District heating in Scotland

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1 District heating in Scotland June 2016 Ruth Bush Stratego Project Officer Heat Policy Team, Scottish Government 1

2 The challenge of low carbon heating In Scotland, heat is the biggest element of our energy use (over 55%), The largest source of our emissions (47%). 2

3 Overall priorities for heat in Scotland Low carbon Scottish Government Heat Policy Statement (June 2015) Resilient Affordable The heat sector will need to be largely decarbonised by 2050

4 The heat hierarchy

5 District heating support measures Policy Planning and regulation Support Heat mapping Funding

6 Existing Heat Networks 122 operational projects Aberdeen Dundee Glasgow Around 10,000 homes connected (as of 2014) + schools, hospitals and other public buildings Local authority led city district heating and communal heating Urban and rural towns renewable district heating Small-scale social housing and private heat networks mainly biomass Lerwick Wick Dunfermline Banchory - HoBESCo Hanover HA West Highland HA

7 Strategic approach to energy Developing an overarching energy strategy building on Heat Policy Statement, Electricity Generation Policy statement and Community Energy Strategy. - system view - decarbonising energy system - local energy approach Developing the Third Report on Proposals and Policies (RPP3) to RPP3 will be underpinned by our new detailed energy and environmental model for Scotland Continue to be guided by the transformational outcomes set out in the Scottish Government s Climate Change Delivery Plan (2009) including a largely decarbonised heat sector by 2050 with significant progress by 2030

8 Stratego Project To support joined up, evidence-based and strategic approaches to delivery of low carbon heating and cooling. 8

9 9

10 Stratego: Multi-level activities in Scotland Support for local delivery Dialogue between national and local Sharing expertise from across Europe 3 coaching sessions 7 local stakeholder events 3-5 days expert support for a priority project (BRE UK) 4 national authority meetings (Scottish Government) 10

11 Website:

12 Support and the Scotland Heat Map Heat Network Partnership Coordinated programme of support for district heating: Project directory Co-funded feasibility studies Knowledge Hub (case studies, technical information, reports Project development support from partners: Scotland Heat Map District Heating Strategy Support Programme for Local Authorities Low Carbon Infrastructure Transition Programme 76 million programme, part-funded by ESF, to boost jobs and economic growth in Scotland s low carbon sector. Scotland wide, cross-sector project development unit, to support the development and acceleration of over 100 low carbon infrastructure projects over 3 years.

13 Planning Planning June 2014 updated Scottish Planning Policy (SPP)» The national planning policy context for delivering heat networks» Local development plans should identify where heat networks, heat storage and energy centres exist or would be appropriate and include policies to support their implementation October 2015 Planning and Heat online planning advice Scottish Cities Alliance project on district heating planning policy and supplementary planning guidance

14 Regulation Regulation and Standards October 2015 Amendment to Pollution Prevention & Control Regulations on energy efficiency of thermal generation and industrial processes November 2014 Heat Metering & Billing Regulations July 2015» Deadline for notification of heat networks to NMRO 31 December 2015 and then at least every 4 years CIBSE/ADE CP1 Heat Networks: Code of Practice for the UK November 2015 Heat Trust launched, after two years of collaboration between industry, consumer groups and government Next Steps Report to Scottish Ministers by the Expert Commission on District Heating s Special Working Group on Regulation

15 Funding March 2014 District Heating Loan Fund - since 2011, over 40 projects with loan offers totalling 10 million (2016) March 2015 Local Energy Challenge Fund Round 2 October 2015 Water Source Heat Pump Challenge Fund March 2016 Announced 7 million for district heating