EnerTrans are willing to enter strategic partnerships with relevant parties in the market. The significant transition underway in the Dutch heat market requires optimal cooperation with strong focus on expertise and delivery capabilities.
Partnership with Yeager Energy
EnerTrans believes in the potential of geothermal heat as source of sustainable heat for consumers and industries as is already being investigated for a number of projects.
Yeager Energy is a company established by former Shell / Vermillion specialists. Their focus is to develop geothermal heat on the basis of exploration licenses being issued by the Dutch Ministery of Economic Affairs & Climate ("EZK"). See website Yeager Energy
Where Yeager is well positioned to source geothermal heat, EnerTrans is specialized in distributing the heat to end user through district heating network. Therefore, by teaming up Yeager and Enertrans can develop full projects, from origination to delivery. An integrated approach contributes to a business case that is economically viable, reducing projects costs. We believe this aligns with the interests of end users.
Furthermore, integrated heat companies ("warmtebedrijven") are recommended by the Dutch government as is expected to be formalized in the upcoming Heat Act, effective 2022.
The strategic partnership between Yeager Energy and EnerTrans implies that we will team up in new projects. However, cooperation is on a non-exclusive basis, leaving the option open to work with other geothermal or district heating parties. Even though we believe the combination Yeager-Enertrans is an optimal choice, ultimate stakeholders (including the Ministry and municipalities) should not be restricted in their choice.
Potential of geothermal heat
District Heating and Geothermal Energy play a significant role in achieving the Dutch 2050 climate targets.
A recent study (Sept 2020, EBN/Berenschot) indicates that by 2020 around 30% of the heat for the ‘built environment’ (housing and utility) can be obtained from geothermal sources. The report can be downloaded here.
Furthermore, existing District Heating Companies are under great pressure to switch to sustainable heat sources. Over 80% are currently not sustainable using fossil gas as heat source.
We therefore expect geothermal heat to play a leading role in the heat transition over the years to come.