How Much Will a Heat Pump Increase My Electric Bill?

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How Much Electricity Does a Heat Pump Use

How much will a heat pump increase my electric bill? Is installing one worth it or not? Yes, a heat pump will increase your electric bill, but there’s more to it than just that!

When you consider the bigger picture, which is the overall cost of utilities in your home, you’d see that heat pump energy consumption could work out to be a financially intelligent trade-off.

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The average cost of utilities across all of America is currently $429.33 monthly. This rises to as high as $569.64 in Alaska. And electricity and natural gas costs make up the bulk of the charges.

There’s obviously a direct correlation between overall utility costs and heating / cooling requirements!

Even though heat pump electricity usage is a natural cause for concern, if your ultimate goal is saving money, there are a few things that you need to consider.

In a nutshell, the overall energy efficiency that comes with a heat pump makes installing one worth it, in most cases. You get the best value for money compared to the other household heating options available on the market.

Let’s discuss heat pump power consumption, against the costs associated with other forms of heating. This way you’d understand that a higher electric bill may not be such a bad thing.

What is a Heat Pump?

A heat pump is a piece of equipment that captures heat from one place, concentrates it, and moves it into another place. Domestic heat pumps essentially take available heat from outdoors and transfer it indoors, creating a warmer environment inside the building.

This is basically the opposite of a window air-conditioning unit. Typical window units pull the heat from inside a building and expel it outdoors, thereby creating a cooler indoor space. Heat pumps do the reverse, even at very low outdoor temperatures.

Heat pumps that are designed to be used in colder climates have the ability to capture usable heat, down to temperatures below freezing point. Different brands and models have varying temperature ratings and corresponding efficiency ratings.

Heat pumps pull heat from natural sources such as the air or the soil surrounding the unit.

How Much will a Heat Pump Increase My Electric Bill?

A heat pump can increase your electric bill by a few dollars each month or a few tens of dollars. It all depends on how much you use it and the cost of electricity in your area. The technical details of the specific unit that you install also plays a big part.

Even if your electric bill increases by $100, saving hundreds (plural) on your overall heating bill is more than worth it!

The following factors directly affect how much electricity a heat pump uses:

Unit Model and Heat Pump Electricity Usage

Just as every other appliance on the market, each heat pump has its special features. You just need to pick the right one (brand and model) for your application.

The technical details associated with each model, can affect your electric bill differently. Your electric bill will depend on the model you choose.

Type of Heat Pump and Its Effects on Your Electric Bill

The type of heat pump you choose would directly affect your electric bill. Be sure to talk to an expert so that they recommend the right one for your specific needs.

Heat pumps can be:

1. Air-Source

2. Geothermal

3. Solar Powered

4. Hybrid

5. Ductless mini-spilt

They all function differently, use different heat sources, use different power sources, have different efficiency ratings and vary in electricity consumption.

Unit Size and Heat Pump Power Usage

Generally speaking, a larger unit would consume more electricity. However, it would do a better job at cooling and heating a smaller space. Therefore, it is important that a heat pump be sized appropriately for the space that it is assigned to.

Building Efficiency and Effects on Heat Pump Energy Consumption

The quality of windows, doors, roofing, walls, insulation, materials used and even color and quality of paint… all combine to give your home an energy efficiency rating. This is a rating of how well it retains heat in cooler weather, and coolness in warmer external weather.

If your home is built to be energy efficient, your electric bill, as result of running a heat pump, would be much less than a poorly constructed, inefficient structure.

Climate and Heat Pump Energy Usage

The colder your location, the more work you would require from your heat pump. This translates to more power usage.

You can expect a higher electric bill if you experience the following:

1. Colder winters

2. Longer periods of cold weather

Location and Heat Pump Power Consumption

Depending on where you live, your electricity provider and their costs, your electric bill would vary accordingly. Higher electricity costs per KW and an unfavorable calculation technique by your service provider, would translate into a higher bill.

This being said, if electricity prices are ridiculously high in your area, and natural gas prices are low, it may be worth it to just stick with natural gas as your source of heat. You need to evaluate and make the decision.

However, in most cases, even with high electricity costs, heat pumps still come out on top. They are the cheapest option to heat your home 9 out of 10 times!

Power Source and Heat Pump Energy Consumption

If you use solar power or any form of supplemental power, to support the electricity requirements of your heat pump… your electric costs would be reduced.

Unit Maintenance and Heat Pump Energy Usage

A newer or well maintained unit will always outperform an older poorly maintained one. Keep up timely maintenance to optimize pump efficiency and minimize electricity usage.

