Vicinity Energy, a decarbonization leader with the nation's largest portfolio of district energy systems, today (Nov 7) announced agreements with Everllence and DCO Energy. This partnership secures the latest achievement in Vicinity's electrification strategy that is already well underway in Boston and Cambridge, locking in the installation of a 35MW river-based industrial-scale heat pump complex for steam generation with the ability to reach over 70 million square feet of building space.
A significant portion of this industrial-scale heat pump has already been secured through long-term contracts with leading medical and educational institutions, even before construction has begun. This interest underscores both the strong demand and market confidence surrounding decarbonization.
The installation and balance of plant modifications will be completed by DCO. A natural gas boiler will be removed to make way for the new, emissions-free heat pump, with demolition already underway in preparation for the heat pump installation at Vicinity's Kendall Square facility soon. The heat pump will be collocated at the existing Kendall plant site, leveraging Kendall's existing electrical interconnect. This technology will enable Vicinity to harness the inherent heat of the Charles River, turning it into a renewable energy resource to generate and deliver carbon-free thermal energy, known as eSteam , to its customers.
As the baseload generating equipment for the company's electrification plans in Boston and Cambridge, this innovative system will be the first to utilize the Charles River as a renewable resource to produce carbon-free steam, representing a significant leap forward in sustainable energy production. The company also plans to install thermal storage technologies to provide on-demand eSteam production from renewable electricity.
The net impact of the project is multifaceted: customers gain access to carbon-free thermal energy, citizens of Boston and Cambridge breathe significantly cleaner air, local laborers and unions gain access to quality jobs, and the Charles River ecosystem benefits from reduced temperatures.
"Execution of this project makes Vicinity's vision of decarbonizing cities at scale a reality," said Kevin Hagerty, CEO at Vicinity Energy. "Powered by renewable electricity to safely and efficiently harvest energy from the Charles River, this represents rapid advancement in electrification for U.S. district energy systems, demonstrating how proven heat pump technology can be deployed at scale to decarbonize cities. It enables immediate, scalable carbon reductions without the need for costly and time-intensive new electrical infrastructure in Greater Boston. We are establishing the blueprint of how to decarbonize a U.S. city and will be installing similar innovative electrification technologies at our district energy systems across 12 U.S. cities."
The proposal to build a river-source heat pump complex at Vicinity's Kendall facility relies on the Charles River's thermal energy, an untapped renewable energy resource.
Previously, Vicinity installed a new 42MW electric boiler at its Kendall facility, which provides carbon-free thermal energy to its Boston partners through the established 29-miles of steam piping that runs underneath the city the Boston and Cambridge district energy system. eSteam customers currently include IQHQ and Emerson College. By adopting eSteam, these institutions are not only advancing their sustainability goals but also positioning themselves to comply with local requirements such as BERDO and BEUDO, while aligning with Massachusetts' Stretch Energy Code.
"Our priority is delivering reliable, practical solutions that make economic sense," said Gary Fromer, CEO at DCO Energy. "Vicinity's heat pump installation is a smart investment it reduces emissions without compromising performance, and it's built to operate efficiently over the long term. It's a real-world step toward sustainability that works for today and the future. This collaboration builds upon the recent success of our joint projects in Philadelphia, further strengthening our track record of delivering innovative, sustainable energy solutions together."
The previously announced agreement focused on building the heat pump. This next phase brings DCO Energy on board to lead installation and plant modifications. Demolition is already underway, clearing space for the heat pump, which is scheduled for installation in 2028.
Building on the blueprint established in Boston and Cambridge, Vicinity is applying lessons learned to guide decarbonization plans in other cities. Progress is already underway in Grand Rapids, where installation of a 9MW electric boiler has begun, marking the city's first step toward electrification. While each location will follow its own path and timelines, Vicinity is committed to advancing sustainable, scalable solutions across its portfolio.
