Paul Smith, MD for NIBE, speaks to elemental about changing attitudes to heat pumps.
Could you tell us about what’s been happening lately at NIBE?
We have seen considerable growth over the past year, with over a dozen new staff across the organisation. There’s a real buzz in the business and we are driving forward with positioning ourselves as a leading heat pump player in the UK market, following in the footsteps of Europe, where NIBE is one of the largest and most established manufacturers and very much a household name.
The end of 2023 and start of 2024 has seen us launch exciting new products, which have already been shortlisted in every major industry award. These include the NIBE S1256 Ground Source Heat Pump (GSHP) that uses next generation refrigerant, R454b, reducing Global Warming Potential (GWP) by 78% compared to past refrigerants. The S1256 can be integrated with PV-T, NIBE’s on-roof solar photovoltaic and solar thermal system, further enhancing the efficiency by utilising solar energy to supplement heating needs and, in many cases, eliminating the need for conventional ground loops – one of the biggest barriers to GSHP uptake.
The S1256 won ‘Physical Technology of the Year at the Energy Awards’ and has been shortlisted for the HVR and H&V News Awards alongside our most efficient Exhaust Air Heat Pump (EAHP), the NIBE S735. The S735 is an intelligent inverter-controlled EAHP with an integrated hot water heater, delivering heating, hot water and ventilation all in one package – perfect for apartments and new build houses up to 160m2. There is immense demand for this technology in multi-storey blocks and high-rise flats.
NIBE is fully focussed on addressing the whole market, and as part of this drive, we’re adding to our traditional points of entry. Historically, consumers could only choose a NIBE heat pumps through our NIBE Pro partners, but to reflect the changing landscape we are already working with some key merchants and in the process of onboarding more, giving a greater number of installers access to our product range. Ensuring quality installations is still at the core of what we do, so we have extended our free product training to all qualified heat pump engineers, not just those that have been through the NIBE Pro Akademi.
This change is part of our reimagined the NIBE Pro offering, which will allow more installers to the opportunity of becoming a ‘Pro’ partner. The new NIBE Professional Portal includes a whole host of useful information – from technical manuals to marketing material. The new website also provides a place for NIBE Pro installers to store and track installation history, for specifiers to submit project enquiries and the option to book on NIBE training courses.
NIBE Pros benefit from extended warranties on our products, with support from our technical team at the end of a phone. You will only ever talk to ‘real’ experts at NIBE, who can also come to come to site if required.
We are also about to launch our first consumer campaign in the UK, ‘Take the Step’, which aims to help those consumers who may be reticent about choosing a heat pump understand the benefits, while busting some myths. The campaign will centre around informational videos and written content, including case studies from satisfied heat pump customers. As part of the campaign, we will be providing marketing collateral for NIBE Pros which they can use to help explain how heat pumps work, the processes involved in installation and what to expect from the finished result. ‘Take the Step’ will be launching in September.
The company has been growing – in which sectors have you been seeing the best results?
NIBE has always had a strong customer base in the self-build market, where the credibility of the brand is a real selling point to discerning housebuilders (and buyers). We are making waves across the board however, and there really is a NIBE heat pump for almost any type of project. When it comes to the new build sector, we are ready to support housebuilders meet the impending changes to the Future Homes Standard, including in flats and apartments thanks to our industry-leading EAHP offering – NIBE invented this technology way back in the 80s.
The UK has been slow on the uptake, but EAHPs are an amazing solution for densely packed, urban locations, where Air Source Heat Pumps (ASHPs) are not suitable. EAHPs use the air from inside a building, while also providing ventilation, so no need for an outside unit. They are also exceptionally quiet.
Were you pleased to see the housebuilding targets and initiatives such as GB Energy get mentioned in the King’s Speech?
Yes, it seems that Labour has a commitment to net zero, a focus on improving the efficiency of homes and plans to dramatically stimulate housebuilding. This will provide a boost for the installer base, and demand for heat pumps. As mentioned, we see EAHPs as a key product in this landscape, particularly for smaller, inner-city new builds.
Keir Starmer described ‘taking the brakes off Britain’, through relaxed planning rules, improved infrastructure and a general commitment to promote growth. The next 12 months are crucial, we are ready to support installers, consumers, housebuilders and communities in taking advantage of new policies that create a clear and uninterrupted path to a prosperous and low carbon UK.
Are you satisfied with the Boiler Upgrade Scheme?
Overall, the BUS has definitely stimulated the heat pump market, particularly when the funding was increased to £7,500 – the uptake was considerable. I’ll be interested to see what happens with Labour’s proposed low interest loans for renewables and other energy efficiency upgrades, these could help more people access heat pumps by removing the upfront cost, which is prohibitive to many.
There’s still work to be done engaging consumers and installers, educating people on the benefits of heat pumps and countering the negativity we’ve heard in some of the UK media over the last few years. We’re pleased to see that the Heat Training Grant has kicked off again (which, subject to eligibility, can be accessed through the NIBE Pro Akademi as it is an approved centre) – we really need as many installers as possible to help meet heat pump targets.
How have you seen attitudes to heat pumps changing in recent years – both from installers and end users?
The tide is turning on the aforementioned negativity. Many of the scaremongering stories are being countered by facts – no, heat pumps aren’t noisy, no one’s going to rip out your gas boiler and yes, you can install them in most homes!
I think we all agree that closing the spark gap would really change the landscape (as long as it’s not at the expense of gas customers). The European Heat Pump Association’s most recent report shows that countries that have seen the greatest take-up in ASHPs specifically are those where there is closest parity between the cost of electricity and gas. Once that happens, we can truly say that a heat pump will cost less to run than a boiler.
As the market matures, products get better, and installers have more experience, the outcomes for consumers improve. That is what is happening now and will only continue on an upward trajectory. I would recommend that installers partner with a manufacturer where possible. The extra guidance and training means they don’t have to go it alone. We’re committed to helping installers deliver effective and efficient heat pump projects that positively represent our brand. It’s our name on the product at the end of the day.
What more do you think needs to be done, as a country, to meet our net zero targets?
Close the spark gap! Apart from that (which is sadly out of our hands), education, support and joined up thinking are key. As mentioned, there is still a huge amount of misinformation out there. At NIBE, we are going to put more effort into providing the facts to consumers in particular, a lot of damage has been done and it’s now time for expert voices to rise above the media narrative.
Support is really important too – for installers and their customers. Heat pumps are a leap into the unknown for many and reassurance that a) they do work and work well and b) if something’s does go wrong, it will be sorted quickly, will definitely help smooth the road. ‘Support’ is very much at the core of what we do at NIBE, happy customers are key to our success.
And the more the industry can work together the better. We are on the cusp on some industry partnerships that will lead to improved delivery of service. There are so many exciting innovations across the heat pump space, it makes sense that we all come together to deliver the very best solutions to meet the varying needs of installers, specifiers, housebuilders and end users.
Overall, we need heat pumps to follow in the mould of electric vehicles – once a mystical future technology that many felt would never hit mass market – is now commonplace. Heat pumps are no different. At NIBE we have the benefit of experiencing firsthand what a settled and confident market looks-like, experience we are bringing to the UK to reassure installers and consumers in their move away from fuels.