Tag: Energy Security and Net Zero Department

The press release issued by the Department for Energy Security and Net Zero on 30 November 2023.

New applications for the Boiler Upgrade Scheme surged, after the government increased its grant for installing a new heat pump to £7,500.

More families are choosing to ditch fossil fuel boilers for a cleaner alternative, after the government increased its grant by 50% for new heat pumps – making it one of the most generous schemes in Europe.

New figures published today (30 November) show the number of new applications for government’s heat pump support surged after the increased £7,500 grant, announced by the Prime Minister, became available.

The number of new applications to the government’s Boiler Upgrade Scheme in the first week since the grant uplift reached 1,150 – more than 3 times higher than the average weekly rate prior to the change. In the subsequent 3 weeks, new applications have remained nearly 60% higher than the previous weekly average.

The scheme, which is available in England and Wales, provides financial support for families to switch from fossil fuel heating systems to a cleaner heat pump alternative – and as a result of the uplift, is now one of the most generous of its kind in Europe.

Energy Security Secretary Claire Coutinho said:

Today’s new figures show our pragmatic approach to net zero is working. In the first week after our 50% increase to the Boiler Upgrade Scheme, applications tripled.

We are supporting hardworking families who want to make the switch and replace their boiler in a way that’s within their budgets.

The results come alongside new independent research published today confirming heat pumps are generally rated as quiet, with a majority of those surveyed saying they did not notice the sound.

The review found complaints from neighbours are rare – with people far more likely to hear the noise of traffic and dogs barking, over of the sound of nearby heat pumps.

Lord Callanan, Minister for Energy Efficiency and Green Finance, said:

This fantastic increase in applications through the Boiler Upgrade Scheme demonstrates not only the desire for heat pumps in this country, but also that our approach to reach net zero works.

We want more families to enjoy the more stable bills and cleaner heating that heat pumps have to offer – and today’s evidence that heat pumps make minimal noise is yet another reason to make the switch.

Today’s report examining the sound coming from heat pumps follows significant advances to reduce noise levels. The report concludes that heat pumps are now very quiet – with sound levels similar to a gas boiler or fridge.

Extensive research was carried out for the independent study by acoustic experts – who reviewed existing data and conducted interviews with households, installers, manufacturers, industry bodies, as well as local authority planning officers.

Currently some households need to seek full planning permission to install a heat pump. However, the report recommends a change in planning rules to make it easier for households to install heat pumps under permitted development rights – while also strengthening heat pump noise assessments conducted by installers to continue protecting the public from noise pollution.

The government announced, in last week’s Autumn Statement, that it will consult on introducing new permitted development rights to end the blanket restriction on heat pumps one metre from a property boundary in England.

Customers do not have to apply for grants through the Boiler Upgrade Scheme and can check their home is eligible on GOV.UK. Anyone interested just needs to agree a quote for the work with an MCS certified installer, who will then do all the paperwork. Ofgem will simply contact the customer after that to confirm they would like to proceed.

Also today, the government confirmed plans for a new Clean Heat Market Mechanism, launching next year, which will incentivise the UK’s heating industry to invest in making heat pumps an increasingly attractive and affordable choice for families and businesses.

Rebecca Dibb-Simkin, Chief Product & Marketing Officer at Octopus Energy Group, said:

The Boiler Upgrade Scheme has already done wonders to kickstart a nascent heat pump industry and drive hundreds of millions of pounds of private sector investment in the UK. Since the increase in the grant was announced, we’ve seen 5 times more requests for heat pumps from our customers, and we’ve even been able to offer some installations for free.

Many of the planning rules around heat pumps are outdated, so it’s great the government is modernising them to make it easier for more people to get their hands on one.

The Clean Heat Market Mechanism announced today will also give industry the certainty we need to grow heat pump manufacturing here in the UK – securing green British jobs for generations to come.

Mat Moakes Chief Commercial Officer at OVO said:

It’s encouraging to see the rise in applications for the Boiler Upgrade Scheme with the recent uplift helping households make the switch.

At OVO we’ve seen an uplift in customer interest and our data also shows that when paired with innovative tariffs to reduce the cost the uptake increases.

