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Dual fuel systems: How to choose your heat pump backup system

Explainer

By: Stephen Wilson

Discover the benefits of heat pumps and explore backup options like electric or gas to stay efficient, cut heating costs, and maximize comfort year-round—even in extreme cold.


Contents


Heat pumpsBackup heating systemsHeat pump benefitsIncrease energy efficiency and decrease heating bills

With winter fast approaching, and widespread initiatives in place to improve the energy efficiency of homes, it’s a great time to look at your home’s heating system.

When trying to decide on heating options for a home, it can be challenging to wade through the misinformation. Many homeowners may not end up making the best choice for their needs and goals, as well as the climate. 

A cold climate heat pump provides year-round comfort, as it can cool in the summer while efficiently and cost-effectively providing the majority of your heating needs throughout even the coldest winter temperatures. By choosing the right backup system, you can ensure that all of your heating degree days are covered.

Heat pumps

By installing a heat pump, you will be in good company. In fact, more Canadians installed heat pumps than gas furnaces in 2021.

Screenshot 2024 10 29 at 09.53.03

Heat pumps are gaining popularity because they offer cooling but are also two to three times more efficient than electric baseboard heaters. Heat pumps can be effective in many climates and provide heating well below freezing. Specifically, with cold-climate heat pumps, extreme cold is manageable in temperatures approaching -19℃. They are also cost-competitive with natural gas (methane) furnaces in terms of operating costs and effectiveness in Canada’s coldest climates. 

Take, for example, Winnipeg, Manitoba — one of Canada’s coldest cities. In the graph below, it highlights how much backup heating is required. As you can see, a four-ton cold climate air source heat pump can meet 5929 hours of heating and cooling needs and can be effective in temperatures down to -19℃, which accounts for 87% of all the heating hours needed throughout the year.

Screenshot 2024 10 29 at 10.23.25

Source: Efficiency Manitoba, Heat Pump Myth Buster April 17th, 2024

 

Backup heating systems

Some homes may require a backup heating source for when it gets extremely cold. 

There are two common backup system choices:

  • Backup electric element: An electric backup system is the most climate friendly option and it requires lower upfront costs, but it may be less cost effective in extreme climates or poorly insulated homes. It’s also important to consider if your electrical panel will be able to handle the load of the heat pump and the backup electric option.

  • Gas furnace: Depending on where you are, the operating costs will be similar when you account for maintenance. This option also has a long lifespan—typically close to 20-years—due to the fact that they only provide heating. If you choose this option, you will need to maintain and repair two separate systems: the heat pump and the natural gas furnace. A contractor can tell you how the maintenance and operating costs of a natural gas system will compare over the 20 year life of the equipment.

Deciding which dual fuel system you should install can be challenging. Most information can be biased in one direction. If you need to install a back up heating system, consider the following questions:

  1. Is your electrical panel able to handle the backup element? Especially in older homes, the electrical panel amperage may not be sufficient to add on an additional electric heating system. If more amps are needed, it’s possible to upgrade your system to a larger electric panel or a smart electrical panel.

  2. How often does your climate get really cold? Although heat pumps and electric backups can manage cold weather, if you’re often exposed to extreme cold, electric furnaces may cause higher bills in the coldest months, though you may save during the rest of the year. Gas furnaces may also produce heat quicker than the electric counterpart. If you’re going to be reliant on your backup system, you’ll want to choose the best option for colder environments. 

  3. How immediately do you need the heat? A heat pump’s air is slightly less hot than the furnace, especially when the heat pump is avoiding freezing. In those instances, it may need a few minutes to start the heating cycle. 

  4. Where is your mechanical system? In airtight homes and homes where the heating system is in the conditioned space, gas furnace combustion needs to be carefully managed and can be potentially harmful. Electric elements are safe and do not have this issue.

How much is the upfront cost versus ongoing costs? Avoiding a gas furnace can make the installation less expensive. However, electricity costs may be higher than gas. If you are using the electric backup system frequently, ongoing costs may be higher.

Heat pump benefits

  • When choosing a heating system for your home, it's easy to focus solely on cost benefits. This makes sense, especially in cities like Winnipeg, Canada, where natural gas remains the most affordable option when compared to the costs of electricity for heating. However, when considering heat pumps with a backup source, electricity can become a competitive alternative alongside natural gas because of the higher maintenance costs of the gas system.

Case

Primary costs

Backup Costs

Total Annual Costs

ccASHP + electrical backup 

$767.21

$392.85

$1160.06

ccASHP + natural gas backup

$767.21

$366.05

$1133.26

Heat pumps also provide cooling, something that a natural gas system cannot do. This means you can avoid installing an AC system, and avoid maintaining separate systems for heating and cooling. Oftentimes, newer heat pumps are more efficient than the existing AC units, providing utility bill savings. With a changing climate, homes will need to consider both their heating and cooling needs to stay comfortable throughout the year, and a heat pump is an ideal and cost-effective solution. 

To achieve net-zero emissions, Canadian homeowners must make environmentally conscious decisions. That's why Canada offers rebates and incentives to encourage the installation of heat pumps, making them a sustainable choice that benefits both the planet and your budget.

Currently, in Ontario, you can receive up to $3,000 in rebates for installing a heat pump and $1500 for attic insulation. You can learn about rebates available in your province in the links below:

By installing a heat pump and taking advantage of these programs, you can not only reduce your carbon footprint and save on utility bills, but also receive financing to improve your return on investment. Canada Greener Loans offers up to $40,000 on a 10-year zero-interest loan.

Increase energy efficiency and decrease heating bills

If you're looking to reduce your carbon footprint and save on utility bills, a heat pump with the right backup system is worth considering. With year-round comfort, energy efficiency, environmental friendliness, versatility and a long lifespan, a heat pump can provide you with many benefits that a natural gas system heating cannot. By taking advantage of dual-fuel systems, a heat pump can be part of the most cost-effective and comfortable solution available, even in the coldest parts of Canada. 

Be sure to consult with a professional HVAC technician to determine which type of system is best for your home and budget, and to explore the various rebates and incentives available in your area.

Ready to upgrade your heating system? Properate can help you estimate the costs, identify available rebates, and explore other home upgrades.