A growing number of companies are trying to solve one of the biggest problems in home electrification: Heat pumps can save energy and cut pollution, but they are often expensive and complicated to install.
Now, Bay Area startup Merino Energy says it has a simpler option — a single-room heat pump that comes with installation included for a flat $3,800.
According to Canary Media, San Francisco-based Merino Energy has launched the Merino Mono, a compact heat pump designed to heat and cool a single room without needing the large outdoor unit typically required for ductless mini-split systems.
Rather than using a separate outdoor unit, the Merino system goes through an exterior wall and contains the usually outdoor-facing components within the same appliance. Merino says a certified contractor can install it in less than an hour.
"The price tag to do regular ductless is just way too high. This really drops the cost," Owen Krebs Grimsich, founder and CEO of Merino Energy installation partner 1-888-Heat-Pumps, told Canary Media.
The company says the unit can handle spaces of about 350 square feet, plugs into a standard 120-volt outlet, and draws up to 900 watts at maximum power. Merino is initially targeting customers in California, and people can reserve a unit with a $38 deposit for delivery as soon as this winter.
The startup's first retrofit is underway at Civic Center Apartments in Richmond, California, where 48 studio units for low-income residents are each being outfitted with a heat pump.
Heat pumps are widely seen as a key tool for cutting planet-warming pollution from buildings because they can replace fossil fuel furnaces and boilers with highly efficient electric heating and cooling.
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But adoption has been slowed by high upfront costs, especially in older homes and multifamily buildings. That challenge is especially urgent in places like California, which has set a goal of deploying 6 million heat pumps by 2030.
Merino's pitch is that a room-by-room system could help more households electrify without taking on the cost and disruption of a whole-home retrofit. Co-founder and CEO Mary-Ann Rau told Canary Media that her own 1906 San Francisco home was quoted about $40,000 for a ductless heat pump installation — a price she said she could not justify.
For many homes, especially historic properties, condos, accessory dwelling units, and buildings with limited outdoor space, traditional systems can be difficult to install. Merino says its design keeps structural wall studs intact by using two 6-inch vents between them, which may reduce labor and construction headaches.
There is also a possible cost advantage on the electrical side. Because each unit plugs into a standard outlet, some households may be able to avoid the expensive service upgrades that can come with larger HVAC electrification projects.
Merino is starting small but aiming big. The two-person startup, founded in 2024, says it already has six contractor partners and plans to train more in the coming months.
This kind of product will not be the right solution for every home, but for renters, condo owners, owners of older homes, and anyone looking for a more affordable way to electrify one room at a time, the Merino Mono could open a more realistic path.
For people interested in lowering home energy use and reducing reliance on gas appliances, it may be worth watching how these smaller-format heat pumps perform as more projects roll out.
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