In 2022, California set an ambitious target to install 6 million heat pumps by 2030, but only 2.3 million have been completed to date. This means the state needs to ramp up its installations to about 2,000 per day over the next five years to meet its goal. Achieving this will be challenging, as a standard mini-split heat pump can take approximately a day to install and costs between $4,000 and $6,000 per zone, as noted by EnergySage.
Mary-Ann Rau, co-founder and CEO of Merino Energy, believes significant changes are necessary to address this challenge. Operating quietly until now, Merino Energy aims to simplify the heat pump installation process. The startup revealed its innovative product, the Merino Mono, which retails for $3,800 and features a one-hour installation process.
Rau’s background includes experience at Apple, where she was involved in product launches such as new AirPods. Through her personal experiences electrifying her home with solar panels and an induction stove, she realised the prohibitive costs associated with heat pumps. This led her to the realisation that if such technology was difficult for someone with her privilege, it would be out of reach for most Californians and Americans.
Traditional heat pumps consist of two separate units: an indoor heat exchanger and an outdoor condenser. Merino’s design merges these into a single unit that requires minimal space and plugs into a standard 120-volt outlet. Rau emphasizes that if a microwave works on a typical outlet, the Merino Mono will too.
The Mono includes standard features of modern heat pumps like Wi-Fi connectivity and room-sensing capabilities, enabling multiple units within a home to operate efficiently together. Rau noted that they’re developing an integration with Oura Rings, allowing the system to adjust room temperatures during specific sleep phases.
Installation of the Merino Mono involves creating two openings in the wall for air intake and exhaust. This design allows for a continuous air loop that heats or cools the room, with only the intake and exhaust ports visible from the exterior. Rau pointed out that eliminating the outdoor unit simplifies the installation drastically, skipping complex procedures of connecting and charging refrigerant lines.
While Merino’s unit offers less efficiency—recording a SEER2 rating of 15.2 compared to higher ratings from two-zone systems—it is tailored for smaller living spaces such as apartments and condos. The focus was on making the system straightforward and cost-effective, which Rau believes aligns with the pressing issues they aim to tackle.
Currently, Merino Energy is installing 48 heat pumps at the Civic Center Apartments in Richmond, California. While concentrating its efforts on California for now, the company plans to expand operations to states like Hawaii, Oregon, and Washington. Six installers from the Bay Area and Los Angeles are already on board, and pre-orders are being accepted for deliveries later this year. Rau remains optimistic that by simplifying the installation process, they can significantly boost heat pump adoption in the market.
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