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Exeter awarded more than £40m for new green heating network

Published: 26 January 2024

Exeter has received funding for a green heating network

The City Council has welcomed the announcement that Exeter has been awarded more than £40 million in Government funding for a green heating network in the city.

The Exeter Energy Network will receive £42.5 million to build a heat network using air source heat pumps and the UK’s largest high-temperature water source heat pump.

Buildings connected to the network will see an initial reduction of 65-75% in carbon emissions compared to gas heating.

It is part of an £80.6 million package announced by the Department for Energy Security and Net Zero to develop greener, low-cost heating systems in four new projects across England.

The projects in Exeter, London and Hull will help cut carbon emissions from homes and businesses – and put the UK a step closer to reaching Net Zero.

The announcement was welcomed by the City Council.

Cllr Josie Parkhouse, Lead Councillor for Climate and Ecological Crisis, said: “The City Council would like to congratulate Exeter Energy Network on their funding to install a District Heat Network, which will be a strategic project for the city.  The new network will remove 13,000 tonnes of carbon emissions from the city, supporting our ambition of Net Zero by 2030. 

“We are keen to work with the Exeter Energy Network on the wider benefits to the city, to support our residents and business community to reduce their energy costs, carbon emissions but also commercial and employment opportunities.”

Heat networks supply heating and hot water to homes and businesses via heat pumps or sources from underground, manufacturing, and waste management.

They help cut carbon emissions by supplying heat to multiple buildings from a central source, avoiding the need for households and workplaces to rely on individual, energy-intensive heating solutions, such as gas boilers.   

The transition to heat networks forms a major part of the UK’s carbon reduction commitment, with heating in buildings making up 30% of all UK emissions.  

Lord Callanan, Minister for Energy Efficiency and Green Finance, said: “These innovative projects will help drive down energy costs while also demonstrating why the UK has led the way in cutting carbon emissions.

“They show how energy sources can be found in the most unexpected places – as more homes and businesses will benefit from cleaner heating and lower energy bills.

“Our upgrades will also make sure our existing heat networks are upgraded – so customers can get the reliable heating supply they deserve.”


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