This solicitation supports the EPIC 2021-25 Investment Plan’s strategic objective to “Improve the Customer Value Proposition of End-Use Efficiency and Electrification Technologies”. The purpose of this solicitation is to fund applied research and development projects that will develop next-generation high-efficiency heat pumps using low or ultra-low global warming potential (GWP) refrigerants in existing residential buildings.
Beneficial electrification is a key strategy for meeting California’s greenhouse gas (GHG) emissions reduction goals. The residential and commercial building sector is responsible for 12 percent of GHG emissions in California, mainly from space conditioning and water heating powered by fossil fuels. Replacing gas equipment in residential and commercial buildings with high-efficiency electric equipment is instrumental to reducing building energy use and offers a low- or zero-carbon pathway to meeting critical building functions traditionally achieved through GHG-emitting appliances.
Although high-efficiency electric heat pumps are gaining acceptance, the current refrigerants used for these appliances often have high GWP values. For example, R410A, the most common air conditioning refrigerant, has a GWP value of 2088. The goal of this solicitation is to accelerate development of electric heat pump technologies that use refrigerants that are significantly lower than the California Air Resources Board (CARB) Refrigerant Regulations. This solicitation requires refrigerants with values of GWP ≤ 150 and ultra-low GWP < 10, while maintaining efficiency and cost-effectiveness. Funded projects from this solicitation must develop pre-commercial technologies that use low or ultra-low GWP refrigerants while maintaining or improving on energy efficiency and addressing safety concerns.
Projects must fall within one of the following project groups:
- Group 1: Low GWP 120V Heat Pump Water Heating Systems
- Group 2: Ultra-low GWP Multi-function Heat Pump for Domestic Hot
Water (DHW) and Space Conditioning Advancements - Group 3: Ultra-low GWP Space Conditioning Systems
This solicitation aims to develop and test low-GWP water heating and space conditioning solutions for single family (SF) or multi family (MF) residential buildings with an emphasis on technology advancements and replicability.
Requirements For All Groups
The projects and technologies considered for all three groups in this solicitation must meet all the following requirements:
• Use low or ultra-low GWP refrigerants, as described in the Group 1-3 requirements.
• Conduct pilot testing in a laboratory.
• Progress at least one Technology Readiness Level (TRL) level by the end of the agreement. The starting TRL is expected to be 3-4.
• Assess the strengths and weaknesses of alternate refrigerant systems, including energy use and safety compared to traditional refrigerants currently in use.
• Include controls to enable energy resiliency and grid flexibility to minimize electric load during net peak, such as Consumer Technology Association’s Modular Communications Interface for Energy Management (CTA-2045 B Level 2).
• Include air filters (if applicable) that shall be either 1) permanent, washable media or 2) replaceable, standard filters that are obtainable at a typical hardware store. The heat pump unit shall provide visible notification to display the appropriate need to change, or service, the filter to prevent a performance compromise of the heat pump from reduced airflow.
Projects and technologies are also encouraged to include the following features:
• Refrigerant leakage detection.
• Partnership with a mechanical system manufacturer to ensure a path for equipment advancement and commercialization after the grant is completed.
• Field demonstrations in residential buildings. All field demonstrations must occur in a CA electric investor-owned utility (IOU) service territory; lab testing doesn't need to occur in an IOU territory.
• Testing of multiple refrigerants to compare efficiencies and optimal designs.
• Innovative ways to incorporate thermal energy storage to reduce or shift peak loads, increase efficiency, and/or bring other benefits.
• Proposed unit cost competitive with typical heat pumps that use higher GWP refrigerants.
• Proposed operation costs comparable to, or better than, typical heat pumps.
• Proposed maintenance requirements comparable to typical heat pumps.
Projects that demonstrate benefits for disadvantaged or low-income communities are encouraged and may be awarded extra points under scoring criteria 8.
FUNDING - There is up to $9,375,000 available for grants awarded under this solicitation. The minimum funding amount for each project is $1,000,000. The total, minimum, and maximum funding amounts for each project group are listed below.
Project Group | Available CEC funding | Minimum CEC award | Maximum CEC award | Minimum total match share |
Group 1: Low GWP 120V Heat Pump Water Heating Systems | $4,000,000 | $1,000,000 | $2,000,000 | 20% |
Group 2: Ultra-low GWP Multi-function Heat Pump for Domestic Hot Water (DHW) and Space Conditioning Advancements | $3,000,000 | $1,000,000 | $2,000,000 | 20% |
Group 3: Ultra-low GWP Space Conditioning System | $2,375,000 | $1,000,000 | $2,375,000 | 20% |
Match Funding Requirement - Applications must include a minimum 20% total match share.
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