Published on June 19th, 2018 | by Kyle Field0
Residential Geothermal Startup Dandelion Partners With American Heating And Cooling
June 19th, 2018 by Kyle Field
Residential geothermal energy solution provider Dandelion has announced a new partnership with American Heating and Cooling that increases its installation capacity in Eastern New York State.
“American Heating and Cooling is a leading home HVAC provider in the Hudson Valley with 35 years of experience,” said Kathy Hannun, Dandelion’s CEO. “We are thrilled to partner with them in the region’s transition from fuel oil and propane heating to safe, convenient, clean geothermal heating and air conditioning.”
The news comes nearly two months after Dandelion took the wraps off of its flagship product offering, the Dandelion Air, and allowed the public to make a reservation for the unit. Reservations, while not tied to a deposit, still gave the company an idea of just how much demand there was for an affordable residential geothermal system and more importantly, where the potential customers were located.
While largely unproven in volume production and installations, Dandelion claims that its systems will be low maintenance while at the same time, deliver savings to homeowners as no fuel is required for the systems. Eliminating the need to burn fuel for heating in the home has a direct correlation to higher indoor air quality.
“We are thrilled to be partnering with Dandelion,” said Mike Bloch, co-owner of American Heating and Cooling, “Unlike most industries, heating and cooling technology has not changed very much over the past 35 years. Dandelion’s innovation and technology brings home heating and cooling into the 21st Century.”
Dandelion shared with CleanTechnica that its production partner AAON is able to produce 180 heat pumps per day as of today. On the installation side, volumes will initially be much lower, with Dandelion only targeting to install a couple hundred systems in 2018. On that proven installation base, Dandelion expects the residential geothermal industry to follow the adoption curve of the home solar industry, with exponential growth ramping up starting in 2019.
The full Dandelion Home Geothermal System will be made available to customers as a purchase or with financing, though it’s clear which option is better for the pocketbook. Dandelion expects that homeowners paying cash for their system will save 60% on their annual heating and cooling bills whereas homeowners who finance their system through Dandelion will still save, but only 20% of their annual heating and cooling bills.
The new deal (no, not that New Deal) gives American Heating and Cooling end-to-end management of sales, installation and service of the Dandelion Home Geothermal System over its operational life. American Heating and Cooling will come on site to perform the site survey, design and install the system and perform all long-term maintenance of the systems. On the back-end, Dandelion will supply the software to design its systems as well as for the installation process.
The deal with American Heating and Cooling is not exclusive and allows Dandelion to ramp up its installer base without having to worry about one installer stepping into the territory of another installer.
A Dandelion spokesperson shared with us that, “All homes would benefit from switching to Geothermal heating and air condition and more and more homeowners are realizing that.” As with the solar adoption curve that Dandelion is looking to follow, if residential geothermal is going to succeed, it will succeed because of favorable economics. If the estimated savings above hold true, Dandelion truly is at the tip of a cresting wave of residential geothermal installations.