In an unpredictable British summer, many of us have probably spent the past few weeks concerned about heat and The Department for Business, Energy & Industrial strategy have been doing the same. Last week they updated their guidance on national heat networks as an alternative to our current heating systems.
According to the Department for Business, Energy & Industrial strategy, heat networks provide the UK with a viable alternative to mainstream heating systems providing benefits in both reduced carbon and bills.
The Committee on Climate Change has estimated that by 2050 around 18% of UK heat will need to come from heat networks if we are to meet our carbon targets in a manner that is cost-effective.
What are heat networks?
A heat network supplies heat from centralised sources via a network of underground pipes carrying hot water. These networks can cover large areas such as entire cities or alternatively, towns and industrial parks could choose to join an existing network.
According to Government guidelines, a heat network can provide the following benefits:
- Low-cost low carbon heating;
- Utilising waste by transporting waste heat from power stations to homes;
- Local growth; and
- Stable energy.
In the wake of an unprecedented National Grid outage and a drive for eco-friendly lifestyles, local, low cost, low carbon heat with energy stability benefits seems like it may be too good to be true. However, in 2013 a Heat Networks Delivery Unit was set up to address the capacity and capability challenges that may create barriers to the deployment of heat networks across the UK. This Unit provides funding and guidance to local authorities who are considering heat network projects.
The Heat Networks Investment Project (HNIP) was also set up in 2017 with £320 million of capital investment to support the volume of networks built and encourage carbon savings. There are currently 14,000 heat networks existing in the UK, which serve 500,000 customers.
How can Nelsons help?
At Nelsons, our expert Commercial Property team advise on both local and large scale developments. We pride ourselves on offering commercial and friendly advice to our clients.
For further information on the subjects discussed in this article, please contact a member of the team in Derby, Leicester or Nottingham on 0800 024 1976 or via our online form.