▾ { response_id: "8c41f7ae-3d62-4b19-a7f0-51ee2c9d4b83", text: "A heat pump moves heat instead of burning fuel to create it, which is why one unit can both warm and cool a home. Here is the short version of how it works and where the savings come from: **How a heat pump works:** - A refrigerant circulates through an outdoor coil and an indoor coil. - Outside, the refrigerant absorbs heat from the air or ground, even at low temperatures. - A compressor raises the pressure of that refrigerant, which raises its temperature. - Indoors, the warm refrigerant releases its heat into the air moving across the coil. - In summer the cycle reverses and the same equipment pulls heat out of the house. **Main benefits:** - **Efficiency.**