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OCR for page R1
District Heating and Cooling
in the United States
Prospects and Issues
Committee on District Heating and Cooling
Energy Engineering Board and Building Research Board
Commission on Engineering and Technical Systems
National Research Council
NATIONAL ACADEMY PRESS
Washington, D.C. 1985
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National Academy Press
2101 Constitution Ave., NW
Washington' DC 20418
NOTICE: The project that is the subject of this report was approved by the Governing Board of
the National Research Council, whose members are drawn from the councils of the National
Academy of Sciences, the National Academy of Engineering, and the Institute of Medicine.
The members of the committee responsible for the report were chosen for their special
competencies and with regard for appropriate balance.
This report has been reviewed by a group other than the authors according to procedures
approved by a Report Review Committee consisting of members of the National Academy of
Sciences, the National Academy of Engineering, and the Institute of Medicine.
The National Research Council was established by the National Academy of Sciences in
1916 to associate the broad community of science and technology with the Academy's
purposes of furthering knowledge and of advising the federal government. The Council
operates in accordance with general policies determined by the Academy under the authority
of its congressional charter of 1863, which establishes the Academy as a private, nonprofit,
self-governing membership corporation. The Council has become the principal operating
agency of both the National Academy of Sciences and the National Academy of Engineering in
the conduct of their services to the government, the public, and the scientific and engineering
communities. It is administered jointly by both Academies and the Institute of Medicine. The
National Academy of Engineering and the Institute of Medicine were established in 1964 and
1970, respectively, under the charter of the National Academy of Sciences.
This study was supported by contract No. HG 5682 between the National Academy of
Sciences and the U.S. Department of Housing and Urban Development, U.S. Department of
Energy, Royal Swedish Academy of Engineering Sciences, French Agency for Energy Man-
agement, and Danish Ministry of Energy.
.
Library of Congress Catalog Card Number 85-60286
International Standard Book Number 0-309-03537-6
Printed in the United States of America
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Committee on District Heating and Cooling
DAVID O. MEEKER, IR. (Chairman), Architect and Planner (formerly Executive Vice-
President, American Institute of Architects), Washington, D.C.
LARS ASTRAND (Cochairman), President, Uppsala Kraftvarme AB, Uppsala, Sweden
ROBERT C. EINSWEILER, Professor and Director, Planning Program, Hubert H. Humphrey
:Institute of Public Affairs, University of Minnesota, Minneapolis, Minnesota
ARTHUR HAUSPURG, Chairman and Chief Executive Officer, Consolidated Edison Com-
pany of New York, New York, New York
ALAN HILLS, Managing Director, First Interstate Bancorp, Corte Madera, California
ISHAI OLIKER, Manager, Renewable Energy Technologies, Burns and Roe, Oradell, New
Jersey
CLINTON W. PHILLIPS, Engineering Consultant (formerly President, American Society of
Heating, Refrigeration, and Air Conditioning Engineers), OIney, Maryland
LEE SCHIPPER, Staff Scientist, Lawrence Berkeley Laboratory, Berkeley, California
MICHAEL l. ZIMMER, Partner, Wickwire, Gavin & Gibbs, P.C., Washington, D.C.
