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Cascade Natural Gas Launches Hybrid Heating System Pilot in Bend

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Cascade Natural Gas Corporation is launching a pilot project in Bend, Oregon to study whether dual fuel heat pump systems can help reduce greenhouse gas emissions (GHG) while saving customers money through improved efficiency. The systems incorporate both a natural gas furnace and electric heat pump and use advanced control technology to maximize the lowest-cost and cleanest heat source.

Working in conjunction with GTI Energy, a nonprofit technology development organization, the pilot will install three different types of hybrid heating systems in a total of 24 homes in Bend. At the conclusion of the 2025-26 heating season, results of the pilot will be analyzed to determine the benefits of each technology and whether hybrid systems achieve the emissions reduction and energy cost savings.

Customers interested in participating in the project should visit https://forms.office.com/r/h6zpLm1sAr to apply, or contact Noemi Ortiz, Cascade Natural Gas Energy Efficiency Programs Manager, at noemi.ortiz@cngc.com or call (509) 907-7594.

“We’re excited to conduct this pilot project in Bend,” said Lori Blattner, Director of Regulatory Affairs for Cascade Natural Gas. “Cascade has had collaborative discussions with the city about opportunities to support Bend’s climate goals while continuing to maintain energy reliability and resiliency. We think this project can help the utility, the city and our customers achieve shared goals.”

Local heating and air conditioning contractors will be integral to the success of the pilot, Blattner added. The company is recruiting local companies to install and maintain the equipment, which will be installed in customers’ homes free of charge. At the conclusion of the pilot project, the homeowners will keep the equipment.

“An aspect of this proposal that is particularly exciting to the Bend Chamber is the workforce development potential it creates. The pilot program will open up meaningful opportunities for local, qualified residential    HVAC contractors—supporting both job growth and our region’s transition to alternative energy solutions,” said Sara Odendahl, interim CEO of the Bend Chamber of Commerce.

Cascade hopes to recruit for each group at least one low-income customer eligible to participate in Cascade’s Energy Discount Program. The study will primarily replace existing central air conditioners with electric heat pumps that can provide both cooling and heating. The homes will have existing gas furnaces, which will be operated along with the new electric heat pumps. GTI Energy will monitor performance and calculate the savings and impact of the technologies installed.

This pilot gives us the opportunity to test innovative heating technologies in real applications,” said Ryan Kerr, Director, Emerging Technologies, GTI Energy. “GTI Energy’s goal is to understand how hybrid systems can maximize efficiency, cut emissions, and provide families with affordable and reliable comfort year-round.”

GTI Energy will identify three different manufacturers’ systems to test. Each system will be installed in eight homes.

Installation is anticipated to be completed in October, and homes will be monitored for about a year, through October 2026. A final report on the pilot study will be issued by December 31, 2026. The report will include an assessment of greenhouse gas emissions reductions and customer usage and costs as well as surveys with both homeowners and contractors to understand the installation experience and customer satisfaction.