IDEAS home Printed from https://ideas.repec.org/a/eee/energy/v329y2025ics0360544225022832.html

Decarbonizing a Polish district heating network using ambient and waste heat: a techno-economic analysis considering uncertainties in future energy prices and availability

Author

Listed:
  • Grecu, Nyasha
  • Strömer, Stefan
  • Schmidt, Ralf-Roman
  • Maggauer, Klara
  • Marx, Nicolas
  • Mayr, Bernhard
  • Liu, Wen

Abstract

District heating (DH) systems can contribute substantially to the decarbonization of the heating sector by enabling the implementation of sustainable heating solutions such as ambient heat (AH) and waste heat (WH). However, these sources are subject to economic risks arising from uncertainties in future energy prices and availability. This paper presents a techno-economic analysis for a decarbonized DH network for a city in Poland, using a simulation model that evaluates levelized cost of heat (LCOH) across a wide range of heat supply portfolios including AH and WH sources. It considers uncertainties related to energy price and WH cessation scenarios as well as sensitivities related to WH prices, heat demand, and biomass availability. Results show that the DH system configuration plays a key role in determining the average cost, due to the relatively large share of CAPEX in the LCOH calculations, underscoring the importance of accurate investment cost assumptions. Further important factors are the development of the heat demand and the availability of biomass. The presence of low-cost industrial WH is beneficial. In general, there is a trade-off: minimizing average cost results in a higher economic risk.

Suggested Citation

  • Grecu, Nyasha & Strömer, Stefan & Schmidt, Ralf-Roman & Maggauer, Klara & Marx, Nicolas & Mayr, Bernhard & Liu, Wen, 2025. "Decarbonizing a Polish district heating network using ambient and waste heat: a techno-economic analysis considering uncertainties in future energy prices and availability," Energy, Elsevier, vol. 329(C).
  • Handle: RePEc:eee:energy:v:329:y:2025:i:c:s0360544225022832
    DOI: 10.1016/j.energy.2025.136641
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0360544225022832
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.energy.2025.136641?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to

    for a different version of it.