Notes to editors

New figures on weekly applications to the Boiler Upgrade Scheme have been published. These show weekly applications from the start of the scheme (23 May 2022) to the end of week of 13 November 2023).

See the latest applications statistics for the Boiler Upgrade Scheme, which cover the latest delivery figures for the scheme up to 31 October.

The independent research was conducted by:

• engineering consultancy firm WSP
• construction engineering company BSRIA
• University of Salford
• Stephen Turner Acoustics

Read the report on Review of Air Source Heat Pump Noise Emissions, Permitted Development Guidance and Planning Regulations.

See the government response to the consultation on the Clean Heat Market Mechanism.

The press release issued by the Department for Energy Security and Net Zero on 30 November 2023.

Local Net Zero Accelerator pilots will help combined authorities deliver green initiatives such as retrofitting homes and installing solar panels.

A new £19 million pilot programme will help selected combined authorities unlock private investment, speed up their efforts to tackle climate change and help the UK reach its net zero target.

Two Local Net Zero Accelerator pilots in the Greater Manchester Combined Authority and the West Midlands Combined Authority will help drive investment in multiple green projects across key sectors such as energy, housing and transport – essential to delivering on the UK’s climate targets.

The combined authorities will decide how to allocate funding, selecting projects that will benefit their communities. These could include housing retrofit and renewable energy and transport projects, such as installing solar panels, battery storage and deploying green buses – all of which could help significantly cut emissions.

Councils have previously faced barriers to attracting private sector investment in smaller net zero programmes and one-off projects. But today’s funding is designed to tackle this so they can secure investment at scale to deliver a range of green initiatives and expand decarbonisation work in the years to come.

By combining multiple green projects across different sectors, rather than requesting funding for one-off, short-term projects, the new Local Net Zero Accelerator Programme will make it easier to secure private investment in a long-term, sustainable way.

A third, separate pilot will be launched in the York and North Yorkshire Combined Authority, with the aim of replicating a similar, successful model in Bristol, which supported around 1,000 jobs. Bristol City Leap established an innovative public-private partnership between Bristol City Council, Ameresco Ltd and Vattenfall Heat UK, which helped secure millions of pounds worth of investment into Bristol’s energy system, including solar, wind, heat networks, heat pumps and energy efficiency measures across the council’s estate.

Minister for Energy Efficiency and Green Finance, Lord Callanan, said:

The UK is a world leader when it comes to tackling climate change. But the work we do locally is just as important for cutting emissions and delivering net zero.

These pilots will help combined authorities to unlock private sector investment that they can spend on green projects they see fit locally, whether that be retrofitting housing or investing in green public transport networks – all while supporting skilled jobs, building out supply chains and growing our economy.

Exchequer Secretary to the Treasury, Gareth Davies, said:

Our £19 million investment is helping local governments explore new ways to fast-track our ambitious net zero objectives.

This initiative is pivotal in mobilising the money we need to transition and boosting green jobs and investments across the country.

Mayor of the West Midlands and chair of the West Midlands Combined Authority, Andy Street, said:

The government’s decision to ask our region to help lead the drive to net zero represents a real vote of confidence in what we can do and indeed are already doing here in the West Midlands.

Whether it’s the strides we’re making to retrofit homes – making them warmer and more energy efficient – or cutting energy bills for local businesses or indeed ensuring our transport network is more sustainable, we’re taking the practical steps on the ground to advance the net zero cause.

Together, we can help draw in the required public and private finance that will accelerate the rollout and take up of net zero related projects right across the UK as a whole.

Green City Lead for Greater Manchester, Councillor Tom Ross, said:

We welcome the £7 million funding to accelerate our net zero ambitions across Greater Manchester over the next 2 years. Greater Manchester has established Local Area Energy Plans which identify the £12.5 billion of investment in infrastructure required, that is substantially under local authorities influence, to achieve our carbon neutral ambitions by 2038.

This Accelerator funding from government will be used to design investment models to attract private investment – which is scalable, replicable and which leads to securing investment partners capable of delivering at scale.

The 3 new schemes will be supported by a centralised finance service. Supported by around £3 million, this will give the pilots access to financial and commercial knowledge to attract private investment in the local programmes.

