Published By : 05 Jul 2016 | Published By : QYRESEARCH
Geothermal heat pumps are a form of renewable heating technology. These pumps have the potential to replace conventional heating, ventilating, and air conditioning (HVAC) systems that are being utilized presently. The global heat pumps market is expected to grow owing to rising LPG and electricity prices. As per a report published by Transparency Market Research, a market intelligence company, the global heat pumps market is expected to expand at a 13.10% CAGR from 2014 to 2020. The market was valued at US$55.3 bn in 2014 and is projected to rise to US$130.5 bn by 2020.
Robustness of Geothermal Heat Pumps to Encourage High Adoption
The increasing greenhouse gas emissions from conventional sources of energy is pushing the adoption of heat pumps across the globe. Moreover, these heat pumps are robust in nature and even eliminate the need of maintenance. Geothermal heat pumps are turning out to be an attractive option as they are cost effective. An increasing number of commercial consumers opt for geothermal heat pumps as they achieve significant cost savings. Additionally, commercial consumers get the benefit of tax benefits.
High Installation Costs of Geothermal Heat Pumps to Restrict Growth of Market
Geothermal heat pumps may offer significant cost savings in the long run, they do however incur a lot of expenses during installation process. Several expense need to be taken care of whilst installing of geothermal heat pumps, such as surveying, groundwork activities, installation of ground loops, and siting. A large population base, thus refrain from adopting this technology. Moreover, the installation of geothermal heat pumps requires extreme level of accuracy, which is another factor challenging the growth of the geothermal heat pumps market.