A heat pump is an energy-efficient device that transfers heat from one place to another, providing both heating and cooling for residential, commercial, or industrial spaces. Instead of generating heat through combustion, it works by moving thermal energy using a refrigeration cycle. During winter, a heat pump extracts heat from the outside air, ground, or water and transfers it indoors. In summer, the process reverses, and it functions like an air conditioner by removing heat from inside and releasing it outdoors.