What is a heat pump?

A heat pump is a heating and cooling system that moves heat from one place to another instead of generating heat directly. During cold weather, heat is moved from the outdoor air, ground, or nearby water sources, and pumped inside to warm a building. During hot weather, cooling is provided by reversing the process and pumping heat from inside a building to the outside. This is the same process that is used in refrigerators and air conditioners.

Types of Heat Pumps

There are several different types of heat pump systems used in residential settings. Heat pumps can be categorized based on several factors, described below:  

Heat Exchange Mediums

Air-source heat pumps (ASHPs)

• The most common type of heat pump
• Use air as the medium for heat transfer
• May be configured as ‘air-to-air’ with forced air distribution or ‘air-to-water’ with hydronic distribution.
• Include cold climate air source heat pumps (ccASHPs), which are engineered to efficiently heat homes in extremely cold conditions, typically at or below 5°F, while also providing cooling during warmer seasons

Ground-source heat pumps

• Less common type of heat pump
• Use thermal energy from the earth as the medium for heat transfer. Heat is collected and expelled through a series of loops located in the ground or water
• Also called Geothermal, Water-source, Water-to-water, Water-to-air, GeoExchange, and Earth-coupled heat pumps

System Fuel Types  

All-electric heat pump system

Uses either only a heat pump for heating, or a heat pump with supplemental electric resistance heat for heating. Supplemental heat is only required in colder climates. No fossil fuel-powered heating system is included.  

Hybrid, or Dual Fuel, heat pump system

Uses a heat pump with supplemental fossil-fuel feat for heating. The system automatically alternates between the two fuel sources to maximize comfort, economics, and efficiency.  

System Configurations

Residential heat pumps are available in an array of configurations to accommodate individual preferences, building designs, and spatial constraints. There are multiple indoor/outdoor unit types, sizes, mounting styles, and design options available.  

Why are heat pumps beneficial?

Heat pumps offer a wide array of benefits to consumers and program administrators:

Benefits to Homeowners and Residents

Utility bill savings

Utility customers who switch from electric resistance, propane, or fuel oil heat to a heat pump can see significant reductions in heating bills. Heat pumps also provide more efficient cooling the summer, lowering summer utility bills.

Added cooling

Heat pumps provide heating in the winter and cooling in the summer. For customers with window unit A/C or no cooling, heat pump cooling will provide additional comfort and reduce health and safety risks during record-breaking heat waves.

Improved indoor Air Quality

Unlike combustion-based heating systems, heat pumps do not directly emit pollutants as a byproduct of combustion, which may result in improved indoor air quality.

Lowered carbon emissions

heat pumps work more efficiently than traditional heating systems, which means they produce fewer carbon emissions. In addition, heat pumps can use renewable energy sources like wind and solar to reduce a home’s environmental impact. As the electric grid continues to get cleaner, heat pump operation will get cleaner too.

Benefits to Program Administrators and Communities

Reduced energy burden

Heat pumps lower utility bills for customers with electric resistance, propane, and fuel oil heating. Installing heat pumps in disinvested communities can reduce energy burden, enabling income to be spent on other critical needs.  

Meet energy or carbon savings targets

Heat pumps work more efficiently than traditional heating systems, offering significant potential to lower carbon emissions over time (depending on how quickly the local electric grid is decarbonizing). In states or municipalities with energy savings targets, heat pumps can support meeting community energy efficiency or carbon saving goals.  

Increase high-quality jobs

As various market factors continue to influence the adoption of heat pump technology, demand for a skilled workforce to install, maintain, and service heat pump systems will continue to grow.  

Access to funding to modernize infrastructure

Federal, state, and utility incentive programs offer significant up-front cost savings for customers that transition to heat pump systems. Income-eligible policies also make heat pump technology available to more people. Programs developed that help communities leverage heat pump funding opportunities will enable improvement of community infrastructure.  

FAQs

Do heat pumps work in the Midwest? 

Yes, heat pumps work in the Midwest. A heat pump plus a secondary heating source is a reliable HVAC setup to keep homeowners comfortable during our state’s hot summers and long winters.    

A heat pump’s performance determines the lowest temperature to which it can operate. Modern, variable-speed heat pumps are better suited to our heating needs in the Midwest. Cold-climate heat pumps are a type of variable-speed heat pump designed for high heating performance. Some cold-climate models can continue to provide heat even with negative outdoor temperatures. Standard heat pumps (single-stage or two-stage) have more limited heating capabilities in comparison.    

Can customers just use a heat pump for heating? Do they need a secondary source of heat?  

Most homes in the Midwest that have a heat pump need a secondary heating source to maintain comfort all winter.  

The secondary heating source can be a gas system or an electric system. In some cases, a home’s existing heating system can serve this purpose.    

The need for a secondary heating source is due to our very cold climate and the typical capabilities of heat pump technology. Heat pumps provide heat by extracting energy from outside and moving it inside. This process is very energy efficient in mild to moderate weather. While there is always energy in the outside air, as temperatures drop heat pumps must work harder to gather that energy. This gradually increases operational costs and reduces the amount of heat delivered to the home. A secondary heating source mitigates these potential issues. In a system together, a heat pump and secondary heating source provide reliability and comfort year-round.     

What is the life span of a heat pump? 

The average operational life span of a heat pump is 15 to 20 years. Customers can maximize the life and performance of their heat pump by scheduling regular service and conducting simple home maintenance.  

Do heat pumps provide comfortable heating?  

Modern, variable-speed heat pumps provide comfortable heating. The delivered air from a heat pump does feel different than from a furnace. A properly sized, variable-speed heat pump delivers less hot air for longer periods of time than a furnace. Through this operation, variable-speed heat pumps save energy and maintain a comfortable, consistent indoor temperature.    

Will a heat pump reduce a household’s carbon emissions?  

Yes. Over the typical lifespan of an HVAC system, a heat pump can significantly reduce household emissions. In other words, heat pumps are the clear eco-friendly choice compared to fossil fuel equipment.    

How green a heat pump is now, and the rate it gets greener, depends on the electric utility. Some utilities have cleaner grids than others. Some have plans to decarbonize quicker to reach the carbon-free 2040 mandate. Despite the variations, offsetting part (or all) of heating needs to a heat pump is a highly effective way to cut household carbon emissions over time.    

How much do heat pumps cost?  

Heat pumps are currently more expensive than standard air conditioners or furnaces. However, heat pumps will likely become significantly more affordable in the next couple of years.    

New and increased incentives will eventually include:  

• Tax credits (available now)  
• Rebates from utilities (available now)  
• Rebates from the federal government  
• Rebates from your state  
• Pricing for heat pumps varies widely based on a home needs, the contractor, and the equipment.  

What is the cost of using heat pump? How does it compare to other heating systems?  

Heat pumps are most likely to save money if homeowners currently use propane or electric resistance heat. Generally, the more they can cut propane or electric resistance use by heating with a heat pump, the better the savings.  

Heat pumps are unlikely to save money if a customer currently heats with natural gas unless their utility offers a dual-fuel rate. However, they can keep their heating bills like before if they use the heat pump down to between 45°F and 25°F.    

The local price of electricity and fuel significantly impacts these general statements.