Electric night storage heater was introduced and disseminated for power grid balancing and efficient management of power generation facility. But fuel cost for heating has been increased rapidly while the cost of electricity increased slightly. This abnormal rate system caused peak load in winter at last. To solve this problem, application of an air source heat pump was suggested. In the study, the effect of replacing night heater by heat pump and the economics were analysed. In addition the expectation of prospect of heat pump penetration was simulated based on surveyed and investigated data. As a result, fund supporting as well as institutional backing was needed for effective propagation and return of investment.