Full Title: Transforming Texas: How Heat Pumps Can Replace Electric Resistance Heat, Reducing Costs and Winter Power Peaks
Author(s): Steven Nadel, Jennifer Amann, and Hellen Chen
Publisher(s): American Council for an Energy-Efficient Economy
Publication Date: November 4, 2024
Full Text: Download Resource
Description (excerpt):
Over 25% of Texas households are heated and cooled by central air-conditioning systems with electric resistance coils that distribute warm air via ducts and registers. These systems are a major contributor to winter peak electric demand. While power demand in Texas generally peaks on hot summer days, winter peaks during cold fronts can be just as large.
Heat pumps are a cost-effective alternative to electric resistance heat: they cut energy use, energy bills, and peak demand roughly in half. Homes and apartments can be upgraded with high-efficiency heat pumps when the existing central air-conditioning unit and heating coils need replacement.
This study uses a sample of more than 350 Texas homes that use electricity as their primary heat source. Installing a heat pump instead of a central air conditioner with electric resistance coils increases costs by $391 for new construction and $697 when replacing an existing central air conditioner, a cost increase of 5% to 21% depending on air conditioner size.