Editorial

As Europe accelerates its green transition, the district heating sector stands out as essential for both decarbonization and energy security. The path away from fossil fuels is not paved by a single solution, but by a portfolio of local, sustainable resources, each playing a vital role in a resilient, future-proof energy system.

By Lars Hummelmose, Managing Director, DBDH

Published in Hot Cool, edition no. 8/2025 | ISSN 0904 9681 |

A portfolio of local solutions

The district heating sector is uniquely positioned to integrate a range of renewable heat sources, including:

• Biomass: Locally produced from sustainable forestry residues, agricultural by-products, and organic waste.
• Deep geothermal heat: Provides stable, low-carbon heat year-round.
• Industrial waste heat: Captures excess/surplus heat from local manufacturing, turning by-products into valuable resources.
• Data center heat recovery: Reuses surplus heat from data centers, reducing resources and emissions.
• Green Power (electric boilers and large-scale heat pumps): Electrifies heat production using wind and solar (PV), further reducing fossil reliance.

By combining these resources, district heating systems become more robust, adaptable, and environmentally friendly.

Biomass

Locally produced biomass is one of several good solutions for district heating. By utilizing sustainable forestry residues, agricultural by-products, and organic waste that would otherwise have little value, district heating companies generate renewable heat, support local economies, and create jobs that stay within the community.

Unlike imported fossil fuels, local biomass keeps value circulating at home and strengthens rural development. Strict sustainability standards and certification schemes ensure that biomass is sourced responsibly, protecting biodiversity and guaranteeing long-term forest health.

Smart system integration: Balancing the grid

District heating is not just about producing heat – it’s about smart system integration. Modern district heating plants can act as flexible partners for the power grid. When there is an abundance of renewable electricity, such as on windy or sunny days, electric boilers and large-scale heat pumps can convert this surplus power into heat for the network. Through heat storage, this energy can be stored and used when needed, making the integration truly smart – helping to stabilize the grid and prevent the curtailment of renewables.

Conversely, when there is a shortage of electricity, combined heat and power (CHP) plants fueled by sustainable biomass can generate green electricity and heat simultaneously, supporting the grid during peak demand. This two-way flexibility is what makes district heating a vital tool for balancing the energy system – a concept known as smart system integration.

Energy security and economic resilience

Recent global events have underscored the risks associated with relying on imported fossil fuels. Local solutions, especially those that create jobs and keep investment within the community, offer a pathway to greater energy security and economic resilience.

Policymakers and government officials should prioritize these local approaches, recognizing that supporting local biomass, geothermal, industrial waste heat, and green power is not just good for the climate – it’s a strategic investment in our communities and independence.

The district heating sector is at a crossroads. By embracing a portfolio of local solutions, with sustainably sourced biomass as one of several key components and smart system integration as a guiding principle, we can phase out fossil fuels, strengthen local economies, and ensure a secure, renewable future. The time to act is now – let’s invest in the power of local resources and build a district heating sector that leads Europe’s green transition.