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Ok, again for you all: A so called Blockheizkraftwerk is an engine that runs on oil or gas. With this it produces electricity that is used in the grid. A byprocut is heat. We get it from the cooling water and from the hot exhaust from the engine. The engine is just running when people need heat. When they don't the engine will just stop to operate and wait until people need heat again.
This is more efficient than just burning the fuel in a stove directly.
Bigger engines are more efficient than smaller engines so having one big engines for 100 households is better then everyone having a small engine.
If you have one well insulated block with 100 apartments that have all 100m2 it will require less heating than 100 well insulated houeses with 100m2.
With high population density public transport gets more and more efficient. Because there are many people living in small space there is not much space for cars. Roads will be clogged up with cars and people will be forced to use public transit what will lower their carbon footprint.
With higher density a city is smaller than with lower density, so you have more place for woods etc. around it.
Also people won't spend water and gasoline and fertilizer (which is problematic and causes waters to eutrophication) for their lawns, because there is just a bit lawn that everyone uses so way less lawn/person.
Transport won’t just get more green per kilometer, but people will also do less kilometers per day, because due to high density travel distances get lower.