Fund title: Heat Networks Investment Project (HNIP)

Focus of fund/fund aims:

To kick start the heat networks market by gap funding development and build of district heating in suitable areas of the UK as part of the wider drive towards decarbonisation by 2050.

Application deadline:

4 December 2019 (Pre-applications) - 3 January 2020 (Full applications)

Fund description:

The Department for Business, Energy & Industrial Strategy has a budget of £320 million to deliver district heating across the country through the Heat Networks Investment Project (HNIP).

The HNIP offers grants and capital loans to private or public sectors in England and Wales of up to £10 million and seeks to leverage £1 billion in private investment through gap funding. The project supports the design and construction of heat networks, with the aim of kick starting the market, improving skills and driving down costs while demonstrating to investors that they are a viable proposition.

Investment costs eligible for support under the HNIP scheme include:

  • building new heat networks (generation, distribution and customer supply)
  • developing existing heat networks including expanding, refurbishing or connecting up existing networks where additional carbon savings can be demonstrated
  • commercialisation phase and construction costs
  • works to access recoverable heat
  • costs for heat network infrastructure connected to the generation plant.

Applications are now invited for Round 4.

Further information: