How can we encourage businesses to adopt heat pump rooftop units (RTUs) across the nation?
On August 15, staff from the U.S. Department of Energy (DOE) and the National Renewable Energy Laboratory (NREL) stopped by PRG, Inc., a Minneapolis affordable housing and homeowner education nonprofit to explore this question. They met with Center for Energy and Environment's (CEE) One-Stop Efficiency Shop and Next Gen RTU team to discuss how to drive the change in commercial spaces. Seeking to improve the building's energy efficiency, PRG leaders worked with CEE's One-Stop Efficiency Shop in July to install two dual fuel heat pump RTUs.
The visit was a result of CEE’s recent partnership with the DOE’s Commercial Building Heat Pump Accelerator. The program, launched in April 2024, involves partnering with stakeholders, from commercial building owners to manufacturers, to advance the development and adoption of heat pump packaged RTUs.
The DOE Commercial Building Heat Pump Accelerator has two components: the Commercial Building Heat Pump Campaign, which aims to help commercial building owners and operators adopt heat pump RTUs, and the Commercial Building Heat Pump Technology Challenge, which involves working with manufacturers to bring better heat pump RTUs to market.
This work closely aligns with Next Gen RTUs, a statewide program under Minnesota’s Efficient Technology Accelerator (ETA), a partnership funded by the state’s investor-owned utilities, administered by the DOE’s Division of Energy Resources (DER), and implemented by CEE. The program shares a common goal with the DOE’s efforts: advancing heat pump RTU technology.
Next Gen RTUs targets buildings, typically three stories or less, collaborating with building owners, contractors, distributors, and manufacturers to promote these next gen RTUs as the industry’s standard. Next gen RTUs are packaged heating and cooling units that use energy efficient technology to effectively heat and cool a commercial space, reducing energy consumption and emissions. The primary focus of the program is dual fuel heat pump technology and energy recovery ventilators (ERVs). These technologies are key to developing the next gen RTU.
Backed by research and pilot projects, the Next Gen RTU program anticipates a series of educational trainings for contractors and building owners seeking support in efficient HVAC solutions. With over 60% of total energy use in commercial buildings in Minnesota coming from heating, cooling, and ventilation, optimizing RTU efficiency is essential.
"PRG's building serves as a great example of CEE's work with local small business who are excited about energy efficient HVAC solutions," said Leah Guenter, initiative manager for Next Gen RTUs. "We were able to highlight not only how well these units work for businesses in our community, but also the need for advocates like the staff of CEE's One-Stop Efficiency Shop who help building owners navigate the challenges of the procurement process."
According to Guenter, the RTUs at the PRG office exemplified the smaller tonnage RTUs that make up over fifty percent of RTUs in Minnesota. Viewing and discussing the units also allowed CEE, DOE, and NREL staff to brainstorm future cold climate improvements to improve the heat pump RTUs available on the market.
"These on-the-ground insights, informed through both our research and program work, can help the DOE prioritize equity as it works to make new technologies available to all businesses, including small businesses in cold climate regions."
Through initiatives like DOE’s Commercial Building Heat Pump Accelerator, CEE’s One-Stop Efficiency Shop, and Next Gen RTUs, Minnesota is moving closer to a future of energy efficient buildings. The partnership is more than just a collaborative effort — it’s a strategic effort to make advanced technologies accessible to business of all sizes, especially those in cold climates. By driving energy efficiency and delivering emission reduction goals, these programs are transforming the way Minnesotans heat and cool their buildings.