Heat Pump Hot Water Systems Roadmap 

The Energy Efficiency Council (EEC) has recently released a report titled Roadmap for Heat Pump Hot Water Systems in Australia focusing on building quality and confidence in the market. This report was funded by the Victorian and New South Wales State Governments and provides industry and governments with a path forward in scaling up the heat pump  market. It was formulated through interviews with industry participants, and details actions recommended by industry with commentary and insight for each action.  

Heat pump hot water systems (HPHWS) are an energy efficient technology, significantly more efficient than alternative technologies such as electric resistive systems and natural gas. These alternative technologies account for 40 per cent of the market therefore the role HPHWS can play as Australian governments work towards meeting their emissions targets, is evident. 

The actions recommended focus on the following overarching topics 

• Building consumer confidence 

• Empowering Australians to access the benefits of HPHWS 

• Ensuring the quality of the industry 

• Unlocking a trusted and highly skilled workforce 

• Creating a sustainable industry 

Consumers need to be confident in their decision to make the change. Currently no minimum energy performance standards (MEPS) are available for HPHWS, this makes it difficult for consumers to make informed decisions. Also, the Australian Standard associated with HPHWS is currently silent and will need revision. Consumers also need to be protected from high pressure sales techniques, as there could be additional costs, such as electrical upgrades that could be overlooked during the sales process. HPHWS should be included among appliances able to be demand response capable, particularly based on the potential of HPHWS to achieve significant market share need, and this needs to be addressed. 

The Roadmap suggests that with a co-payment, consumers are more likely to engage with the process, therefore empowering Australians in accessing the benefits of HPHWS. Previous government programs have encouraged a race to the bottom approach in product choice, leading to consumers disengaging in the decision-making process. The Roadmap also details HPHWS should be made available to all regardless of circumstances, recommending that governments need to introduce or continue opportunities for vulnerable or low-income households, in addition to mapping out ways that commercial and body corporates can also benefit.  

Urgency to ensure quality within the industry is required as Australia could potentially become a dumping ground for inferior products. Industry recommended incentive programs provided by governments should be supported by an independent audit system, as industry identified a series of emerging issues, regarding installation, that could tarnish uptake. In completing these audits, it has also been suggested that de-identified findings should be published for further scrutiny. 

In ensuring we have the right workforce to support the changeover, the Roadmap focuses mainly on plumbing trades and the requirement to review apprenticeships, and develop more appropriate training. Restricted electrical licences must remain consistent, and that regulators must ensure that all, including consumers, clearly understand the scope of work permitted under a restricted licence. Refrigerant handling would also be up for review, particularly around training and licensing. 

In developing the Roadmap and enacting this, planning is required, as the largest emission risk comes from the hermetically sealed heat pump at the end of life. Currently no national legislative approach to end-of-life disposal of HPHWS, air conditioning or refrigeration equipment exists. Product stewardship is an approach that could be adopted that looks at good design through to disposal or recycling to manage the impact on the environment. Thresholds vary across states, with the recommendation of a national approach, and to manage industry uncertainty until this can be formalised, Environmental Protection Authorities (EPAs) from all states and territories should come together to coordinate an agreed approach.  

Future Energy Skills congratulates, the Energy Efficiency Council (EEC) and the appropriate State Governments on the creation of this Roadmap. The opportunities abound for this technology and through this Roadmap and the consultation process that informs it, governments have a way forward to advance this technology, so that all can enjoy the benefits of HPHWS with reassurance. 

To review the Roadmap for Heat Pump Hot Water Systems in Australia visit the Energy Efficiency Council website.