Hungary's District Heating System Set for Major Green Transformation
New funding initiative aims to enhance sustainability and efficiency in district heating across the country.
Hungary's district heating system is undergoing a significant transformation aimed at increasing sustainability and operational efficiency.
Under the Jedlik Ányos Energy Program, first announced by government officials, district heat producers and service providers can apply for grants to support the green modernization of their systems.
Starting June 18, 2025, applications will be accepted for a total funding pool of 96 billion HUF (approximately 265 million EUR), as highlighted by Gábor Czepek, the parliamentary secretary of the Ministry of Energy.
Currently, there are over 210 district heating systems in Hungary, providing heating for nearly 700,000 households, amounting to around 1.5 million residential consumers.
These systems service approximately 12,000 educational, social, and healthcare institutions, as well as shopping centers and sports facilities.
The modernization of these district heating systems to be more renewable-based is a key government initiative.
The Jedlik Ányos Energy Program allocates 51 billion HUF for the renewable-based modernization of district heating systems.
Of this, 45 billion HUF is earmarked for infrastructure development within the district heating sector, 25 billion HUF for improving energy efficiency, and 20 billion HUF for the integration of renewable energy sources, waste heat recovery, and the connection to existing district heating pipelines.
The new funding initiative encourages the replacement of natural gas heating with industrial heat pumps, geothermal energy, or biomass, thereby reducing Hungary's dependence on energy imports.
Moreover, improvements in pipeline insulation and restoration are intended to reduce heat and water losses in the network, enhancing the operational management for companies in the sector.
In addition to the infrastructure investments, the government is also launching a 5 billion HUF grant program designed to make district heating consumption measurable and controllable for families.
This 100% non-repayable support could facilitate investments in as many as 200,000 households equipped with smart meters.
Residents in buildings fitted with these smart meters will pay according to their actual consumption, which may lower their heating costs.
Under the Jedlik Ányos Energy Program, first announced by government officials, district heat producers and service providers can apply for grants to support the green modernization of their systems.
Starting June 18, 2025, applications will be accepted for a total funding pool of 96 billion HUF (approximately 265 million EUR), as highlighted by Gábor Czepek, the parliamentary secretary of the Ministry of Energy.
Currently, there are over 210 district heating systems in Hungary, providing heating for nearly 700,000 households, amounting to around 1.5 million residential consumers.
These systems service approximately 12,000 educational, social, and healthcare institutions, as well as shopping centers and sports facilities.
The modernization of these district heating systems to be more renewable-based is a key government initiative.
The Jedlik Ányos Energy Program allocates 51 billion HUF for the renewable-based modernization of district heating systems.
Of this, 45 billion HUF is earmarked for infrastructure development within the district heating sector, 25 billion HUF for improving energy efficiency, and 20 billion HUF for the integration of renewable energy sources, waste heat recovery, and the connection to existing district heating pipelines.
The new funding initiative encourages the replacement of natural gas heating with industrial heat pumps, geothermal energy, or biomass, thereby reducing Hungary's dependence on energy imports.
Moreover, improvements in pipeline insulation and restoration are intended to reduce heat and water losses in the network, enhancing the operational management for companies in the sector.
In addition to the infrastructure investments, the government is also launching a 5 billion HUF grant program designed to make district heating consumption measurable and controllable for families.
This 100% non-repayable support could facilitate investments in as many as 200,000 households equipped with smart meters.
Residents in buildings fitted with these smart meters will pay according to their actual consumption, which may lower their heating costs.
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