The Canada air source heat pump market is expected to be driven by increased demand for energy-efficient and cost-effective space heating and cooling applications in residential and commercial sectors. This scenario has increased heat pump sales, which is expected to lead to an increase in market demand during the forecast period.
Heat pumps are a high-efficiency technology that extracts heat from a low-temperature place and transports it to a higher-temperature location. In Canada, more than 700,000 heat pumps are installed nationwide. Furthermore, air-source heat pumps are the most common type in the Canadian market.
Heat pumps use less energy than natural gas furnaces or electric heating. Heat pumps are generally more expensive than electric or gas heating systems but have lower energy costs. Heat pump systems can cost between USD3746.37 and USD11988.40. While using a heat pump, energy costs can be reduced by up to 60% compared to electric baseboard heating, and total energy consumption can be reduced by 50% compared to a natural gas furnace.
However, the Canadian government is continuing to invest in making life more affordable for Canadian families by assisting homeowners in switching from expensive home heating oil to energy-efficient cold-climate heat pumps. Additionally, the average annual savings on home electricity bills for homeowners who move oil to cold-climate heat pumps to heat their house is between USD1123.91 and USD3521.59.
The Minister of Natural Resources announced a USD187.32 million investment for the Oil to Heat Pump Affordability (OHPA) Grant, a new stream to the Canada Greener Homes Initiative. This program will assist thousands of households in switching from expensive home heating oil to more affordable, dependable electric heat pumps. The OHPA Grant builds on the $250 million announced by Minister Guilbeault in September 2022 to make home heating more affordable and reduce pollution by assisting households in switching to electric heat pumps.
Companies are offering new innovative products to attract customers and increase their market presence. Manufacturers are focusing on developing new products to fulfill the customers' demands. For example, in 2021, PHNIX launched a new inverter all-in-one air source heat pump water heater using propane (R290) refrigerant, which reduces the carbon footprint in homes and accounts for a significant portion of greenhouse gas emissions. As a result, it will increase the market demand during the forecast period.
Download Free Sample ReportIncreasing Demand for Energy Efficient Products Fuels the Market Growth
Want to save money and help the planet? An air-source heat pump could be your answer! They're super efficient at heating, which means reducing greenhouse gas emissions and shrinking your home's energy bill. Think about itwe Canadians spend a whopping 80% of our energy budget on heating and cooling! Switching to a heat pump could save you 50% to 70% annually. Even the best gas furnaces, at 98% efficiency, only turn USD 0.75 of natural gas into USD 0.73 worth of heat. But a heat pump? Those bad boys can be up to 400% efficient! That means for every USD 0.75 you spend on electricity, you get a sweet USD 3.0 worth of heat. No wonder market demand is soaring!
Low Gas Emission to Boost the Market Demand
We're working hard to move away from relying on fossil fuels and embrace cleaner, greener energy, all to cut down on those pesky greenhouse gases. That's why heat pumps are looking like a real winner when it comes to reducing emissions. Take Saanich, for example. In 2022, they launched a cool program to help folks switch from oil heating to heat pumps. Basically, the District of Saanich is offering up to USD 8991.30 in interest-free financing – think of it as a helping hand to ditch that old oil furnace or boiler and upgrade to a super-efficient electric heat pump. This program is a big part of our community's promise to tackle climate change by slashing greenhouse gas (GHG) emissions and getting rid of that carbon-heavy oil heating. And guess what? It's expected to boost the demand for air-source heat pumps! Learn more here. You can also find more details on our official website. Don't forget to check out other incentives as well.
Market Segmentation
The air source heat pump market is segmented on the basis of process, end-use, and sales channel. Based on the process, the market is further divided into air-to-air (ducts, ductless) and air-to-water (split, integrated). Based on end use, the market is segmented into residential, hotels & resorts, gyms & spas, education, food service, and others (healthcare, offices, etc.). Based on sales channels, the market is split into plumbers, dealers & contractors, retail, direct sales, online, and others (distributors, builders, etc.).
Company Profiles
GREE Electric Appliances Inc., Senvilla.Ca, Mitsubishi Electric Sales Canada Inc, Trane Technologies Company, LLC, Wolf Steel Ltd., Hometown Heating Inc., Johnson Controls, Panasonic Canada Inc, Rheem Manufacturing Company, Mr Cool Canada, are
| Attribute | Details |
| Base Year | 2022 |
| Historical Years | 2018 – 2021 |
| Estimated Year | 2023 |
| Forecast Period | 2024 – 2028 |
| Quantitative Units | Revenue in USD Million, Volume in Thousand Units and CAGR for 2018-2022 and 2023-2028 |
| Report Coverage | Revenue forecast, company share, competitive landscape, growth factors, and trends |
| Segments Covered | Process End Use Sales Channel Region |
| Regional Scope | Alberta, Quebec, Ontario, British Columbia, Saskatchewan and Manitoba, Rest of Canada |
| Key Companies Profiled | GREE Electric Appliances Inc., Senvilla.Ca, Mitsubishi Electric Sales Canada Inc, Trane Technologies Company, LLC, Wolf Steel Ltd., Hometown Heating Inc., Johnson Controls, Panasonic Canada Inc, Rheem Manufacturing Company, Mr. Cool Canada, etc. |
| Customization Scope | 10% free report customization with purchase. Addition or alteration to country, regional & segment scope. |
| Pricing and Purchase Options | Avail of customized purchase options to meet your exact research needs. Explore purchase options |
| Delivery Format | PDF and Excel through Email (We can also provide the editable version of the report in PPT/pdf format on special request) |
