E.ON and Deutsche ErdWärme are Working Together to Speed up the Heat Transfer

Source: www.gulfoilandgas.com 6/2/2022, Location: Europe

- Partners plan to provide green heat at attractive prices and strengthen regional energy production
- Deep geothermal energy could cover more than a quarter of Germany's annual heat demand (over 300 TWh)
- First joint projects to tap potential in North Rhine-Westphalia

Without a good heat transition, the energy transition will fail. In light of this, E.ON and Deutsche ErdWärme (DEW) have signed a memorandum of understanding for the combined development and implementation of geothermal projects. The collaboration's goal is to supply regionally generated, cost-effective green energy for the heat transition, thereby bolstering energy security. The two companies will combine their knowledge in order to collect thermal energy from depths of 1,000 to 4,000 metres and make it available to consumers as green heat.

“The heat transition is a real mammoth task and requires consistent rethinking in many areas. It is clear that there is no one solution for a CO2-neutral heat supply. In the future technology mix, deep geothermal energy in particular can play a decisive role, although it is still in its infancy in Germany today,” says Alexander Fenzl, responsible for customer solutions at E.ON in Germany. “The cooperation with DEW will also help us target the recent sharp increase in demand to create new green infrastructures.”

“Geothermal energy can replace fossil fuels in a climate-neutral way in the areas of heating and hot water and as industrial process heat. It is therefore particularly attractive for densely populated regions dominated by industry and trade. By cooperating with E.ON, which is also recognition of our expertise in project development, we are jointly creating ideal conditions for making the best possible use of this potential for North Rhine-Westphalia,” says Herbert Pohl, founder and CEO of DEW, Germany's largest private project developer in the field of deep geothermal energy.

Geothermal energy indispensable for a successful heat transition
A look at the energy demand in Germany shows the considerable influence of heat supply on achieving climate targets: Today, the heating sector accounts for around 40 percent of energy consumption. Oil and gas continue to play a leading role in heating homes, offices and businesses. The result is high CO2 emissions. As a renewable and inexhaustible on-site energy source, deep geothermal energy can make a major contribution to decarbonization. It provides energy regardless of the weather, reliably and at stable prices, while occupying very little space.

According to surveys by the Fraunhofer Institute, deep geothermal energy could cover more than 300 terawatt hours (TWh) in Germany, or a quarter of the country's annual heating needs. Unlike near-surface geothermal energy, deep geothermal energy involves tapping deposits up to several kilometers below the earth's surface.

As part of their cooperation, E.ON and DEW are planning to implement the first pilot projects in North Rhine-Westphalia. E.ON has extensive experience in developing and scaling projects with a wide range of municipal and industrial customers and in connecting new energy sources to the necessary distribution infrastructures. DEW specializes in deep geothermal energy and brings the geological know-how to plan geothermal plants at the cutting edge of technology.

The cooperation ranges from the identification of suitable projects, the implementation of corresponding feasibility studies over the execution of approval procedures, the development of attractive project portfolios and financing models to the construction and operation of the plants. In addition, the partners hope to achieve significant time savings in project implementation by pooling their expertise.


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