Title:
Impact of Woody Biomass Use on the Competitiveness of District Heating Production
Author(s):
Ranta, T., Karhunen, A., Laihanen, M.
Document(s):
Paper
Poster
Abstract:
District heating is the most common form of heating in Finland. In 2020, approximately 46% of the heating energy in residential and service buildings in Finland was produced by district heating. The use of biomass has doubled, and waste heat tripled in the 2010s as they have replaced fossil fuels and peat. This study examined how the use of wood biomass has affected the price of district heating. The price of district heating varies greatly between different companies, which is assumed to depend on the fuel options. The arithmetic average of district heating companies' taxable sales price of district heat in 1.1.2023 was 91.2 €/MWh. This price was for an apartment building customer, who is the most typical district heating customer. The cheapest district heating was produced with wastes and with peat and the most expensive with fossils and pellets. The study found that the price of district heating varies significantly between different companies (52.8-137.5 €/MWh). At its largest, the price difference for average fuel-specific category prices was 16% (13.6 €/MWh). The price difference compared to fossil fuels has increased with the energy crisis. The price of wood fuels has also risen, as their use has increased, and Russian imports have ended. Therefore, the higher average price of the fossil fuel category was expected, due to higher taxation and price of emission allowances.
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:
31st European Biomass Conference and Exhibition
Session:
3CV.4.6
Pages:
508 - 513
ISBN:
978-88-89407-23-3
Paper DOI:
10.5071/31stEUBCE2023-3CV.4.6
Price:
FREE
