The economic slowdown resulted in a slowdown in the growth of the heating market in 2015. The ATW market saw momentum stall and showed disappointment. Electricity is expensive in Germany, and its heating market is heavily influenced by the price of oil. The low price of oil last year was therefore an obstacle to heat pump market growth.
The price of electricity has more than doubled in the last 10 years, while the price of gas has stayed low and the price of oil has fallen from the relatively higher price two to three years ago. Therefore, this makes it difficult to promote the advantages of heat pumps for replacement demand.
Demand in the new home market is solidly growing, as there are efficiency regulations that new homes have to meet. Germany shares this market feature with France, but diverges markedly from France in that there is little real activity in replacement demand.