The potential of District Energy in APAC
4DH International Online ForumPeter Lundberg, Head of Operations
Asia Pacific Urban Energy Association (APUEA)

Bangkok, March 25 2021
Supported byPresentation Overview
1. Energy Consumption in Cities
2. The benefits of District Energy
3. Asia Pacific Case Studies (DCS)a) Hong Kongb) Thailandc) Philippinesd) China

4. Existing barriers for District Energy
5. District Energy opportunities in APAC

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APUEA – independent support to cities in APAC
Founded by the International Institute for Energy
Conservation (IIEC) in 2017
Supported by Asian Development Bank, Euroheat & Power,and Danish Board of District Heating
Secretariat in Bangkok, and local representation in Beijing,
New Delhi and Melbourne
Promoting the development of sustainable urban energy
and disseminating trends and best practices in the urban
energy sector through seminars, workshops, publications
and other activities – with focus on District Energy (DE) andMulti Energy Systems (MES)
Supporting cities navigating in the cross-sectoral urban
energy field, including Smart Energy City, Energy 4.0, Energy
Symbiosis, and other trending concepts
ABB, Engie and Johnson Controls are Founding Members ofAPUEA

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Energy Consumption in Cities• Cities occupy only twopercent of the world’slandmass• Cites consume overtwo-thirds of theworld’s energy• Cites account for
more than 70% of
global CO2-emissions.

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Current and Future Megacities (2018 – 2030)

World Urbanization Prospects: The 2018 Revision
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Sectoral Energy Consumption
Within cities, the proportion ofenergy use by various sectors differ
by economy.

SECTORAL ENERGY CONSUMPTION
IndustrialPublic

HONG KONG

BANGKOK

41%15%19%

20%

5%

9%

5%

5%

• Osaka - Industrial

7%

13%

21%

23%

32%

32%

• Bangkok - Transport• Tokyo - Commercial

Transport

36%

42%

Cities in Asia Pacific region requiredifferent energy solutions depending
on climate and dominant sectoral
consumption:• Hong Kong - Commercial

Residential
74%

Commercial

TOKYOOSAKA

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Energy Consumption in Buildings• Buildings stands for 30% of final
energy consumption in AsiaPacific• Buildings account for a large partof GHG-emissions in cities.
• Space cooling is the fastestgrowing use of energy inbuildings.
• Cooling accounted for 18.5% of
total electricity use in buildings,(13% in 1990).
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Trends & Developments in the Energy sector
Trends influencing the energy sector• Urbanization• Digitalization
Development trends in the energy sector• Electrification• De-carbonization• De-centralization• System integration –Multi Energy Systems

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Multi (Fueled) Energy Systems – A key to sustainable cities• District Energy - District Heating (DH) & District Cooling (DC)• Distributed Energy - Co-generation (CHP) & Tri-generation (CCHP)• Combined Heating & Cooling (DHCS)• Smart Grids

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Multi (Fueled) Energy Systems – Benefits
Advantages over traditional energy systems:• Adaptability to changes in fuel availability• More effective utilization of low-value
surplus energy and renewable energy• Flexible integration of intermittent
renewable energy (e.g., through energy
storage and co-/tri-generation)• Reduction in peak loads.

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District Energy – District CoolingDistrict Cooling Systems offers:• Reduced energy demand, DC systems are up to 50% more
efficient than conventional cooling systems.
• More efficient capacity use, DC systems use approx. 15% lesscapacity than individual cooling systems.
• Integration of multi energy sources, such as intermittent
renewable electricity, waste energy and natural cold sources• Thermal Energy Storages (TES) enables the potential toreduce peak loads.
• A vital role to mitigate global warming 0,5-1°C (High Efficiency& phasing out HFC-refrigerants).
• Reduced heat urban island effect• Long lifespan, up to 50 years• Huge market potential, (Not least for CBD/TOD areas,Industries and Industry zones, Airports, Hospitals and DataCenters)

Thermal Energy Storage

District Cooling System

Electrical Chiller

Absorption Chiller(Heat Driven)

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Distributed Energy
Distributed Energy Systems offers:• High Efficiency, more than to 80% of the fuelinput is converted to useful energy(electricity/heat/cooling)• Decentralized Energy Production, local power
production = reduced stress on power grids• Low pollution (Depending on fuel type)• Integration of renewable energy (Depending onfuel type)• A wide range of suitable technologies for
projects with different pre-conditions• Suitable applications include: Airports,
Hospitals Central Business District Areas,
Industry Zones.

