Consultation outcome

Green Heat Network Fund: proposals for the scheme design

Applies to England and Wales

This consultation has concluded

Download the full outcome

Green Heat Network Fund: proposals for the scheme design government response

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Detail of outcome

The Green Heat Network Fund (GHNF) will support low-carbon technologies like heat pumps, solar and geothermal energy in the roll out of the next generation of heat networks. It will open to applicants in April 2022 and is anticipated to run to 2025. It will be available in England.

Since the closure of the consultation in January 2021, alterations have been made to the GHNF proposals to reflect feedback from stakeholders.

The government response document provides more information on what will happen next. It includes more detailed responses on:

  • scope
  • approach to new and existing networks
  • benefits
  • consumer protection and pricing
  • scheme delivery mechanism
  • application assessment

We have also published a National Comprehensive Assessment that identifies opportunities for low carbon heat network deployment across the UK.

Detail of feedback received

We received 51 responses. We also received 44 responses to an earlier call for evidence launched in September 2020.

We received responses from a range of stakeholder groups, including:

  • businesses
  • consultancies
  • local authorities
  • trade associations
  • universities

Original consultation

Summary

We're seeking views on the design of the proposed Green Heat Network Fund (GHNF) scheme, a funding programme to help new and existing heat networks move to low and zero carbon technologies.

This consultation ran from
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Consultation description

We are seeking views on how we should design the proposed Green Heat Network Fund (GHNF) scheme. The GHNF is a capital grant funding programme which is intended to help new and existing heat networks to move to low and zero carbon technologies. Its objectives are to:

  • achieve carbon savings and decreases in carbon intensity of heat supplied
  • increase the total amount of low-carbon heat utilisation in heat networks (both retrofitted and new heat networks)
  • help prepare the market for future low-carbon regulation and ensure compliance with existing regulations (such as the Heat Network (Metering and Billing) Regulations, Heat Network Market Framework and the Future Homes Standard)

This consultation covers the major components of the scheme including:

  • the application criteria
  • the sources of thermal energy supported
  • the types of heat networks in scope and the eligibility criteria
  • finance and the supply chain

It considers delivery mechanisms, as well as processes to monitor benefits and long-term impacts of the scheme.

The consultation is open to everyone with an interest in this area. In particular, we are keen to hear from:

  • heat network operators
  • energy companies and network operators
  • energy investors
  • organisations representing the heat/heat networks sectors
  • technology suppliers
  • consumers and consumer organisations
  • local authorities
  • housing associations and other social housing providers
  • property and housing developers
  • large businesses and SMEs
  • financial institutions
  • Energy Service Companies (ESCOs)
  • Local Enterprise Partnerships (LEPs)
  • Non-Governmental Organisations (NGOs)
  • heavy heat users
  • academics

See the BEIS consultation privacy notice.

Please do not send responses by post to the department at the moment as we may not be able to access them.

Documents

Published 30 November 2020
Last updated 7 September 2021 + show all updates
  1. Government response published.

  2. Impact assessment added.

  3. First published.