Exploring Heat Demand Forecasting in District Heating Networks Using Random Parameter Linear Regression Model

Accurate forecasting of heat demand in district heating networks is essential for their efficient and sustainable operation. This paper presents a novel approach using a random parameter linear regression model to forecast heat demand, distinguishing itself from classical linear regression models by its ability to address unobserved heterogeneity among parameters. Through a case study in Estonia and utilizing data from 2018 to 2023 and considering seasonality and consumption patterns, the study investigates determinants of heating demand in district heating networks. Two models were trained for heating and non-heating seasons. Results indicate significant impacts of weather conditions, energy prices, time of day, and network infrastructure on heat supply during the heating season, while only time of day and electricity prices were significant drivers during the non-heating season, with no notable influence of weather conditions. Prediction accuracy was slightly enhanced using the random parameter linear regression model, with a mean absolute percentage error of 9.66 % compared to 9.99 % for the Multi Linear Regression Model on the testing set.