
Germany’s Heat Pump Market: Current Status and Future Outlook
An overview of the German heat pump market: current figures, forecasts, and its dependence on policy frameworks such as subsidies, legislation, and energy prices.
Topic
When & Where
Details
Format:
Lecture
Language:
English
Session description
The German heating market has shown a steady shift from fossil-based heating systems to heat pumps over the past years. In the new-build sector, this transition is already well advanced: heat pumps now account for around 75 % of all newly installed heating systems.
However, a major development has occurred since 2020—most heat pump installations now take place in existing buildings. This reflects a broader transformation, as decarbonizing the existing building stock is essential to achieving climate targets.
After strong sales peaks in 2022 and 2023, the market experienced a significant setback in 2024. Consumer uncertainty caused by public debates, delays in legislative processes, and unclear subsidy rules led to a sharp decline in demand. This showed just ho ...