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As usual, in the 65th edition of our heatbeat Research Newsletter, we present two recent articles. One about a systematic investigation of peak loads in district heating networks, and one about an optimization model for data center placements in existing district heating networks. We would also like to give you a brief overview of the most important developments and news about heatbeat and our Digital Twin.
To give you a clearer picture of the latest developments in the heatbeat Digital Twin, we started showcasing features in our new video format last month. Both in our blog and on our newly launched YouTube channel you can now find the first videos that present new features and workflows in detail. Among other things, you will find presentations on the following topics:
In addition, our monthly Feature Update now includes short videos in our blog, not only describing new features but demonstrating them directly using specific use cases. New features in February include improved display of network weak points in our map view, a new note field in the building dashboard, extended options for heat network simulation with our design module, and new electricity-based control options in our generation simulation.
In addition to these developments, we were also able to support numerous heating network operators in February with their applications for funding for their transformation plans and the associated planning services. As BAFA will no longer accept funding applications after the end of March, it is important to act quickly. If you are also required to submit a transformation plan next year and have not yet applied for funding, please feel free to contact us — we will be happy to assist you at short notice until the end of the month.
Novel method for data center placement using multiobjective optimization with thermohydraulic models of existing district heating systems (Kotilainen et al., Tampere University Finland) https://doi.org/10.1016/j.energy.2026.140178
The first study examines a question many utilities currently face: how can the steadily growing amount of low-temperature datacenter waste heat be integrated into existing high-temperature district heating systems? Instead of treating data centers as independent add-ons, the authors model them as fully embedded heat sources and simulate more than 350 potential placement locations across two Finnish networks. Using detailed thermohydraulic simulations, they analyse how a 1.5 MW, 75°C waste heat stream interacts with the surrounding network and to what extent it can replace existing high-temperature production.
A key insight is that the physical placement of the data center is the dominant factor determining how much of its heat can actually be used. Locations near existing production plants allow the waste heat to mix directly into high-temperature flows, enabling impressively high utilization rates of 93–99%. This also reduces production costs significantly — up to 12% in Kangasala and 5% in Valkeakoski.
The picture changes entirely for locations along distribution lines or near demand. Without sufficient mixing, the 75°C heat stream can substantially reduce local supply temperatures. In distribution lines, temperature drops of 22–32 K were observed; near consumers, supply temperatures collapsed to waste heat levels. In these areas, the usable heat share fell below 60%, and the risk of underheating increased significantly.
To balance these effects, the authors introduce a Location Suitability Index (LSI), combining cost impacts, temperature drops, and spatial network characteristics into a single metric. Resulting heat maps clearly highlight that optimal injection zones almost always lie near existing production plants — where mass flows are high, mixing is effective, and expensive generation can be displaced most efficiently. Even simple control strategies limiting supply temperature reduction to 5 K allow high utilization for most of the year.
Overall, the study shows that datacenter waste heat can significantly reduce district heating production costs — but only when placed in system-appropriate locations. Low-temperature waste heat is therefore not a purely local resource but a systemic one — requiring system-aware planning.
Rethinking peak load in district heating: Operational insights and techno-economic pathways (Ali et al., Tallinn University of Technology) https://doi.org/10.1016/j.egyr.2026.109061
The second paper addresses an often underestimated aspect of district heating: the role, definition, and decarbonization of peak loads. While baseload decarbonization has progressed considerably, most networks still rely on fossil boilers for short peak events. The study shows that utilities define “peak load” very differently, complicating planning and regulation.
Using a structured taxonomy, an international survey of 163 utilities, and extensive modelling, the authors show that some networks experience fewer than 25 peak hours per year, while others see over 1,000. Definitions vary from statistical thresholds to meteorological extremes or percentages of design capacity. This conceptual fragmentation complicates policy development and comparative analysis.
Based on this taxonomy, the authors simulate twelve representative network configurations and analyse peak shares of 10%, 20%, and 40%. They compare gas boilers, electric boilers, heat pumps, and biomass boilers based on primary energy, emissions, and levelized cost of heat.
Electric boilers are the most cost-effective when peaks are infrequent, with up to 22% lower costs than gas boilers. However, depending on the electricity mix, they may increase primary energy use and emissions.
When peak loads are frequent or prolonged, heat pumps become superior. Their efficiency yields average savings of 46% in primary energy and 36% CO₂ reduction compared to gas boilers. As electricity grids decarbonize, their advantages grow. Biomass boilers offer the largest emission reductions but remain economically challenging.
The authors emphasize that managing peak loads does not always require additional generation. Low-temperature networks show fewer peaks, and measures such as storage, flexible building activation, and demand-side management can significantly reduce peak occurrences, potentially eliminating the need for costly peak boilers.
This study provides one of the most comprehensive analyses of peak loads to date, highlighting that peak-load strategy is a systemic issue involving temperatures, load patterns, flexibility, and long-term decarbonization strategies.
As always, we recommend reading the full articles. If you are interested in evaluating peak loads in your district heating network or identifying optimal supply placement, feel free to reach out to us. Our engineering team, combined with the heatbeat Digital Twin, can support you in answering these questions.
We also look forward to more useful features in the heatbeat Digital Twin in March. Moreover, March will include the public information event for municipal heat planning in Oberelsbach. And of course, you can already register for our next Feature Update Live webinar on April 22, 2026.
The next issue of our newsletter will be published on April 1st, 2026.
Your heatbeat team