Equipment
Heat Pump
Definition
An electrically-powered device that moves heat from one place to another — from outdoors to indoors for heating, or from indoors to outdoors for cooling. Heat pumps can be 200–400% efficient (COP of 2–4), meaning they deliver 2–4 units of heat energy for every unit of electrical energy consumed.
Why It Matters for Your Business
Heat pumps are a central technology in commercial decarbonization. They replace fossil fuel combustion for heating with highly efficient electrical operation, qualifying for ITC, IRA incentives, and utility rebates. In climates above 10°F, heat pumps typically outperform gas heating on operating cost.
Frequently Asked Questions
What types of heat pumps are used commercially?
Air-source heat pumps (ASHPs), ground-source/geothermal heat pumps (GSHPs), water-source heat pumps, and VRF (variable refrigerant flow) systems. GSHPs are most efficient but have higher upfront costs.
What is a heat pump COP?
COP (Coefficient of Performance) is the ratio of heat output to electrical input. A COP of 3 means 3 kWh of heat for every 1 kWh of electricity consumed. Gas furnaces max out at ~98% efficiency (COP 0.98). Heat pumps typically achieve COP 2–5 depending on conditions.