Heating and hot water solutions manufacturer, Baxi, commissioned Gemserv to research and produce the report, entitled Unlocking the Power of Heat Pumps with Hybrid Installations.
Launched at an event in Westminster, the white paper explores the suitability of heat pumps in a hybrid configuration with new or existing gas boilers for UK homes.
It argues that hybrid systems can present a key transitional technology to clean heat, or an alternative for homes where a standalone air source heat pump might not be an option for various reasons, such as space restrictions, for example.
Jeff House, External Affairs and Policy Director at Baxi, said: “There has been no shortage of ambition to decarbonise heat in the UK, as demonstrated through the Government’s commitment to make Britain a Clean Energy Superpower and the additional support provided through the Warm Homes Plan.
“However, we wanted to commission this report to demonstrate that there is a real missed opportunity when it comes to including hybrid systems within these policies.
“Whilst heat pumps, whether deployed individually or at the heart of heat networks, will be one of the key mass market drivers of decarbonised heat, we have a responsibility to ensure a balanced and equitable transition in line with consumer needs. A hybrid system offers advantages as a transitional technology, not only in terms of overcoming some technical barriers to make them more cost effective in difficult to decarbonise homes, but also for energy system flexibility and resilience.”
The report makes a number of policy recommendations which it says the Government could adopt to enhance its strategy for housing decarbonisation alongside standalone heat pump roll-out.
Policy recommendations to boost hybrid uptake
Including hybrid systems in the Boiler Upgrade Scheme (BUS)
Gemserv analysis suggests that up to 34% heat pump deployment could be achieved through BUS if it were to include hybrid systems. It says hybrid systems could achieve an estimated 26% reduction in emissions compared to gas boilers staying in place on their own.
Increasing the credit for hybrids through the Clean Heat Market Mechanism
Under the current plans, while hybrids are recognised as a solution, they only count for 0.5 credits. This should be increased to 0.75 to reflect the potential carbon savings that can be achieved, the report says.
Including hybrid in upcoming changes to the Home Energy Model
With upcoming changes to the Home Energy Model methodology, which will replace the current SAP methodology, it is recommended that hybrids are included in the Product Characteristics database and the Reduced Data Home Energy Model to ensure continuity and to enable access to the technology going forward.
Rebalancing electricity prices
Rebalancing the price of electricity and gas is a key step to reducing running costs of a heat pump. By addressing the disparity in the price of electricity and gas through decoupling, the operating costs of low carbon heating systems can fall in line with fossil fuel systems, helping to incentivise broad switching amongst consumers.
Jeff added: “By including hybrids in more incentives such as the Boiler Upgrade Scheme and Clean Heat Market Mechanism, we can expect to see the same spikes in uptake that there have been in Europe. Add to the addressing of the gap between electricity and gas prices for householders and we could well see uptake for clean heat technologies accelerate at the rate we need it to.”
The benefits of hybrid systems
The white paper looks at a variety of hybrid system models and their benefits, and how they can offer an alternative to buildings such as flats and terraces, where there might not be space for an air source heat pump and hot water cylinder.
These include:
Lower cost: New hybrid systems and ‘add on’ hybrid systems can, in some properties, offer a lower upfront cost than a standalone ASHP. High temperature hybrid systems may not require additional fabric efficiency investment prior to install to meet heat demand, although fabric efficiency measures are recommended for optimum performance.
Carbon savings: While a hybrid system won’t deliver lower carbon savings than a standalone ASHP, substantial savings can still be secured with their roll out. The report says hybrids offer 52% lower carbon emissions than a standalone gas boiler and 72% lower emissions than an oil boiler, based on today’s grid carbon intensity. These carbon savings will increase as the electricity grid decarbonises and innovations in heat pump technology continue.
An option for complex properties: Hybrid systems could offer simpler installs that can be less disruptive to customers as they can be attached to existing boilers, do not necessarily require space for hot water cylinders when used with a combination boiler and can initially work with existing radiators and pipework distribution.
Reliability: Hybrid systems can typically meet up to 80% of the annual space heating demand through the heat pump component, meaning carbon savings are still gained. They can also meet annual hot water and space heating demand using the boiler component, meaning the system can deliver high flow temperatures, when and if required to do so.
‘Hybrid systems can be part of a net zero strategy’
The white paper concludes: “Hybrid systems can be part of the Government’s net zero strategy. They offer decarbonisation benefits to homes where an ASHP is technically challenging to install due to limited space or in complex-to-decarbonise homes.
“They provide a lower upfront cost where the hybrid is attached to the existing system, and they lock in carbon savings which would otherwise be lost. With clear commitment and policy support from the government, hybrids can enable millions of households across the UK to begin their journey to net zero and invest in low carbon heating.
“Industry is ready to deliver at scale home decarbonisation and with supportive policy interventions consumers can choose the best route for them. The potential of hybrids as a transitional technology that can lock in emissions reductions now should be maximised, particularly as they can also adapt to and strengthen the future energy system.”
The launch event in Westminster included an in-depth panel discussion on hybrid systems with industry experts from Gemserv, the Department for Energy Security and Net Zero, the Heat Pump Association and Passiv UK.
We reported on the hybrid heat pump debate earlier this year, featuring opinions from across the sector.
What do you think? Should there be more policy support for hybrid heat pump systems? Send us your views to linda@renewableenergyinstaller.co.uk.
Image credit: Jeff House from Baxi launching the white paper. (Baxi).