Title:
Price Development and Competitiveness of Biomass-based District Heating Compared to Fossil Fuels
Author(s):
Ranta, T., Laihanen, M., Karhunen, A.
Document(s):
Paper
Poster
Abstract:
In Finland, district heating production has moved quickly from fossil fuels to renewable alternatives. About 75% of the municipalities that use district heating produce heat mainly with renewable fuels or waste heat. There has been upward pressure on the price of district heating due to the general cost level and especially the increase in the price of fuels. The purpose of this study was to find out how the price of biomass-based district heating has developed over the last decades, and how the price of fuel has affected it. It was compared to district heating produced with fossil and other fuels. The arithmetic average of the taxable price of district heating was 100.82 €/MWh in an apartment building site in January 2024. There was considerable price variation in apartment building sites, from 55.16 to 150.53 €/MWh. The cheapest district heating was produced with waste fuels and wood residues and the most expensive with pellets and forest chips. District heating's market share in heating is 45% in Finland and it is expected to maintain its share in the future, when fossil fuels are replaced by biomass and waste heat.
Keywords:
district heating, fuel, competitiveness, combined heat and power generation (CHP), forest chips
Topic:
Biomass, Bio-based Products and Bioenergy Integration
Subtopic:
Biomass integration into energy systems
Event:
32nd European Biomass Conference and Exhibition
Session:
3AV.6.6
Pages:
415 - 420
ISBN:
978-88-89407-24-0
Paper DOI:
10.5071/32ndEUBCE2024-3AV.6.6
Price:
FREE
