Heat Pump Systems are being pushed as one of the potentially most effective ways to make Irish homes and businesses more energy efficient efficient
While they do not generate power directly in the same way that other renewable systems such as Solar PV do, heat pumps can be an excellent way to improve the energy efficiency of your home or business.
As they only make use of heat from natural sources, heat pumps can be a viable choice to lower your electricity bills and deliver reduced carbon emissions by reducing dependence on gas boilers or electric heaters.
With the government seeking to have hundreds of thousands of new and existing homes fitted with heat pumps by 2030 to meet climate obligations, there are many options for both residential and commercial parties to avail of a heat pump system grant.
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How Much Do Heat Pumps Cost
The cost of a heat pump system can vary greatly depending on the type of heat pump being installed, and the nature of your property.
An air source heat pump is typically the cheapest type of system due to the simplicity of the design, while ground and water source heat pumps come with a greater cost due to the additional material and labour costs that come with them.
Heat Pump System Type | Estimated Cost Range |
Air to Water Heat Pump | €10,000 – €19,000 |
Air to Air Heat Pump | €1,000 – €19,000 |
Ground to Water Heat Pump | €15,000 – €28,000 |
Water to Water Heat Pump | €15,000 – €28,000 |
Heat Pump Grant Sources
Multiple government agencies and other bodies in Ireland can provide energy upgrade grants for both homeowners and businesses to install heat pumps in their properties.
With heat pump systems seen as a popular choice for decarbonising the residential and commercial energy sectors, grants and other financial support are available from sources such as the SEAI, Enterprise Ireland, and Revenue Commissioners.
Grant Provider | Scheme Name | Property Type | Heat Pump Usage |
Sustainable Energy Authority of Ireland | Better Energy Homes Scheme | Residential | Space Heating |
Sustainable Energy Authority of Ireland | Exeed Grant Scheme | Commercial / Industrial / Public Use | Space Heating / Industrial Applications |
Local Enterprise Office | Energy Efficiency Grant | Industrial | Manufacturing Heating Processes |
Sustainable Energy Authority of Ireland | Support Scheme for Renewable Heat | Commercial / Industrial / Agricultural / Public Sector | Space Heating / Industrial Applications |
Revenue Commissioners | Accelerated Capital Allowance | Sole Trader / Agricultural / Business | Multiple |
SEAI Heat Pump Grant
The three main programmes for the SEAI grants differ in how much of the work is handled by the applicant as opposed to the contractor or SEAI, how much work is carried out, and the level of grant funding.
Grant Values
Heat Pump System Type | Private Grant Value | AHB GRant Value |
Air to Water | Apartment – €4,500 | Apartment – €5,500 |
All Houses – €6,500 | All Houses – €6,500 | |
Ground to Water | Apartment – €4,500 | Apartment – €5,500 |
All Houses – €6,500 | All Houses – €6,500 | |
Water to Water | Apartment – €4,500 | Apartment – €5,500 |
All Houses – €6,500 | All Houses – €6,500 | |
Air to Air | Apartment – €3,500 | Apartment – €4,000 |
All Houses – €3,500 | All Houses – €4,000 | |
Exhaust Air to Air | Apartment – €4,500 | Apartment – €5,500 |
All Houses – €6,500 | All Houses – €6,500 |
Who Can Apply
Individual grants for a heat pump system are available for properties which were built and occupied prior to 2021, for both individual homeowners, private landlords, and approved housing bodies.
The One Stop Shop scheme is open to homes which were built and occupied prior to 2011, and have a preexisting BER of B3 or lower. They must also be able to achieve a B2 BER at least after the works are completed.
Lastly, the Fully Funded Energy Upgrade scheme requires that the home have been built and occupied prior to 2006. The date of occupation is determined by when the electricity meter was installed on the property. The house must also be owned and occupied by the person receiving the grant.
Additional grant support is available for Approved Housing Bodies above the level of what it provided to private homeowners seeking a home energy upgrade.
Before You Apply
Before applying for a heat pump system grant, homeowners must first satisfy certain requirements if it was built prior to 2007. A Technical Assessment of the property must be carried out to determine if it is heat pump-ready.
This means that the property is well insulated enough, and has low enough heat loss, that it would not be wasteful to have a heat pump installed.
There is a separate €200 Technical Assessment Grant which is available from the SEAI to help cover the cost of this. This grant is only available in conjunction with the applying for a grant for a heat pump system.
The assessment must be carried out by an SEAI registered technical advisor who will recommend what, if any, improvements need to be made before applying for the grant.
If your home was built after 2007 then a technical assessment is not mandatory, as modern insulation methods in newer built homes typically ensure better thermal efficiency. Either a completed technical assessment or a self-declaration form can be submitted with the grant application.
Applying for the grant
Individual Energy Upgrades
- Have a home Technical Assessment carried out by a registered technical advisor.
- Choose an SEAI-registered contractor. It is recommended that you shop around for multiple quotes.
- Apply for the heat pump home energy upgrade online, via the post, or through a Better Energy Partner.
- Accept the grant offer. The grant must be accepted within 30 days of receiving it for it it be valid. No work should be carried out before accepting the offer.
- The heat pump must be installed within 8 months of when you accepted the offer.
- Have a fresh BER Assessment done on the property after the heat pump is installed.
- Submit a payment request along with a Declaration of Works Form and the BER Assessment.
One Stop Shop
Select from the list of SEAI registered providers, and they will assess whether your home qualifies for the scheme, what upgrades are applicable, and handle the entire construction and grant process.
Support Scheme for Renewable Heat
The Support Scheme for Renewable Heat (SSHR) is operated by the Sustainable Energy Authority of Ireland to provide financial support for businesses, farmers, district heating, public sector, and other non-residential applicants to make the shift to renewable energy heating sources.
One strand of the scheme includes a heat pump installation grant covering up to 40% of the cost of installation, with the exact level of support based on the design efficiency of the heat pump system.
The heat pump can be used for either space heating of a property, or to provide heat for manufacturing, industrial or other operational uses.
EXEED Certified Scheme
The EXEED Certified Scheme offers up to €3 million in funding for large scale public and private enterprises undertaking a new build, major renovations, or energy improvements to a property which will deliver savings on carbon emissions.
Energy Efficiency Grant
The Local Enterprise Office Energy Efficiency Grant is aimed at businesses which are investing in more energy efficient equipment and processes.
It offers up to €5,000 in funding, up to 50% of the cost of the project. To qualify a business must have between 1 and 50 employees and a turnover above €30,000 each year.
Accelerated Capital Allowance
The Accelerated Capital Allowance is a tax relief scheme which allows farmers, sole traders, and businesses to claim tax relief against the cost of investing in energy efficient equipment for their business.
This scheme allows those paying corporation tax, or income tax on trading or professional services, to deduct the full cost of qualifying energy efficient equipment from their taxable profits in the relevant year.
In order to qualify for this tax relief, the equipment in question must be on the Triple E Register, and must also meet minimum expenditure requirements.
FAQs
Get In Touch Today!
Get in touch with us today to start finding out how much you can save for your home with a heat pump.
Our team of experts will be in touch to discuss your best options for your homes heat pump and available grants.