Energy saving + financial subsidies Water source heat pump use a bright future
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Luoyang City, known for its abundant water resources, has a unique advantage in developing water-source heat pump air conditioning systems, especially in the northern region. As the country continues to emphasize energy efficiency in buildings, the adoption of such innovative technologies is gaining momentum.
Recently, a real estate development company in Luoyang received a financial subsidy of 980,000 yuan from the Provincial Department of Finance for implementing an international groundwater-source heat pump air conditioning system. This marks the first time a local enterprise in Luoyang has secured such support, highlighting the growing recognition of sustainable building practices.
The project was initiated by a private real estate firm that embraced state-endorsed energy-saving technologies, which not only helped reduce environmental impact but also qualified them for government incentives. The success of this initiative has encouraged more developers to explore the benefits of water-source heat pumps.
According to the Ministry of Finance's website, the International Plaza was selected as one of the second batch of demonstration projects under the renewable energy building application program. With a demonstration area of 24,500 square meters, the project is eligible for a subsidy of 80 yuan per square meter.
Huang Xin, head of the Municipal Science and Technology Education Section, explained that the Ministry of Finance and the Ministry of Construction launched these subsidies in 2006 to promote the use of renewable energy in construction. A total of 21 projects nationwide have been granted funding, with seven located in Henan Province. Luoyang is home to just one of these projects, underscoring its significance.
The economic and environmental benefits of using water-source heat pumps are evident. As heating and cooling become essential in both residential and commercial buildings, energy-efficient solutions like this are becoming increasingly important.
To better understand the technology, a reporter visited the Yuan International Building site with engineer Li Runhong. In the model room on the sixth floor, three black pipes—supply, return, and condensate lines—were visible. A fan coil unit was installed in the living room, dining room, and bedroom, functioning similarly to central air conditioning.
Li Runhong explained that the water-source heat pump works by either releasing or absorbing heat from the ground, making it highly efficient. Groundwater maintains a stable temperature, allowing the system to cool buildings to 17°C or heat them to 11°C through heat transfer. By supplementing with electricity, the system maximizes energy use while ensuring full groundwater recharge.
He noted that winter heating costs are around 0.12 yuan per square meter daily, lower than central heating (0.16 yuan). Summer cooling costs range between 0.066 and 0.09 yuan per square meter daily, significantly less than traditional central air conditioning.
With a lifespan of up to 25 years, the system saves over 300,000 yuan annually compared to conventional systems. Over the equipment’s lifetime, it can reduce CO₂ emissions by about 23,000 tons, delivering both economic and environmental benefits.
Water-source heat pumps show great promise for future applications. As environmental protection and sustainable development become priorities, alternative heating methods beyond traditional central heating are urgently needed. This technology offers an effective solution for energy conservation, pollution reduction, and lower carbon emissions.
Huang Xin pointed out that Luoyang's geological conditions are highly favorable for water-source heat pump systems. Located at the western end of the Luoyang Basin, the city benefits from a rich water supply and favorable geographic features. Major rivers like Luohe, Yi River, Jian River, and E River contribute to groundwater recharge, while projects like the Luohe rubber dam and New District landscape canals have raised underground water levels significantly.
According to the Municipal Construction Committee, several institutions, including Luoyang Orthopedic Hospital, the Yellow Committee Office Building, and Lijing Sunshine Ecological Park, have already adopted water-source heat pump systems. The total area covered is approximately 300,000 square meters, with excellent results.
Huang Xin believes that with Luoyang’s natural advantages and the government’s increasing support for energy-saving projects, more water-source heat pump applications will follow. He urges local authorities to guide and promote these initiatives to help achieve energy-saving and emission-reduction goals in the city.