Technical Advisor
WILLIAM HANSELMAN, President, Resource Development Associates, Dayton, Ohio
Staff
DENNIS F. MILLER, Study Director
JOHN P. EBERHARD, Executive Director, Building Research Board
JEFFREY P. COHN, Consultant
MICHAEL GAFFEN, Staff Officer, Committee on District Heating and Cooling (untiT Septem-
ber 1, 1984)
REGINA F. DEAN, Administrative Secretary
CHERYL A. WOODWARD, Administrative Assistant
· · -
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Energy Engineering Board
HERBERT H. WOODSON (Chairman), Ernest H. Cockrell Centennial Professor of Engineer-
ing, The University of Texas at Austin, Austin, Texas
ALLAN l. BARD, Norman Hackerman Professor of Chemistry, The University of Texas at
Austin, Austin, Texas
ROBERT l. BUDNITZ, President, Future Resources Associates, Berkeley, California
THELMA ESTRIN, Assistant Dean, School of Engineering and Applied Science, University
of California, Los Angeles, California
NICHOLAS I. GRANT, Professor of Materials Science and Engineering, Massachusetts In-
stitute of Technology, Cambridge, Massachusetts
BRUCE H. HANNON, Department of Geo~ranhv. Universilv of Illinois at I Jrh~n~-
Champaign, Urbana, Illinois
- Cal- --I --I ~
GARY H. HEICHEL, Plant Physiologist and Professor of Agronomy, University of Minneso-
ta, St. Paul, Minnesota
EDWARD A. MASON, Vice-President, Research, Standard Oil Company (Indiana), Amoco
Research Center, Naperville, Illinois
ALAN D. PASTERNAK, Energy Consultant, Sacramento, California
DAVID l. ROSE, Professor of Nuclear Engineering, Massachusetts Institute of Technology,
Cambridge, Massachusetts
ADEL F. SAROFIM, Professor of Chemical Engineering, Massachusetts Institute of Technol-
ogy, Cambridge, Massachusetts
MELVIN K. SIMMONS, Corporate Research and Development, General Electric Company,
Schenectady, New York
WESTON M. STACEY, JR., Caliaway Professor of Nuclear Engineering, Georgia Institute of
Technology, Atlanta, Georgia
THOMAS E. STELSON, Vice-President for Research, Georgia Institute of Technology, AtIan-
ta, Georgia
LEON STOCK, Professor of Chemistry, University of Chicago
GRANT P. THOMPSON, Senior Associate, The Conservation Foundation, Washington, D.C.
GEORGE S. TOLLEY, Professor, Department of Economics, University of Chicago
RICHARD WILSON, Mallinckrobt Professor of Physics and Chairman of the Department,
Harvard University, Cambridge, Massachusetts
1V
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Technical Advisory Panel
HAROLD M. AGNEW, President, GA Technologies, San Diego, California
FLOYD L. CULLER, JR., President, Electric Power Research Institute, Palo Alto, California
MICHAEL T. HALBOUTY, Consulting Geologist and Petroleum Engineer, Houston, Texas
GEORGE F. MECHLIN, Vice-President, Research and Development, Westinghouse Electric
Corporation, Pittsburgh, Pennsylvania
CHAUNCEY STARR, Vice-Chairman, Electric Power Research Institute, Palo Alto, Califor-
n~a
Staff
DENNIS F. MILLER, Executive Director
HELEN D. JOHNSON, Staff Associate
v
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Building Research Board
PHILIP G. HAMMER (Chairman), Retired Consultant, Edgewater, Maryland
WERNER A. BAUM, Dean, College of Arts and Sciences, Florida State University, TalIahas-
see, Florida
IRVING BLUESTONE, University Professor of Labor Studies, Wayne State University, De-
troit, Michigan
ROBERT C. DOBAN, Senior Vice-President, Science and Technology, Owens Fiberglass
Corporation, Toledo, Ohio
EZRA D. EHRENKRANTZ, President, The Ehrenkrantz Group, New York, New York
HAROLD B. FINGER, President and Chief Executive Officer, U.S. Committee for Energy
Awareness, Washington, D.C.
DENOS C. GAZIS, Assistant Director, Semiconductor Science and Technology, IBM Re-
search Center, Yorktown Heights, New York
GEORGE S. TENONS, President, Consultation Networks, Washington, D.C.
JOHN T. JOYCE, President, International Union of Bricklayers and Allied Craftsmen,
Washington, D.C.
