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district heating, China, Jinnan, China
The project aims to contribute to the fight against climate change and promote reflection on the heating sector reform.

China is the second largest urban heating market in the world. This sector is experiencing very rapid development at about 14% a year. However, China’s urban heating networks are three times less efficient than in industrialized countries, with high levels of waste. This is especially due to the fact that the equipment and network are sometimes antiquated and to the lack of investment. As a result, consumption is high for the sector, with some 12% of the primary energy consumed in China.

Since the 2000s, the authorities have been working to modernize the sector, by promoting the creation of centralized networks connected to large-scale and efficient heating sources, supporting its professionalization, and introducing tariff systems that are conducive to energy saving.


The program aims to improve the energy performance of heating networks in Jinan and plans to:

  • Replace steam networks with water networks, which reduces energy losses by 25%;
  • Build compact and automated heat exchange stations, including the most efficient equipment available;
  • Insulate water pipes with direct burial; Install an automated control center, combined with an energy management center.

This program should achieve significant energy efficiency gains by building efficient heating networks and replacing old obsolete boiler systems. These gains will lead to substantial fuel savings, which will significantly reduce CO2 emissions – with a conservative estimate of 135,000 tons a year during the lifespan of the networks, i.e. twenty-five to thirty years.

In terms of the local environment, the construction of a large-scale boiler system, with modern equipment to remove pollution from gaseous discharges, should lead to an annual reduction of sulphur dioxide (SO2) emissions of 1,170 tons and of 3,600 tons of soot.

Project start date
Financing tool
40 000 000
Financing amount
Jinan (Shandong) local authorities