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Strategies for Decarbonizing Industrial Heat: A Practical Guide

Writer's picture: Melchior KrijgsmanMelchior Krijgsman

Industrial factory

Industrial heat drives 72% of energy demand in the EU’s industrial sector, making it one of the largest contributors to global CO2 emissions. Reducing emissions from industrial heat is no longer optional—it’s a strategic move to lower costs, comply with regulations, and secure long-term competitiveness.


This guide highlights proven technologies and strategies to transition to low-carbon industrial heat effectively. Excited already and want to learn more? plan a meeting here!


The Core Problem

Industrial heat is challenging to decarbonize due to its dependency on fossil fuels and the complexity of industrial systems. Key industries—chemicals, food & beverage, and pulp & paper—consume most of this heat, operating at process temperatures between 100–500°C.

While these challenges are significant, they also make industrial heat a prime candidate for technologies like heat recovery, high-temperature heat pumps (HTHPs), mechanical vapor recompression (MVR), and thermal energy storage (TES).


Why Industrial Heat Is Hard to Decarbonize:

  • Dependence on Fossil Fuels: Natural gas infrastructure dominates, making transitions costly and complex.

  • Sector-Specific Needs: Each industry requires tailored solutions—there’s no one-size-fits-all approach.

  • Integration Complexity: Factories are intricate systems, requiring careful planning to incorporate new technologies.


Proven Technologies for Industrial Heat Decarbonization


1. Electrification Solutions

  • High-Temperature Heat Pumps (HTHPs)

    • Deliver heat up to 200°C, making them ideal for applications like drying and pasteurization.

    • HTHPs are 2.5–5 times more efficient than gas-based systems, reducing energy costs and emissions.

  • Electric Boilers

    • Capable of reaching 300°C, electric boilers are excellent for retrofitting and can be paired with gas boilers to optimize costs using off-peak electricity.

  • Mechanical Vapor Recompression (MVR)

    • MVR recycles low-pressure steam, compressing it into high-pressure steam.

    • This process can achieve up to 50% energy savings and COP values as high as 10, making it ideal for evaporation, drying, and distillation.


2. Waste Heat Recovery (WHR)

  • Heat Exchangers

    • Capture and reuse exhaust heat, reducing total plant energy demand by 15–30%. Advanced designs are available for corrosive environments.

  • Organic Rankine Cycle (ORC)

    • Converts low-to-medium-grade waste heat into electricity, with proven success in cement and chemical sectors.


3. Thermal Energy Storage (TES):

TES stores surplus heat for later use, balancing energy supply and demand. For example, a food processing plant reduced peak energy costs by 20% by integrating TES with renewable energy sources (FCA, 2024).



A Smooth Transition with Hybrid Systems

Transitioning to low-carbon heat doesn’t require replacing all existing infrastructure. Hybrid systems combine traditional and new technologies, ensuring gradual, cost-effective decarbonization while maintaining operational reliability.


Why Redundancy Matters:

Hybrid systems provide flexibility and reliability, ensuring uninterrupted operations even during fluctuations in energy prices or waste heat availability. By integrating gas-fired systems, electric boilers, MVR, HTHPs, and TES, industries can decarbonize incrementally without disrupting production.


Examples of Hybrid Systems in Action

1. Gas-Fired Systems Combined with Electric Boilers

How it Works

  • Electric boilers operate during off-peak electricity periods, while gas boilers serve as backups during peak hours.

Key Benefits

  • Savings: Hybrid systems can reduce energy costs by up to 60%, leveraging low electricity prices.

  • Reliability: Gas boilers ensure operational continuity during grid fluctuations.

Example

  • A chemical plant uses an electric boiler to generate steam during off-peak hours, cutting annual fuel consumption by 20% while keeping a gas boiler as backup.


2. Mechanical Vapor Recompression (MVR): Efficient Steam Recycling

How it Works

  • MVR recovers low-pressure steam and recompresses it into high-pressure steam for reuse, significantly reducing energy use in processes like evaporation and drying.

Key Benefits

  • Energy Savings: Cuts energy use by up to 50%, reducing reliance on fossil fuels.

  • High ROI: Achieves rapid payback in energy-intensive industries.


3. High-Temperature Heat Pumps (HTHPs): Versatile Heating and Cooling

How it Works

  • HTHPs boost low-grade heat to temperatures up to 200°C, ideal for sterilization, drying, and pasteurization.

Key Benefits

  • Efficiency: Provides 2.5–5 times the energy efficiency of gas systems.

  • Dual Utility: Offers both heating and cooling capabilities



Roadmap to Industrial Heat Decarbonization

Achieving decarbonization requires a structured approach to minimize risks and maximize returns. Here’s a five-step roadmap to guide the process:


1. Assess Your Facility

Start with a comprehensive energy audit to identify key heat users & consumers, inefficiencies and areas for improvement. Create insight in your data and make an advanced pinch analysis. This audit will form the baseline for all subsequent actions. 


2. Simulate Technologies

  • Use your pinch to simulate and evaluate your current system.

  • Simulate the performance of various technologies within your specific industrial setup. 

  • Incorporate realistic models of commodity prices and energy demand fluctuations to understand long-term implications.

  • Build a worst/mid/best case business case


3. Review Proven Technologies

Focus on solutions that are low-risk and have been successfully implemented in your industry. Reviewing prior projects ensures that your investment goes into reliable and effective technologies.


4. Evaluate Financing Options

Investigate subsidies, grants, and energy pricing forecasts to ensure financial viability. Understanding future electricity price scenarios will help in selecting the most cost-effective solutions.


5. Send Out RFPs

Issue Requests for Proposals (RFPs) to gather realistic quotes from vendors. A transparent bidding process ensures competitive pricing and high-quality implementations.


6. Implement Continuous Monitoring

After a first assessment, monitoring is crucial. It helps factories seize decarbonization opportunities at the right time as energy prices and technologies evolve.



Conclusion

Decarbonizing industrial heat is essential for competitiveness and climate goals. Proven technologies like MVR, HTHPs, and TES, combined with hybrid systems, provide a scalable, effective pathway.


Take the first step today. Schedule a demo HERE to explore how our platform can help your factory decarbonize smarter and faster.

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