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Decarbonising district heating: untapped potential for Europe

By District Energy posted 02-10-2025 10:56

  

Smart Energy International

Summary

District heating as a multi-technology solution is currently underutilised for Europe to meet near-term decarbonisation goals affordably, highlights a recent study launched by Wärtsilä Energy.

The study, conducted by economic consulting firm Compass Lexecon, shows that modernising the district heating sector could cut EU carbon emissions and scale renewable energy use significantly by transitioning away from inflexible coal-fired systems.

The study identifies and analyses various revenue streams for combined heat and power generation – particularly CHP engines – using gas and examines relevant European regulatory framework and future trends affecting these revenue streams.

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