Insight Brief: Thermal Energy Networks for Utility Carbon Reduction
Free Research

Insight Brief: Thermal Energy Networks for Utility Carbon Reduction

  • As states pursue heating decarbonization, geothermal technologies are gaining renewed attention.
  • Utility deployment of thermal energy networks complements other carbon-free energy strategies.
  • Stakeholders are developing supportive regulation, organizing field demonstrations, and expanding market capacity to increase deployment across the United States.

As natural gas and electric utilities work to reduce carbon emissions, they are evaluating paths to help customers decarbonize building heat. Policymakers in several states recently crafted legislation encouraging utility regulators and utilities to explore the role thermal energy networks (TENS) could play.

TENS are time-tested outside the utility construct–and offer high potential for locally-sourced, low-carbon heating and cooling. However, cost and complexity have limited usage to universities and district heating zones. Utility-led TENs could help overcome these barriers, unlock deployment for targeted decarbonization, and mitigate grid stress of other load growth. Several utilities are now in the process of constructing TENs demonstrations. Scaling up utility deployment would require new, supportive regulations and a concerted effort to balance stakeholders’ diverse interests.

The Smart Electric Power Alliance (SEPA) developed this thermal energy networks insight brief to highlight learnings to date and essential questions when considering the potential value of TENs. Key topics include:

  • Definition and explanation of thermal energy networks
  • Key thermal energy network use cases for carbon reduction in the energy sector
  • Frameworks to understand possible pathways to increased deployment and value
  • Essential questions that must be addressed when considering the potential value of TENs

 

Authors
     
Ann Collier, Senior Manager, Emerging Technology, SEPA
Lakin Garth, Director, Research & Industry, Emerging Technologies, SEPA
Greta Larget, Intern—Emerging Technology, SEPA

Insight Brief: Thermal Energy Networks for Utility Carbon Reduction