Why we invested in Quatt?

Article written by Carlos Fisch and Pedro A.

Heating in the energy transition era

Replacing heating systems that rely on fossil fuels such as coal, oil, or natural gas with efficient, clean technologies is crucial for achieving our net-zero targets by 2050. These advanced systems significantly reduce greenhouse gas emissions, thereby playing a vital role in combating climate change and promoting a sustainable future.

Heat pumps are essential in this transition, as 80% of energy consumption in the residential sector is spent on space and water heating. They significantly reduce the overall carbon footprint by requiring less energy to operate, thanks to their 4-5 times higher coefficient of performance (COP) compared to gas boilers. Moreover, heat pumps can use power from utility-scale renewable sources or even residential solar panels, further decarbonizing the built environment.

Hybrid heat pumps and gas boilers

In this context, Quatt aims to accelerate the energy transition by developing an attractive, affordable, and smart hybrid heat pump. A hybrid heat pump combines a gas boiler with an electric heat pump, optimizing efficiency by switching between electricity and gas. The heat pump covers most heating needs using renewable energy, while the gas boiler provides extra heat during peak demand. This reduces fossil fuel use and lowers greenhouse gas emissions. By vertically integrating design, hardware, software, distribution, and installation, Quatt ensures a seamless customer experience with a single point of contact throughout the process. Founded in 2021 by Marijn Flipse and Bas Flipse , Quatt now has 160 employees and has established a leading position in the Netherlands.

Hybrid heat pumps are an attractive and affordable option during the current transition period, given the large stock of gas boilers in Europe that can be hybridized. They also optimize heating costs by balancing the use of electricity and fossil fuels based on external conditions and energy prices. Quatt’s hybrid heat pumps can meet a home's heating needs 80% of the time, reducing gas consumption for heating to just 20% and achieving an overall decrease of 70% in CO2 emissions.

Additionally, by reducing dependence on a single energy source, hybrid heat pumps enhance energy security and independence. Finally, hybrid heat pumps are the first step towards an all-electric heating system - when the gas boiler reaches the end of its life, Quatt clients can opt to upgrade to all-electric at an affordable price.

Quatt

We are happy to announce our investment in Quatt, alongside Blue Earth Capital and Impact Equity Fund, to support Marijn and Bas on their journey. Our partnership with Quatt aligns with our vision of advancing innovative and sustainable solutions for home decarbonization, as demonstrated by our investments in Wallbox (smart electric vehicle chargers, NYSE:WBX) and Samara (digital solar residential). We are confident that, with our support, Quatt will continue to innovate and lead the hybrid and all-electric heat pump market across Europe, and introduce  new products like Quatt Chill.