Legislative Framework for Sustainable Development of the 4th Generation District Heating System

Abstract The concept of the 4th generation district heating system (4GDH) has triggered a magnified interest among scientists and industry representatives worldwide. Therefore, sustainable development of 4GDH requires deliberative energy planning at the national and local level, and appropriate legislative framework. The currently effective legislation of Latvia does not provide for a sufficient basis to introduce or safeguard 4GDH or other district heating (DH) systems. Methodology is developed for the evaluation of the case study and existing legislative framework. As a result, several suggestions for the improvement of the legislative framework were identified. For instance, it was suggested to raise competitiveness of the DH system, as compared to alternative heating solutions, so that DH system become more attractive to consumers, and they would prefer it based on competitiveness arguments, not statutorily imposed mandatory obligations. Also, in case the state performed a comprehensive DH potential evaluation, this could be used as a benchmark for refusal of new heat production projects based on purely economic and consumer protection arguments.