Geothermal installation in Pyrzyce as an example of clean and renewable energy in the heating sector

About this good practice
The Pyrzyce heating plant was one of the first in Poland to use geothermal energy for system heating. The project aimed to reduce air pollution, a serious problem in Poland. Instead of the planned central coal-fired boiler plant, the municipality of Pyrzyce decided to build a geothermal plant. The investment was funded by national and regional public funding, including the municipality's budget.
In the case of Pyrzyce, the water temperature in the deposit is around 64°C, and drilling was carried out at a depth of 1,640 m. There are currently five wells in operation: one production and four injection wells. In summer, geothermal energy is a sufficient source of hot water, while in winter, depending on the air temperature, it provides 50-70% of the total demand for 12,500 inhabitants, as well as hospitals, schools, offices, industrial buildings, etc. The main problem of geothermal energy production is the high mineralisation of the water (122 g/l, mainly NaCl). The water is rich in bromine, iodine, iron, manganese and boron compounds. At present, it is used in miniature saline graduation towers, which causes significant problems in the operation of the system. The plant operator's financial problems were solved when the National Environmental Protection Fund, which provided debt financing in the early stages, converted its loans into equity. The heating network is 16 km long, and the circulating water reaches 60/45oC in the summer and 80/40oC in the winter.
Resources needed
The key resource is geothermal water, ideally with a low level of mineralisation. At least two wells need to be drilled - around EUR 5 million per well. The cost of the ground installation depends on the water temperature and power capacity. Appropriately trained and authorised mining personnel.
Evidence of success
The replacement of coal-fired boilers with alternative heat from geothermal water has resulted in a significant reduction in emissions of key pollutants. The specific reductions between 1997 (only coal-fired heat production) and 2023 (60% of heat production based on geothermal water) are as follows CO2 - from 85,938 tonnes to 3,164 tonnes per year; CO - from 2,760 tonnes to 0.5 tonnes; SO2 - from 1,184 tonnes to zero; NOx - from 263 tonnes to 3 tonnes; particulates - from 241 tonnes to zero.
Potential for learning or transfer
This project can be replicated in regions with geothermal resources and existing fossil fuel-fired heating systems to reduce air pollution, especially in northern areas that do not have good conditions for other green energy generation (e.g. photovoltaics).
Due to high investment costs and uncertain drilling results (e.g. the water extracted may be too low in temperature), as well as technological/operational issues to be addressed in the early stages of operation, significant external funding is required.
A company without adequate financial resources may face problems leading to insolvency - in such cases, a new investor may be required.
It is advisable to set up a special fund at the national level to cover the costs of unsuccessful wells. The participation of EU/national funds in geothermal projects significantly reduces investor risk and increases investor interest.
Further information
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