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THERMAL ENERGY STORAGE Outlook

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THERMAL ENERGY STORAGE Outlook ( thermal-energy-storage-outlook )

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3.4 District heating and cooling District heating and cooling systems use a network of insulated pipes to deliver heat or cold to multiple buildings from a centralised generation source, rather than having individual boilers or chillers in each building. The final users tend to be domestic or commercial premises with space heating/cooling and or water heating/cooling requirements, although some district energy facilities can additionally service industrial energy demand. This type of energy generation and distribution results in lower emissions and costs through efficiency gains, and provides scope for integrating renewables into urban centres at scale. A wide range of heating/cooling technologies are deployed as district assets, including co-generation plants, conventional boilers, waste incinerators, piped waste heat from industrial sources, solar thermal plants, heat pumps and geothermal energy. As mentioned, district heating/cooling schemes can enable efficiency gains and by this contribute to the decarbonisation of the sector. Ideally, they also facilitate the use of renewable generation assets. However, as with other sectors discussed thus far, this comes with challenges. Key challenges include: • A mismatch between VRE output and demand loads, across a range of timescales from hours to seasons. Need for TES TES in district heating and cooling • TEStechnologiescanenhanceefficiencyindistrictheatingandcoolingacrossarangeoftimescalesfromshort (hourly) to long (seasonal), to provide flexibility, to better match supply of heat/cold to demand, and to take advantage of renewably generated off-peak electricity. • Districtheating/coolingplantswithTEScanbedesignedandsizedtomeetaverageload,ratherthanrequiring capacity to meet peaks in demand, reducing their capital cost. Existing use cases • TTESisdeployedwidelythroughouttheworld. • UTESisinuseinsomecountries,butissubjecttothesuitabilityofthesubsurfaceenvironment. • Iceproducedusingrenewableelectricityiscurrentlyusedinsomedistrictcoolingschemes. Innovation potential • Shortterm(5years):improvementsinintegrationandmanagementofTTEScouldsignificantlyreducecosts and expand deployment opportunities. Development of high-temperature cPCMs, following successful demonstration in China, could see material and systems improvements enhancing competitiveness. • Mediumterm(5-10years):ongoingresearchanddemonstrationofPCMsforuseincoolingisexpectedto drive wider deployment. • Long term (>10 years): PCMs and thermochemical systems with increased cost-effectiveness and higher efficiencies are anticipated to enhance opportunities for renewables deployment in district heating and cooling, especially in combined cooling and power applications. Sector integration and smart control technologies will intensify opportunities in this regard, particularly facilitating the harvesting (and storage) of waste heat/cold from other sectors and applications. 90 INNOVATION OUTLOOK

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