The example at a glance

How the plant works

In the example, the plant is located in a new boiler house and supplies the municipality’s district heating network:

In the example, the municipality feeds the electricity into the grid under the EEG. It can just as well use it itself and replace grid electricity.

Returns and payback

In the example, the project price is recovered after around 8.1 years, without funding. If the municipality uses the electricity itself, it would be around 7.2 years.

Assumptions in the example: wood chips €120/t, electricity fed in around 12.5 ct/kWh under the EEG, heat 6 ct/kWh, biochar €700/t, CO₂ certificates €150/t. Highly simplified, static calculation, without funding, as of 14 October 2026. Not a real customer project and not a promise of specific returns. Detailed calculation on request.

What municipalities should know about biomass district heating

Many municipalities are currently planning how they will heat in future. In rural areas, biomass district heating is often an obvious choice: wood from forestry and landscape management is available locally, and the added value stays in the region.

• Base load and peak load: A pyrolysis plant covers the base load all year round. A peak-load boiler remains for cold winter days.
• More than heat: Unlike a simple wood chip boiler, pyrolysis also provides electricity and biochar.
• Use electricity or feed it in: Municipalities can feed the electricity into the grid under the EEG or use it in their own buildings, sewage treatment plants or pumping stations and so replace grid electricity.
• Funding: Federal funding is available for heating networks, for example through the Federal Funding for Efficient Heating Networks (BEW).

More on this on our Heating networks and municipalities page.

What determines profitability

Whether a plant pays off depends mainly on these points:

• Residues: Your own residues cost little or nothing, bought-in wood chips cost more. Fuel is often the largest cost item.
• Heat: The more heat you use throughout the year, the faster the plant pays off.
• Electricity: Used on site, it replaces grid power, currently around 18 ct/kWh or more for industry in Germany. Fed into the grid under the EEG, it earns around 12.5 ct/kWh.
• Biochar: It is usually the largest revenue item. The price depends on quality and buyer. pyropower can buy the biochar.
• CO₂ certificates: The carbon in the biochar can be certified as a carbon sink. According to IETA, prices range from 100 to 300 US dollars per tonne.
• Funding: Depending on the project, grants are possible. The example does not include any funding.

How a project works

1. Initial call and profitability check: We calculate your project with your figures. The first check is free of charge.
2. Test pyrolysis: On request, we check in advance how well your residue is suited.
3. Pre-project phase: Site, permits, heat and power use, biochar offtake and funding in detail.
4. Quotation: with the exact project price for your site.
5. Construction and operation: Planning, construction and commissioning from a single source. The plant runs fully automatically with remote monitoring.

Request a free profitability check ›

Frequently asked questions

What does biomass district heating cost a municipality?

In the example, around €3.5m net for the plant and boiler house, including storage, drying, discharge and project planning. The heating network itself is not included. We state the exact project price for your network in our quotation.

Does one Pyro-ClinX cover the entire heat demand?

It supplies the base load with up to 450 kW of heat. A boiler covers peaks, and several plants can be combined for larger networks.

Does the example apply to our municipality?

Not automatically. The example is highly simplified. Heat demand, fuel price, electricity price and biochar sales differ everywhere. We are happy to prepare a detailed calculation for your network on request.

More on this topic

• Pyrolysis plant at a sawmill: what it can cost and earn
• Biochar plant on a farm: what it can cost and earn
• Heating networks and municipalities: base load from regional residues
• Funding for pyrolysis plants 2026: programmes, opportunities and deadlines
• Pyro-ClinX: pyrolysis CHP for electricity, heat and biochar