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RENEWABLES FOR HEATING AND COOLING

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RENEWABLES FOR HEATING AND COOLING ( renewables-for-heating-and-cooling )

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154 support for the upfront costs of biomass heating installations, the production of biomass heat began to show important growth. Through the Wood Energy Plan, 1 398 boiler plants were installed between 2000 and 2005 to exceed the target of 1000 by 2006 (ADEME, 2006). The Wood Energy Action Plan guidance scheme created a “green flame” label for highly efficient heating appliances, assuring a high quality standard. The 2005 tax credit which offered further financial support for biomass, was accompanied with a 23.6% increase in annual sales of biomass heating appliances in 200556. Geothermal The geothermal heat market has grown continuously since 1998, about 97% of which is used for space heating57 (Fig B9) (WEC, 2004). A total of 326 MW had been installed by 2000, 396 MW by 2002, 421 MW by 2003, and 841 MW by the end of 2004 of which 550 MW was direct-use heat such as GHPs (EREC, 2004a; EurObserv’ER, 2005). ADEME estimated that 2 000 to 3 000 new homes are connected to geothermal heating per year58. In 2005, about 83% of direct-use geothermal heat capacity (243 MW) was connected to district heating to give 4 030 TJ/yr of heat. The development of direct-use (low-temperature) geothermal heating capacity, specifically geothermal district heating systems and GHPs has grown due to the support of the French Electricity Board, the French Ministry of Environment and ADEME. French policy in support of geothermal heating began in the 1980s with the implementation of the Risk Coverage Fund. The high 19.6% VAT tax on heating network subscriptions created a barrier to the development of geothermal energy heating which was successfully countered by ADEME’s 2000 plan for direct financial compensation for connection to geothermal based heating networks. This policy supported the connection of 10 600 households to a geothermal heating network by 2004 (EurObserv’ER, 2005). Moreover, 30 000 additional residences were connected to existing geothermal district heating systems by 2006 through CPER (EGEC, 2006). Additional incentives, including a tax credit in the 2005 Finance Law and a reduction in VAT in 2006, are expected to further enhance the development of geothermal heating. Figure B9 Heat generated from direct-use geothermal in France from 2000 till 2004 Heat generated (TJ) 10 000 9 000 8 000 7000 6 000 5 000 4 000 3 000 2 000 1 000 0 2000 2001 Source: EREC, 2004a; EurObserv’ER, 2005. 2002 2003 2004 56. 430 000 biomass installations were sold in 2005, accounting for this increase. 57. Greenhouse heating accounts for 2%, and fish and animal farming 1% of the French geothermal energy use. 58. At the end of 2004, 150 000 French homes utilized geothermal heating technologies.

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