Meanwhile, the Greater South East Local Net Zero Hub will receive an extra £2 million to ensure independent oversight and the successful delivery of the 3 pilot schemes. The Net Zero Hubs programme was set up in 2017 and supports combined authorities to develop net zero projects and attract commercial investment.

The lessons learnt from these pilots will be used to support other combined authorities across England deliver on net zero targets.

The press release issued by the Department for Energy Security and Net Zero on 23 November 2023.

Government sets out plans to speed up connections and increase grid capacity to boost energy security.

Major plans to speed up connections and rapidly increase capacity on the electricity grid have been set out alongside £960 million investment in green industries – strengthening UK energy security and delivering long term savings for families and businesses.

The package of measures will support economic growth and further cement the UK as one of the best countries in the world to invest in renewables, bringing forward investment by building network infrastructure faster and speeding up grid connections.

Launched by the Chancellor and Energy Security Secretary, government has published its response to Electricity Networks Commissioner, Nick Winser CBE, accepting his recommendations in all areas. These measures will halve the time it takes to build high-voltage power lines from 14 years to 7.

Building on this, the Connections Action Plan will cut the average delay time projects face to connect to the grid from 5 years to just 6 months. It will also see the end of the existing ‘first-come, first-served’ system, which had led to a long queue of projects to connect to the grid – holding back low-carbon investment.

Communities hosting new power infrastructure could benefit directly with lower electricity bills and money for projects in their local areas. They will have the power to decide how this is spent, for example on apprenticeships, energy efficiency measures, local parks or community energy generation. Properties closest to new transmission infrastructure will potentially receive up to £1,000 a year off electricity bills over 10 years.

The government has also committed £960 million for the Green Industries Growth Accelerator, which will accelerate advanced manufacturing capacity in key net zero sectors, including offshore wind, networks, carbon capture, usage and storage, hydrogen and nuclear.

As demand for renewables grows, with international competition across supply chains, the government is making sure the UK has the right conditions for further investment and growth. As a result of the UK’s global leadership in clean technologies, including the flagship Contracts for Difference scheme and the £20 billion recently committed to develop carbon capture, usage and storage, the UK has attracted £200 billion since 2010. A further £100 billion is expected by 2030, supporting up to 480,000 skilled jobs across the country.

The new package announced at the Autumn Statement is expected to bring forward £90 billion of investment over the next 10 years and will ensure the country’s infrastructure is fit for the green industries of the future.

Energy Security Secretary Claire Coutinho said:

We have set out the most radical plans to update the grid since the 1950s – speeding up connections and rapidly increasing capacity.

As we move away from unreliable imports to cheaper, home-grown energy, we’re boosting the grid so that it can meet our expanding electricity needs which are expected to have doubled by 2050. This will drive down bills while bringing forward £90 billion of investment over the next decade.

We’ll also reward those living closest to new infrastructure with up to £1000 a year off their energy bills, while communities will get at least £200,000 to spend on local projects that matter the most to them.

National Grid Chief Executive John Pettigrew, said:

Networks are critical to connect cleaner, more affordable, home-grown energy to Britain’s homes and businesses, and we welcome the bold plans set out by government today.

A spatial energy plan and accelerated planning consent will bring clarity, authority and urgency to what needs to be built and where, while new community benefit proposals will ensure local people remain at the heart of the energy transition. The connections action plan will deliver fundamental reforms needed to enable us to plug clean energy projects in faster, and build on the progress already being made.

The intent is clear and welcome; now these plans must be implemented at pace to capture the economic opportunity of the energy transition and keep Britain on target to achieve its climate goals.

The Autumn Statement includes the following:

Speeding up grid connections

As set out by the Prime Minister earlier this year, the government is taking action to ensure significant investment in new energy projects is supported by modern grid infrastructure – necessary to bring clean power to households and businesses while delivering emissions reduction targets.

The Connections Action Plan, published jointly with Ofgem, will overhaul the way projects access the electricity grid, releasing over 100GW of capacity from the grid connections queue. This is equivalent to around a quarter of the electricity needed to power our economy in 2050.

A ‘first-ready, first-connected’ approach will also be established, ensuring speculative and slow-moving projects are removed from the queue and supporting viable projects to connect when they are ready. Meanwhile, a triage service will be established to work closely and at pace with relevant investors, network companies and Ofgem to support accelerated connections for strategically-important demand customers, such as new industrial developments.

