Turn waste heat into clean heat with District Energy

To Danfoss, waste heat represents an immense opportunity. In fact, the only way we can achieve our decarbonization goals is by unlocking the vast potential of waste heat. Find out why excess heat recovery and reuse is key to making decarbonization count.

Why Waste Heat Recovery?
Many sources of waste heat, such as data centers, supermarkets, food processing facilities, industrial processes, hospitals and wastewater treatment plants, are currently underutilized. By reusing waste heat, we can lower costs for consumers by decreasing the demand for primary energy sources and reducing the need for additional heat generation. This not only saves money but also bolsters decarbonization efforts and improves heating and cooling system efficiency. 

The impact
By implementing waste heat recovery comprehensively across the EU, we can potentially save €67.4 billion annually by 2050. Currently, over 267 TWh of excess heat from heavy industry is wasted each year—this is more than the combined heat generation of Germany, Poland and Sweden in 2021. In total, there is about 2,860 TWh/y of waste heat accessible in the EU, much of which could be reused. To put this number into perspective, it corresponds almost to the EU's total energy demand for heat and hot water in residential and service sector buildings across the European Union and the United Kingdom (Read more in the dedicated whitepaper about excess heat).

How it works
Waste heat recovery systems can be implemented both on-site and off-site. For off-site use, waste heat can serve as a major alternative heat source for district energy networks, supporting the decarbonization of utilities and buildings. On-site, waste heat can be reused within the same facility, offering significant cost savings and high returns on investment. Heat pumps can enhance the efficiency of waste heat recovery by capturing and reusing low-grade waste heat, making them 2-4 times more efficient than traditional heating methods.

Our vision
Waste heat recovery systems and integrated heat pump solutions present significant opportunities for businesses and the environment. By expanding district heating networks and microgrids and promoting on-site waste heat recovery, especially in facilities with simultaneous heating and cooling needs, we can establish waste heat recovery as a standard practice. This approach creates high efficiency heating and cooling systems, reduces costs and contributes to a sustainable, resilient energy landscape.

Legislation plays a crucial role in advancing waste heat recovery by setting standards, providing incentives and creating opportunities for businesses and municipalities. The urgency to act is clear: stakeholders who fail to embrace these legislative drivers risk falling behind in a rapidly evolving energy landscape.

Here are some key legislative drivers based on the new framework of the Clean Industrial Deal and the much-needed implementation of existing policies, particularly the Energy Efficiency Directive (EED) and the Renewable Energy Directive (RED III).  With the Clean Industrial Deal, more opportunities are expected to arise and further improvement of the conditions to accelerate the uptake of waste heat  recovery.

Find out more about how our waste heat recovery technologies can help you capture and reuse waste heat from your industrial processes, so you can reduce your carbon footprint and operational costs while creating high efficiency heating and cooling systems.

Data centers are the backbone of our digital world, processing vast amounts of data every second. However, they consume significant amounts of electricity, with global demand projected to more than double by 2030, reaching around 945 terawatt-hours (TWh). The rise of AI further increases demand. For example, in the United States, power consumption by data centers is expected to account for almost half of the growth in electricity demand between now and 2030. 

The potential for recoverable waste heat from data centers is significant. In 2020, it was estimated that data centers could recover up to 1 TWh of waste heat, enough to heat approximately 100,000 housing units. By 2030, this potential is expected to increase to 3.5 TWh, driven by the growth in the number of data centers. 

References:

• IEA: AI is set to drive surging electricity demand from data centres while offering the potential to transform how the energy sector works
• IEA: Data centres and data transmission networks 
• IEA: What the data centre and AI boom could mean for the energy sector

Unlock the grid

As the complexity of today’s district energy networks increase, so does the potential they hold for ensuring ultimate cost-effectiveness, energy efficiency, and resilience. Discover how digitalization is the fundamental lever to unlocking an optimized grid—from production to distribution and consumption.