Introduction to District Energy Systems

District energy systems produce steam, hot water, or chilled water at a central plant and distribute it to individual buildings for space heating, domestic hot water heating and air conditioning. Consequently, individual buildings served by a district energy system don’t require their own boilers or furnaces, chillers, or air conditioners. Mature systems are most commonly found in the central business districts in the U.S. and in dense urban environments in Europe. District energy systems are also common in large multi-building institutional complexes such as universities, medical complexes, and military bases.

The Benefits of District Energy Systems

District energy systems offer a variety of benefits, including:

  • Improved energy efficiency over packaged space conditioning options
  • Improved environmental impact
  • Fuel flexibility
  • Ease of operation and maintenance for building owners
  • Outstanding reliability
  • Comfort and convenience for customers
  • Decreased life-cycle costs
  • Decreased building capital costs
  • Improved architectural design flexibility

Trends Related to District Energy Systems

District energy systems have been around since pre-modern times.  The more modern mature systems typically date from the late nineteenth and early twentieth century and are predominately steam and hot water heating systems. Most are operated by investor-owned or municipal utilities. These systems tend to be stable or thriving in Europe, but are struggling or closing in the U.S. (with a few notable exceptions).

The newer systems tend to combine both heating and cooling applications and most are financially stable and growing. One leading system, located in St. Paul, Minnesota (http://www.districtenergy.com/ ), provides an excellent example of these modern, leading systems and their positive effect on their communities.

District Energy Information Sources

There is a small but growing body of information on the district energy applications and district energy systems. The International District Energy Association (IDEA) is the leading industry organization and is located at http://www.districtenergy.org/. The University of Rochester (New York) maintains an outstanding public library of district energy information at http://www.energy.rochester.edu/ .

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