Climate-friendly district heating and district cooling systems

Source: International Energy Agency
Last updated: 04 June 2025

Since summer 2022, there has been the possibility of funding of “optimisation measures in climate-friendly district heating networks”. This exists if at least 50% of the heat originates from renewable sources, waste heat or 75% of the heat originates from cogeneration plants or 50% of it from a combination of the abovementioned sources. For the climate-friendly networks concerned, a decarbonisation path must be submitted, demonstrating how a proportion of 60% renewable energy will be achieved in the district heat supply by 2030 and a proportion of 80% by 2035. The funding in this area amounts to 20% of the eligible costs. It should be taken into account that the minimum investment sum is set at €50,000.
In 2023, eight projects were funded. A funding cash value of €2.3 million triggered the investment volume of approximately €9.4 million. The annual CO₂ savings thereby achieved amount to approximately 8,050 tonnes.

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