Approximately 22% of the Combined Heat and Power (CHP) capacity in Flanders is installed in greenhouse horticulture, a sector that has been driving significant growth in installed capacity in recent years. In 2021, the total CHP capacity in Flanders reached 2.6 GWe, contributing to nearly 23% of the region’s electricity generation.
However, recent political decisions have impacted CHP plants using fossil fuels. The Flemish government accelerated the phase-out of certificate support for new or significantly modified fossil fuel CHP installations in November 2021. Projects starting after January 1, 2023, could no longer apply for support, as originally planned until January 1, 2030. Additionally, in December 2022, the Flemish Parliament approved an annual update to the banding factor for CHP plants, effective from January 1, 2013. The long-term investment impact remains uncertain due to these decisions, according to COGEN Vlaanderen.
COGEN Vlaanderen publishes a CHP Roadmap every two years, providing insights into technical and legislative requirements in Flanders and how companies can optimize their CHP projects.
Belgium is preparing to shut down its nuclear power plants by the end of 2025. To ensure electricity supply security post-closure, the federal government has introduced a Capacity Remuneration Mechanism (CRM), granting compensation to operators contributing to balancing the electricity network. The CRM auctions include all technologies, and biogas CHP plants can participate alongside gas power plants. CHP facilities play a crucial role in ensuring energy supply.
COGEN Vlaanderen is advocating the collaboration between cogeneration and heat pumps. The mass shift from natural gas boilers to heat pumps creates a heavy load on the electrical system, particularly during cold weather. CHP can offer a complementary solution by providing both heat and power locally, reducing the burden on the grid and power generation.