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Why heat as a service could be HVAC’s hot new trend

Why heat as a service could be HVAC’s hot new trend

about 3 years ago


As the UK moves towards ambitious net zero goals, the way we use heat could be about to change.

What is Heat as a Service?

Heat as a Service (HaaS) is a different way of selling heating to the traditional model and could make things greener and more affordable.

UK energy is currently sold in units of fuel (kWh). With HaaS the energy supplier is paid for a full, optimised service. It’s something that big HVAC manufacturers such as Baxi have been looking at for some time.

The Baxi pilot project created a bundle with heating system, servicing, maintenance and energy supplied for a fixed monthly fee.

How does it work?

In trials, consumers bought Warm Hours instead of kilowatt hours. Warm Hours are hours chosen by a customer to keep designated rooms warm at a specified temperature.

Research carried out during the trials found that customers care more about the heating outcome – in other words, making sure they can create warmth as and when they need it – rather than how the heat is supplied to them. Affordability and budget certainty were other key buyer considerations.

HaaS and decarbonisation

58% of those who took part in trials said they were open to a low carbon alternative when replacing their current gas boiler. This rose to 85% of triallists if it could be guaranteed that they would get the level of comfort they wanted for the right price.

Low carbon heating solutions can be an excellent replacement for fossil fuel-based systems which typically use natural gas. The challenge for HVAC manufacturers is to make sure they can still deliver the comfort, control and convenience that end users have come to expect.