WILLIAM LE MESSURIER, President, TSC Corporation, Cambridge, Massachusetts
ROBERT P. MARSHALL, JR., Retired Consultant, Turner Construction Company, Cos Cob,
Connecticut
MELVIN A. MISTER, Vice-President, Citicorp, New York, New York
DOUGLAS C. MOORHOUSE, President and Chief Executive Officer, Woodward-Clyde Con-
sultants, San Francisco, California
C. E. (TED) PECK, Chairman of the Board, The Ryland Group, Columbia, Maryland
LLOYD RODWIN, Professor, Urban Studies and Planning, Massachusetts Institute of Tech-
nology, Cambridge, Massachusetts
LOUIS A. ROSSETTI, President, Rossetti Associates, Detroit, Michigan
GEORGE STERNLIEB, Center for Urban Policy Research, New Brunswick, New Jersey
RALPH WIDNER, Executive Director, Greater Philadelphia First, Philadelphia, Pennsylva-
n~a
RICHARD BENDER, Dean, College of Environmental Design, University of California, Ber-
keley, California
ROBERT L. SMITH, Professor of Civil Engineering, University of Kansas, Lawrence, Kansas
Staff
JOHN P. EBERHARD, Executive Director
V1
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Preface
This report is based in part on the International Symposium on District Heating and Cooling
conducted by the National Academy of Sciences in Washington, D. C., June 4 through 6, 1984.
The symposium and this report respond to requests from the U.S. Department of Housing
and Urban Development (HUD) and the U.S. Department of Energy (DOE) for a study of
district heating and cooling. In particular, the departments wanted a study of the rela-
tionships between, on the one hand, explicit national goals and policies for decreasing
dependence on oil, reducing energy costs, and achieving greater energy conservation, and,
on the other, the growth of multifueled, low-cost, hot water district heating systems in
Europe.
Support for this study came from DOE and HUD, the Swedish Council for Building
Research, the French Agency for Energy Management, and the Danish Ministry of Energy.
With the cosponsorship of the Royal Swedish Academy of Engineering Sciences, the National
Academy of Sciences created a Committee on District Heating and Cooling. The committee
operated under the National Research Council's Energy Engineering Board and the Building
Research Board.
Specifically, the committee was given the following charges:
o Identify new and innovative district heating and cooling technologies and implementa-
tion designs that could penetrate key markets.
o Evaluate the extent of current district heating and cooling in Europe and North America,
the related marketplace and energy policy changes occurring in the same countries since 1973,
and the technological developments that these changes created.
O Identify the institutional and financial barriers to district heating and cooling in North
America and the lessons that related European experience suggests.
O Review innovative institutional and financing schemes that have resulted in wider use o
district heating in Europe and assess their potential use in North America.
O Assess the economics of district heating and cooling systems, including the costs of
implemented systems, and their benefits, from the creation of jobs to the value of reduced
dependence on imported petroleum.
0 Establish the basis for exchanges of information among nations involved in the sympo-
sium.
This report analyzes the papers submitted and discussions held at the symposium. No
attempt was made to summarize the papers directly since they were published as part of the
· ~
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symposium proceedings.* The most important ideas from the symposium were used by the
committee in developing its findings, conclusions, and recommendations.
In addition, the report reflects information gathered by the committee during its visits to
district heating and cooling sites in the United States and in several European countries. At
each site the committee was briefed by local government officials and system operators. The
committee used its site visits to learn more about how district heating and cooling systems
operate and the reasons for their success or lack of it.
Finally, the committee gathered information on district heating and cooling during brief-
ings from HUD, DOE, and other government officials, and by analyzing numerous printed
and unpublished sources.
Throughout its study the committee encountered difficulties in determining the actual
extent of district heating and cooling in the United States. Until recently, no data existed on
the miles of piping or amount of energy delivered. The data that can be found are often
incomplete or unconfirmed. Thus, much of the material contained in this report is, of
necessity, anecdotal.
By design, this is not a technical report. As the text points out, the technology for district
heating and cooling is well understood by engineers and architects. While discussing how the
technology works, the report focuses on the policy issues that influence how and whether
district heating and cooling will extend its share of the energy market. More technical
discussions can be found in the appendixes.