This follows Ofgem’s recent decision to give the Electricity System Operator (ESO) new powers to terminate connection agreements of stalled projects that are holding others up in the transmission queue.

The government has also accepted the programme of reform recommended by the Electricity Networks Commissioner to build new networks faster. This will support the delivery of up to 50GW of offshore wind power by 2030 and 24GW of new nuclear by 2050, as a major step towards decarbonising the UK economy.

This includes developing a Strategic Spatial Energy Plan, which will enable better decision-making on the location of energy system infrastructure to create a more efficient, lower cost system. The plan will give increased certainty for investors and industry, and give every community a say. It will be produced through close working between the government and the ESO (and Future System Operator once established), in consultation with Ofgem, and act as a reference for the creation of a transmission network blueprint in the Centralised Strategic Network Plan.

Community benefits

As set out in the consultation response on Community Benefits for Transmission Infrastructure, benefits could be offered to communities hosting new transmission infrastructure.

These will be in the form of both electricity bill discounts – of up to £1,000 per year, or £80 a month – over 10 years for eligible properties; and money to spend on local community projects.

The government will publish guidance next year, enabling residents to decide how to fund projects in their area, such as education initiatives for young people, local parks or community energy generation, electric vehicle charging points or energy efficiency measures.

The government is also considering establishing a Community Benefits Register, to ensure developers comply with the guidance and provide inspiration to communities of projects for their local area.

Reforming the planning system

Meanwhile, National Policy Statements – the bedrock of planning major new energy projects in England and Wales – have been strengthened to make clear that the planning system must treat low carbon energy infrastructure as a Critical National Priority.

This underlines for everyone involved in planning decisions just how critical the need for energy infrastructure is. This works alongside a package of wider reform measures also being announced as a part of this package, to ensure the country can build the infrastructure it needs for energy security and net zero. This will facilitate investment to support growth, jobs, and emerging green industries, whilst respecting legislation to protect the environment.

This is an important step towards delivering net zero as fairly, efficiently and quickly as possible.

Backing green industries

By reducing delays in network build and speeding up grid connections, this package could bring forward investment by around £90 billion over the next 10 years.

The government is committing £960 million over the next 5 years for the Green Industries Growth Accelerator. This will drive economic growth and bolster UK exports, while removing bottlenecks from the supply chain.

The Chancellor has also announced permanent Full Expensing: Invest for Less for those investing in IT equipment, plant, and machinery – an effective permanent tax cut of £11 billion a year. This will create the certainty that businesses, including renewable energy projects, need to confidently invest for less. A company can now permanently claim 100% capital allowances on qualifying main rate plant and machinery investments, meaning that for every pound invested its taxes are cut by up to 25p.

To further support new renewables investment, electricity generators who take a substantive decision to proceed with new projects after 22 November 2023 will have an exemption from the Electricity Generator Levy (EGL) on revenues from those projects.

Stakeholder Reaction

National Grid ESO Executive Director, Fintan Slye, said:

The ESO welcomes the strong package of reforms announced by the Chancellor, which will help ensure our energy system is fit for the future.

Great Britain’s energy grids are the backbone of our economy and it’s imperative that we drive through urgent reforms to ensure grid access improves.

These reforms both acknowledge the scale of energy production and network infrastructure required for future generations whilst ensuring communities hosting the infrastructure receive appropriate compensation.

We look forward to continuing to work in lockstep with both government, Ofgem and industry to drive these changes through, ensuring businesses can connect into the network when they are ready and that network is built in the right time, at the right place, with minimised impact on communities and the environment to facilitate these connections.

Director General of the British Chamber of Commerce Shevaun Haviland, said:

We have long called for the electricity grid to be upgraded to help companies transition to net zero. A recent BCC survey found more than a third (37%) of businesses were not getting what they needed from the grid, in terms of energy supply and connectivity. If we can greatly reduce grid connection times it will make a big difference.

We also welcome the news of a growth accelerator for green industries. This will give businesses the confidence to invest in these key sectors where there are huge opportunities for UK Plc, which could support our economy for years to come.

