GRENAA IN DENMARK IS BETTING HEAVILY ON ITS OWN ELECTRICITY
Translated from Joel Goodsteins article in the magazine "Fjernvarmen"
Grenaa District Heating Company invests 7.25 million € in solar cells to cover its electricity consumption, and, at the same time, the excess electricity will be sold to the grid. Next step could be a wind turbine to produce additional electricity for heat pumps and electric boilers and to sell more electricity to the grid.
In recent years, Grenaa District Heating (DH) Company’s heat production has undergone a green transformation, which has resulted in a combination of wood-chip boilers, solar heating, and heat pumps that supply heat to 5,650 consumers. - In 2020, we reached a situation where we cover the total annual heat demand completely with green heat produced at our different plants. But simultaneously, we faced a nego- tiation on a 10-year PPA agreement for buying electricity. We wanted budget security for our electricity expenses in the form of a fixed price agreement. But if someone could get a good deal out of entering a 10-year contract with us, then perhaps we should produce the electricity ourselves, and enter into a fixed price agreement with ourselves, says director Søren Gert- sen, Grenaa DH Company. So, in 2021 a decision was made to establish a solar (PV) cell plant at Grenaa DH Company - essentially an investment of 4.7 million €. In October 2022, 40,000 square meters of photovol- taic (PV) were put into use—expected and guaranteed annual electricity production: 6.2 million kWh. - A guarantee agreement with our supplier states that the sup- plier will install more PV cells at its own expense if we do not reach the guaranteed production, says Søren Gertsen.
However, only a few suppliers wanted to bid for the task.
- Together with COWI, we invited four suppliers of PV cells to submit offers. Only two ended up bidding for the job, and one has since gone bankrupt. On the other hand, we have been delighted with our supplier, and we are planning an expansion of our PV cell capacity during 2023 so that we reach an annu- al production of 10 million kWh in 2024, says Søren Gertsen further.
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