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Surrey orders three systems for sewer-heat district energy expansion

By Workvado / Litequo LLC · Published · Updated

A city purchase order exceeding CAD $5 million covers equipment designed for a 6 MW thermal phase of Surrey’s district-energy network.

SHARC Energy announced on Oct. 22 that it received a purchase order from the City of Surrey valued at more than CAD $5 million for a sewer-heat-recovery project. The order covers three SHARC 880 systems for Surrey City Energy’s West Village network. The company says the equipment is designed for 6 megawatts of thermal capacity and wastewater flow of about 12,000 litres per minute. This is an equipment procurement milestone; the release places fabrication and delivery in late 2027 to early 2028 and revenue recognition across the second half of 2027 and 2028.

Surrey describes the project as a district-energy system that will recover heat from wastewater to serve buildings in the city centre. Its project page describes a first phase sized at 6 MW and says the system is designed to expand as the network grows. SHARC’s release describes an ultimate expansion pathway to approximately 27 MW that depends on later procurement. That larger figure is a potential future build-out, not the capacity contained in this purchase order.

The city’s model links a heat source to multiple buildings through a distribution network. Heat pumps extract energy from wastewater, then provide heating and cooling to connected properties through district piping. A sewer-heat system does not mean that raw wastewater is delivered to buildings; it means thermal energy is transferred using equipment and a separate network. Surrey City Energy says the system is intended to reduce dependence on natural gas for participating buildings, but actual emissions performance will depend on load, system efficiency and the electricity mix over time.

For contractors, this is a useful example of project interfaces that extend beyond equipment delivery. A sewer-energy installation needs coordination among the wastewater utility, district-energy operator, building owners, civil works, mechanical systems, electrical service and commissioning teams. The heat source has to be accessible without impairing the sewer’s core conveyance function, while the district loop must reach buildings when they are ready to connect. Tie-in windows, bypass planning, traffic management and system testing can all affect schedule and cost.

The project also illustrates why capacity ratings should be tied to their measurement point. Six megawatts thermal describes heat output capacity rather than electrical generation. The stated wastewater rate is a design flow, not a guarantee of year-round output. Demand profiles, incoming sewer temperature, exchanger performance, heat-pump efficiency and connected floor area determine how much useful heat the project can deliver in actual operating conditions. The company’s release does not publish a commissioning result because the equipment delivery and construction phases are still ahead.

Procurement teams should therefore distinguish the purchase order from later installation milestones. The Oct. 22 announcement verifies the order and the planned equipment scope; it does not say the systems are already on site or that West Village is receiving heat. Owners and contractors can follow subsequent civil and mechanical packages, connection agreements, commissioning results and measured operating data to assess realized performance. For bid planning, the immediate lesson is to coordinate long-lead equipment procurement with utility access and customer building schedules, while keeping future expansion assumptions separate from the current phase.

Purchase order
More than CAD $5 million
Ordered systems
3 SHARC 880 units
Designed thermal capacity
6 MWth
Planned wastewater flow
About 12,000 L/min

Sources

  1. SHARC Energy receives record purchase order from City of Surrey, SHARC Energy, read October 27, 2026
  2. District Energy Sewer Heat Recovery Project, City of Surrey, read October 27, 2026
  3. District Energy, City of Surrey, read October 27, 2026