Tragic end for geothermal energy on Lake Ammersee: Financial hurdles stop project

Tragic end for geothermal energy on Lake Ammersee: Financial hurdles stop project

At a time when sustainable energies are increasingly in demand, the market town of Dießen am Ammersee is now seeing the plug being pulled. How Mercury reported, the municipality has decided to end the inter-communal project for geothermal heat supply on the western bank of Lake Ammersee for economic reasons. This surprising step comes after GEF Ingenieur AG from Leimen was commissioned to carry out a preliminary study on economic feasibility in 2024.

The investigation showed that the costs for deep geothermal energy are significantly higher than expected. GEF boss Dr. Max Peters recommended that the local council cancel the project because the financial conditions were not sustainable. Even with a possible subsidy of 40 percent, generating heat would be unprofitable for the community. Mayor Sandra Perzul estimated the production costs for heat to be 245 euros per megawatt hour in 2030 and even up to 388 euros in 2045.

The community cooperation at Ammersee

A central element of the project was the inter-municipal cooperation between Windach and the surrounding communities, including Dießen, Eresing and Utting. Together they wanted to share the risk of finding something. The total cost of heat supply by 2030 was estimated at 136 million euros, with an important component being a 105 kilometer long heat network costing around 85 million euros. But there are also unpredictable costs for distribution networks and house connections. Mayor Perzul was also aware of the possible additional costs of protected areas, train tracks and highways.

The municipality of Utting, which was also involved in this inter-municipal project, recently repealed a previous decision that had blocked plans to use deep geothermal energy in Windach. Mayor Florian Hoffmann (LWG) reported that the Uttinger municipality's original decision had raised certain issues and he wanted more clarity about future drilling in the region. Despite the repeal, Utting did not currently intend to apply for permission to search for geothermal energy.

Intercommunal projects in other regions

In comparison, the region around Weeze, Uedem and Goch shows how inter-municipal cooperation can be fruitful. Mayors of these communities signed a “Letter of Intent” for the use of deep geothermal energy to promote climate-friendly heat supply. Initial investigations there show promising deposits of hot thermal water at depths of up to 3,000 meters. Unlike in Dießen, the affected communities there are planning to set up a corporation to carry out a feasibility study, which promises the communities a coordinated approach. Here, the local municipal utilities could take on a central role in driving the project forward, which shows that there are a wide variety of approaches to using geothermal energy.

In summary, it remains to be seen what developments will take place in the various regions surrounding geothermal energy. This has turned away due to economic uncertainty, while other communities are still firmly holding on to their vision of a sustainable heat supply. An exciting topic that affects us all and is guaranteed to cause a lot of discussion.