Why do you think residential districts are a key lever for a climate-neutral energy supply?

Pierre Krisam: In my view, there are three key advantages. First, aggregating multiple consumers reduces the simultaneity of demand. This means that, for example, I don’t need 16 individual heat pumps, each with 10 kW of thermal output, but rather a central system with 120 kW. This saves costs and resources. Second, a wide variety of renewable energy sources can be economically harnessed in districts. Wastewater heat or geothermal energy, for example, can be meaningfully integrated at the district level, whereas this is often not economically feasible for a single building. Third, the transformation of an entire district can be planned much more efficiently and its implementation can be significantly accelerated compared to individual measures. It’s worth taking a closer look and, for example, conducting tailored simulations and optimizations to unlock potential, because the potential cost savings are naturally much greater at the district level than for a single building.

One more point is important to me: A district concept often, but not always, includes a local heating network. Decentralized solutions with smart renewable energy use can also be district energy concepts. The key is that the needs and requirements of the entire district are incorporated into the analysis and the best solution is found.

 

What are the typical challenges that municipalities and housing companies bring to Fraunhofer UMSICHT?

Pierre Krisam: The challenges are as unique as our clients. We therefore always tailor our services precisely to the specific needs and goals. The most common question, however, is: How can I decarbonize my heat supply while keeping energy affordable?

 

At what points do district projects particularly often stall, and how do you provide concrete support there?

Pierre Krisam: Two points in particular come to mind. Firstly, securing financing can often be challenging. We therefore also provide practical support with questions regarding suitable funding options, which can sometimes be difficult to navigate. Secondly, project delays are often caused by approval processes. This is why it is important to gain an early overview, identify potential issues, and initiate the relevant procedures promptly.

 

What do you mean by an integrated energy concept for residential districts, and what is the added value compared to individual measures?

Pierre Krisam: By an integrated district concept, we mean a holistic consideration of all energy-related aspects within the district. This includes photovoltaics, tenant-generated electricity, heat generation, district heating networks, building retrofits, as well as electric transportation and connection to the power grid. When these topics are considered holistically, synergies can emerge and misguided investments can be avoided. The extent of renovation, for example, is closely intertwined with heat generation and has a direct impact on the requirements for the power grid.

 

What are the key technical focuses of your work – such as technologies, cost-effectiveness, or emissions reduction?

Pierre Krisam: We take a systemic approach and examine each energy system – including potential transformation options – in a way tailored to specific needs. Often, clients aim to meet the requirements of a transformation plan or feasibility study under the “Federal Funding for Efficient Heating Networks (BEW)” program, or they want to reduce emissions as much as possible while keeping additional costs to a minimum. Our goal is always to identify the most cost-effective system for the given requirements, while also highlighting the advantages and disadvantages of different energy systems, technologies, and business models, as well as potential risks. This provides the client with an objective and well-founded basis for decision-making. We are also happy to offer advice with a neutral perspective on the client’s needs and to support or facilitate the decision-making process, for example through workshops.

 

How do clients benefit from your direct integration of current research findings into district projects?

Pierre Krisam: Investments in heating and electricity supply are long-term decisions. Capital is tied up for 20 to 30 years, and in the case of geothermal probes, even far beyond that. Therefore, it is particularly important not to miss out on innovations and to consider all options early on. We are the ideal partner for district projects because we always keep an eye on both practical applications and the current research landscape. This allows us to effectively translate innovations in the field of local energy systems into practice.

 

What role do simulations, scenarios, and key performance indicators play in decision-making for a district concept?

Pierre Krisam: Through simulations and optimizations, we can comprehensively test and analyze an energy system. You can think of the whole process as a digital laboratory, with the decisive advantage that we don’t have to physically build plants and energy systems first, thereby saving significant costs. Our models provide detailed insight into the system and how it operates. Using scenarios, we can assess risks and identify robust concepts. This is particularly important for district projects, where large investment sums are often involved.

Even though we are a research institute, we speak our clients’ language and present the analyses in a way that allows for well-informed decisions based on the results. We tailor the metrics to the company’s specific KPIs to make the results comparable and immediately actionable.

 

How does the collaboration with you typically proceed – from the initial inquiry to implementation?

Pierre Krisam: Clients usually approach us with a wide variety of questions. A casual email or a brief phone call is all it takes. If the question and topic align with our service offerings, we first have a non-binding discussion to identify the exact needs together. Based on that, we create a customized proposal. If everything fits, we proceed with the engagement. If the proposal doesn’t quite meet the client’s expectations yet, we’ll have another discussion and adjust it accordingly.

 

Who would particularly benefit from working with you, and when is the right time to get in touch?

Pierre Krisam: Our clients are diverse and range from small and medium-sized housing companies to large publicly traded real estate firms. A collaboration is always worthwhile when a residential district is undergoing energy-efficient renovation or the heating system is being converted, and the necessary planning services cannot be handled internally by an in-house team of experts. We also provide direct support to planning teams and engineering firms in the implementation of innovative energy systems and the evaluation of concept variants. The best time to get in touch is before preliminary planning begins. At this stage, all options are still open, and funding opportunities can be taken into account directly. However, it is also worthwhile to reach out to us at any later stage of planning and implementation.