Bavarian Cities Plan Joint Geothermal Project with €260 Million (US$272 Million) Investment

GERMANY: The neighboring cities of Puchheim and Germering in Bavaria, Germany, along with Munich’s municipal utilities, are planning to establish a joint company to develop a geothermal heating project.

The proposed project will involve drilling eight boreholes for both production and reinjection, with an expected thermal capacity of 52 MW. However, these ambitious plans come with substantial investment requirements, estimated at €260 million (US$272 million), of which approximately €91 million (US$95.2 million) is expected to be secured in funding. Germering intends to hold a 25% stake in the company, Puchheim 15%, with the remaining shares distributed among other investors.

Both cities have previously attempted geothermal projects but faced setbacks. Germering had conducted a feasibility study and applied for funding, but the project was ultimately abandoned due to high costs. In Puchheim, an early-stage geothermal initiative was rejected in a 2018 public vote over concerns about potential property damage from seismic activity.

Amid the ongoing energy crisis following the war in Ukraine and a growing push for energy independence, Puchheim’s mayor hopes public sentiment will now favor geothermal energy. Technological advancements have significantly improved since the last attempt, and local officials emphasize that none of the geothermal projects in the broader Munich area have caused seismic-related damage.

Source: Think Geoenergy