Nine heat network projects receive £6m DECC funding

Nine companies have received a share of £6-million funding from the Department of Energy & Climate Change (DECC) to test heat network projects across the UK.

Nine heat network projects receive £6m DECC funding

As part of DECC’s Heat Network Small Business Research Initiative competition, nine projects have received a share of the money to start testing their technology with the aim of improving the performance of heat networks and encouraging the use of renewable heat sources.

The projects, which include the use of ‘smart systems’ to diagnose performance issues and heat recovered from data centres and canals, will receive a share of £5.9 million as part of the total £7 million prize pool. The projects will be tested until March 2016.

Those receiving funding under the second phase of the competition are:

  • Clean Energy Prospector Ltd (£694,439);
  • COHEAT ltd (£349,860);
  • E.ON Sustainable Energy Ltd (£1,394,631);
  • Geothermal Engineering Ltd (£858,060);
  • Guru Systems Ltd (£569,400);
  • Star Renewables (£999,293);
  • PassivSystems Ltd (£598,860);
  • Sycous Ltd (£121,925); and
  • Zero Carbon Future (£378,780)

'Passionate about advancing low carbon heating technologies'

Speaking of the competition, Energy and Climate Change Secretary Ed Davey said: “This competition is all about supporting innovation and progress in the heat industry so we can heat more homes across the UK for less, while at the same time improve energy efficiency and cut the UK’s carbon emissions.

“More support for local heating projects will also give jobs in the sector a huge boost, with the value of the district and heat network market expected to rise to around £530 million this year.”

Finian Parrick, Managing Director of Exeter-based energy company Zero Carbon Future (Zero), commented: “Reaching Phase 1 provided ZERO with vital funding to demonstrate the feasibility of our proposed project, while Phase 2 will involve demonstrating the technologies selected from Phase 1 on existing heat networks or those due for construction by the end of 2015.

“This is brilliant news, as it means our development team can move forward with our project to encourage the use of heat networks and to help drive down energy bills and boost low carbon heat supplies in the UK.

“We are passionate about advancing low carbon heating technologies and this grant will help us to do exactly that.”

The government has increasingly been looking at developing heat networks and set up a Heat Network Delivery Unit in September 2013 to award funding to those wishing to develop local heat networks across the UK. To date, £9.7 million of funding has been awarded to 180 projects across 115 local authorities, bringing the UK’s total number of heat networks to 2,000. These networks supply local, renewable heat to 210,000 homes and 1,700 commercial and public buildings.

A further 150 schemes are known to be under development by local authorities across the UK. The UK Government aims to provide 43 per cent of the UK’s heat demand through heat networks by 2050.

Find out more about the work of DECC’s Heat Network Delivery Unit.

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