Example of an entire city laid out for DH at a 0% IRR level. The black figure to the right is a significant, no-carbon-free surplus heat source. Readers familiar with the east of Scotland will recognize the map of Dundee. The examples given are not based on the actual situation. Dundee has merely been used, as
IRR for the entire city: 0%
discussion with knowledgeable
people from Dundee led to the initial idea for this article.
A simplified example of several projects to be developed over time with different levels of calculated IRR that, in total, will become a city-wide system. Please note that the IRR numbers are fictional and for illustration only. The IRR for the city-wide system is 0%
IRR in the entire city: 0%
An example of projects that can be developed with high IRR expectations (14% or more) – the complete lines. More may be developed but would then rely on subsidies or grants from, e.g., the local authority – the dotted lines. The large low- carbon heat sources to the left will not be included in the project and will be lost.
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