    References listed on IDEAS

    as
    1. Al-Mansour, Fouad & Kožuh, Mitja, 2007. "Risk analysis for CHP decision making within the conditions of an open electricity market," Energy, Elsevier, vol. 32(10), pages 1905-1916.
    2. Athanasios Rentizelas & Georgios Tziralis & Konstantinos Kirytopoulos, 2007. "Incorporating uncertainty in optimal investment decisions," World Review of Entrepreneurship, Management and Sustainable Development, Inderscience Enterprises Ltd, vol. 3(3/4), pages 273-283.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Lai, Sau Man & Hui, Chi Wai, 2009. "Feasibility and flexibility for a trigeneration system," Energy, Elsevier, vol. 34(10), pages 1693-1704.
    2. Streckiene, Giedre & Martinaitis, Vytautas & Andersen, Anders N. & Katz, Jonas, 2009. "Feasibility of CHP-plants with thermal stores in the German spot market," Applied Energy, Elsevier, vol. 86(11), pages 2308-2316, November.
    3. Tataraki, Kalliopi G. & Kavvadias, Konstantinos C. & Maroulis, Zacharias B., 2018. "A systematic approach to evaluate the economic viability of Combined Cooling Heating and Power systems over conventional technologies," Energy, Elsevier, vol. 148(C), pages 283-295.
    4. Badami, M. & Camillieri, F. & Portoraro, A. & Vigliani, E., 2014. "Energetic and economic assessment of cogeneration plants: A comparative design and experimental condition study," Energy, Elsevier, vol. 71(C), pages 255-262.
    5. Compernolle, Tine & Witters, Nele & Van Passel, Steven & Thewys, Theo, 2011. "Analyzing a self-managed CHP system for greenhouse cultivation as a profitable way to reduce CO2-emissions," Energy, Elsevier, vol. 36(4), pages 1940-1947.
    6. Ersoz, Ibrahim & Colak, Uner, 2016. "Combined cooling, heat and power planning under uncertainty," Energy, Elsevier, vol. 109(C), pages 1016-1025.
    7. Ceglia, F. & Marrasso, E. & Pallotta, G. & Roselli, C. & Sasso, M., 2023. "Assessing the influence of time-dependent power grid efficiency indicators on primary energy savings and economic incentives for high-efficiency cogeneration," Energy, Elsevier, vol. 278(PB).
    8. Mancarella, Pierluigi, 2014. "MES (multi-energy systems): An overview of concepts and evaluation models," Energy, Elsevier, vol. 65(C), pages 1-17.
    9. Michał Gołębiewski & Marta Galant-Gołębiewska, 2021. "Economic Model and Risk Analysis of Energy Investments Based on Cogeneration Systems and Renewable Energy Sources," Energies, MDPI, vol. 14(22), pages 1-14, November.
    10. Carpaneto, Enrico & Chicco, Gianfranco & Mancarella, Pierluigi & Russo, Angela, 2011. "Cogeneration planning under uncertainty: Part I: Multiple time frame approach," Applied Energy, Elsevier, vol. 88(4), pages 1059-1067, April.
    11. Carazas, F.G. & Souza, G.F.M., 2010. "Risk-based decision making method for maintenance policy selection of thermal power plant equipment," Energy, Elsevier, vol. 35(2), pages 964-975.
    12. Chulseung Lee & Jaechan Park & Kangmun Lee & Ji Yeon Yang & Taewoo Roh, 2019. "Energy Efficiency for Supplier and Sustainability for Demand: A Case of Heating Systems in South Korea," Sustainability, MDPI, vol. 11(15), pages 1-21, August.
    13. Carpaneto, Enrico & Chicco, Gianfranco & Mancarella, Pierluigi & Russo, Angela, 2011. "Cogeneration planning under uncertainty. Part II: Decision theory-based assessment of planning alternatives," Applied Energy, Elsevier, vol. 88(4), pages 1075-1083, April.
    14. Fuentes-Cortés, Luis Fabián & Dowling, Alexander W. & Rubio-Maya, Carlos & Zavala, Víctor M. & Ponce-Ortega, José María, 2016. "Integrated design and control of multigeneration systems for building complexes," Energy, Elsevier, vol. 116(P2), pages 1403-1416.
    15. Lončar, D. & Duić, N. & Bogdan, Ž., 2009. "An analysis of the legal and market framework for the cogeneration sector in Croatia," Energy, Elsevier, vol. 34(2), pages 134-143.
    16. Tolis, Athanasios I. & Rentizelas, Athanasios A. & Tatsiopoulos, Ilias P., 2010. "Optimisation of electricity energy markets and assessment of CO2 trading on their structure: A stochastic analysis of the Greek Power Sector," Renewable and Sustainable Energy Reviews, Elsevier, vol. 14(9), pages 2529-2546, December.
    17. Dowling, Alexander W. & Kumar, Ranjeet & Zavala, Victor M., 2017. "A multi-scale optimization framework for electricity market participation," Applied Energy, Elsevier, vol. 190(C), pages 147-164.
    18. Tolis, Athanasios I. & Rentizelas, Athanasios A. & Tatsiopoulos, Ilias P., 2010. "Time-dependent opportunities in energy business: A comparative study of locally available renewable and conventional fuels," Renewable and Sustainable Energy Reviews, Elsevier, vol. 14(1), pages 384-393, January.
    19. Cao, Lihua & Wang, Zhanzhou & Pan, Tongyang & Dong, Enfu & Hu, Pengfei & Liu, Miao & Ma, Tingshan, 2021. "Analysis on wind power accommodation ability and coal consumption of heat–power decoupling technologies for CHP units," Energy, Elsevier, vol. 231(C).

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:energy:v:329:y:2025:i:c:s0360544225022832. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.journals.elsevier.com/energy .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.