HOT|COOL NO. 2/2023 "AI & Digitalization"

they can always opt to install their own heat pump, but joining a heat grid like WarmteStad’s will be far more affordable – and is aesthetically more pleasing. And it gives them access to the power company’s multiple sources, with no lock-in, so they get constant heat whatever the season.” “We’re also working very closely with the Dutch Ministry of Economic Affairs, the Netherlands Enterprise Agency (RVO), the Dutch Association of Municipalities (VGN, an organization in which all the Dutch municipalities work together), and the Dutch public sector bank,” explains Attema. “We’re one of the few municipalities working this closely with the national gov- ernment on finding financing solutions. One of the innovations we’re developing is a guarantee fund for heat district networks which will enable public heating companies to get financing at a lower interest rate, with lower initial reserves, and with much of the paperwork already completed. We're very pleased with this collaboration. It is very important to us and to fu- ture developments in the rest of the Netherlands. Once this arrangement is in place, district heat grids can be developed faster in other municipalities.” Attema: “Groningen is setting the example and trying to make conditions as healthy as possi- ble for us and other municipalities, with the proper legislation and access to finance. We can’t progress if we take away the gas supply and still not be able to invest in heat grids. It all has to come together. If we take Denmark’s example, we see heat grids are successful because they are publicly supported. There are good financial conditions, so that the heating company can borrow the necessary funds.”

WarmteStad WarmteStad is a public corporation providing sustain- able heat to the city of Groningen. It aims to aid the shift from fossil fuels to a sustainable heat supply in the city by producing, supplying and exploiting sustainable heat grids at manageable costs for socially responsible returns. Its ambition is to provide the equivalent of at least 30,000 households through its district heating grid by 2035. Theo Venema is Senior Business Developer at Warmte­ Stad. Marco Attema is Senior Strategic Advisor and Pro- ject Manager for Energy Transition at Groningen Munic- ipality. If legislation changes in the way WarmteStad hopes and ex- pects it to, then progress can be even faster. The company has proved to the municipality, its partners, and the Dutch national government that the system works, and so now hopes to be able to at least double – or even quadruple – efforts. The aim is then to connect 4,000 to 5,000 houses annually to the heat grid. But this is all on condition that policymakers are on board. Without policy and legislation changes, Groningen’s heat grid and other cities and provinces cannot be as successful as they need to be. Attema: “This is what being a frontrunner involves. Setting the example, identifying the hurdles, and looking back to those behind you to see what they need to be able to catch up. You carry this responsibility if you are to pave the way.”

The future for WarmteStad

“You carry a responsibility to others if you want to pave the way.”

For further information please contact: Theo Venema, t.venema@warmtestad.nl

WarmteStad expects developments to accelerate even faster in the coming years. Real progress was made after 2017, and some 1,000 households a year are connected to the heat grid.

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