P15
Does heat conservation pay with the present incentive system? The question in this section is whether the present heat conservation incentive system is capable of “delivering” the right amount of heat conservation in right time and in that way, also support a low temperature heating system.
Costs of heat conservation in multifamily apartment buildings
Figure 1 shows the costs per kWh of energy conservation in multifamily apartment buildings based on calculations from the Danish Building Research Institute (SBI) and the Danish
Figure 1. Costs per kWh of energy conservation in Danish multifamily apartment buildings. (1 Euro is the equivalent of approximately 7.5 Dkr).
heat atlas. The calculations are linked to the implementation of what SBI calls scenario A with a 60% reduction of energy consumption in multifamily apartment buildings. The first 1 TWh conservation costs are 0.6 Dkr per kWh and the last almost 2 TWh conservation cost 0.95 Dkr/kWh. In the calculations of figure 1, we have used a discount rate of 4% p.a., and a technical lifetime of the investments of 20 years. We assume that this is a rough average of the financial conditions of investors in heat conservation. If we had used a lower discount rate and a longer technical lifetime, the costs per saved kWh would be lower. The tariff system in Danish district heating companies In this section, we will analyze whether consumer payment for heat supply, as manifested in tariffs, are higher or lower than the figure 1 consumer costs of energy conservation. If the payment for heat supply per kWh is higher than the costs of energy conservation, it pays to invest in energy conservation, and if the heat bill per kWh is lower than the “energy conservation bill” per kWh, heat conservation does not pay.
District energy in North America relies primarily on steam heating, which can be costly to operate and maintain, as well as being a potential safety hazard. Ramboll is assisting Dartmouth College, Massachusetts Institute of Technology (MIT) and Wesleyan University in the US and Sheridan College in Canada in lowering their greenhouse gas emissions through steam to hot water conversions.
LEARNING IS A BUILDING BLOCK FOR THE FUTURE (DISTRICT ENERGY CONTRIBUTES TO ITS SUSTAINABILITY)
See how we help campuses with district energy: www.ramboll.com/d-e
FOUNDED IN DENMARK IN 1945, RAMBOLL HAS PROVIDED CONSULTING SERVICES TO MORE THAN 200 DISTRICT ENERGY SYSTEMS WORLDWIDE.
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