Clean Energy Technology Observatory, Smart thermal networks in the European Union : status report on technology development, trends, value chains and markets : 2024

This report is part of the 2024 Clean Energy Technology Observatory series and is focusing on smart thermal networks within the European Union. It provides an overview of the current status, emerging trends, and the potential of this sector integration technology. Smart thermal networks represent a substantial opportunity for urban areas, functioning with increased efficiency and smarter control at lower flow temperatures. This enables the introduction of more renewable energy sources and waste heat, while also enhancing the flexibility of the system. As a result, smart thermal networks can serve as versatile assets, providing balancing services to the wider energy infrastructure. An increasing number of district heating and cooling systems within the European Union are evolving into smart thermal networks. Many cities are channelling investments into the expansion and modernisation of their current infrastructures to meet anticipated future energy demands, which are increasingly dependent on variable renewable energy sources, like solar and wind power. Smart thermal networks incorporate a range of technologies, the majority of which are technologically advanced, such as intelligent control systems with sensors, utilisation of waste heat, high-efficiency cogeneration, large-scale heat pumps, and thermal energy storage systems. One of the most promising frontiers for innovation lies in digitalisation, which enables the smooth integration and management of energy flows. By promoting intelligent control and data exchange throughout the system, smart thermal networks can control their operations for optimal performance in the short and medium term. As a global frontrunner in this arena, Europe is well-equipped to spearhead the shift towards smart thermal networks, exemplifying their importance within the framework of carbon neutral and smart cities.