Geothermal markets in Hungary and CEE Countries

Geothermal markets in Hungary Geothermal markets in Hungary and CEE Countriesand CEE Countries

by Gábor SZITA. Hungary

8th Inter-Parliamentary Meeting on Renewable Energy and Energy Efficiency - Budapest, Hungary – 7th November, 2008

Introduction

• Mechanical engineer

• Managing director of Porció Company Ltd.

• 23 years experience in geothermal business

• President of the Hungarian Geothermal Association

• Members of European Geothermal Energy Council

Gábor Szita


Geothermal potential and energy market

The most recent data for Hungary(Hungarian Geological Survey, 2004)

– Annual energy supplied by Earth’s heat flow: (dynamic resources):

264 264 PPJ/yearJ/year

– Accumulated energy in rocks and liquid: (static resources):

343.000 343.000 PPJJ

Carpathian basin24%

312x

Annual primary energy consumption: ~1100 PJ

Heat market > Annual potential

“Increasing the use of geothermal energy is possible in geological terms, and exploitation may be raised

even by one magnitude in a sustainable way”


Thermal water resources

Utilisation is practically obligation.


History and characters of utilisation

0

50

100

150

200

250

300

350

1960 1965 1970 1975 1980 1985 1990 1995 2000

FAST MODEST STAGNANT

Using waters below 100oC No electricity production yet Water quality: from drinking water to the half of salinity of see

water No hazardous components in the waters Corrosion and scaling problems (in some cases)

Development curve


Existing geothermal systems in the Carpathian basin

• Geothermal wells in Hungary

• Horticultures in Hungary(30% of total area of cultivation)

• District heating networks in Hungary (in 14 cities untill 2000)

• Horticultures abroad

• District heating networks abroad

We are not beginners.


Problems

What to do with the cooled down geothermal waters?

Inheritable practise from the previous decades: Waters are streamed into surface recipients.

New regulation: „Pollution for the surface waters!”


FINE FINANCIAL LOAD ON THE USERS

How to avoid the fines?• removing pollutants from the water technically possible, but very expensive• re-injecting not an easy process into sandstone expensive

How to reduce the costs?• using „wetland” technology needs some technical development • improving re-injection technology will never be a 100% sure solution

What kind of tools are required to solve the problem?• patience long transition period provided by changing some local decrees • financial support by returning royalty and other fees to the users

from EU sources

Good practice


SK

UA

RO

SCGCRO

SLO

A

BUDAPEST1

3

5

24

SK

UA

RO

SCGCRO

SLO

A

BUDAPEST1

3

5

24

• Hungary joined the EU in 2004

• New impetus to renewables

Carefully set up support program aiming at reduction of GHG emission and dependency on fossil fuels New geothermal district

heating networks in smallcities:

Project in operation

1 Veresegyház

2 Kistelek

3 Bóly

Projects under construction

4 Mórahalom

5 Gárdony

The formula

High energy prices SupportGth. Project

Strengths and weaknesses: only strengths

• Global level aim – GHG reduction

• EU level aim – import gas reduction

• Local level aim – Hope to the people

Summary

1. Harnessing of geothermal potential can be raised even by one magnitude

2. A chance for existing users has to be given by support to survive

3. Nothing to do with the good practice (reduce administration in order to speed up)


THANK YOU FOR YOUR THANK YOU FOR YOUR ATTENTIONATTENTION!

Hungarian Geothermal AssociationAddress: 1012 Budapest, Mátray u. 8/b. HUNGARYTel: (1)-214 3727, fax: (1)-214 5953E-mail: [email protected], [email protected]//www.mgte.hu


Geothermal markets in Hungary and CEE Countries

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