The opening of Denmark’s largest geothermal district heating plant in Aarhus marks a new era where the warmth from deep underground will heat city homes – laying the foundation for CO₂-neutral district heating in Denmark.
At Landsmøde 2025, the national district heating conference in Odense, Bjarne Munk Jensen, CEO of Kredsløb, announced the official opening together with Samir Abboud, CEO of Innargi, and Kim Mortensen, CEO of the Danish District Heating Association (photo above by Jesper Voldgaard).
Denmark’s largest geothermal plant opens in Aarhus
2.5 kilometres beneath Aarhus, hot water is now being extracted to supply the city’s district heating system. The facility is the first large-scale geothermal plant of its kind in Denmark, symbolising a major step in the ongoing transition of the Danish district heating sector.
Like the rest of society, Danish district heating must transition to a CO₂-neutral future that protects the climate and environment. According to Dansk Fjernvarme, the new geothermal plant in Aarhus exemplifies the sector’s ambitions for future consumers.
“There are only 25 years until 2050, when Denmark must be climate neutral. This is a major and demanding transition that we must achieve together — and today, the district heating sector has taken an important step forward with Kredsløb’s geothermal plant in Denmark’s second-largest city. It benefits both Aarhus consumers and the climate,” says Kim Mortensen, CEO of the Danish District Heating Association.
Geothermal energy as a cornerstone for Europe’s green transition
Geothermal energy is expected to become a cornerstone of future district heating – not only in Denmark, but across Europe, where many countries face the challenge of moving away from fossil fuels. The Aarhus project demonstrates that large-scale geothermal heat extraction can be both technically and commercially viable.
“Geothermal energy at this scale in Denmark could mark the beginning of a new industry and export opportunity for the EU’s green transition – replacing fossil fuels with stable, sustainable heat. Denmark has the expertise to deliver not only for our own district heating sector, but also for our European neighbours,” says Kim Mortensen.
Green transition requires time and ambition
The Danish district heating sector is already well underway with its transition, driven by electrification. In 2024, total electricity consumption reached 2.35 TWh, and for five consecutive months, Danish district heating was produced entirely without coal. Several utilities are also developing carbon capture solutions at waste-to-energy and CHP plants.
“The green transition in district heating is progressing strongly. Kredsløb’s project in Aarhus is a clear example of the sector’s ambition to ensure a green and reliable heat supply – now and in the future. The Aarhus geothermal plant will become part of a diverse energy mix including air-to-water and seawater heat pumps, as well as waste-to-energy with CCS,” says Kim Mortensen.
Photo: Jesper Voldgaard. Copyright: Danish District Heating Association
Translation from the original article in Danish by Kim Vejrup, Danish District Heating Association
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