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An economic assessment of electricity for industrial space heating in the United Kingdom

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  • Morrison, Michael B.

Abstract

The potential for increased use of electricity for space heating in industry in the United Kingdom is investigated. Two presently available technologies are considered the most likely candidates: electricaire (storage-based warm air heating on a restricted hour tariff) and air-to-air heat pumps. A simulation modeling approach is employed to examine the economic feasibility of the two electricity-based heating systems. The central component of the model is a simple industrial building with known thermal characteristics. The technical performance of the heating system installed in the model factory is assessed over the period of a year, while the economic performance is evaluated over the lifetime of the heating system. The economic competitiveness of electricaire and heat pump space heating is assessed by comparison with gas-fired warm air heating for different sizes of factory and shift patterns. The future prospects of the heating systems are examined under various scenarios. It is concluded that electricaire looks most favourable in small single shift factories because of its low capital cost, while heat pump heating looks most attractive in factories operating longer shifts, particularily if advantage can be taken of restricted hour tariffs. Greater penetration of heat pump heating systems is only likely if reductions in the capital cost of heat pumps and/or improvements in the coefficient of performance are achieved.

Suggested Citation

  • Morrison, Michael B., 1982. "An economic assessment of electricity for industrial space heating in the United Kingdom," Energy, Elsevier, vol. 7(12), pages 969-989.
    • Handle: RePEc:eee:energy:v:7:y:1982:i:12:p:969-989
    DOI: 10.1016/0360-5442(82)90082-2
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    1. Department of Agriculture and Fisheries, 1981. "Statistics," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 20(2), April.
    2. Department of Agriculture and Fisheries, 1981. "Statistics," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 20(1), January.
    3. Department of Agriculture and Fisheries, 1981. "Statistics," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 20(3), October.
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