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Danfoss Cooperation with Chinese City paves the Way for Agreements worth Billions

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25 September 2013

The first ribbon was recently cut for a new district heating transmission line in Anshan, and at the beginning of November this year, the first 200 MW of surplus heat from the Angang Steel plant will be directed into the district heating network instead of being lost via the chimneys.

The solution will significantly reduce CO2 emissions and improve the air quality for the close to four million habitants and, at the same time, it will save energy and money. Governor Chen Zhenggao, who takes charge of the overall economic growth including industry and energy in Liaoning Province, finds this combination so exciting that he would like to see more cities do the same.

Investment opportunities worth EUR billions 

The plan is for Anshan, over the next four years, to use surplus heat from Angang Steel as main heating source for the entire city and it will reduce coal usage and CO2 emissions by 60-90%. The total investment is expected to amount to approx. EUR 200 million, of which Danfoss will have its share – together with COWI, Danfoss’ strategic partner in China. Liaoning Province has 14 cities with more than a million residents each, so long-term prospects indicate investment opportunities amounting to billions of euros.

President of Danfoss District Energy Division, Lars Tveen, says:

“We are in a really good partnership with Anshan City Government, Angang Steel and Qianfeng District Heating Company. Due to our close cooperation, we have jointly developed a solution for using surplus heat as energy, which can be copied in other cities. No doubt, this is the biggest project ever in our district heating division in China, and it continues to grow.”

The Anshan project is also a milestone for the city, involving positive prospects for the Province. These are the words of Governor Chen:

“The project in Anshan is the most promising project that has come to my attention for many years. It is a milestone for the development of the city, and an exciting project for the entire province, which I will follow closely.”

The next projects are already being contemplated in the cities of Benxi and Yingkou, both of which have steel plants nearby and, therefore, could easily copy a large part of the project in Anshan to their respective cities. The Anshan project is the first of its kind in China and will help make Anshan a world-leader within district heating, with energy efficiency on a par with that of Danish cities.

There is huge untapped potential worldwide for using energy more efficiently and utilizing the surplus heat from steelworks, petrochemical plants, and power plants, etc. for heating houses and tap water.

More news

- Danfoss and COWI to implement district heating system in Anshan, China

Danish district heating for 1.8 million Chinese citizens

Source: Danfoss

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