The Swiss Army Knife of Climate Control

Heat pumps, so hot right now.

We are continuing to experience a shift towards smarter, more sustainable solutions across all industries, spaces, and problems. Nothing is exempt. 

As we continue our New York series, our next stop is instead your homes and offices where the heating, ventilation, and air conditioning (HVAC) systems not only need to solve for air quality and temperature, but also prioritize energy efficiency and reduce carbon emissions. HVAC systems are a significant factor in a building’s carbon footprint, so these systems are one of the first stops to improve sustainability and energy efficiency.

Not all HVAC systems are created equal

Boilers and chillers are the conventional choice for commercial buildings, but they have some drawbacks. They burn fossil fuels, which emit greenhouse gasses and air pollutants. They waste a lot of energy because they have to generate heat or cold out of thin air. Plus they aren’t cheap to install, operate, or maintain. 

Heat pumps are the alternative option. Heat pumps are devices that transfer heat from one place to another and can provide both heating and cooling for buildings, depending on the direction of heat transfer. When it is time for heating, heat pumps extract ambient heat from the air or ground, even on those chilly days when you’re debating if it’s cold enough for a sweater. And come summer, heat pumps flip the script, pulling the heat from inside and depositing it outside. Heat pumps are more efficient than conventional heating systems because moving heat requires less energy than generating it. Swapping generating for moving can reduce a building’s energy cost by as much as 25-50%. 

Let’s put some more numbers around that.

It is generally recognized that a significant portion of both construction and operational budgets are devoted to heating, ventilation, and air conditioning. How significant? For new constructions, as well as major renovations in commercial buildings, HVAC systems can range from 10-30% of the total budget, depending on the scale and complexity. And it doesn’t stop at the initial installation. It is not uncommon for HVAC maintenance costs to range from 15-30% of a building's annual operating expenses.  

Plus, HVAC system costs don’t scale based on occupancy. Regardless of if the building is at 60% or 90% occupancy, the HVAC and related energy costs are the costs. So in an industry with already narrow margins a 4% (or more) cost savings is worth a lot.

It isn’t a simple swap

Despite their advantages over conventional systems, heat pumps aren’t perfect either. Heat pumps have higher initial costs and if you are looking to replace an existing system, they may not be compatible with the existing building infrastructure, which can require additional upgrades. Heat pumps also have lower performance in extreme temperatures, especially colder climates, where they may lose efficiency and require backup heating sources. Finally, there are labor and regulation considerations as it is harder to find technicians who specialize in these systems and existing building codes are more favorable for conventional systems.

Next Gen HVAC systems

Next generation HVAC technology is advancing in several areas including improving performance in cold climates, developing low- or zero global warming refrigerants, and integrating smart controls and sensors. Some companies and startups doing cool work in the area include:  

• Lennox, which has announced cold climate heat pumps that can operate in freezing temperatures without losing capacity or requiring backup heatings systems. They have developed a prototype that can deliver 100% heating at 5 F and 70% heating at -10 F. 

• Trane Technologies working on developing an ultra high temperature industrial heat pump. These heat pumps could be used in industries that require high temperature heating, such as chemical production or food processing as well as other manufacturing processes. 

• TE Connectivity who manufactures sensors that can be used to collect data on the heat pump operations, energy consumption, and environmental conditions to provide real time feedback and schedule preventative and corrective maintenance. 

• CORE which uses fuel cell membranes to capture heat from a building’s exhaust air and transfer to the building’s intake air, improving energy efficiency. 

These advancements are part of a larger effort to improve performance of heat pumps and accelerate the market shift towards more efficient, clean HVAC systems. 

So, what’s the verdict?

Should commercial buildings switch to heat pumps or stick with gas boilers and chillers? 

It depends. It depends on the location, type, size, age, and use of the building. However, heat pumps have a lot of potential to reduce the energy use, emissions, and costs of commercial buildings. The magic of heat pumps comes from a single system that can heat or cool by relocating heat, not generating it. They are not a silver bullet, but they are a smart choice for many commercial buildings. They are also a reality that is happening right now and not 10+ years from now.