RenewableUK Chief Executive Dan McGrail, said:

There’s a strong focus in Chancellor’s Autumn Statement on accelerating green industrial growth. His announcement on permanent full expensing will provide a much-needed degree of long-term certainty for investors in green technologies, helping to make the UK an attractive destination for investment in clean energy projects and manufacturing.

This combined with the announcement of £960 million for a Green Industries Growth Accelerator to support clean energy manufacturing in the UK will help us to build up new supply chains in Britain at a time when international competition for investment in clean technology manufacturing has never been more intense.

The decision to extend tax relief on freeports from 5 to 10 years will help us to revitalise coastal communities by encouraging new investment in offshore wind manufacturing, including factories servicing innovative floating projects. Industry estimates that overall the offshore wind supply chain could boost the UK’s economy by £92 billion by 2040.

We also welcome the government’s commitments to reform the planning system by offering local authorities financial incentives to make decisions faster, as well as their ambition to cut grid connection delays from several years to 6 months.

We look forward to further key announcements such as the publication in March of more details on next year’s CfD auction which we hope will secure a record annual amount of new clean energy capacity.

Chief Executive of the Energy Networks Association Lawrence Slade, said:

Today’s announcements will hearten everyone working hard to enable net zero. We need to use every tool in the box to accelerate grid connections and ensure the country can deliver the critical infrastructure it needs as quickly as possible.

It’s great to see the government acting on the need for planning reform, including the publication of revised energy National Policy Statements. We also welcome the intent to ensure there are direct benefits for the communities hosting critical energy infrastructure and the steps set out in the government’s Connections Action Plan.

Steps taken by the electricity network operators, Ofgem and ESO (the system operator) have already helped to ensure nearly 50GW of capacity is being made available to customers in 2023. That’s almost the equivalent of the UK’s peak electricity demand. The steps announced today will help increase that even further over the coming months and years.

We look forward to working with the Secretary of State and Minister for Nuclear and Networks to enable net zero, unlock grid capacity and boost UK investment.

SSE Chief Executive Alistair Phillips-Davies, said:

As one of the biggest investors in the UK, we welcome the Chancellor’s focus on encouraging business investment, speeding up the time it takes to build major projects and looking at how communities hosting clean energy infrastructure receive tangible benefits.

We look forward to seeing further details of today’s announcements and working with communities and policymakers across the political spectrum to build the cleaner, cheaper and more secure energy system we all want to see.

ScottishPower Chief Executive Keith Anderson, said:

This is a much-needed boost to get Britain back on track as a nation that builds infrastructure the rest of the world can envy.

We were pioneers with the first electricity grids almost a century ago and these electricity superhighways are critical to bettering the lives of the nation – securing more green and home-grown energy and enabling the shift to clean transport and heating.

A relentless focus on people, planning and the UK pipeline is key to unlocking the massive economic growth of these investments. We welcome the government’s plans to support communities who host this vital national infrastructure and raise awareness of the positive long-term impact on society.

Microsoft Vice President External Affairs Hugh Milward, said:

We urgently need to build the next generation of infrastructure that will see the UK economy grow and thrive. The measures announced today are precisely the kind of energy policies that will unlock a wave of additional domestic and international investment.

GrantScape Chief Executive Matt Young, said:

The Government Response to Community Benefits for Electricity Transmission Network Infrastructure was welcomed today. Community Benefit funding is a critical part of the overall implementation of these nationally important projects and a suitable mechanism to acknowledge the communities in close proximity.

The press release issued by the Department for Energy Security and Net Zero on 21 November 2023.

UK and Republic of Korea to strengthen cooperation on low carbon technologies and civil nuclear.

The press release issued by the Department for Energy Security and Net Zero on 16 November 2023.

Maximum price that other renewables projects can receive in the next Contracts for Difference (CfD) auction has also been raised.

The press release issued by the Department for Energy Security and Net Zero on 8 November 2023.

New legislation introduced for annual oil and gas licensing rounds.

The press release issued by the Department for Energy Security and Net Zero on 3 November 2023.

UK Energy Security Secretary and German Vice Chancellor boost cooperation between nations on path to net zero.

A new partnership between the UK and German governments has been agreed today (Friday 3 November 2023) to help secure safe, affordable and clean energy for consumers in both nations for the long term and bolster energy security.

