Financing district heating and business models

Financing district heating and business models

An important part of a design of new low temperature district heating systems or expansion of existing systems is finance, business models and funding. The opportunities and traditions for financing are very different with regards to national regulations, sustainability goals and fuel sources. Therefore, we cannot develop specific new business model that will be suitable for all different situations within LowTEMP partner region.

In work package WP 5.3 we have developed a set of tools and described examples that could be used in the development of Low temperature district heating system and business models for LTDH. Beside the theoretical description of how a company, or a business can design their business model we have proposed to use the Business Model Canvas which is a tool used to visualise nine components of a business, including customer, route to market, value propositions and financing. Furthermore, examples of funding in difference countries are described.

The municipalities, urban planners as well as district heating companies are target groups for the developed tools.