18 May 2017

O.2.1.4 The Heat Pump Market, Its Market Drivers and How to Have an Impact on Them in Finland

There are already as many as 800,000 heat pumps in Finland, a country with a population of 5,5 million people. A heat pump is by far the most popular form of heating in new single-family houses, and heat pumps are rapidly replacing oil and electric heating as well as district heating in old buildings.
Although the prerequisites for heat pumps in Finland are excellent, the real market drivers thereof must be identified as well as the means as to how to have an impact on them. Active and understandable communication on all levels is in a key role, as is the effective influencing of politicians, rules, regulations, the behavior of authorities, and the contents of the messages that the press sends out. Adding tax pressure on fossil fuel prices is one of the main targets of lobbying to reach even better profitability for heat pumps. System quality, training systems as well as IEA HPP annex forums from universities, polytechnic colleges, research institutes and financiers for the creation of national projects must not be forgotten.
The required raw material for lobbying purposes can be acquired from, e.g., surveys that are conducted by independent consultants. In 2030, there will be 1,7 million heat pumps in Finland producing 15 TWh worth of renewable energy. By then, a total of 12 billion Euros will have been invested in heat pumps, and 3000 new jobs will have been generated. The savings that will have been made will by then be in the region of one billion Euros per year.