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What is District Energy?

District energy systems produce hot water at a central plant. The water is then piped underground to individual buildings for heating and cooling. As a result, individual buildings served by a district energy system don't need their own boilers and chillers. The district energy system does that work for them. Once used in customer buildings, the water is returned to the central plant to be reheated and then recirculated through the closed-loop piping system. District Energy provides valuable benefits including:

  • Improved energy efficiency
  • Environmental protection through no on-site emissions
  • No on-site operation and maintenance resource needed
  • Improved reliability
  • Decreased life-cycle/building capital costs
  • Improved architectural design flexibility


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