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Smart Grids create new opportunities for heat pumps

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A low carbon future in Europe will require a more dynamic electricity system. A decarbonised grid - with high penetration of inflexible wind and nuclear - means that balancing generation and demand is not as straightforward as ramping up supply to meet demand. Instead, demand may be shaped to meet available generation. On the demand side, increasing electrification of heat and transport leads to demand peaks. The energy system of the future will have to deal with: supply / demand imbalances and increased congestion on the distribution grid.


New business opportunities are emerging to capture value through smart operation of heat pumps and other assets on the demand side - to help balance generation and demand, and to manage network congestion.


Ultimately, heat pumps will have to be ‘smart’ if they are to capture a share of this emerging market. In this article, we explore what it means for a heat pump to be ‘smart’, and where the value is in this emerging smart market.


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