30 Oct 2023

President Biden’s plan to switch from burning fossil fuels to a reliance on more renewable sources, such as wind, solar, and geothermal, could bring the grid to 100% clean electricity (zero net greenhouse gas emissions) by 2035 and put the United States on a path to economywide, net-zero emissions by 2050. 

In the built space, this includes replacing traditional, fossil fuel-burning sources of space and water heat with electrically powered alternatives, namely, high-efficiency heat pumps. 

air-source heat pumps

It’s simple to replace an air conditioner with an electric heat pump, but air-source heat pumps, even cold climate air-source heat pumps are installed with backup heating for periods when heating demand exceeds their capacity,” says David Budzinski, President, of Global Residential and Light Commercial, Johnson Controls.

When the backup heating source is electricity, right now the system uses inefficient resistance ‘strip’ heat. Embracing hybrid heat pumps that do not use electricity for backup heat can overcome barriers such as increased utility costs and strain on the electric grid as the grid evolves.” 

hybrid heat pumps

Replacing an air conditioner outdoor unit with a heat pump can be relatively straightforward

Budzinski says hybrid heat pumps are critical to the electrification movement, especially for existing homes with air conditioner/furnace systems.

Replacing an air conditioner outdoor unit with a heat pump can be relatively straightforward, but replacing a furnace with electric resistance heat often requires electrical service upgrades, and if relied on too heavily for the home’s heating load, will lead to significant increases in utility costs and strain on the electric grid.

electrification

Hybrid heat pump systems make scaled beneficial electrification possible now by maximizing the scale of heat pump deployment while breaking down the barriers to electrification,” says Budzinski.

As heat pump technology continues to advance, along with building technology and grid infrastructure more broadly, we see decarbonization as creating new opportunities across all building solutions and service providers to increase their value proposition for customers.” 

Hitachi air365 Hybrid heat pump

Hitachi mini-VRF heat pump becomes the primary source of heat, homeowners can cut utility costs by up to two-thirds

The Hitachi air365 Hybrid heat pump features a Dual Fuel Module that attaches to either an existing or new gas furnace, such as the YORK® YP9C 98% Modulating Gas Furnace and is paired with an external Hitachi Mini VRF heat pump as the primary heating and cooling source.

A smart sensor in the dual fuel module monitors outdoor ambient conditions and automatically switches to the furnace if it reaches a temperature where the heat pump cannot efficiently meet the indoor heating demand. Since the Hitachi mini-VRF heat pump becomes the primary source of heat, homeowners can cut utility costs by up to two-thirds compared to conventional heating systems. 

Cost-effective and less carbon-intensive

As the grid evolves, it may become more cost-effective and less carbon-intensive to use electric resistance for the limited periods where backup heat is needed, says Budzinski.

At that point, the gas burner can be removed and, if necessary, replaced by an air handler with an electric resistance element.” This change can happen at a more opportune time for the homeowner to upgrade their electric panel, such as when additional electric appliances like a water heater, cooktop, electric vehicle charger, rooftop solar, and/or electric storage are installed.

Exceeding heat pump capacity

Homeowners in colder climates who want to reduce their carbon footprint and utility bills"

The existing heat pump outdoor unit can remain in place throughout the process. 

Homeowners in colder climates who want to reduce their carbon footprint and utility bills, but whose heating demands can sometimes exceed heat pump capacity, may benefit from a hybrid heat pump solution,” says Budzinski.

Energy-efficient

The benefits are especially significant for homeowners with high peak electricity rates. Hybrid systems are extremely energy-efficient reducing site energy use by as much as two-thirds when the heat pump is operational while eliminating inefficient electric resistance backup heating.

Ultimately, savings will vary based on the efficiency of the heat pump and the legacy heating system, as well as the climate, operating conditions, and utility rates. 

heat pump adoption

Inflation Reduction Act (IRA) expanded incentives for high-efficiency HVAC equipment, including the 25C tax credit

Currently, many incentives at federal, state, and local levels encourage heat pump adoption and significantly reduce the upfront costs of hybrid heat pump systems.

For example, the Inflation Reduction Act (IRA) expanded incentives for high-efficiency HVAC equipment, including the 25C tax credit. Many electric utilities also offer incentives for customers to install high-efficiency heat pumps, and these incentives can usually be combined with federal and state programs. Climate policies and incentive programs differ from state to state and even city to city, so rebate amounts and qualifications may change depending on the homeowner’s location. 

air365 Hybrid dual fuel system

The air365 Hybrid dual fuel system provides homeowners remote access using a cloud-based smartphone application. Both the heat pump and the backup furnace are controlled by a single thermostat, and no adaptors are required for third-party device integration.

Many modern, connected thermostats monitor both indoor and outdoor temperatures to help the system run efficiently at any given moment to help maintain a comfortable indoor environment at the optimal utility cost and carbon footprint, says Budzinski. 

energy savings

The energy savings as well as incentives and rebates can significantly offset the upfront costs"

For contractors, hybrid heat pumps can increase sales opportunities at the “solution” level.

The energy savings as well as incentives and rebates can significantly offset the upfront costs of the equipment and can make the systems more accessible to a wider population,” says Budzinski.

Simple to install

Hybrid systems are often simpler and less time-consuming to install in homes with existing air conditioner/furnace systems.”

Contractors who understand a home’s heating load, heat pump operating conditions, utility rates, and available incentives will be well-positioned to sell hybrid heat pump systems, he adds. 

optimal efficiency

Homeowners may believe that to realize optimal savings, they will need to completely replace their existing air conditioner/furnace system. Not true," says Budzinski.

In cold climates, a hybrid system offers a great solution to realize optimal efficiency while ensuring optimal comfort and reducing emissions during periods of extreme cold temperatures,” he says.