UK news update October 2023

Better ways to heat homes than hydrogen • District Heating Delegation to southern Sweden • The UK's New Energy Act published • Read more about the developments in sustainable heating and cooling in this month's news update from the UK

The National Infrastructure Commission: Better ways to heat homes than hydrogen

The National Infrastructure Commission (NIC) recently presented its National Infrastructure Assessment, suggesting a new direction for the decarbonisation heating of buildings in the UK. The NIC recommends that the UK government prioritises electrification as the primary method for large-scale decarbonisation of heating, effectively ruling out hydrogen. The recommendation aligns with the UK Government’s net-zero by 2050 commitment and ensures that established carbon targets are met in a cost-effective way.

To facilitate the transformation of the energy system substantial investments are required. These NIC estimate these at a minimum of £20 billion and potentially as much as £35 billion annually between 2025 and 2050. The estimate includes funds to expand renewable and nuclear generation capacity, but also to build electricity networks, decarbonise heating, advance CCS technology, and develop hydrogen infrastructure.

The NIC further recommends that the government fully subsidise heat pump installation costs for one-third of homes based on income, while all other homeowners should receive a £7,000 grant to transition to heat pumps or heat networks.

While the role of hydrogen remains under consideration, the emphasis on alternative solutions and their greater affordability, suggest the availability of smoother and more inclusive options to transition to a net-zero carbon future.

Read more in article from EDIE

UK District Heating Delegation to Southern Sweden

In the end of October, a UK delegation trip to southern Sweden was organised as part of the SHC programme, in collaboration with SweHeat and Cooling. The initiative brought together private companies, public organisations, industry associations, and experts from both the United Kingdom & Sweden for a memorable two days of site visits, networking, and knowledge exchanges.

The programme was tailored to the UK’s challenges and opportunities, focusing on smaller-scale networks built relatively recently. Site visits included several local energy companies, such as Bussme, Nevel, Kraftringen, Öresundskraft, and E.ON Ectogrid. To further align with the UK landscape, some extra emphasis was given to neighbourhoods where natural gas boilers had been replaced by district heating solutions. This to ensure maximum comparability to the UK where > 80% of all homes are connected to the natural gas grid.

Several SHC member companies were also given the opportunity to present their solutions during the visit. Delegates were delighted to listen to pitches from Crossbreed, Cetetherm Mittel, PG Monitoring, Powerpipe, Swep, and NODA.

The SHC team hopes that the inspirational delegation programme and fruitful discussions will further accelerate the strong exchange within the district heating sector between Sweden and the UK.

Read more in post at LinkedIn

The UK’s new Energy Act published – a pathway to accelerate the green transition 

In a historic milestone for the UK’s energy sector, the government has recently passed a new Energy Act, marking the start of a significant reshape of the nation’s energy landscape. This Act is aimed at unlocking substantial private investment, while addressing climate change and increased energy security.

The Energy Act has builds on the existing Energy Security Strategy which was unveiled in April 2022. Aligned with the direction established in the 2022 strategy, the new Act further raises targets for renewable energy deployment in the country. It suggests a wide plethora of significant technologies required to reach the targets, such as; offshore wind, blue and green hydrogen, district heating, and nuclear power.

The Act designates Ofgem as the official regulator of heat networks in the UK, signalling a commitment to enhancing customer protections in this rapidly growing sector. This change is intended to bring customer protections in the heat network sector in line with those in the gas and electricity network. Furthermore, the Act supports the government’s goal of installing 600,000 heat pumps annually from 2028.

The Act further establishes targets of capturing and storing 20-30 Mt of CO2e per year by 2030 through carbon capture technology. It also emphasises the government’s target of achieving 10GW of domestic hydrogen production capacity, with at least 5GW being renewable. Nuclear is also mentioned, where a new publicly owned company, Great British Nuclear, will oversee the government’s involvement in delivering up to 24GW of nuclear capacity by 2050, utilizing a combination of large projects and small modular reactors.

Read more in article from EDIE

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Sweden is at the forefront of decentralised heat networks technology. Our aim for “Sustainable Heating & Cooling by Sweden” is to facilitate knowledge sharing between British, French and Swedish stakeholders and develop and encourage environmental and economic best practice.

To find out how we can help you and your organisation, please contact our London or Paris-based “SHC” teams. We can introduce you to leading consultants, suppliers of technology and services who will be pleased to share know-how of the development of sustainable heating & cooling solutions.

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