The Market Based Mechanism for Low Carbon Heat consultation drafts business-led plans to drive the sale and installation of heat pumps in the UK market.
This consultation follows the recent Heat and Buildings Strategy, which outlined how the government intends to meet its decarbonisation targets for the broader build environment. In the Strategy, government stated its ambition to reach 600,000 heat pump installations per year by 2028, and for heat pumps to achieve cost parity with conventional gas boilers by 2030.
The market mechanism in the latest consultation sets proposals to make gas boiler manufacturers sell a certain number of heat pumps. An alternative proposal would have energy suppliers doing the same. This will have direct impacts on the UK heat sector and its supply chain; including pressure to develop training programmes, ramp up manufacturing and greater engagement with consumers.
Following consultation with manufacturers, retailers, energy suppliers and trade bodies, the CBI welcomed the principle of a market growth policy for low carbon heat. This, however, should focus on all actors in the supply chain, e
Exclusive member-only content 