Appendix A contains case studies on eight U.S. cities, most of which are based on papers
presented at the symposium. The case studies were chosen to show the diversity of technical
approaches, institutional arrangements, kinds of municipal leadership, and uses of existing
energy infrastructures in creating new or expanding older district heating and cooling
systems.
Appendix D contains the technical assessment done for Baltimore, Maryland. It is included
to illustrate the kind of technical planning and analysis required. It is not intended to be a
manual for developing a district heating and cooling system.
While this report is addressed to the study's sponsors, the committee hopes that the report
will be read widely by officials in state and local governments, public and investor-owned
utilities, and the financial community, as well as by planners, developers, and equipment
manufacturers and operators. The success of district heating and cooling will depend largely
on their actions.
In developing this report, the committee consulted with district heating and cooling experts
and government officials in the United States, Sweden, Denmark, Finland, France, West
Germany, Iceland, Italy, Canada, the Netherlands, and Great Britain. These and other
individuals gave very generously of their time and knowledge.
The committee is particularly grateful to the staff of the North American District Heating
and Cooling Institute for their generous help, especially in arranging and conducting a tour of
district heating and cooling facilities in the Washington, D.C., metropolitan area.
The committee would also like to thank Dennis Miller, study director and executive director
of the Energy Engineering Board, for organizing and guiding this effort, and Michael Gaffen,
staff officer, and Jeffrey P. Cohn, consultant, for their assistance. The committee appreciates
the cooperation and assistance of John Eberhard, executive director of the Building Research
Board, and members of the board. Finally, the committee thanks Helen Johnson, Regina
Dean, Cheryl Woodward, Julia Torrence, and Donna Broach for their capable assistance.
National Research Council. 1984. Proceedings of a Symposium on District Heating and Cooling. Washing-
ton, D.C.: National Academy Press.
· · -
vail
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Contents
Executive Summary
I. Introduction
How District Heating and Cooling Systems Work, 10
Attributes of District Heating and Cooling Systems, 22
2. History and Background ......................................
History of District Heating, 25
The Recent Revival, 23
The Current Extent of District Heating and Cooling in the United States, 31
The European Experience, 31
The Market for District Heating and Cooling
The Argonne Model, 39
Prospects and Uses, 41
District Heating ant! Cooling Markets, 51
7
25
~, 39
4. Impediments 57
Data anct Information, 58
Taxes and Fees, 59
Regulation, 61
Costs, 67
Financing, 69
5. Leadership, Strategy, and Institutional Arrangements 76
Leadership and Strategy, 76
Coordinated Policy Action, 73
6. Technology and Product Development 81
Research Directions, 81
Research Dissemination, 83
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7. Conclusions and Recommendations.............................
District Heating and Cooling Systems, 85
Regulation, 86
Taxes, 87
Data and Information, 89
The Federal Role, 90
Financing, 91
Technology and Product Development, 92
Appendix A: Case Studies
St. Paul, Minnesota, 96
WilImar, Minnesota, 106
Piqua, Ohio, 107
Trenton, New Jersey, 108
Jamestown, New York, 110
Baltimore, Maryland, 115
Pittsburgh, Pennsylvania, 120
Fairbanks, Alaska, 121
Los Angeles, California, 122
Appendix B: Systems in the Washington, D.C., and Baltimore
Metropolitan Areas...............
Military, 125
Colleges and Universities, 126
Residential, 126
Governmental, 128
Medical, 129
Institutional, 129
Appendix C: District Heating in Europe
Factors Influencing District Heating in Europe, 130
Government Planning, 134
Appendix D: Technical Assessment, City of Baltimore District Heating
Proj e ct . . . . . . e e e e e e e e e e e e ~ ~ e e e e e e e e ~ e e e e e e e e e ~ e e e e e e ~ e e e e
Methodology, 141
Thermal Demand Assessment, 142
Thermal Supply, 144
Thermal Transmission and Distribution System, 144
Economic Analysis, 145
Summary, 146
References.
