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Thoughts

£2.7 million awarded in Round 6 to optimise heat networks in England and Wales

2nd Oct, 2024

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

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.

Some 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.

Minister for Energy Consumers, Miatta Fahnbulleh MP, commented:

Heat Network customers should be able to expect a good quality service – delivering regular, reliable heating and hot water.

Today’s £2.7million 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.

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.

Housing Associations and Social Housing Providers

Bolton at Home Limited, for the Presto Gardens and Blake Gardens heat networks in Bolton, serving 88 residents.

ClwydAlyn Housing Ltd, for the Llys Abad and Llys Eleanor heat networks in Conwy and Flintshire, serving 70 residents.

Home Group, for the Clock Tower heat network in Watford, serving 56 residents.

Metropolitan Thames Valley Housing, for the Hitches Lane, Barrington Road & St James Crescent and St Paul’s House heat networks in Hart, Lambeth and Haringey, serving 263 residents.

Great Places Housing Group, for the John Atkinson heat network in Manchester, serving 33 residents.

Orbit Group, for the Creganford Court & Perry Street, Tithe Lodge, and Saxon House heat networks in Norfolk, Bexley and Stratford-on Avon, serving 159 residents.

Private Sector

UPP (Hull) Limited, for the Taylor Court heat network in Kingston upon Hull, serving 288 residents.

St James’ Court Management Company, for the St James Court heat network in Wiltshire, serving 15 residents.

ThamesWey Energy Ltd, for the Victoria Way heat network in Woking, serving 234 connected heat customers from a tri-generation CHP led Energy Centre

Roffey Homes Ltd c/o Chanctonbury Estates Ltd, for the Wentworth Court heat network in Worthing, serving 20 apartments.

Health and Education Sector

University of Nottingham, for their University Park campus heat network.

The University of Worcester, for the Edward Elgar District Heat Network.

University of Exeter, for the Geoffery Pope Building heat network.

Croydon Health Services NHS Trust, serving the Croydon University Hospital heat network.

Hywel Dda University Health Board, for the Bronglais Hospital heat network.

Other

The Centre for Alternative Technology Charity Limited, for the WISE building and site heating network in Powys.

Stockwood Community Benefit Society Ltd, for the Stockwood CBS Ltd heat network in Wychavon.


NOTES TO EDITORS

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.

General enquiries and expressions of interest can be sent to HNES@gemserv.com.

More information about HNES including upcoming events can be found on Gemserv’s website, the delivery partner for the Government’s HNES Scheme, here.

Gemserv has been appointed as the Delivery Partner for HNES by the Department for Energy Security and Net Zero and is supported by Ramboll who will be providing technical assessment, Turner & Townsend providing cost consultancy assessments and Lux Nova providing legal support.

Authors