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What's new in regulation, policy and funding for heat networks?

A free guide to upcoming heat network regulations, policy and funding has been published by Switch2 Energy to help district and community heating suppliers prepare for key changes ahead.

'Major transformation of the heat network market is coming soon and heat suppliers must be ready to adhere to new regulatory and technical standards affecting all areas of operation', said Richard Harrison, chief executive of Switch2.

'Doing more of the same is no longer an option. Heat network owners and operators will need to achieve a step change in efficiency and environmental performance, while also continuing to provide heat cost effectively and reliably to residential customers. '

The guide covers existing and future legislation that will support rapid growth of the heat network sector, which is projected to meet at least 18% of overall UK heat demand by 2050.

Five key areas of future regulation, as set out in the Heat Network Market Framework and reiterated in the Government's recent Heat and Buildings Strategy, are detailed in the guide. Primary legislation is expected to be confirmed in May 2022 and includes:

· New consumer standards to formalise customer protection, including the appointment of Ofgem as regulator.

· Equivalent statutory rights for heat networks as other utilities.

· Introduction of heat network zones to help drive demand by requiring more local buildings within a designated area to connect to the network.

· Minimum technical standards for design, build and operation of heat networks.

· Introduction of maximum CO2 emission limits by the early 2030s at latest

Recent changes to technical standards, with the revised new CP1 2020 version, are also explained. This provides enhanced minimum requirements and suggested best practice in standards of design, build and operation – to optimise efficiency for improved cost and carbon performance.

Download the free Guide to New Heat Network Regulations and Policy at: https://content.switch2.co.uk/guide-to-new-heat-network-regulations-and-policy

30 November 2021

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