85
95
125
130
141
151
Glossary of Acronyms . . e e e e e e e e e e e e e e ~ ~155
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List of Figures and Tables
Figures
1-1
1-2
1-3
1-4
1-5
1-6
1-7
1-8
2-1
2-2
2-3
2-4
2-5
3-1
3-2
3-3
3-4
3-5
4-1
4-2
4-3
4-4
A-1
A-2
A-3
A-4
A-5
Caterpillar tractor plant, Peoria, Illinois, 9
Possible elements of district heating and cooling systems, 14
Schematic diagram of simplified district heating and cooling system, 15
Municipal solid waste-fueled thermal production plant, Akron, Ohio, 16
Power plant cogeneration retrofit efficiency, 18
Energy flow analysis, 1980-2000, for the Piqua, Ohio, district heating and cooling
system, 19
District heating transmission line in New England connects a downtown heat
distribution grid to the thermal production plant several miles away, 20
Welding 10-inch steel for 320°F hot water distribution nine to the state capitol.
Trenton, New Tersey, 21
Commercial district heating systems in the United States and Canada in 1951, 27
District heating and cooling project cities, 30
Finishing a weld on a new section of district heating piping that carries steam to
several buildings around the ellipse in front of the White House, 32
Capitol Hill district heating system, Washington, D.C., 33
District heating growth in selected European countries, 1960-1980, 34
District heating market penetration, 40
Starrett City: A New York City community served by district heating and cooling,
50
The growth of district heating on college campuses, 52
The growth of district cooling on college campuses, 53
Fuels used in campus systems, 54
Annual average increase in SO2 emissions due to district heating, 64
Ambient SO2 levels in Boston from the heating sector, 65
Ambient SO2 levels in the Twin Cities from heating other large point sources, 66
Components of system cost as a percentage of total costs, 68
St. Paul district heating pipeline network, 97
St. Paul District Heating Development Corporation development funding,
1979-1982, 101
St. Paul District Heating Development Corporation system financing, 105
Trenton district energy project, 109
Trenton District Energy Company: impact on government outlays and receipts,
111
r-r ~r-~~~~
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Century City district heating and cooling system, Los Angeles, 123
A 1980 forecast for district heating development in Sweden, 133
Major potentials for district heating in West Germany, 155
Lower Rhine district heating main, 138
Planned distribution of district heating in Denmark in the year 2000, 139
Cherry Hill district heating project total end-user energy cost comparison, 149
Tables
2-2
3-1
3-2
3-3
3-4
3-5
3-6
4-1
4-2
A-1
A-2
A-3
A-4
D-1
D-2
D-3
1-1 Comparison of Steam District Heating and Hot Water District Heating, 11
1-2 Costs of Retrofitting Buildings to Use Cogenerated Hot Water, 23
2-1 Typical U.S. Steam District Heating and Cooling Utilities, 29
Energy Contributions of District Heating and Combined Heat and Power Systems
in Selected Countries, 1981, 35
Net Energy Savings from Cogeneration District Heating. R~sid~nhal once
Commercial Applications, 42
A,
Scare Fuel Ravings from Generation District Heating, Residential and
Commercial Applications, 42
National District Heating and Cooling Employment Generation, 43
Retention Model, 43
Comparative Urban Heat Load Density Values, 46
Heating Degree Days (Below 65°F; 18°C) and Population Densities, 47
Construction and Permanent Financing for Alternative Energy Projects: Key Risk
Assessment and Containment Strategies, 70
Comparison of Financing Methods, 73
Preliminary Studies for the St. Paul District Heating System, 99
Cost of the Willmar System, 108
Jamestown Power Plant Retrofit Costs, 113
District Heating Piping System Cost for Jamestown, New York, 113
Baltimore District Heating Thermal Load Summary, 143
Baltimore Net Revenue Analysis-Fuel Equivalent Basis, with Cogeneration, 147
Cherry Hill District Heating Project-Total End-User Energy Cost Consumption,
148
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