The conference featured market insights from Senior Analyst at Delta-ee, Steven Ashurst and an interactive polling session to gain market feedback from KEY installers, so it provided a valuable opportunity to share views on the future direction of the heating and renewables market.
Launch of the heat pump
Since its launch in 2006, more than 350,000 customers across Europe have installed a Daikin Altherma domestic renewable heat pump system, producing 12,000 GWh of renewable energy and resulting in an estimated 1.5 million tons reduction in CO2 emissions.
Integral to this success has been investment in ongoing product innovation and the formation of the Daikin KEY Installer Scheme. Offering free product training, extended warranties and dedicated technical advice, plus a wide range of business rewards and co-branded marketing materials, the Daikin KEY Installer Scheme is designed to give members the very best support within the renewable heating sector.
Key Installer Scheme
Speaking of the importance of the KEY Installer Scheme, Martin Krutz, Managing Director of Daikin UK, said: “Our KEY Associates and Partners are the foundation of our success in the renewable heating sector. At Daikin UK, we very much value their input, feedback and experience, which helps inform and shape our product development and strategy. Through the KEY Installer Scheme we support our KEY Partners and Associates to help deliver a first class service to their customers because, after all, their success is our success.”
In his presentation, Steven Ashurst outlined a pathway for the future growth for the domestic heat pump market in the UK. Drawing on favourable drivers such as increasing awareness of heat pump technology and the electrification of heat remaining a strong priority for Government, Steven forecasted that the number of installed domestic renewable heat pumps in the UK could reach 27,000 by 2018, growing to 90,000 in 2025.
Reflecting on a decade of Daikin renewable heat pumps, Martin Krutz said: “In the last 10 years, the pace of innovation within the renewable heating sector has significantly accelerated. In this time, Daikin has been at the apex of this innovation, continually improving and expanding its portfolio of renewable heating solutions and being the very first company to launch a true Hybrid solution in 2013.”
“Today, the Daikin Altherma product range offers a comprehensive array of options for every home and every user - from Low Temperature Monobloc and Split solutions for low-energy homes, to High Temperature solutions for properties being refurbished and our new range of innovative Hybrid solutions for homes on gas or LPG.”
A live poll conducted among leading renewable heating installers reported that nearly 80% of KEY installers predict future sector growth, with running cost savings highlighted as the biggest driver of the market. The survey, taken at Daikin UK’s first KEY Conference, revealed interesting insights into the impact of legislation and customer requirements.
Industry-leading installers and contractors participated in a live polling session on the current state and future direction of the renewable heating sector. Prominent industry topics were explored, such as the changing awareness of heat pump technology, perceived barriers to growth, the demand for smart technologies as well as the impact of the Renewable Heat Incentive (RHI) and the set-up of the new Department for Business, Energy and Industrial Strategy (BEIS).
When considering the transfer of the energy remit from DECC into BEIS, half of those surveyed felt that the change would make no difference to the market, whilst nearly 20% felt that the heat pump sector should be more aligned with business and innovation.
What are the drivers
Exploring the drivers of the heat pump market, 75% of respondents felt that running cost savings were the strongest driver, with building regulations and an interest in new technology each being identified by 10% of voters and just 5% identifying sustainability targets as the strongest driver. This response was further supported by responses to ‘how strongly has the RHI driven heat pump sales’, with more than 40% of installers saying the RHI had been a strong driver, and 35% saying it has had a modest influence on sales.
When asked whether awareness of heat pump technology amongst homeowners and specifiers had increased or decreased over the last two years, two thirds of the KEY Conference attendees believed that awareness had increased.
However when asked what was the biggest barrier to selling heat pumps 53% of installers identified it as the cost compared with a boiler or other renewables, whilst 22% said that clients’ lack of understanding of the environmental or cost benefits remained a barrier to purchase.
For more information on the Daikin KEY Installer Scheme visit http://key.daikin.co.uk/.
For more information on Daikin UK please visit www.daikin.co.uk and follow @DaikinUK on Twitter.