German municipal utility companies
We finance the investments of German municipal utilities and contribute to the modernisation of infrastructure and to the reduction of CO2 emissions.
Financing case Stadtwerke Mainova: KfW IPEX-Bank finances district heating system in Frankfurt am Main
Financing municipal energy infrastructure: KfW IPEX-Bank is helping the city of Frankfurt to expand its district heating system with a loan of EUR 30 million. With total costs adding up to approximately EUR 92 million, the project realised by the municipal energy supplier Mainova is the company's largest single investment in Frankfurt's infrastructure to date. The aim is to create a district heating network of Mainova power plants that enables more efficient operation and expands the district heating supply in the city. Work on the project has already begun and commissioning is scheduled to take place for the heating period 2016/2017.
Long-term financing for district heating system
The long-term, structured investment financing includes funds from the KfW programme Energetische Stadtsanierung – Quartiersversorgung (Urban energy efficiency rehabilitation - energy supply for neighbourhoods). Stadtwerke Frankfurt am Main is the borrower. With a pipeline network of more than 200 km, its subsidiary Mainova AG provides the people of Frankfurt with district heating.
Synergy effects improve power plant efficiency
Mainova will connect the Messe, West and Niederrad thermal power stations to the waste-fuelled power station in Nordweststadt, using district heating piping. The synergy effects of the thermal power stations not only allow for a more efficient and more flexible use of the individual generating plants, but also increase the use of CO2-neutral heat from the waste-fuelled power station.
Avoiding 100,000 tonnes of CO2 emissions per year
By expanding its district heating system, Frankfurt will reduce its CO2 emissions by 100,000 tonnes every year, corresponding to the annual consumption of 1 million refrigerators. This means that nearly 20 percent of the CO2 reduction target of 600,000 tonnes will have been realised by Frankfurt's energy supply structure. While district heating is used for central heating purposes in many buildings, it will also be used for air conditioning – such as at the University of Frankfurt's Westend Campus.
Mainova district heating system financing details at a glance:
|Project profile|| |
|Contribution of KfW IPEX-Bank|| |