Why HaaS is cheaper than gas

Heat-as-a-Service: a shortcut through the complexity

Instead of investing millions in new heat infrastructure, what if you could simply lease your heat?

Pay only for what you use without taking on technology or market risks? Or as Tim de Haas puts it: “Companies don’t make their own water. They buy it. So why shouldn’t they buy the heat they need for production?”

That’s the idea behind Heat-as-a-Service: eliminating both the financial and technological roadblocks to decarbonization.

– For the vast majority of industries, Heat-as-a-Service removes the remaining uncertainty they have when it comes to decarbonization, Tim says.

With Kyoto Group’s Heatcube delivered as a service, you can switch to clean heat without major capital investment — while gaining price stability and supply security. And because Heatcube is a thermal battery, it can also act as a flexible asset that supports the grid — absorbing electricity when it’s abundant and supplying heat when it’s needed.

In Hungary, KALL Ingredients is the first company to adopt the model. 

With Heatcube, KALL Ingredients receives heat on demand at a lower cost than fossil fuels without financial or technical risk. Tim sees KALL Ingredients as a prime example of a company choosing action over delay.

– Companies like KALL Ingredients want to see real change on-site, they’re not interested in green certificates. They want it to be tangible. They want to see the ‘electrification of heat’ truly happening. 

What’s holding companies back and why the clock is ticking

For decades, industrial heat was simple: fossil fuels in, steam out.

That era is ending. Regulations are tightening. CO₂ taxes are climbing. Financing for fossil-reliant operations is drying up. And customers now demand credible low-carbon supply chains.

And here’s the catch:

More than 44,000 industrial sites across Europe will need to transition to clean heat in the next 10–15 years. And only a handful of providers can deliver those solutions at scale.

– Change isn’t coming, it’s already here, says Tim de Haas. – And even if the intention to decarbonize is clear, the next step often isn’t. 

In Tim de Haas words, we’re seeing a classic supply-and-demand issue unfolding.

– Companies that act now are going to be rewarded by having a solution in place while others are scrambling for options. They’ll secure the best technologies, pricing and delivery. Those who wait will face rising costs and fewer options. Many might need to resort to sub-par alternatives, or costly temporary solutions. That’s why I say the change is already happening, he says, adding:

- The real question is whether you’re prepared for it. Some assume they can wait for the right moment, but the truth is, by the time they decide, they’ll be at the back of a very long queue. 

And the pressure isn’t just about technology access. It’s coming from every direction:

• Regulations & CO₂ taxes – Carbon pricing is rising steadily, making fossil-based heat more expensive year by year.
• Volatile energy costs – Budgeting becomes harder as natural gas prices fluctuate and maintenance costs grow.
• Financial institutions – Banks and investors are moving away from fossil-heavy industries, making financing harder to secure.
• Customer demand – Industrial buyers are no longer just asking for greener products — they expect real progress on decarbonizing the supply chain, their scope 3.

Proper risk management helps tackle these issues, and ultimately leads to the need to take positive action. Still, Tim de Haas understands why many companies hesitate.

- Yes, it’s simultaneously a big financial investment and a technological risk. It’s not like there are thousands of sites you can visit to see how the new technology works, Tim de Haas says, adding: 

- But the upside is undeniable, both financially and reputationally. 

Why Heat-as-a-Service makes financial sense

For many companies, the hesitation isn’t whether to decarbonize, it’s how to do it without tying up capital, triggering long payback periods, or betting on unfamiliar technologies.

That’s exactly where Heat-as-a-Service (HaaS) changes the equation.

Instead of requiring millions in upfront investment, HaaS turns clean heat into a predictable monthly operating expense. No capex. No maintenance burden. No exposure to volatile natural gas prices. You receive price stability, supply security, and a faster path to action — without straining your balance sheet.

Some companies will act now. Others will wait until the choice is no longer theirs. 

There’s a Chinese proverb that goes like this: The best time to plant a tree was twenty years ago. The second best time is today.

Tim de Haas nods and agrees.

– Everybody wants to be first until it’s time to be first. They wait for someone else to go first. But once the early adopters succeed, the rest line up to follow. By then, the waiting line to access the technology could be years long, and rising fossil fuel costs will hurt your productivity. It might simply be too late.

With Heat-as-a-Service, the concerns are gone. The costs are predictable. The solution is proven. So what’s stopping you?

– A decarbonization investment might not always meet the internal criteria for a “good” investment, Tim explains: – Many companies still expect projects to pay back within two to three years. Internal policies often lag behind the realities of energy transition projects — especially as they typically require a longer-term view.

This disconnect can make it harder to allocate funding, even when the logic is clear.

Tim de Haas has seen the same decision patterns across industries.

– That’s exactly why we created Heat-as-a-Service. It delivers the same solution under conditions that actually make financial sense for the industry.

You get more than predictable pricing. You get a partner who absorbs market volatility, so you can stay focused on production, not energy strategy. And with Kyoto Group responsible for installation, O&M, and delivery, it's as close to ‘plug-and-play’ as you’ll find in industrial decarbonization.

The companies that move first won’t just decarbonize — they’ll secure a commercial edge.

Early movers lock in technology, stabilize costs, and meet rising end-user expectations before they become a non-negotiable requirement.

Better still, action doesn’t have to mean higher costs. Today’s customers are willing to pay a premium for sustainably made products, and tomorrow, sustainable production will be a serious competitive advantage.

While others wait, they move and gain. As Tim de Haas says: With HaaS, you’ll already be delivering.

You don’t need to solve the industrial energy transition alone.

Let's schedule a call to explore how HaaS can help you move confidently, on your terms and with hassle-free heat.