Under the new partnership signed in London by Energy Security Secretary Claire Coutinho and Germany’s Vice Chancellor, Robert Habeck, the UK and Germany have reaffirmed their shared ambition and commitment to net zero and progressing the energy transition.

Europe’s 2 largest economies have also doubled down on commitments made under the Paris Agreement to limit global warming to 1.5 degrees.

The energy and climate partnership sees both countries commit to:

• enhance cooperation in renewables, notably offshore wind and electricity interconnection, to remove regulatory barriers and accelerate deployment of offshore hybrid projects
• share industry knowledge and expertise to improve the exploration of carbon capture, utilisation and storage, including the cross-border transport of CO2
• strengthen and promote regional and global energy security, including discussions on winter preparedness, security of infrastructure and supply chains
• share best practices and lessons learned on industrial, buildings and heat decarbonisation, energy efficiency and net zero policies and strategies

Energy Security Secretary Claire Coutinho said:

The UK and Germany agree on the importance of clean, affordable energy and we both recognise its crucial role in growing our economies and guaranteeing national and global energy security.

We are already working together in the North Sea to deliver our world-leading offshore wind ambitions, as well as linking our countries with subsea electricity cables.

Today’s agreement will see us extend and deepen our partnership to ensure we continue to lead Europe and the world in making the green transition.

German Vice Chancellor and Federal Minister for Economic Affairs and Climate Action Robert Habeck said:

Germany and the UK face similar challenges. We have made good progress regarding the transition towards climate neutrality, but there is still a long path ahead of us. Cooperation with reliable partners can help all partners to advance not only faster, but better.

We can learn from each other’s experiences, share knowledge and work together to reach our common goals. The joint declaration signed today builds upon a long history of cooperation and provides a sound framework for successfully working together in future.

The energy and climate partnership incorporates the UK-Germany hydrogen partnership signed by Lord Callanan in September. This aims to accelerate the role of low carbon hydrogen – in particular from renewable sources –  in both nations’ energy mix and commits to working together to develop the global hydrogen economy.

Germany was the UK’s second largest trading partner in the 4 quarters to the end of Q1 2023, accounting for 8% of total UK trade. British and German companies are already collaborating on joint projects in the North Sea and both countries have committed to maximise its renewables potential, most recently at the Ostend North Sea Summit.

In the field of offshore wind, around 75% of installed offshore wind capacity in the North Sea is in German and British waters. This is helping to drive the UK’s ambition for up to 50GW of offshore wind, including up to 5GW of floating offshore wind, by 2030. Germany is aiming at installing 30GW by 2030.

The first phase of major construction of the £2.4 billion NeuConnect project, the first subsea electricity cable between the UK and Germany, was completed this week. The project, once operational in 2028, has the potential to power up to 1.5 million homes in the UK and Germany over its lifetime with reliable, affordable and clean energy. When completed, it will be the second longest UK electricity power line with approximately 725km of land and subsea cables, connecting Kent and Wilhelmshaven.

Another interconnector project connecting the UK to Germany is currently in development and awaiting regulatory approval from Ofgem.

Beverley Cornaby, Director, Policy and Systems Change Collaborations, Cambridge Institute for Sustainability Leadership (CISL):

Clean power generation is front-and-centre of the UK’s strategy to reach net zero by 2050. This partnership will support these aims by providing a blueprint on energy and climate between Europe’s 2 largest economies – helping the UK and Germany to bolster cooperation, remove regulatory barriers on renewables and share knowledge on industrial decarbonisation.

The press release issued by the Department for Energy Security and Net Zero on 3 November 2023.

More homes and businesses to benefit from cleaner, low-cost heating – thanks to almost £65 million in government support for 5 green energy projects.

Thousands of homes will be kept warm by waste heat from nearby data centres for the first time in the UK – thanks to a share of nearly £65 million of government funding for 5 green heating projects across the country.

The Old Oak and Park Royal Development Corporation in the London boroughs of Hammersmith and Fulham, Brent and Ealing will be the first of its kind to recycle waste heat from large computer systems storing internet data to supply heating for the local community.

The heat network, backed by £36 million in government support, will connect 10,000 new homes and 250,000m2 of commercial space to a low-carbon energy source that will help keep bills low and contribute to the UK’s drive to reach net zero by 2050.

