The municipality of Mamer is considering the construction of a new biomass-based power plant to supply heat to the municipal district heating network. One of the main objectives of the new power plant is to be able to supply Mamer’s municipal district heating network (existing network + extensions) using sustainable heat production with a CO2 balance as little as possible. For this purpose, the production of heat on the basis of renewable fuel, namely wood pellets, has been retained. In order to further optimise the CO2 balance of heat production, a cogeneration module based on gasification of wood pellets has been integrated into the energy concept, which has the added advantage of producing “green” electricity.