If I'm reading between the lines on this thread correctly, Greg is bringing up "the" question for anybody north of Memphis or so-- is real heat possible without major expense.
Here's the problem (to explain it to those of you in climates where 40 deg is "cold"): VW heat is pathetic in it's stock form, with everything working correctly. Stock ACVWs had really nice heater boxes with aluminum heat sincs to absorb as much heat as possible from the exhaust. They also had a thermostat set-up that bypassed air which would normally cool the engine, until it warmed up.
The good news is that hi-po engines produce more heat internally. The bad news is that it's really hard to extract the heat and put it in the cabin of the car. The last statement assumes that the car has a reasonably air-tight cabin-- most speedsters do not, and that's been discussed to death.
Anyhow-- most places where cold is an issue also have really hot days in the summer, and the bigger issue for the longevity and enjoyment of the car it building a bigger/better cooling system. I've got a DTM a Type 4 oil cooler, and a 96 plate remote cooler with a fan. I've got a Mocal 180 deg bypass plate for the cooler, and a 180 deg thermostat for the remote cooler fan. I run cool on a 100 deg day. Another factor to consider is that most hi-po engines bigger than 2L or so need 1-5/8 exhaust, engines with head work under 2L need 1-1/2 exhaust.
Oversized aftermarket heater boxes don't have heat sincs. Until Tiger at A1 started making 1-5/8 boxes, they weren't available at all for anyone without access to someone willing to fabricate them. Flanged 1-1/2 boxes have been available for some time. A few years ago, a guy named Ron O'Black from BC, Canada tried to make a 1-5/8 heater box with sincs, and gave up. Even nice 1-3/8" heater oxes WITH the sincs are getting to be harder to find-- on my 1776 JPS, I gave up and ordered some Chinese knock-offs from So-Cal.
The other thing working against decent heat from a heater box is the fact that it is outdoor air being heated and introduced to the cabin, and it's a long (cold) way from the heater box to the footwells. I'm in the HVAC business. it takes air that's 100 deg to even feel warm-- with as much air infiltration as a speedster has 120 deg would be nicer. If it's 20 deg outside, you are asking a heater box to raise the temperature of the air 100 deg, as it rushes through the box. Even WITH good heat sincs, fully warmed up, that's a tall order.
Good luck.