entry image

Heat Pump Prices May Dip Up To 50% In A New Deal With UK Energy Firm

Octopus Energy taken a controlling share of Renewable Energy Devices (RED) to manufacture a wide variety of sizes and types of heat pumps that when “purchased with the government’s new Boiler Upgrade Scheme, [they] will cost about the same as a gas boiler.” This, according to Octopus Energy’s statement of 13 April.

That is great news because currently, a heat pump runs about ₤10,000. The BUS can provide up to ₤5,000 to offset costs, cutting the effective cost of a new heat pump by 50%. And Octopus Energy plans to make heat pumps that are “quiet, highly efficient” and come in a variety of sizes.

Their stated goal of partnering with RED is to lower production costs so far that government support will no longer be needed.

They also plan to incorporate their proprietary “smart grid” technology to “enable the pumps to make the most of spare capacity on the electricity grid and distribution networks and reduce the load at peak times – and lower running costs for customers.”

Octopus’ founder, Greg Jackson said, “Heat pumps are already the most energy-efficient way of heating a house and now we just need to make them cheaper. Octopus Energy’s investment will help drive prices down, making them more affordable and giving people a choice of how to heat their homes.” He also says that rolling “thousands of heat pumps” out of their facility in Craigavon is “only the beginning.”

“Like the original Ford, we plan to scale production every year, cutting costs even further and making heat pumps affordable for everyone.”

We certainly like the sound of that!

Originally reported in Hull Live April 2022.

Source material for reference:

Cost Of Heat Pumps To Be Slashed- As Octopus Energy Strikes New Deal Check Now