Újbuda Gets Approval to Explore Its Geothermal Energy Potential Budapest’s Újbuda district has received approval to examine whether geothermal energy can contribute to its future heating and energy needs. The decision places one of the capital’s most densely populated districts at the centre of Hungary’s broader effort to make better use of its underground thermal resources. The approval does not mean that a geothermal power plant or district-heating system will be built immediately. Instead, it allows the district and its partners to investigate the geological conditions, technical feasibility, environmental implications and financial requirements of using heat stored beneath the city. The project could eventually support cleaner heating, reduce dependence on imported natural gas and strengthen Budapest’s energy resilience. Its success, however, will depend on careful geological research, responsible water management, transparent public consultation and a realistic financing model. Wh...
Novi Sad Moves Forward With Hybrid Geothermal-Solar District Heating Project in Mišeluk
Novi Sad is advancing a new district heating project in Mišeluk that combines geothermal energy, natural gas, and solar technology into one hybrid system. The city-owned utility Novosadska toplana has launched a tender for the design and construction of the heating plant, with an estimated procurement value of RSD 892.5 million, or about EUR 7.6 million, excluding VAT.
The project is designed to supply heat to residential, commercial, public, and sports facilities in the Mišeluk neighborhood on the right bank of the Danube. Although the area already has a district heating network, it currently lacks a local heat source, making the new plant an important step toward more stable and efficient heat supply.
A Hybrid Approach to District Heating
The Mišeluk heating plant will use a combination of geothermal energy, gas boilers, and solar technology. In its first phase, the facility will include a water-to-water heat pump with a minimum heating capacity of 415 kW, one production well, two reinjection wells, a 1 MW gas boiler, and an additional 4 MW gas boiler.
The system will also include thermal storage tanks with capacities of 100 and 200 cubic meters. These tanks will help balance heat demand and improve the flexibility of the plant, especially during periods of fluctuating load.
A major feature of the project is the inclusion of hybrid photovoltaic-thermal, or PVT, collectors. The collectors will cover approximately 550 square meters on the roof of the heating plant and will provide an electrical capacity of 78 kW and a thermal capacity of around 307 kW. Their thermal output will feed directly into the heating system together with the heat pump, gas boilers, and storage tanks.
Supporting Infrastructure And Expansion Potential
The main building of the heating plant will cover about 900 square meters and will also house a gas pipeline, gas metering and regulating stations, a transformer station, automation and control systems, roads, parking areas, and other supporting infrastructure. The plant is being planned with long-term flexibility in mind, as the complex is designed to allow future expansion to a total capacity of 30 MW.
This expansion potential is important because district heating networks often grow over time as new buildings and users connect. By sizing the site for later growth, Novi Sad is creating space for the Mišeluk system to evolve into a larger energy hub if demand increases.
The turnkey contract covers design and construction, supply and installation of equipment, testing and commissioning, and the installation of a temporary containerized boiler room. The contractor will also be responsible for obtaining the required permits and approvals, as well as maintaining the heat pump for ten years.
Why The Project Matters
The Mišeluk project reflects a broader shift in urban energy planning toward hybrid heating systems that combine renewable energy with conventional backup sources. In this case, geothermal energy and solar thermal output will reduce reliance on fossil fuels, while gas boilers provide reliability and peak-load support.
That balance is especially valuable in district heating, where uninterrupted supply is essential. By pairing geothermal resources with solar collectors, thermal storage, and gas backup, Novi Sad is building a system that can be both practical and adaptable.
The project also highlights the growing role of heat pumps in district energy. A water-to-water heat pump can make use of geothermal resources more efficiently, particularly when integrated with storage and complementary heat sources. This approach can help cities lower emissions while maintaining operational stability.
Procurement Timeline And Next Steps
According to the public procurement information, the estimated value of the project is RSD 892.5 million excluding VAT, and the deadline for submitting bids is September 3. That means the project is now at an active procurement stage and moving toward implementation.
For Novi Sad, the Mišeluk heating plant could become a model for future district heating developments that combine renewable energy with flexible backup systems. For the wider region, it is another example of how cities in Southeast Europe are modernizing heat supply through practical, phased decarbonization.
Conclusion
The Mišeluk heating plant is a significant step for Novi Sad’s district heating network and a strong example of hybrid urban energy planning. By combining geothermal energy, solar PVT collectors, heat pumps, thermal storage, and gas boilers, the project aims to deliver reliable heat today while creating room for a larger, cleaner system in the future.
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