So how much electricity does a heat pump use? As you can see, there is no clear answer. It all varies from one specific scenario to the next.

And how much will a heat pump increase my electric bill? The same applies here! You need to evaluate your specific situation!

Heat Pump Power Usage & Overall Benefits

Energy Efficiency

Due to the way heat pumps function, they capture, concentrate and deliver heat. They do not directly generate “new heat”. This makes heat pumps one of the most efficient heating mechanisms available on the market, far outperforming propane, heating oil or gas furnaces in general.

A typical brand new, high efficiency gas furnace, has an efficiency rating of 95%. This means that 95% of the consumed gas is converted to heat. Just off the bat, an average heat pump delivers heat at a rating of between 300 – 600% as compared to a gas furnace.

There’s no comparison when it comes to heat efficiency!

Dual Functionality

Modern heat pump units are valuable in temperate locations as they function as both an air conditioner during warmer months and as a heat source in cooler periods. This eliminates the need for a designated heat source AND a separate air conditioning unit.

A modern heat pump unit replaces the cost of maintaining: a furnace, fireplace, gas supply and associated hardware and as well as an air conditioning system. That’s a big win!

Money Savings

Depending on where you live and the intensity and duration of the colder months, heat pumps can be a huge money saver. If the cost of your electricity is already minimized by solar panels, your savings would be amazing!

It is important to analyze the cost of running a heat pump from a wider point of view. The cost of all your utilities must be accounted for, in order for a fair evaluation.

Tax Credit & Rebates

There are tons of green initiatives and numerous sustainable energy programs being promoted these days. Installing an all electric heating system to replace oil or natural gas may be worth it.

Tax incentives will definitely help to offset any installation costs. Plus you’d get to claim a discount on your taxes every year.

Heat Pumps are Generally Healthier

If you think about the quality of the air within your home, it would definitely be better with a heat pump than with another heat source. Burning natural gas, or a wooden fireplace would definitely expose you and your family to more harmful gases.

It may be worth it to look at the long term health benefits that come with having a heat pump installed. Be sure to consider the costs associated with respiratory health complications and healthcare when making your decision.

All things considered, “how much will a heat pump increase my electric bill?” is not that simple of a question to answer right?!

There are a lot more factors involved than just whether or not to spend the few extra bucks on electricity per month! It’s your situation to evaluate and your choice to make!

FAQ’s for How Much Electricity Does a Heat Pump Use

FAQ: Does a heating pump use a lot of electricity?

The most straightforward answer it yes! A heat pump does use a lot of electricity. As a matter of fact it is the appliance with the highest energy consumption in most households.

The US Department of Energy states that the average heat pump, in the average American home, consumes approximately 5,475 kWh (kilowatt hours) annually. That’s the equivalent of running 9 standard sized refrigerators all year long.

However, when you consider the value that a heat pump brings, when compared to other method of domestic heating, a heat pump lowers the overall cost of your utility bills!

FAQ: Do you really save money with a heat pump?

In most cases, a heat pump will save you money when compared to the cost of alternative forms of heating. Even in areas where electricity rates are high, the overall cost of running and maintaining a heat pump is much less than the other options.

FAQ: Does a heat pump use more electricity?

Yes, a heat pump uses more electricity than if a gas powered heater is used to heat a home. Your electric bill would be a little higher. However, the overall cost of your utilities would be a lot less with a heat pump as compared to gas.

FAQ: Is it more expensive to run a heat pump?

No! It is much cheaper to run a heat pump than to utilize other methods of heating. Even though your electric bill may be a few dollars higher, your gas bill would be significantly lower. Therefore, heat pumps provide excellent value for money!

Final Thoughts on How Much Electricity Does a Heat Pump Use

When all the details are considered and the advantages that come with a heat pump are weighed, the cost of electricity is more than worth it.

Yes, your electric bill would be more, due to the heat pump’s power consumption. However, the overall cost of your utilities should be significantly lower! Start working the numbers to calculate how much you’d be saving.

Don’t forget to include the annual tax claims that you’d be benefiting from as well. Plus the savings on medical bills! You’d be avoiding inhalation of all the toxic fumes that come from burning fossil fuels. Just something to think about!

Do you have any experience with regards to running a heat pump? How has it affected your electric bill? How much have you saved? Share in the comments below! We’d love to hear your thoughts!

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Heat Pump Power Usage: How Much Will a Heat Pump Increase My Electric Bill?