Mulhouse Alsace Agglomération is moving forward with a 130 million EUR district heating project • Saint-Junien is launching an 11 km biomass district heating network • Saint-Lô has selected Idex Territoires to develop its biomass district heating network • Read more about the developments in sustainable heating and cooling in this month's news update from France
Mulhouse Alsace Agglomération (M2A) has taken a significant step forward in the development of its future urban heating network, with the creation of a new operational framework for its distribution system. The planned network will span 60 kilometres and be managed by a Société d’économie mixte à opération unique (Semop), a public-private partnership structure where 49 percent of the capital will be held by the agglomeration and 51 percent by a private operator, to be selected in the coming years. The public service delegation is expected to be awarded by the end of 2026.
The network will serve the city of Mulhouse and seven nearby municipalities, as well as the Stellantis car manufacturing plant in Sausheim. Its main objective is to harness surplus industrial heat from the Rhine industrial zone and distribute it to public buildings across the region. A separate mixed-capital company, already created in 2023, is tasked with building the heat transport infrastructure. This company, formed between M2A and Réseaux de chaleur urbains d’Alsace (R-CUA), will oversee the installation of 27 kilometres of underground piping. R-CUA already operates heating networks in the Strasbourg metropolitan area and in southern Haut-Rhin.
The future network will mainly be powered by waste heat from industrial operations. The company Butachimie, which produces adiponitrile, will play a key role as a primary heat supplier. Other industrial contributors will include Alsachimie, which manufactures nylon salt, and Euroglas, a glass production company.
The total cost of the project is estimated at 130 million EUR. Around 50 million EUR is expected to come from the ADEME heat fund. For the remaining 80 million EUR, the agglomeration has requested a state guarantee to mitigate financial risk, though no confirmation has been received yet. The request was submitted prior to the early legislative elections of 2024 and the formation of a new government, which has delayed a response. Local institutions, such as the Grand Est Region and the European Collectivity of Alsace, may provide alternative guarantees if needed.
Development of the network will begin in phases starting in 2026, with the first section planned to be operational by 2028 and a full rollout expected by 2032. SHC by Sweden is committed to continue monitoring for new project updates that could open for business opportunities.
Read more in article from Les Echos
Saint-Junien is set to embark on the construction of a local renewable heating network, aiming to shield public buildings and residents from energy price volatility. The municipality will begin construction of an 11-kilometre-long district heating system before the summer, with work expected to last one year.
By late 2026, all municipal public buildings—including schools, colleges, high schools, the hospital, gymnasiums, the aquatic centre, and social housing—will be connected to this new system powered by locally sourced wood biomass. The initiative, presented during a public meeting on April 23 at the Châtelard congress hall, is designed to provide a stable, renewable alternative to fossil fuel-based heating.
Currently, most public buildings in Saint-Junien are heated using gas. However, following the liberalization of the gas market, local authorities can no longer benefit from regulated tariffs. Mayor Hervé Beaudet has notably pointed out the financial strain experienced during recent years due to energy cost inflation in 2022 and 2023. According to the Mayor, the energy bill was nearly multiplied by seven, despite consuming significantly less energy.
To combat price volatility, the city signed a public service delegation contract with Engie Solutions, ensuring stable heating costs for the next 23 years. While the project won’t necessarily lower costs immediately, it aims to protect the municipality from inflationary shocks and ensure long-term energy predictability.
Read more in article from Le Populaire du Centre
The City of Saint-Lô has officially chosen Idex Territoires to develop and operate its future biomass district heating network, with project delivery expected in autumn 2027. The decision, made on April 1, 2025, marks a significant step forward in Saint-Lô’s energy transition efforts, though not without political controversy.
The project, first envisioned in the early 2010s under then-Mayor François Digard, aims to provide sustainable heating to around 60 key sites. These include the Memorial Hospital, the Bon Sauveur Foundation, local schools, and collective housing managed by Manche Habitat. It has been indicated that a long-term objective with the network is to secure long-term stable pricing for energy.
The new heating network will be powered mainly by a biomass boiler, with an estimated investment of 46 million EUR, including 14 million EUR in funding from France’s energy transition agency, ADEME. Idex will carry the full investment and receive the related subsidies. The network’s construction is expected to take about 18 months.
However, the plan has sparked political debate. While the municipal council approved the public service delegation contract, several local ecologists and members of the opposition have raised concerns. Criticism has centered on the lack of public consultation, also claiming that the decision was made relatively hastily, without sufficient transparency or guarantees for residents. They also questioned the sustainability of sourcing local wood, warning that similar biomass projects are already straining regional supply.
Read more in article from Ouest-France
Read more in article from Ouest-France
Read more in article from Ouest-France
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