US heat pump sales outpace fossil fuel furnaces by 32 percent

Heat pump adoption in the United States is accelerating, with sales surpassing those of fossil fuel furnaces in the first quarter of the year. A new report highlights steady growth over the past 15 years and strong uptake in new housing.

According to the Building Decarbonization Coalition, heat pump shipments doubled over the past 15 years. In the first quarter, they exceeded fossil fuel furnace shipments by 32 percent and came close to matching air conditioning units.

In 2024, heat pumps were installed in 46 percent of new housing, nearly matching the 47 percent share for forced-air furnaces. Three quarters of new apartments now use electric heating, with builders increasingly favoring heat pumps for their efficiency.

Kevin Carbonnier, associate director of analytics at the coalition, said all trends point to greater adoption. He noted that heat pumps offer comfort and efficiency over furnaces while providing cooling in summer.

Kristin George Bagdanov, associate director of research at the coalition, said electric construction is becoming standard practice in new buildings due to lower costs and higher performance.

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German politicians finalizing heating law reform, symbolizing 50/50 landlord-tenant cost sharing for green fuels from 2029.
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Coalition finalizes heating law reform with cost-sharing and quotas

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Germany's black-red coalition has finalized its heating law reform, building on February's agreement. Key addition: landlords and tenants will split costs 50/50 for green fuels in new systems, mandatory from 2029 with rising biogenic quotas.

According to statistics from the Institut der Deutschen Wirtschaft, heat pumps were installed most frequently in German residential buildings for the first time in 2025. The installation rate reached 1.9 percent, surpassing fossil-fuel boilers.

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A new report from the nonprofit RMI highlights that one in five U.S. homes relies on inefficient electric resistance heating, such as space heaters. Switching to heat pumps could save households an average of $1,530 annually and cut carbon emissions by 40 percent. The report calls for incentives to accelerate this transition.

Offshore wind farms off the New England coast delivered hundreds of megawatts of power during a July heat wave, cutting the region's use of oil-fired plants. Data from the period showed a notable drop compared to a similar event the previous year.

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Some Democratic leaders on the East Coast are moving to scale back energy-efficiency initiatives as electricity costs climb. The shift comes as politicians seek quick relief for constituents facing higher utility bills.

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