News

Another £2.7 million awarded to optimise heat networks in England and Wales

 Another £2.7 million has been awarded to 33 heat networks across England and Wales in the sixth round of funding allocated under the Government’s Heat Network Efficiency Scheme (HNES). 

An image of houses.

So far, HNES has helped to improve heating and hot water supply for over 41,000 residents connected to 192 heat networks, and funding in Round 6 adds to that progress, as another 1,945 residents are set to benefit from improved and optimised heating and cooling provision.

The 33 successful heat networks will receive either direct capital funding for improvement works, or funding to support optimisation studies which will help heat network owners identify the causes of low efficiency levels and areas for improvement.

Notable projects benefitting from support in this round include capital support to the Reservoir and Watersreach heat network to implement improvements identified as a result of their HNES revenue grant funding in Round 1.

Universities in Nottingham and Worcester will also receive support to undertake studies to identify issues with their unreliable heat networks, which are currently operating at low efficiency levels and causing occasional service interruptions.

‘More projects set to benefit in near future’

Minister for Energy Consumers, Miatta Fahnbulleh MP, said: “Heat network customers should be able to expect a good quality service – delivering regular, reliable heating and hot water.

“Today’s £2.7 million funding boost will transform 33 old and inefficient heat networks across the country, adding to our support of more than 41,000 residents, ensuring they get what most of us take for granted.

“This is part of our wider efforts through the Heat Network Efficiency Scheme – with more projects set to benefit in the near future.”

Louise Singleton, Principal Consultant at Gemserv, said: “It is great to see HNES continuing to provide vital funding to old, inefficient heat networks across England and Wales.

“It is particularly encouraging to see applicants being proactive once receiving the output of their HNES funded optimisation studies.

“Projects are now being awarded capital funding to implement recommendations from these studies that will go on to improve outcomes for residents and occupants. We look forward to working with heat networks throughout England and Wales who plan to apply for HNES in future rounds after being inspired by demonstrated successes from our funded projects.”

Capital grant funding

Capital grant funding will go directly towards covering the cost of operational works to improve the efficiency of existing heat networks. In this round, £2.2 million will directly improve the efficiencies of heat networks serving 334 residents.

Local Authorities

Council of the City of York

City of York Council has been awarded £125,075 for a heat network serving the Glen Lodge Extra Care facility. Flats 1-32 will receive the funding to remedy poor infrastructure causing high heat losses, regular system interruptions and major outages.

Housing Associations and Social Housing Providers

Notting Hill Genesis

Notting Hill Genesis will receive over £1.8 million for two heat networks in Westminster and Hackney serving 179 residents. The Ernest Harriss House and Reservoir and Watersreach networks will receive funding to remedy high heat losses, poor insulation and low efficiency levels. 

A2Dominion Housing Group Limited

A2Dominion Housing Group has been awarded almost £154,000 to improve a heat network serving Baker House in Ealing. The heat network, serving a building in the Capital, will utilise funding to fix the lack of data being received from the Building Management System, upgrade insulation in the energy centre and to create hydraulic separation in each dwelling by installing hydraulic interface units.

Private Sector

Listello Buildings Management Company Limited

Listello Buildings Management Company Limited has been awarded over £71,000 for the Greenaway Apartments/Newberry Mews/Bloore House heat network. The two buildings, housing 75 apartments, will utilise HNES funding to improve pipework, insulation and metering systems that are resulting in poor efficiency levels and high energy bills. 

Revenue Grant Funding

In addition to capital grant funding, projects in Round 6 have also been awarded almost £564,000 of revenue grant funding to undertake optimisation studies to review the performance of their heat networks and identify areas for improvement. Optimisation studies in this round will identify improvements to networks affecting 1,611 residents.

Applying for funding

Funded by the Department for Energy Security and Net Zero, HNES can provide up to 50% of eligible project costs for capital grant applications and up to 100% of eligible project costs for revenue (Optimisation Study) grant applications. Applicants will need to submit a completed application form along with supporting evidence – and will be assessed and scored against criteria.

Those interested in applying for the scheme can express their interest by emailing HNES@gemserv.com.

The Heat Network Efficiency Scheme Guidance is available on the gov.uk website here.

Image credit: HNES, Llys Eleanor independent living scheme.