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• Scenario • Representative building application. The economics and energy savings of GSHPs (or any advanced space‐ conditioning technology) will vary with geographic region due to variations in: • Utility rates • Climate conditions • Typical construction characteristics • Financial incentives provided by the state or local utility. There are other geographic variables that impact the cost and performance of ground coupling (such as soil type, available land, and environmental regulations), but these characteristics can vary significantly within any reasonably sized geographic region, so it is difficult to evaluate their impacts quantitatively. Figure 3‐2 outlines our approach to projecting energy impacts for a given region, scenario, and application. We evaluate potential energy savings two ways: • Technical potential: Primary energy savings that would result if 100 percent of installations of the baseline technology are replaced with the advanced technology. Technical potential places a theoretical upper bound on energy‐savings potential. • Market potential: Ultimate primary energy savings that one would expect based on the “fundamental” energy‐savings economics. Market potential is always lower than technical potential because the higher first costs and other complexities of the advanced technology will prevent complete displacement of the baseline technology. We assume that the advanced technology has been in the marketplace sufficiently long to have reached its ultimate saturation (typically 10 to 20 years for high‐efficiency building equipment—see Section 3.12 below). U.S. Department of Energy 31PDF Image | Ground‐Source Heat Pumps
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