Last Monday, the SNP Government introduced the Heat Networks (Scotland) Bill, aimed at introducing regulation and a licensing system for district and communal heating to accelerate use of the networks across Scotland.
Scotland will be the first UK nation to legislate for heat network development to help meet climate change targets and tackle fuel poverty.
District or communal networks deliver heat from a central source through insulated pipes to local homes and other buildings and have the potential to reduce or remove emissions from heating buildings and homes throughout Scotland. Heat networks are generally more efficient than individual gas boilers and can be run wholly from renewable sources, reducing the need for customers to procure and maintain their own boilers.
Energy Minister Paul Wheelhouse MSP said:
“We face a global climate emergency. A major challenge is reducing and ultimately stopping the impact from heating our homes and buildings, which is where more than half the energy we consume as a society currently goes.
“Heat networks have huge potential to reduce that impact by providing more efficient, environmentally-friendly solutions. The SNP Government is determined to unlock the potential for that sector wherever possible and stimulate employment across Scotland while delivering projects.
“We have done much to support the sector in recent years; there are currently more than 830 networks operating in Scotland, including significant projects we have supported. However, the sector lacks a coherent regulatory framework and the Heat Networks Bill therefore marks the beginning of transformational change, as we seek to create a supportive market environment for the necessary expansion of heat networks."
Added Kenneth Gibson MSP:
“The benefits of heat networks are not only environmental, they can save space, remove combustion risk within buildings and have been shown to save up to 36% in fuel costs, with consequent benefits for tackling fuel poverty and reducing costs faced by householders, businesses and public bodies.”
Sam Hockman, Divisional CEO of ENGIE’s UK business, who are developing the Edinburgh St James’ heat network project, said:
“We welcome the introduction of a regulatory framework in Scotland. We believe this will act as a catalyst to stimulate growth within the sector, ensuring consistency across the industry, ultimately increasing investment in the market. Importantly it will also ensure Scottish consumers get a fair deal and enhance the service levels they receive.
As a low-carbon, efficient way to heat homes and businesses, heat networks like the project we are developing here in Edinburgh, can play a key role in supporting both future heat demand and Scotland’s overall drive towards net zero emissions.”
The Heat Networks (Scotland) Bill is now available to view here.
More information on heat networks is available at District Heating Scotland.
ENGIE is a leading energy services provider, having developed more than 180 heat networks across Europe.