How much dearer can a heat pump be than a gas furnace plus AC before gas wins on 30-year cost?
research/house-hvacnpc
How much dearer can a heat pump be than a gas furnace plus AC before gas wins on 30-year cost? Break-even premium $84 to $735 in the South; in Chicago to Duluth it would have to cost $5,399 to $6,698 less. No equipment prices used; stylised.
What it found
Instead of inventing equipment prices, reports the break-even premium at which a heat pump and a gas furnace + AC tie on 30-year net present cost, each with its own cost-optimal envelope, at EIA state prices. In Miami, Houston and Atlanta the heat pump may cost at most $84, $132 and $735 more; in Chicago, Minneapolis and Duluth it would have to cost $5,399 to $6,698 less, across 1–6% discount rates. The southern result flips with gas 25% cheaper. Constant COP flatters the heat pump in the cold; no equipment sizing or incentives. Stylised.
A figure from its own output
Paper, code and results
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Produced with AI assistance (Claude). Results are from the code in this repository and are simulated or stylised unless the abstract says otherwise; nothing here implies affiliation with or endorsement by any lab, researcher or company cited. MIT licensed.