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E.ON and Deutsche ErdWarme partner up to develop deep geothermal in Germany

E.ON and Deutsche ErdWarme partner up to develop deep geothermal in Germany View over Berlin, Germany (source: flickr/ Tobias Begemann, creative commons)
Carlo Cariaga 2 Jun 2022

The cooperation agreement between E.ON and Deutsche ErdWärme aims to accelerate heat transition in Germany, with the initial joint projects planned in the North Rhine-Westphalia region.

In a release shared today, European utility company E.ON and German geothermal power plant developer Deutsche ErdWärme announced a cooperation agreement to develop deep geothermal energy in Germany, provide competitively priced green heat, and accelerate the region’s heat transition. Pilot projects are planned in North-Rhine Westphalia as part of the partnership. Below is the press release in its entirety.

The energy transition cannot succeed without a successful heat transition. Against this background, energy company E.ON and Deutsche ErdWärme (DEW) have signed a cooperation agreement for the joint development and implementation of geothermal projects. The aim of the cooperation is to provide regionally generated, affordable green energy for the heat transition and thus strengthen energy security. The two partners will pool their expertise to extract thermal energy stored at depths of around 1,000 to 4,000 meters and make it available to consumers in the form of 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.

About E.ON

E.ON is an international investor-owned energy company, which focuses on energy networks and customer solutions. As one of Europe’s largest energy companies, E.ON plays a leading role in shaping a clean, digital, decentralized world of energy. To this end, around 78,000 employees develop and sell products and solutions for private, commercial and industrial customers. More than 51 million customers purchase electricity, gas, digital products or solutions for electric mobility, energy efficiency and climate protection from E.ON. E.ON is headquartered in Essen, Germany.

About Deutsche ErdWärme

Deutsche ErdWärme is Germany’s largest private developer and operator of geothermal plants. Founded in 2017, the company specializes in deep geothermal energy and designs state-of-the-art geothermal plants. Currently, Deutsche ErdWärme is implementing several power plant projects in the Upper Rhine region that provide renewable electricity and heat from geothermal energy and create attractive offers for the surrounding cities and communities for a successful energy and heat transition.

Source: Email correspondence