European commission report promotes natural refrigerants as competitive edge for EU heat pump manufacturers
A newly released report by the European Commission (EC) pushes the adoption of heat pumps using natural refrigerants as a way to develop the European heat pump market against non-European competition.
Natural refrigerants-based equipment “can be an opportunity for the sector to differentiate itself with respect to non-EU competitors and to reduce dependence on non-EU suppliers.”
The report, “Heat Pumps in the European Union – Status Report on Technology Development, Trends, Value Chain and Markets,” was drafted by the Joint Research Centre (JRC), the European Commission’s science and knowledge service.
The report also points out the risk of relying on fluorinated gases from outside Europe, mainly China, whose production of HFCs is dominating the market. The European Union is well positioned to benefit “from market trends such as the reduction of environmental impacts through regulations on Ecodesign and F-gases,” the report says.
A more ambitious HFC phase down under the EU F-gas Regulation also helps the EU to reduce its reliance on HFCs imported (both legally and illegally), the report says. China is the leading producer of HFCs worldwide, with Chinese companies Dongyue and Sinochem as the main halogenated refrigerant suppliers, followed by Chemours, DuPont and Honeywell in the U.S.
A shift to natural refrigerants can thus represent “a market opportunity and area for innovation,” notes the report, adding that natural refrigerants may also have an advantage in terms of price trends and stability, and they are not patented.
“There is already some evidence of production lines being reconverted, and new ones started, to focus on natural refrigerants,” says the report, citing a recent study by ATMOsphere, “Accelerating the EU’s shift towards natural refrigerant domestic heat pumps.”
Hydrocarbon-based heat pumps in particular are being deployed by an increasing number of European companies, such as Ecoforest, HSK Lazar, NIBE, Panasonic and Viessmann.
The EC report also recognizes EU technology leadership in the overall heat pump sector. European companies are especially strong in ground-source heat pumps and larger heat pumps for the commercial and district heating and cooling segments, the report adds. The report also points out EU leadership in patents of high-value inventions for “mainly-heating” heat pumps, with the EU accounting for 48% in the 2017–2019 period.