Accelerating Industrial Heat Pump Adoption: Overcoming Barriers and Mapping Future Growth

The US, striving for carbon neutrality by 2050, must urgently address the industrial sector’s carbon footprint. Industrial heat, a significant energy consumer, accounts for a little over 25% of global greenhouse gas emissions, with low (<100°C) and medium (<300⁰C) temperature heat contributing to approximately 60% of the US industrial heat demand.

Industrial heat pumps (IHPs) present a promising opportunity, with the potential to fulfil a considerable part of the low and medium temperature industrial heat demand. These devices can achieve a coefficient of performance of 2 to 5, improving efficiency significantly over traditional fossil fuel combustion heating solutions. Additionally, as the nation progresses towards carbon-free electricity generation by 2035, IHPs will offer a carbon free solution to industrial heating needs.

However, widespread IHP adoption is hindered by several barriers, including high electricity rates, substantial upfront costs, and limited temperature ranges.

This presentation aims to provide a comprehensive overview of the current IHP market landscape in the US industry, identify opportunities for growth and adoption, and delve into the barriers impeding IHPs’ widespread adoption.

Our aim is to create a robust roadmap for accelerating the adoption of IHPs, thereby contributing to national and corporate decarbonization objectives.