Powerplan warms to district heating

DWINDLING OIL stocks are set to increase the popularity of Scandinavian-style home heating systems in Ireland, according to a Waterford-based renewable energy firm that expects to secure contracts valued at €6 million over the next few years.

Powerplan, owned by brothers Owen and Cormac Power, said the installation of energy-efficient district heating technology in housing developments such as Carlinn Hall in Dundalk's sustainable energy zone would create 15 full-time jobs and 45 contract positions.

District heating saves on energy because it provides heating and hot water to residential developments and office blocks from one central source, meaning there is no need for each building or housing unit to have its own boiler, immersion heater or water tank. The heating can be run on many fuels, including traditional fossil fuels, but can also use biomass, geothermal heating and solar heating.

Powerplan's €2 million grant-aided heating system at Carlinn Hall runs on 90 per cent woodchip and 10 per cent gas and will reduce carbon emissions by 90 per cent. The system, which is estimated to save developers around €2,500 per unit, provides 30 per cent cheaper heating costs to residents.

Some 60 of the 87 units in the first phase of the 240-unit development, which is part of the Sustainable Energy Ireland (SEI) Dundalk 20/20 project, have been sold since it launched in October 2007.

In the 60-unit Farnham Court SEI-approved housing development in Co Cavan, Powerplan's €750,000 geothermal district heating system sucks heat from the ground.

Powerplan managing director Owen Power said district heating would spark a revolution in home energy over the next decade and would power half of all new homes in Ireland within 15 years.

"Oil is heading for $200 a barrel and unless we develop sustainable sources of energy, fuel costs will be an additional mortgage on family life," he said.

Crude oil prices hit a record of $135 per barrel last week, pushed up by supply fears, and remained over $130 per barrel yesterday.

Mr Power started Bioenergy Power Systems with his brother Cormac, a qualified design engineer, in 2005 and they adopted the name Powerplan last year.

District heating is relatively new to Ireland, but it has been used in Scandinavian countries for decades. Although it can be used on a one-off basis in eco-friendly homes, the cost savings are greater for larger developments.