District heating in Denmark100 years history in 15 minutes

Visit by Boston Green Ribbon Commission Administration16 June 2016

Lars Gullev

Chair, DBDH

CEO, VEKS

Table of contents

• District Heating (DH) = District Energy (DE)

• Introduction of Danish Board of District Heating.

• District Heating (DH) in Denmark– History 1903-1979

– What consequences had the heat Supply Act for the expansion of DH in Denmark?

– What is the secret behind this amazing development?

– Is DH complicated?

– Where are we today?

– What can we expect in the future?

DBDH – Unites the energy

• Promoting district energy for a sustainable city transformation.

• Organization for leading actors in the District Heating and Cooling (DHC) Sector.

• Established in 1978 – today 65 members.

• Magazine HOT|COOL.

• www.dbdh.dk.

Photo: CTR Peak Load Station by the Copenhagen Airport

DBDH – The District Heating IndustryManufactures – Consulting engineers - Utilities

Table of contents

• Introduction of Danish Board of District Heating.

• District Heating (DH) in Denmark– History 1903-1979

– What consequences had the heat Supply Act for the expansion of DH in Denmark?

– What is the secret behind this amazing development?

– Is DH complicated?

– Where are we today?

– What can we expect in the future?

1903

100 years DH history1897 - 1903

• Impossible to find areas for landfills inside the boundaries of the municipality of Frederiksberg.

• Construction of a new hospital.

100 years DH history1903-1914

• The first steps to construct a DH system in the centre of Copenhagenwas taken just after 1903.

• The customers were CPH City Hall, hospitals and public baths.

• Heat production was based on CHP.

100 years DH history1945

• DH systems were until now primarily established in the larger cities.

• The DH companies were municipality-owned.

100 years DH history1945-1960

• Increasing welfare in the Danish society.

• Water-based heating systems are replacing stoves and fireplaces.

• New company structure:– Groups of citizens join together

and establish consumer co-operatives - inspired by the countryside 75 years ago.

100 years DH history1945-1960

• What is the driver for the development?

•Market• Price difference between

gas oil and fuel oil is a kick-off for the expansion of DH in Denmark.

100 years DH historyOil crisis in 1973 and 1979

• 1973

– The war in the Middle-East resulted in increasing oil prices.

– Oil supplies to Denmark were reduced.

– About 92 % of the energy consumption in Denmark was at that time based on imported oil.

100 years DH history1979

• The first Heat Supply Act in the world with focus on:

– Energy supply system based on different fuels.

– Improving the reliability of energy and fuel supply.

– Increasing the overall energy efficiency.

What consequences had the Heat Supply Act for the expansion of

district heating in Denmark? the heat Act?

Focus on Combined Heat and Power (CHP) – What is that?

0

500

1000

1500

2000

2500

3000

1981 1990 2000 2010 2014

Oil burner Natural gas burner

District heating Others

Heating installations in dwellings

Danish Energy Agency Page 16

1000 units

63 %34 %

What is the secret behind this amazing development?

District Heating Adds Real Value

Lower Price

Jobs Less CO2Energy

efficiency

District Heating

Is district heating complicated?

Technically DH is NOT Complicated

DH is fuel agnostic!

Storage

Pipes, pumps, valves . . . Heat demand

• Like your own boiler – a lot bigger and a lot smarter!!

• Moving “free” heat to a useful place

• Extremely well proven technology!!

Where are we today?

Today – 113 years after the beginning….

Main Results:

• Lowest energy consumption per GDP-unit in EU.

• Highest contribution to electricity from new renewables (non-hydro RE) in the world.

• Most efficient clean coal technology world wide.

• Leading nation of advanced energy solutions (DH and CHP, wind turbines, biomass plants, energy saving technologies …) Front Cover of Hot|Cool 3/2009 (Focus:

System Integrator on Urban Infrastructure)

“The Danish Example”De-linking Economic Growth from Energy Consumption

Financial Crisis

75

80

85

90

95

100

105

110

115

120

125

1990 '95 '00 '05 '10 '14

Heated floor spaceFinal energy consumptionFinal energy consumption per m2

Energy consumption for heating in dwellings

Danish Energy Agency

Index 1990=100 Climate adjusted

123 %

98 %

80 %

CHP share of thermal power and district heating production

Danish Energy Agency

0%

20%

40%

60%

80%

100%

1990 '95 '00 '05 '10 '14

District heating

Electricity, shares of thermal production

70 %

60 %

0%

50%

100%

1990 '95 '00 '05 '10 '14

Heat pumps and electric boilersRenewable energyWaste, non-renewableCoalNatural gasOil

Fuel consumption for district heating production, percentage distribution

Danish Energy Agency

50 %20 %

What can we expect in the future?

VEKS

– Partnership between 12

municipalities

– 350,000 tax-payers

– 170,000 end – users

– 9,000 TJ (2,500 GWh)

100 % CO2 neutral DH in CPH in 2025

DH in Greater Copenhagen

– 19 municipalities

– 4 integrated systems

– 500,000 end – users

– 34,500 TJ (9,600 GWh)40 km

Køge Bay

Summary

• DH and DHC cannot solve all the modern society’s climate and environmental problems, but….

Summary

• … no modern society can solve the growing climate and environmental challenges without involving DH and DHC as an integral part of the infrastructure.

Thank you

Further information:

www.dbdh.dk

www.veks.dk

lg@veks.dk