Heat networks across the country attract investment under the Government’s new Green Heat Network Fund (GHNF), as final awards are also made under its predecessor the Heat Network Investment Project (HNIP). £30 million of funding has been offered to Councils in Wigan, Peterborough and Hull to support local decarbonisation targets.
Ken Hunnisett, Programme Director for Triple Point Heat Networks Investment Management said: “Such has been the pace at which the Green Heat Network Fund has launched that we are still announcing the late-stage successes of its predecessor, the Heat Network Investment Project. The new network at the heart of the redeveloped Galleries Shopping Centre in Wigan will be delivering low carbon heat to retail, leisure, and residential premises within the next 3 years.”
Building on the success of the HNIP and responding to the UK’s commitment to net zero, the GHNF officially opened for applications in March 2022. The £288 million fund continues to provide targeted financial support for commercialisation and construction of heat network projects in England with a key focus on deployment.
On the announcement of the first GHNF supported projects, Ken Hunnisett said “It will be such a pleasure to work with the teams in Hull and Peterborough to deliver these fantastic, real-world, clean energy infrastructure projects that will generate local jobs and provide heat to local communities.”
The Minister for Energy Lord Callanan added:
“I’m delighted to see the first batch of funding awards from the Green Heat Network Fund going out to these ground-breaking projects that will move homes and businesses away from fossil fuels and soaring energy bills.
“It is vital, given that heating in buildings forms a significant part of the UK’s carbon footprint, that we invest in cutting-edge technologies like heat networks, which are an effective way of reducing carbon emissions and energy costs.”
The following Council’s have been awarded funding:
- Hull City Council – £1 million commercialisation and £12 million construction funding from GHNF for the development of a heat network at the heart of the City’s decarbonisation plan.
- Peterborough City Council – over £14 million of GHNF support for the development of a smart energy network which includes intelligent digital platforms to manage and improve energy consumption.
- Wigan Council – £2.6 million HNIP funding to support the construction of a new heat network utilising ground source heat pump technology which is part of a wider £190 million regeneration project.
By utilising targeted government funding such as the HNIP and GHNF, local authorities are empowered to deliver long-term, sustained emissions reductions for local areas and contribute to a greener economy.
Following the announcement today, the UK Infrastructure Bank has offered to provide further investment to ensure these innovative low-carbon solutions can go above and beyond to deliver sustainable heat networks.
John Flint, CEO of the UK Infrastructure Bank said:
“Helping Local Authorities unlock access to finance for heat networks will be crucial. The Bank is well placed to play a significant role in supporting the development of heat networks and we are pleased to be taking the next step through our new partnership with BEIS in fulfilment of this ambition.”
Below is a summary of the schemes to be awarded funding
Wigan Council
Wigan Council secured £2.6 million from the final round of the HNIP, marking it as one of the final projects to benefit from the funding scheme before it officially closed earlier this year. The funding will support the development of a heat network which is part of a wider £190 million regeneration project which will entail the demolition and redevelopment of the current Galleries Shopping Centre and Market Hall Buildings in the heart of Wigan Town Centre, providing residents with a vibrant, attractive, and accessible place to live and visit.
These new developments will be underpinned by low-carbon ambient heating loops made possible by the HNIP grant and are replacing current outdated and energy consuming systems.
Councillor David Molyneux MBE, the leader of Wigan Council, welcomed the news, commenting: “In July 2019, Wigan Council launched its Climate Change strategy, demonstrating our commitment to building a greener and more sustainable borough. The Galleries redevelopment has been designed with these principles at its heart and this funding will help us to realise these ambitions while reducing the environmental impact.”
Hull City Council
In the North East, Hull City Council has been awarded £1 million commercialisation and £12 million construction funding for the development of a low carbon heat network. The network is a key component of Hull’s Carbon Neutral 2030 strategy and GHNF will help to kickstart the first phase of Hull’s city-wide heat decarbonisation plan. The investment will deliver an additional 22 GWh of electricity from Hull and East Riding domestic and commercial waste to 46 public and private sector customers.
Councillor Paul Drake-Davis also commented on the scheme, adding that investment will “supply low-cost heating to local residents and businesses – which will help people in this new era of higher energy bills,” acknowledging the importance of schemes like GHNF to help “make taxpayers’ money go further.”
Peterborough City Council
In the midlands, Peterborough’s Integrated Renewables Infrastructure (PIRI) has been awarded over £14 million for the development of a smart energy network which utilises intelligent digital platforms to manage and improve energy consumption.
Known as “energy as a service”, PIRI will be providing place-based infrastructure that utilises existing assets to improve energy consumption through renewable technologies whilst minimising disruption to local grids, supporting future growth.
Once the project is complete, it will transport renewable heat and electrical power from Peterborough’s Energy Recovery Facility (ERF) direct to the city’s buildings via a series of underground pipework and cables. The ERF creates its own energy with non-recyclable household waste being turned into electricity and heat using a combustion process.
Councillor Wayne Fitzgerald, leader of Peterborough City Council, said: “Peterborough is ready for a project of this size and thanks to this Government funding we will be well on the way to becoming one of the first carbon-zero cities of the future. It is yet another significant indicator of the confidence that the Government has in our city’s growth and its importance on the national stage.”
A high-level summary of GHNF https://www.gov.uk/government/publications/green-heat-network-fund-ghnf
For further information about the scheme and to join the TP Heat Networks mailing list to receive updates, please contact us: enquiries@tp-heatnetworks.org.
