Green Heat Network Fund (GHNF)

Closing Date: –

Public, private and third sector organisations in England can access capital funding to help new and existing heat networks move to low and zero carbon technologies, such as heat pumps, solar and geothermal energy.

The Government has announced a new £270 million Green Heat Network Fund (GHNF) to support low-carbon technologies like heat pumps, solar and geothermal energy. The scheme is supporting the rollout of the next generation of heat networks, enabling more towns and cities to take up this established technology from 2022.

Heat networks supply heat to buildings from a central source, avoiding the need for households and workplaces to have individual, energy-intensive heating solutions – such as gas boilers. These networks have the potential to be a cost-effective way of reducing carbon emissions from heating. They are the only way that larger-scale renewable and recovered heat sources – like the heat from large rivers and urban recovered heat, such as from the London Underground – can be utilised.

The scheme will incentivise new and existing heat networks in England to move away from high-carbon sources, as well as exploiting waste-heat opportunities while bringing down costs for consumers. Applications will only be supported if they include low-carbon heat-generating technologies, such as heat pumps, waste heat and energy from geothermal sources.

This capital grant programme aims to stimulate the growth of low-carbon heat networks that will support the delivery of the UK’s 2050 climate change commitments and expand the current heat networks supply chain. During the programme’s lifetime, an estimated 10.3Mt of total carbon savings are expected to be made by 2050; the equivalent of taking 4.5 million cars in England off the road for a year.

The scheme’s 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).
Funding body Department for Business, Energy & Industrial Strategy (BEIS)
Maximum value Discretionary
Reference ID S47197
Category Business Support
Energy
Transport, Infrastructure & Communications (ICT)
Fund or call Fund

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