Presentation of Frederiksberg Utility. Kristian E. Beyer, Frederiksberg Forsyning Jan Gregor, Frederiksberg Forsyning

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1 Presentation of Frederiksberg Utility Kristian E. Beyer, Frederiksberg Forsyning Jan Gregor, Frederiksberg Forsyning 1

2 Agenda About Frederiksberg Utility District heating District cooling 2

3 About Frederiksberg Utility

4 Frederiksberg Municipality in brief 8.8 km 2 covered 102,000 citizens 94% live in apartments 50% of all households has only 1 person 6,800 businesses Most densely populated area in Denmark Greater Copenhagen Frederiksberg Hospital Skt. Jørgens Sø Frederiksberg Have Zoo Søndermarken

5 Frederiksberg Utility in brief Multiple Utility: District heating, water, gas, waste water, district cooling, wind- and sun energy Turnover: 583 mill. DKK in 2014 Approx. 175 employees

6 Energy Group Frederiksberg Municipality Frederiksberg Energy System companies Frederiksberg Water Running companies Frederiksberg Forsyning (supply) Frederiksberg Sewage Frederiksberg Forsyning Property BIOFOS (8,1 %) Frederiksberg District Heating Frederiksberg Energi Service Frederiksberg Wind (34 %) Frederiksberg Gas A/S Frederiksberg District Cooling 6

7 History 1860 Gas (started as a private company) 1865 Sewage 1869 Water (started as a private company) 1899 Electricity (started as a private company) 1903 District heating 1921 All five supplies are run by the municipality Frederiksberg Forsyning is established 2005 DONG Energy buys the electricity business 2012 Frederiksberg District Cooling is established 2013 BIOFOS A/S established (ownership 8,1 %) 2014 Frederiksberg Vind A/S established 7

8 Climate adaption The municipality has a goal of significant energy and CO2 reductions Frederiksberg Utility is a crucial factor in reaching these goals This results in projects in Energy reduction in buildings Efficient energy production Smart utilities 8

9 District Heating

10 District Heating Frederiksberg Heating from power plants (CHP): coal, garbage, biomass, natural gas and oil. The local peak utility may supply the whole of Frederiksberg. 99 % of Frederiksberg is heated by district heating. 87 km of main pipes. 70 km of consumer supply lines. 6 Denmarks first district heating utility established in 1903

11 Collaborations in the Sector 8

12 District Heating Regulation & Business model District heating supply is a natural monopoly in Denmark. The Danish Energy Regulatory Authority (DERA), monitors the DH prices and delivery terms. DERA takes regulatory action if the prices and terms, are not in line with the non-profit regime or if they are unfair in any other way. The sale of district heating, is usually organized within a single company, within the boundaries of the municipality. 9

13 Advantages of District Heating Environmentally friendly and cheap. High level of comfort and minimum maintenance. Warning s for consumption and cooling changes. Control centre 24/7. Advice by smartphone and special servicing deals. Consumption this year, last year and two years ago. 7

14 District Heating Prices 130 m² house approximately uses 18 MWh kr./yr 75 m² apartment approximately uses 15 MWh kr./yr 10

15 Taxes is a part of the heat price in Denmark Taxes Includes Kr/GJ DH price & taxes Energy taxes 22,01 Co2 tax 4,88 So2 tax 0,05 NOx tax 0,68 Garbage/heat tax 5,35 DH prices DH taxes 11

16 Strategy and Future Projects

17 Reducing Heat Demand at the Customer Costs of switching to District Heating og replacing outdated installations is a barrier to customers. Therefore we are offering customers help with investments. Costs of equipment and service is part of the ordinary price of heating. Example Heating Installed unit Total DKK DKK DKK

18 DH Policy Movements The ambition of the Danish government is that the country is 100% free of fossil fuel by 2050 and that electricity and district heating must be 100 % fossil free already before 2035.

19 Smart Grid District Heating will play a central role in the future smart grid Electricity net Gas net DH Net

20 District Cooling

21 Frederiksberg District Cooling 2010 First analysis of the potential for district cooling - 2 or 3 potential areas on Frederiksberg 2013 First customer contract 2014 District cooling plant operational 2014 Contract Carlsberg Byen Plant expansion 21

22 Current customers Frederiksberg Cooling shopping centre 2.6 MWh The cooling plant consists of a compressor unit and energy storage and dry coolers The plant will be developed with add ons, fx heatpumps and groundwater cooling Carlsberg Byen When the area is fully utilized the cooling effect is 15 MW The cooling plant consists of a compressor unit and energy storage and dry coolers All energy is supplied from renewable sources, ie. Solar or wind energy The plant will be developed with add ons, fx heatpumps and groundwater cooling 22

23 District cooling is a 360 decision The Lawyer Regulation The Customer Price Potential The Business Technology Organization The Technician 23

24 Potential Uncovering the potential for district cooling is a long proces What is the actual cooling need? Type of cooling Current cooling plant Ownership of buildings Dialog with customers 24

25 The Danish potential Type of cooling needed 2300 GWh Process cooling the largest share 25

26 Technologies The technical solution consists of known solutions Kompressor Absorbtion Groundwater Frikøling Seawater Dry coolers Energy storage 26

27 Advantages Energy and emission reduction (up to 70%) Lower costs Better utilization of buildings 27

28 Future development Benefits: 2200 MW heatpumps potentially avoided Synergi with smart grid Cheaper heating and cooling 26 % energy savings by coproduction of cooling and heating compared to seperate production. Customers in most cities 28

29 Contact information Kristian E. Beyer Business Development Director Frederiksberg Forsyning A/S Direkte Mobil Frederiksberg Forsyning A/S Stæhr Johansens Vej Frederiksberg Tlf

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