ᐅ District Heating: Contract Duration for Heat Supply – 10 or 20 Years?
Created on: 15 Jul 2024 00:36
M
mman182
Hello everyone,
We have purchased a new row house, which is heated via district heating. Now we have the option to choose between a 10-year and a 20-year contract period with the heat supplier. The only difference is in the basic fee. Since we have no experience with this topic, I wanted to ask for your advice.
The primary energy factor is 0.39fp, with 55% renewable heat, 35% combined heat and power (CHP), and 10% peak load (natural gas).
For 10 years, the basic fee is €107.64 gross per month, and for 20 years it is €61.51.
What would you do?
Best regards
We have purchased a new row house, which is heated via district heating. Now we have the option to choose between a 10-year and a 20-year contract period with the heat supplier. The only difference is in the basic fee. Since we have no experience with this topic, I wanted to ask for your advice.
The primary energy factor is 0.39fp, with 55% renewable heat, 35% combined heat and power (CHP), and 10% peak load (natural gas).
For 10 years, the basic fee is €107.64 gross per month, and for 20 years it is €61.51.
What would you do?
Best regards
mman182 schrieb:
The base fee is fixed, the usage price is variable and based on the index. At what price does the usage price start?
mman182 schrieb:
What occurred to me earlier (this will probably make more sense in a housebuilding forum):
I’m 40, and if in 20 years I have to decide on heating options, I’ll probably think that a major renovation isn’t worthwhile because the kids will soon move out, the house will be too big for us, and we’ll sell it anyway. If we still live there for another 10–20 years, we’ll just live with some kind of budget or compromise solution.
If we install a heat pump in 10 years, it will run until I’m 70, and even if it doesn’t, the necessary renovation will already have been done and it can be replaced then. I’m not quite sure where this is heading.
Planning that far ahead is always difficult; you can only decide that for yourself. We can’t calculate it for you. For example, I’m 30 and want to create a nice home and a small paradise in the garden. Whether it will be too big for me in retirement, I’ll decide spontaneously then. But it will be paid off by that time, and I probably won’t find a cheaper place to live anywhere else. Maybe I’ll have the wildest hobbies by then and need an extra room for them. Maybe the kids will take it over by then. Who knows.
Maybe in 20 years there will be a new local heating contract that’s even cheaper. Maybe there will be a completely new heating technology in 20 years. Maybe nuclear fusion will succeed and be so cheap that we all heat with pure electricity. Nobody knows.
What I want to say is, of course, you can only decide based on the information you have now. Run the numbers again and then decide.
jrth2151 schrieb:
At what price does the energy price start?0.10597 €/kWh (0.10597 USD/kWh)
The price adjustment clause is as follows:
New energy price = Initial energy price * (0.7^(0.3*(St/St0) + 0.7*(G/G0)) + 0.3*(FW/FW0))
New energy price = new variable energy price in €/kWh (USD/kWh)
Initial energy price = variable energy price at contract signing
St = respective annual electricity index for individual consumption from the published energy price development data of the Federal Statistical Office Wiesbaden for the year prior to the delivery year.
(Table code CC 13-04510): 120.80 average for 2022
St0 = base value of the electricity index for individual consumption 2020 = 100, rebased to 2020=100; informative:
2019 = 106.80 base year 2015 = 100
G = respective annual consumer price index for natural gas without surcharges from the published energy price development data of the Federal Statistical Office Wiesbaden for the year prior to the delivery year.
(Table code CC 13-0452103000): 171.5 average for 2022
G0 = base value of the consumer price index for natural gas without surcharges 2020 = 100, rebased to 2020=100;
informative: 2019 = 95.80 base year 2015 = 100
FW = respective annual consumer price index for heat price index (district heating, including surcharges) from the published energy price development data of the Federal Statistical Office Wiesbaden for the year prior to the delivery year.
(Table code CC13-77): 126.3 for 2022
FW0 = base value of the consumer price index for heat price (district heating, including surcharges) 2020 = 100,
rebased to 2020 = 100; informative: 2019 = 96.4 base year 2015 = 100
BG = actual additional costs for the required share of biogas/biomethane in € per billing year divided by
total delivered heat amount (kWh) in €/kWh (USD/kWh)
Explanation for BG: Additional costs = actual procurement costs for biogas minus actual natural gas costs (each averaged prices over quantity)
Am I correct in understanding that the price partly depends on electricity and district heating, but is mostly based on the current gas price? According to Destatis, the consumer price includes taxes (The price measurement considers purchase prices including sales tax (value-added tax) and excise duties). Since I expect significant future tax increases on gas (which makes sense due to high CO2 emissions) and the usage price is already relatively high, the calculation probably no longer adds up.
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