The City Centre District Energy Utility (CCDEU) is a municipally owned low-carbon thermal energy system serving Richmond’s rapidly growing downtown core. Owned by Lulu Island Energy Company, a City of Richmond corporation, CCDEU replaces conventional natural gas systems in new high-density developments with a centralized, energy-efficient alternative. The system currently serves 18 buildings and over 4,700 residential units, with significant expansion planned to support over 170 sites by 2050. CCDEU is delivered through a public-private partnership, combining municipal ownership and oversight with private-sector expertise in utility design, construction, and operation. The system features modular energy centres using air-source heat pumps and backup gas boilers. It is designed for future integration of renewable energy sources including sewer heat recovery, geo-exchange, and river heat recovery. Energy is distributed via a closed-loop hydronic piping network, enabling flexible, scalable service to a growing number of buildings. From day one, CCDEU reduces greenhouse gas emissions and improves local air quality. Its staged infrastructure allows it to grow with development while meeting climate goals. Anchored by strong policy, mandatory connection requirements, and a phased investment model, CCDEU offers a financially sustainable and replicable model for other cities seeking to decarbonize heating and cooling at scale.
Visit the project’s website here.