Gas Turbine

Absorption Chiller (Heat Driven)

CoolingHeatingElectricity
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Integration of Electric Vehicles• Smart Grids• Introduces communication between Producer & Consumer• Optimized Smart Charging can reduce peaks and balanceloads in the grid
• Allows for new market solutions (V2G)= Play a vital role to introduce EV’s, by balancing the grid andenable reduction of peak loads• Distributed Energy• Decentralized Power Production,• High Efficiency – reduces energy demand• Reduced installed capacity= Increased available grid capacity• District Energy• Increased energy efficiency leads to reduced energy demand• Reduced installed capacity• Thermal Energy Storage can reduce peak loads and integrate
more Renewable Energy= Increased available grid capacity, reduction of peak loads

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Energy use for space cooling 2016-2050

Source: IEA
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District Cooling
A not-in-kind solution for HFC phase-down
The Kigali amendment:• Up to 0,5 °C from HFC phase down and• 0,5 °C due to energy efficiency
improvements• Total potential 0,5 – 1 degree C
District Cooling is recognized by UN to have a
key role to meet both targets!
As the solution for up to 25% of the global
cooling demand

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District Cooling at Kai Tak Development• DCS, the most efficient AC system suitable
for the area
• First-of-its-kind DCS in Hong Kong,• Capacity, 284 MWr (50 consumerbuildings, tot. 1,73 million m2)• 35 % more efficient than air-cooled Air
Condition Systems• Annual savings: 85 million kWh inelectricity consumption, equivalent to thereduction of 59,500 tonnes of CO2• Consumer cost comparable to watercooled AC-systems (Cooling Towers)• Three phases with expected completion in2025
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One Bangkok – Bangkok Thailand
One Bangkok - Thailand’s Largest
Fully Integrated District• Landmark development in central
Bangkok to be opened in 2023.
• Investment of THB 120 Billion (USD3.84 Billion)• 16.7 acres, 16 buildings, incl.
offices, hotels, shopping malls,residences.
• High focus on sustainability, LEED
Certification (First in Thailand)• District Cooling (133 MW) systemwith high efficiency incl. thermalenergy storage and utilization ofrecycled waste water.
Source: www.onebangkok.com

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District Cooling at Northgate Cyberzone, Philippines• Northgate is a 18.7 hectares information
technology park
• Fully redundant, 1,7 km cooling network• Cooling Capacity, 42 MW (18 consumerbuildings, 410,000 m2)• 39% reduction of the annual electricity
consumption• Annual reduction of 18,400 tonnes ofCO2• Availability of 99.8% guaranteed• Investment cost: 26 M€• Capex and Opex guaranteed for 20 years
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Qianhai DCS, Shenzhen, China• Consisting of 10 production plants• 90 km distribution pipe network• Cooling Capacity, 400,000 RT/ 745 MW• Total energy storage capacity: 4,000MWh• Total capital cost: 4 Billion RMB• Total land footprint: 15 km2

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Existing barriers for District Energy in APAC
• Lack of incentives and regulations to address• High initial cost (Front loaded investment)• Delayed load ramp-up and occupation ratio• Land access for distribution
pipelines/systems• Lack of large Cooling utilities (similar to ElectricUtilities)• Cooling policies strategies and action plans(National, local governments and SOE)
• Energy planning as a natural part of urban
planning (Enable system integration to increase
efficiency and environmental benefits)

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The potential of District Energy in APAC
• APAC is the largest growing cooling market in theworld• DCS is recognized by i.e. APUEA, UN DES, K-CEP,
and other organizations, promoting thedevelopment of sustainable urban energy• Several countries in the region present
ambitious climate targets (China, Japan, SouthKorea)• Green buildings and certifications are getting
more popular, introducing energy efficientsolutions incl. District Cooling• Efficient technologies and good development
and implementation practices are present
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7th Global District Energy Climate Awards
11-12 November 2021 in Bangkok, Thailand
www.districtenergyaward.org

Thank you!
Peter Lundberg
Head of Operations
Asia Pacific Urban Energy Association (APUEA)
plundberg@apuea.org
www.apuea.org
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