Air Source Heat Pump Grants
If you do not know what an Air Source Heat Pump Grants, please read our article on heat pumps.
Air source heat pumps are superb low-carbon heating technologies that use ambient air to generate heat for residential hot water needs and space heating. They feature an external unit and a condenser.
The former absorbs heat from ambient air and moves it into the condenser, which then distributes the accumulated heat throughout your home and into your household’s hot water supply.
With such a setup, one system may meet all your residential HVAC demands throughout the year since it may offer hot water, space heating, and cooling, similar to an air conditioner.
Due to their low operating costs, air source heat pumps can offer significant cost savings over conventional heating systems. For instance, the operational expenses of an air source heat pump are 3.5% cheaper than those of a gas boiler. Furthermore, according to a study, an ASHP can cut your electricity bill by roughly 50%.
Determinants of ASHP’s running costs
The cost of purchasing and installing an ASHP depends on the size and kind of pump, the size of your property, and your annual energy usage.
A complete air source setup will cost between £8,000 and £15,000 for a family-sized three-bed property. That cost will cover labour, a new water tank, and the pump. The final cost will be higher if your radiators need to be replaced. Additionally, it might be suggested that you improve your home’s insulation, which will inflate the final cost even more.
Of course, it won’t cost as much as installing a ground source pump. Moreover, the installation and operation expenses can be reduced thanks to savings and grants like the Boiler Upgrade Scheme and RHI.
What’s the boiler upgrade scheme?
The UK government provides subsidies and funding through the Boiler Upgrade Scheme for air source heat pumps of brands such as SPRSUN and other renewable heating systems. The program was launched in April 2022 and will continue until April 2025. If you reside in Wales or England, you can get up to £5,000 towards installing ASHPs.
The following criteria must be met to be eligible for the program:
● The property must be in England or Wales.
● You must be the owner.
● You must not be replacing a renewable system or heat pump.
● You mustn’t have benefited from government funding in the past.
Specifically, the property must:
● Be switching from an electric or fossil heating system to a renewable system like a heat pump.
● Have a novel heat-distribution system that employs liquid
● Have an Energy Performance Certificate (EPC) with no pending insulation recommendations.
● Not be new. New buildings aren’t eligible unless you’re building your own residence.
For those in Scotland, an interest-free loan is available in addition to grants to cover the upfront costs of energy efficiency upgrades. In all situations, your renewable heating system must be installed by an MCS-certified and registered contractor.
What’s RHI?
RHI is short for Renewable Heat Incentive Scheme and was set up in 2014 to incentivise homeowners in the UK to switch to renewable heating systems. The scheme has domestic and non-domestic programs, the latter for businesses, the public sector, and non-profit organisations. Since March this year, the RHI scheme is no longer accepting new applicants.
However, those who applied will continue to receive payments in the form of quarterly cash paybacks for generating renewable energy. The payments are available for the first seven years of ownership.
Considering the savings on your heating bill at the end of this period, you’ll more or less have earned back the money you spent setting up the system. The estimated annual domestic RHI Payment for an ASHP is £874 for a one-bedroom, £1,310 for a two-bedroom, and £1,856 for a 4+ bedroom.
Air Source Heat Pump Grants – Wrap-up
ASHPs are superb low-carbon heating technologies that use ambient air to generate heat for residential hot water needs and space heating. This type of heating system is ideal for use even in relatively moderate climates. It will supply you with a plentiful source of heat throughout the entire year because air always has heat, no matter its temperature.
The size and type of pump, the size of your premises, and yearly energy use all affect how much it will cost to purchase and set up an ASHP. Your local installer should be able to advise you on available incentives and grants. Usually, there is a sizable upfront cost, but the savings make up for it later.
Additionally, some manufacturers offer rebates to promote their products. For example, take advantage of such offers and set up a source heating system in your home.
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Disclaimer:
This post is for general use only and is not intended to offer legal, tax, or investment advice; it may be out of date, incorrect, or maybe a guest post. You are required to seek legal advice from a solicitor before acting on anything written hereinabove.
