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How can “heat as a service” help decarbonise UK heating?
Matthew Lipson
8 May 2019
© 2019 Energy Systems Catapult
Rapid change is possible if consumers want it: PC and mobile
2
© 2019 Energy Systems Catapult
Rapid change is possible if consumers want it: heating
3
© 2019 Energy Systems Catapult
Low carbon heat can be great but there are consumer challenges
(even if the cost was comparable)
4
Make low carbon heating easy to control
Make low carbon heat systems easy to install
Improve low carbon heating systems
© 2019 Energy Systems Catapult 5© 2019 Energy Systems Catapult
© 2019 Energy Systems Catapult 6
© 2019 Energy Systems Catapult
Consumers experience widespread problems that
others sectors would see as spurs to innovate
7
Other sectors can discover what consumers want
Most consumers experience damp, drafts and overheating
© 2019 Energy Systems Catapult 8
Could the smart home hold the key?
© 2019 Energy Systems Catapult
We upgraded homes to the 2020s level of data and control
9
Commands
from device
Cloud control
and research
database
Home Wi-Fi
and Hub
Boiler controller
and boiler
Room temp/
humidity sensor
Radiator
surface temp
WRV
A room in a
house
© 2019 Energy Systems Catapult
Everyone enjoys better control, but they use it very differently
(e.g. temperature)
10
Often adjust
temperature to
try and cut bills
Cool Conservers
Rarely adjust their
heating as they are
fine with 18-20oC
Steady and Savvy
Turn it on and off to try and
make sure home is only
warm when someone is in
On-off Switchers
Often adjust
temperature to
get comfortable
Hot and Cold Fluctuators
Some like it hotter or
want to spend more than
others in their home
On-Demand Sizzlers
Love feeling cosy and
prefer not to put clothes
on if they’re cold
Toasty Cruisers
© 2019 Energy Systems Catapult
Other sectors apply usage data to improve systems design
(e.g. automotive)
Digitalisation could enable the heating sector to improve low carbon solutions
11
© 2019 Energy Systems Catapult
Last year I spent
• £1,400 on
• 15,000kWh of gas and
• 4,000kWh of electricity
Next year, it’s hard to know
• How much fuel I need
• What it will cost, or
• What experience I will get
I want to
choose how much I spend
warming the rooms I want…
…to the temperatures I like…
…when I like
What if consumers bought Heat-as-a-Service?
12
© 2019 Energy Systems Catapult
Heat Plans: a starter-for-ten energy service
13
Pence per warm hourLike “mpg” for heating
Warm hours Hours any room is warm
ScheduleTemperature of
rooms at any time
ExtrasCost of warmth
outside the schedule
© 2019 Energy Systems Catapult
Offered households the chance to buy “Heat as a Service”
14
© 2019 Energy Systems Catapult
Businesses could use this data to offer households tailored
retrofits that prepare their homes for low carbon heat
15
Shows when cannot get
comfort they want
(e.g. lounge feels cold)
Used to design retrofit
that improves comfort
and energy efficiency
Data about
household and
building
Prepares home for low
carbon heating that
suits that area
Supported by
local smart
energy plans
© 2019 Energy Systems Catapult
Smart technologies can help tackle consumer challenges to
low carbon heat (once the cost is comparable)
16
Make low carbon heating easy to control
Make low carbon heat systems easy to install
Improve low carbon heating systems
© 2019 Energy Systems Catapult 17
© 2019 Energy Systems Catapult
Consumer’s data creates opportunities for
retailers, manufacturers and networks
18
© 2019 Energy Systems Catapult
However, consumers will need protecting and
none of this will be low carbon without policy
19
© 2019 Energy Systems Catapult 20
© 2019 Energy Systems Catapult
If energy services could guarantee people got the comfort
they wanted, they might not care how it was delivered
21
© 2019 Energy Systems Catapult
What comes first?
22
Policies Energy Service
Providers
© 2019 Energy Systems Catapult
A Living Lab so we can all move forward together
23
C O N S U M E R S
P R O D U C T M A N U F A C T U R E R S
ENERGY
SERVICE
PROVIDERS
REGULATORS
POLICY
MAKERS
© 2019 Energy Systems Catapult
We are using the Living Lab to accelerate innovation
24
Moving five owner
occupiers from gas
to heat pumps
Helping retailers
learn how to sell
energy as a service
Helping partners
around the
country
Learning how to
design smarter
protection
Helping
manufacturers
test new products
© 2019 Energy Systems Catapult
Summary
25
Start with the consumer,
not the technology
Smart homes enable businesses
to sell energy as a service
Consumers’ choices could
show the sector what they
want from energy
Services could create new
opportunities for retailers,
manufacturers and networks
Use our Living Lab to learn
how to operate in the future
low carbon energy system
Heat decarbonisation will
require significant market
changes/policy drivers
@MatthewLipson