It is one of 5 innovative green heating projects in London, Watford, Suffolk and Lancaster allocated grants from the Green Heat Network Fund. Together they are expected to create thousands of skilled jobs, helping deliver the government’s promise to grow the economy.

One of these successful projects will see Lancaster University fully decarbonise its campus, by receiving over £21 million in support for a new low-carbon heat network. The heat network will supply heat to the university campus using a large heat pump, powered by a new solar farm and existing wind turbine.

Energy Security Secretary Claire Coutinho said:

Innovative projects, like these announced today, are another example of why the UK is a world leader in cutting carbon emissions.

We are investing in the technologies of the future so that families across the country will now be able to warm their homes with low-carbon, recycled heat – while creating thousands of new skilled jobs.

Lord Callanan, Minister for Energy Efficiency and Green Finance, said:

Keeping homes warm with waste heat from technology is a glimpse into the future – and demonstrates just how innovative this country can be when it comes to reducing our carbon emissions.

The £65 million we’ve awarded today will help spread this success across the country, by rolling out innovative low-carbon heating to help to drive down energy bills and deliver our net zero goal.

Heat networks supply heating and hot water to homes and businesses via heat pumps or sources from underground, manufacturing, and waste management. They help cut carbon emissions by supplying heat to multiple buildings from a central source, avoiding the need for households and workplaces to rely on individual, energy-intensive heating solutions, such as gas boilers.

The transition to heat networks forms a major part of the UK’s carbon reduction commitment, with heating in buildings making up 30% of all UK emissions.

Today’s round of funding comes on top of £122 million already awarded to support 11 new heat network projects across the country, under the government’s Green Heat Network Fund.

The full list of projects to receive support today are:

• Old Oak Park Royal Development Corporation will receive £36 million to construct a heat network using waste heat from data centres to provide heating to over 10,000 homes and 250,000m2 of commercial space
• a new heat pump housing estate in Chilton Woods, Suffolk will see nearly 1,000 homes and a primary school provided with low carbon heating. The project, which has received £745,000, will also include a thermal store, meaning any excess energy generated from the system will be fed into the wider National Grid
• the London Borough of Brent will receive nearly £5.2 million for the South Kilburn District Heat Network, supplying heat using air source heat pumps combined with back up gas boilers to 34 sites via a 2.79km pipe network, connecting 2,900 customers.
• Watford Community Housing (WCH), a not-for-profit housing association with approximately 5,700 homes, will receive £1.8 million of funding to replace an old gas district heating system with ground source and air source heat pumps. This will provide heat to 252 apartments across 6 blocks
• Lancaster University will receive more than £21 million to fully decarbonise its campus with a low carbon energy centre. The centre will use air source heat pumps, thermal storage and electrical infrastructure works

Matthew Basnett, the Association for Decentralised Energy’s (ADE) Heat Network Policy Lead, said:

Heat decarbonisation in buildings is a huge challenge, and one that is often fundamentally misunderstood – heat networks are the only internationally proven route for decarbonising heat at scale, yet most people don’t know what they are.

We are excited to see that another round of the Green Heat Network Fund has been successful, and celebrate the news that a first-in-the-UK development will use waste heat from data centres to keep more than 10,000 homes warm, comfortable and affordable in the long term. We now look forward to seeing the government work with industry to raise the profile of heat networks as a versatile solution for heat decarbonisation.

David Lunts, Chief Executive of the Old Oak and Park Royal Development Corporation (OPDC), said:

Recycling the huge amounts of wasted heat from our local data centres into heat and energy for local residents, a major hospital and other users is an exciting and innovative example of OPDC’s support for the mayor’s net zero ambitions.

We are excited to be leading the way in developing low carbon infrastructure, supporting current and future generations of Londoners in Old Oak and Park Royal to live more sustainably.

The press release issued by the Department for Energy Security and Net Zero on 2 November 2023.

A new chair of the Ofgem Board has been appointed by the Energy Security Secretary, Claire Coutinho.

The press release issued by the Department for Energy Security and Net Zero on 26 October 2023.

Landmark legislation becomes law to ensure bills are affordable in the long-term.