New heat pump grants in Ireland – what does the Government announcement mean for you?

The Government has announced a €558 million funding package in a move designed to make SEAI retrofitting grants more accessible while permanently reducing Irish homeowners’ energy bills.

The plan includes a new fixed-amount grant for installing a heat pump system, encompassing the existing €6,500 grant for the heat pump, €2,000 for upgrading radiators and pipework, and a new renewable heating bonus of €4,000. The new maximum grant of €12,500 applies to both air-to-water and air-to-air heat pumps and is for applications already in train with the SEAI (and not yet processed for payment).

This means the Heat Pump System Grant now offers up to €12,500 in funding, up from the previous level of €6,500, making a heat pump more affordable and accessible for Irish homeowners.

Additional grants for insulation and home upgrades

The new plan will also see homeowners able to claim up to €1,800 for attic insulation (an increase of €300); and up to €3,000 for new windows and doors (with the State covering up to 40% of the cost), without the need to carry out other retrofitting work at the same time.

As part of the new plan, the Government has also announced a new high temperature heat pump pilot scheme in Irish homes. The pilot will evaluate performance of the technology and ensure that running costs remain affordable and comparable to pre-heat-pump fossil fuel heating costs.

A Daikin Altherma high temperature air-to-water heat pump is one of the most energy-efficient ways of replacing an old heating and hot water system.

What this means for homeowners considering a heat pump

For homeowners who are keen to replace their fossil fuel boiler, this is very positive news. Almost a quarter of a million Irish homes have already been retrofitted, with many of those including the installation of a clean, efficient, renewable energy heat pump.

For most homeowners, replacing a traditional boiler with a heat pump is a ticket to greater efficiency, reduced energy consumption and ultimately lower energy bills. That is certainly the aim, with the Government confirming the new plan is designed to “permanently reduce people’s bills”.

However, as those who have already upgraded to a heat pump will tell you, there are other benefits to making the switch – a more consistent level of comfort, no more paying for tanks of oil or expensive gas bills and a cleaner, more sustainable living environment.

To find out whether you are one of the thousands of Irish households that is eligible for a SEAI heat pump grant, and how to start your heat pump journey, contact your local heat pump installer and get the ball rolling.

Browse the Daikin range of heat pumps here.