Fact: the coldest and darkest countries in Europe emit the least carbon emissions in the continent when it comes to heating their homes. According to heat pump manufacturer Aira, CO2 emissions from residential heating can be as high as 16% in the UK, 17% in Switzerland, and even 12% in sunny Italy. However, in countries […]

Fact: the coldest and darkest countries in Europe emit the least carbon emissions in the continent when it comes to heating their homes. According to heat pump manufacturer Aira, CO2 emissions from residential heating can be as high as 16% in the UK, 17% in Switzerland, and even 12% in sunny Italy.

However, in countries such as Norway, Sweden, Finland, and Iceland, the percentage decreases significantly, falling to 2%, and sometimes even less than 1%. Aira suggests that the widespread use of heat pumps, which have been installed in Nordic homes since the 1990s, is the key factor.

Heat pumps are devices that transfer heat between the inside of your home and the outside environment. With a fan-looking system on the outside, and a tall boiler-looking machine on the inside.

Heat pumps differ from traditional heating systems by moving heat instead of generating it. This method consumes less electricity since they aren’t creating heat from scratch.

But, adoption remains limited in many countries due to high upfront costs and a general lack of awareness, according to Aira.

Heat pumps in the UK can range in cost from £7,000 ($8,778) to over £30k ($37.6k) for both purchase and installation.

However, many people have misconceptions about heat pumps, often believing they are noisy and challenging to install, or they may not fully understand the cost and environmental benefits they provide, said Martin Lewerth, CEO of Aira, when TechInformed visited their R&D centre in Helsingborg, Sweden.

In the UK, though, the government is keen to change this. It has set an ambitious target to install 600,000 heat pumps in homes across the country over the next three years; which is no small feat as there were only around 250,000 heat pumps installed in the UK as of August 2024.

What can be done to make heat pumps more attractive? How can digital technologies play a role in making them more desirable, not just in the UK but across Europe?

Warming up the energy scene: Aira’s approach

 

Aira, founded in 2022 in Sweden, is new to the industry but has quickly scaled to over 1,200 employees, with a presence in Sweden, Poland, the UK, Germany, and Italy.

After raising €243 million in Series A and B funding, the company now boasts an annual sales run rate of €150 million.

Customers purchasing an Aira heat pump can do so with financial options similar to a mobile phone contract, combining the cost of the heat pump with monthly payments.

At its R&D centre, Aira is tackling key challenges like reducing noise, improving efficiency, and enhancing the customer experience.

“The transition from gas to electrification is one of the most impactful things consumers can do for both their wallets and the climate,” claims Lewerth. “We’re building scalable, affordable decarbonisation technology, and we believe heat pumps are the key to achieving this.”

Aira estimates that replacing a gas boiler with a heat pump is equivalent to removing two cars from the road in terms of CO2 emissions. Plus, the introduction of digitally enhanced heat pumps will further increase their positive environmental impact, benefiting both the environment and consumers’ finances.

The role of AI and machine learning

 

Aira is leveraging AI and machine learning in several areas.

The company utilises virtual simulation technology for product development to test components prior to manufacturing. For instance, during our visit, Aira was testing the noise output caused by vibrations and running it through virtual simulations — an approach that helps save both time and money.

Before installation, Aira uses augmented reality (AR) and LiDAR technology to create a digital model of a customer’s home. This allows the company to assess whether a heat pump will work effectively in that space.

After installation, the heat pump system uses AI and machine learning to optimise its performance. Equipped with sensors, it monitors variables such as outdoor temperature and indoor climate to ensure peak efficiency.

Additionally, the system learns from its past performance and continuously refines its energy-saving strategies.

“Since we’re vertically integrated, we have the opportunity to install feedback loops into different processes,” says Jeff Chen, chief data scientist at Aira.

One example is Aira uses the data from scans of a customer’s home, done by the customer, to construct a heat design for the home.

This involves taking the input data from the field and translating it into heat loss estimates.

The firm can also use the simulations and home scans to predict how a theoretical heat pump with different specs and designs would operate in a home.

“This is great for us because we can more accurately specify the design, says Chen: “For the customer, it could mean we can help them operate their heat pump more efficiently.”

Jeff Chen, chief data scientist, Aira

 

For this reason, many of the AI technologies employed are built and tested in-house.

“It’s a very niche industry, and you need bespoke tools. By having our own in-house team, we’ve built exactly what we need for the use cases that we deliver.”

Smartphone control and cost savings

 

Finally, one of the features of its heat pumps is the ability to control them remotely via smartphone apps. These user-friendly apps let homeowners adjust the temperature, schedule heating sessions, and manage hot water usage from anywhere.

Moreover, digital technology can drive substantial cost savings. Homeowners can adjust heating times to coincide with lower electricity tariffs, saving significant amounts on energy bills, for example.

Aira’s app

 

Machine learning analyses price fluctuations and optimises heating cycles accordingly. Since heat pumps consume less energy than traditional heating systems, they’re also a more environmentally friendly choice.

By making smarter, more informed decisions, homeowners contribute to reducing their carbon footprint while enjoying lower energy costs.

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