We were tasked with saving energy for one of our customers, Mr Moore – we suggested an hybrid solution using a air source heat pump & a gas boiler
Mr. Moore was extending his house and decided it was time to redo the whole central heating system,He wanted to replace their old Gas boiler gas boiler & radiators as it was no longer efficient, he complained it was breaking down regularly and was costing the earth to keep maintained.
He was also paying £1150 a year for his heating bill.
He was looking for a way to reduce his bills whilst also extending his property. He originally was considering a Biomass boiler, A friend of his had recently recommended us because we installed their biomass central heating system.
Originally requesting a biomass boiler quotation he was keen to see what we would come up with however it soon became apparent that his home wasn’t suitable for a Biomass boiler, the obvious one was he had mains gas and that is generally cheaper, but mainly because the access for bulk delivery for pellets was poor and most supply companies wouldnt deliver up to his house this is an important factor to consider as limiting your supply chain will also mean you’re helpless if price increases happen.
Mr Moore already had Solar Panels installed and didn’t need convincing on renewable energy or the RHI (Renewable Heat Incentive) having already factored in the costs of redoing his heating system he was looking at a bill of £4000 – £5000 pounds just for replacing like for like which would mean little savings & no RHI payments.
So after doing the design work & heat loss calculations we realised his best option was a Hybrid Air Source Heat Pump, Straight away our design showed we had reduced his running costs down to around £910 even after the extension. This gave him an instant fuel saving of £240 a year.
On top of that the Hybrid Air Source heat pump qualifies for the Renewable Heat Incentive (RHI) The Mr. Moore was eligible for a payment of around £700 per year, tax-free and index-linked for 7 years.( this is due to go up in the spring 7.51 p up to 10.0p so even more reason to enquire )
Let’s take a closer look at his savings with his Hybrid Air Source Heat pump.
£1150 = His old annual energy bill
£610 * = His New annual energy bill due to the Hybrid Heat Pump
£540 ** = Annual fuel saving after installation
£700 = Annual Renewable Heat Incentive (RHI) payment
£1240 = Mr. Moore’s Annual savings & earning
£8680 = Over the term of the RHI
£9500 = The cost to install this system was.
Considering Mr. Moore makes £8680 pounds in benefits over a 7-year period justifies the case for him spending a little more on a heat pump don’t you think?
- * His bills Reduced much more than originally thought this was due to him making use of his solar panels to help run his heat pump; hybrid heat pumps and solar panels are a match made in heaven.
- ** Turns out Mr Moore were exporting most of his solar energy back to the grid so that £240 a year saving soon turned into £540 a year savings as the heat pump made sure he was using the free energy they produced.
The energy savings are clear, by combining the Air Source Heat pump and other renewable energy sources with that of the mains supply you will be reducing your energy bills by a significant amount. In this case nearly 50 % that’s not all though sooner or later as technology improves all technologies will be able to talk to each other thus improving efficiency even further.
If you’d like to read more about the renewable heat incentive and how it can help you. Download the information here.
The Rhi’s have recently been reviewed and are set to go up 33 % in the spring which means even greater earning from the scheme the RHI payments are made for 7 years
Currently, the RHI payments are 7.51 p per kWh of renewable energy generated and this figure is worked out from the heat loss of your property ofgem use your property’s Energy performance certificate as validation.
As of march 2017 all heat pumps will be required to be metered for both the heat they produce & also electricity the consume and payment will be then made at the New RHI rates of 10.0p per kW this is great news for the industry as EPCs are often out and it let us as installers take ownership of the systems we design, it’s a win-win situation for everybody.
Interested? Why not read more about Heat pumps and the packages we offer.