Heat networks have been around a very long time – group heating systems date back to the 14th century in France. However, while the sector boomed from the 1930s and again from the 1970s, Europe has seen only very modest expansion in recent years. This is not a growth market. And yet the underlying assets, the heat generation and distribution systems, continue to be highly sought after by investors. We know this because we have helped clients seek them out.
Can this apparent contradiction tell us something about the future of this sector? Is it fated to flat-line and fade, or can it boom again and be a core part of the transition to the new energy world? Understanding the future of heating markets is a core part of Delta-ee’s research so this is an important question for us.