Danfoss acquires district energy software business

Danfoss A/S has acquired ENFOR’s district energy software business, with plans to scale its AI-driven energy efficiency optimisation worldwide.

Danfoss will bring the solutions to the global market under the Danfoss Leanheat suite of sustainable heating and cooling solutions, which combines data analytics and artificial intelligence to optimise energy consumption and improve operational efficiency of district energy and buildings.

Danfoss had been a minority shareholder in ENFOR since 2020. By fully acquiring ENFOR’s district heating software business, Danfoss enhances the capabilities and accuracy of its Leanheat network suite for district energy utilities to include data-driven temperature optimisation, intelligent load forecasting and micro weather forecasting, which support district energy utilities and energy companies with their green transitions. 

The latest Danfoss Impact White Paper reveals that an ambitious but realistic roll out of demand-side flexibility technology in the EU and UK can save 40 million tons of CO2 emissions each year by 2030, more than Denmark’s domestic climate footprint.

 After the separation of the district heating activities, ENFOR will continue as an independent legal entity and will focus on developing its advanced machine learning technologies for the electricity sector, with a dedication to renewables and the green energy transition.

Jürgen Fischer, President Danfoss Climate Solutions, said:

We are thrilled to welcome ENFOR’s district energy experts and software to Danfoss. Together we can offer a complete solution to utilities for measuring and optimizing the energy efficiency of district energy networks, to better serve our customers. For Danfoss, scaling and enhancing our digital portfolio and offerings is a key priority. By unlocking the potential of artificial intelligence, connectivity, and optimisation tools, we make it possible for the utilities and service providers to effectively meet the growing demands for energy efficiency while improving business operations and costs.

 Mikkel Westenholz, CEO ENFOR A/S, said:

We are happy that our district heating services have found a new home with Danfoss, who will be able to integrate the services into their digital platform, and bring the services to the market through their global organization. It has been an exciting journey for ENFOR, where we were an early pioneer for the use of data and machine learning in forecasting and optimization of energy systems. We see it as a strong validation of our business and technology, that a company like Danfoss has acquired our district heating and cooling technology, and we will continue our journey with a focus on renewable energy and the power sector.