The aim of this thesis is present a simplified technical-economic analysis of the potential replacement of existing heating system in the family house (a hot water boiler on an extra light fuel oil) with a new one that works on gas absorption heat pump principle. The additional incentive for making such an analysis are existing subventions of Split-Dalmatia County for this kind of projects and investments. In the first part of this thesis, the theory part, the principle of gas absorption heat pump is theoretically explained. Additionally, the review of the working characteristics and trends of use are presented too. The second part represents the technical-economic analysis of potential replacement of existing heating system in a family house. Based on existing ten-year data for the fuel consumption in a family house in the city of Sinj, regarding the average monthly heating demand, the selection of the gas absorption gas heater was carried out. Also, the investment and operating costs of the new heating system were estimated. Finally, using the simplified economic analysis a period of return on investment for the project of replacement of the heating system is determined for two scenarios, both regarding the possibility of obtaining subventions.