BEIS: UK government announces major expansion of heat networks in latest step to power homes with green energy

Today’s announcement to regulate and expand the UK’s heat networks will protect consumers and create opportunities for green jobs and investment across the country.

  • £19 million government cash boost announced to supply low carbon heating for thousands of homes and buildings across the country
  • government appoints Ofgem as Great Britain heat networks regulator to ensure consumers receive a fair price and reliable supply of heat
  • heat networks are an essential technology for cutting carbon emissions in a cost-effective way while reducing bills and tackling fuel poverty, forming a key part of the government’s landmark Heat and Buildings Strategy

UK homes, university residences and public buildings will benefit from cleaner, more affordable heat and energy, thanks to £19 million government funding announced today to further expand Great Britain’s network of low carbon heating (Wednesday 29 December).

The £19 million investment will go towards setting up 5 new heat networks, 2 in Bristol, and 3 across Liverpool, London and Worthing, providing households and workplaces with more affordable, reliable heating that offers a low-carbon, more cost-effective alternative to installing individual, energy-intensive, heating solutions such as gas boilers.

Heat networks supply heat from a central source to consumers, such as large rivers and heat from sewers via a network of underground pipes carrying hot water, like a giant central heating system serving many buildings, and supplies it through pipes to homes and businesses.

The £19.1 million funding announced today comes from the government’s £320 million Heat Networks Investment Project (HNIP), which supports the development of heat networks across England and Wales. Government-funded heat networks currently being developed include Leeds City County’s 16km district heat network, Cardiff Town Heat Network in South Wales, spreading across the Cardiff Bay area, and Newcastle University’s District Heat Network within their city centre campus.

As a proven, cost-effective way of providing reliable low carbon heat at a fair price to consumers, and as recommended by the Climate Change Committee, the UK government is working towards growing the heat networks sector, which provides roughly 2% of UK heat demand but could meet around a fifth of heat demand by 2050.

Read full press release

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