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An air to water heat pump is a highly efficient, renewable heating technology that extracts thermal energy from the outdoor air and transfers it to your home's central heating system, including radiators, underfloor heating, and a hot water cylinder. Functioning much like a refrigerator in reverse, this system uses a refrigeration cycle and minimal electricity to deliver significantly more heat energy than the electrical energy it consumes. This makes it a primary solution for reducing both energy bills and carbon emissions in residential properties.
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What Is an Air to Water Heat Pump?
An air to water heat pump (AWHP) is a system that absorbs heat from the surrounding air, even in cold temperatures (as low as -15°C or -20°C), and uses this heat to warm water.
This warmed water then circulates through your home's heating circuit and heats your domestic hot water supply.
How Does an Air to Water Heat Pump Work?
The core principle behind the operation of an AWHP is the vapour compression cycle.
This process involves three main components:
Evaporator (Outdoor Unit): The outdoor unit draws in ambient air. A liquid refrigerant within a coil absorbs the heat from the air, causing it to evaporate and turn into a low-temperature gas.
Compressor: The gaseous refrigerant is then passed through an electrically powered compressor, which drastically increases its pressure and, consequently, its temperature.
Condenser (Heat Exchanger/Indoor Unit): The high-temperature, high-pressure gas moves to a heat exchanger, where it transfers its heat to the water circulating through your home's central heating system. As it gives up its heat, the gas condenses back into a high-pressure liquid.
Expansion Valve: The liquid refrigerant passes through an expansion valve, which lowers its pressure and temperature, preparing it to re-enter the evaporator and restart the cycle.
This mechanical process is incredibly energy-efficient, with many systems achieving a Coefficient of Performance (COP) of 3 to 5, meaning for every 1 kW of electrical energy consumed, the system delivers 3 to 5 kW of usable heat energy.
The typical lifespan of an air to water heat pump is robust, averaging 17 to 20 years.
How Much Does an Air to Water Heat Pump Cost in Ireland?
The air to water heat pump cost in Ireland is highly variable, depending on the size of the home, its current insulation level, the specific system chosen, and installation complexity.
Initial Installed Cost (Excluding Grants): The total cost for supplying and fully installing an air to water heat pump system, including the unit, hot water cylinder, and necessary pipework, typically ranges from €10,000 to €24,000 for an average home.
Grant Support: The Sustainable Energy Authority of Ireland (SEAI) offers grants (as of 2026) of up to €7,500. This includes the €6,500 base grant plus the €1,000 Renewable Heat Bonus for those replacing a fossil fuel boiler.
Cost After Grant: The cost to the homeowner after applying the full grant support typically ranges from €2,500 to €16,500.
Associated Costs: To qualify for grants and ensure maximum efficiency, additional insulation and heating system upgrades (such as larger or low-temperature radiators/underfloor heating) may be necessary. These costs can range significantly, adding between €1,500 and over €30,000 depending on the home's BER.
Average Unit Price for an Air to Water Heat Pump
While the overall installed cost includes labour, grants, and associated home upgrades, the hardware itself—the heat pump unit and necessary components—represents a significant portion of the total investment.
For a typical residential installation:
Heat Pump Unit Only: The standalone price for a unit, which varies by brand, output (kW), and features (e.g., noise level, refrigerant type), generally ranges from €3,000 to €11,000.
Special Hot Water Cylinder: A high-capacity, heat pump-compatible hot water cylinder is typically required, adding an estimated €1,500 to €2,000 to the hardware cost.
Total Hardware Cost: The combined component cost (unit, cylinder, and accessories) usually falls between €5,500 and €13,000 before installation labour.
Is an Air to Water Heat Pump Worth It?
Yes, an air to water heat pump is generally considered worth it as a long-term investment, particularly in the context of rising fossil fuel costs and 2026 carbon tax levels.
The initial high upfront cost is typically offset by:
Lower Running Costs: Heat pumps are significantly cheaper to run than traditional oil, LPG, or electric-resistance heating. Average annual running costs in 2026 range from €550 to €950 for a well-insulated home.
Environmental Benefits: They significantly reduce a home's carbon footprint.
Increased Property Value: A modern, efficient heat pump system increases a property's Energy Performance Certificate (EPC) or Building Energy Rating (BER).
How Much Does it Cost a Month to Run a Heat Pump?
Approximately €45 to €80 per month on average across the year.
Is an Air to Water Pump Suitable for Older Properties?
Heat pumps work optimally by maintaining a comfortable temperature using a low flow temperature (typically 35°C to 45°C).
Older homes, often built with solid walls and poor air sealing, have a high rate of heat loss.
Therefore, a “fabric first” approach—prioritising insulation before installation—is crucial for efficiency and to prevent high running costs.
Air to Water Heat Pump Disadvantages and Running Considerations
Air to Water Heat Pump Disadvantages
Disadvantage
Description
Mitigation Strategy
High Upfront Cost
The cost of the unit and installation is substantially higher than a traditional boiler.
Utilise government grants (up to €7,500) and long-term financing options.
Performance in Extreme Cold
Efficiency (COP) can decrease when external temperatures drop significantly (below -5°C).
Ensure the system is correctly sized and includes a supplementary heating element for extreme conditions.
Requirement for Good Insulation
Heat pumps operate best at lower flow temperatures, necessitating a well-insulated home.
Prioritise a "fabric first" approach to insulation and heat loss reduction.
Acoustics/Noise
The outdoor unit's fan and compressor generate some operational noise.
Select a modern, low-noise model and ensure appropriate placement away from boundary walls.
Why Is My Electric Bill so High with an Air Source Heat Pump?
If a homeowner experiences a high electric bill after installation, it is almost always due to issues related to setup, insulation, or usage patterns.
Common reasons include:
Poor Insulation and Air Sealing: Heat loss forces the heat pump to run continuously at maximum effort.
Incorrect Sizing: An incorrectly sized heat pump will run inefficiently, leading to higher electricity use.
Improper Use of Backup Heat: The less efficient electric resistance backup heating element may be engaging too frequently if the system's flow temperature is set too high.
Incorrect Thermostat Settings: Heat pumps must be allowed to run at a low, steady flow temperature 24/7. Turning the system off and on forces it to work much harder.
Air to Water Heat Pump FAQs
What Maintenance is Required for an Air to Water Heat Pump?
Compared to a traditional fossil fuel boiler, the maintenance needs of an air to water heat pump are relatively simple. However, annual professional servicing by a qualified technician is essential.
Can an Air to Water Heat Pump Provide Cooling for My Home?
Yes, many modern air to water heat pump systems are "reversible" and can be used to provide cooling during warmer months.
How Noisy Is an Air to Water Heat Pump and Are There Regulations?
Modern units typically operate between 40 and 60 decibels (dB) at one metre. In Ireland, units usually comply with a 42 dB limit at the nearest boundary to avoid planning permission issues.
Learn More About Energy SavingOur energy guide articles contain lots of useful information on saving energy, lowering costs and how to have a more positive impact on the environment.
Cormac is Selectra.ie's energy expert along with being the chief content and editorial manager for the website. His aim is to help find the best deal for you and your home energy needs so that you save money on your annual bills. His knowledge and experience of the Irish energy market allows him to offer the best advice and insight into current prices, emerging trends and overall energy saving tips.
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