Residents in Horsens face delays in green energy transition as geothermal heating plans stall

In a small village about 25 kilometers west of Horsens, residents are facing challenges in transitioning to greener energy solutions. Jørn Eskildsen, chairman of Hjortsvang Fællesvarme, expressed frustration as plans to build a communal geothermal heating facility for around 75 homes have stalled. The initiative, aimed at replacing oil and wood-burning stoves, began as a response to rising tensions from Russia in 2022, aligning with the Danish government’s environmental goals.

The delay arises from a political agreement established in July, which stipulates that communal geothermal systems, known as termonet, do not fall under the warmth supply law. This change means they cannot secure favorable municipal loans, forcing residents to seek market-rate financing instead. Eskildsen lamented the setbacks for rural energy solutions, stating, “Now it’s every man for himself,” and criticized the inefficiency of individual heat pumps compared to communal systems.

Other locals share similar concerns. Walther Trabjerg, a property owner who relies on wood pellets, is reluctant to invest in new heating systems, having hoped for the transition to termonet. He pointed out the environmental impact of wood pellets, questioning their status as climate-neutral.

Efforts to start the project with municipal backing had been positive, but recently, the Energy Agency’s new assessment blocked it from receiving a guarantee, hindering both local residents and ongoing sustainability efforts.

The Climate, Energy, and Supply Minister has cited concerns about economic risks and competition distortion but has not engaged with the criticism. Meanwhile, regional leaders argue that alternative funding options like heat pump subsidies are available, despite local frustrations about the lack of support for communal solutions. Residents worry that these delays will discourage newcomers and affect property values in their communities.