37 5.6.3. Framework Conditions for CHP Current Aspects New CHP plants based on waste or bio fuel are eligible for green certificates on the renewable share of their produced electricity, or they can choose to apply for an investment grant from Enova (governed by the Norwegian energy ministry). This subsidy is a financial support of up to 45% of the investment costs in a DH plant based on renewables. Future Aspects Norwegian DH is characterised by densification of current DH-grids, rather than by establishment of new DH-systems. There are thus few investments in new facilities. CHP plants based on biomass may become profitable with a sufficiently high green certificate price, but currently CHP is not competitive to small-scale hydropower or onshore wind power. 5.6.4. Framework Conditions for P2H Current Aspects DH producers have a lower energy tax charge on electricity than residential consumers. The largest DH companies have a flexible network tariff, which means that the network company can deactivate their electric boiler on short notice. In compensation, the DH producers get a discount on the load demand component in the network tariff. The tariff structure however varies greatly among the different utility companies, and is in many cases a barrier for flexible use of electric boilers in the DH sector. Future Aspect Due to general low electricity prices, there has been an observed increase in the use of electricity for heat production since 1999. The use of electric boilers however drops in cold and dry years with high electricity prices. Due to advanced metering, the tariff structure is under evaluation. 5.6.5. Framework Conditions for General Resources Heat storages are rarely applied, but an oversized pipe system makes storage within the DH network theoretically possible. There are no subsidies for flexible solutions alone, unless specified in the Enova investment support scheme for entire systems, based on renewable energy, or the green certificate scheme for variable renewable electricity. Third party access and supply of district heat has been introduced in the Energy Act. Heat tariffs follow the electricity price, and are not allowed to exceed these. There is a trend towards an extended use of load demand tariffs in the DH price, and so far, one company charges a tariff based on the water volume to induce efficiency. An energy charge according to the current season is common.
WP2 DH report
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