Heating and cooling as a service

Overview of the status and impact of the innovation



Heating as a service (HaaS) and cooling as a service (CaaS) are business models in which service providers, rather than end users, own and operate users’ heat pumps, boilers, chillers or other equipment. The providers charge fees for the services they offer, which can include heat and electricity or also cooling.


Buying services instead of actual equipment lowers the financial risks for consumers by reducing or eliminating upfront costs for purchases and installation. It enables low-income families to make bulk energy purchases, reducing fuel poverty. It also reduces technical risks because service providers are responsible for maintenance. For suppliers, benefits include increased consumer loyalty, access to operational data to improve services, reduced environmental impacts, incentives to increase energy efficiencies and revenues from selling the services.

BOX 6.17 Heating as a service (HaaS) in Denmark

Suntherm in Denmark offers a service that provides heat pumps in homes with no upfront costs. The company’s cloud-based system remotely controls the heat pumps, optimising their operation based on heating needs, consumption patterns and weather forecasts. Suntherm provides all maintenance and repairs and can also connect solar PV. Consumers pay for the services in instalments over ten years.

Source: (Suntherm, 2021).

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