As a result, the DHW HP market is attracting growing interest from existing and new players, both within the UK and Europe and beyond. The report identifies important trends and opportunities for these players including:
- The replacement of direct electric water heaters is a huge opportunity for DHW HPs in millions of homes. The installed base of direct electric storage water heaters in France, Germany and the UK alone is well in excess of 10 million. Factors such as EU Ecodesign and Energy Labelling, tighter building regulations, rising electricity prices and falling product costs will make DHW HPs increasingly attractive to consumers, when compared with traditional, direct electric water heaters.
- Combining a DHW HP with a heating oil fired boiler creates new opportunities for manufacturers, utilities and policy-makers. The replacement of an existing oil boiler’s hot water tank with a DHW HP can significantly boost overall system efficiencies, which can be as low as 40% for old oil boilers in summer when being used for hot water only. Installing a DHW HP means the boiler can effectively be switched off in summer, reducing heating oil bills for customers.
- The emergence of Chinese manufacturers signals future competition for European manufacturers. There are many low cost Chinese DHW HP systems already available. Some of these systems are at least equal to European products in terms of efficiency according to official standards. In markets such as Poland, Chinese manufactured products now dominate… and many are now being sold as OEM products under European brands. But should Chinese manufacturers be successful in setting up their own distribution networks across Europe, there is a clear competitive threat, to indigenous British and European manufacturers.
For further information on the report, or to purchase a copy call Delta-ee on 0131 625 1011.