Question to the Department for Energy Security & Net Zero:

To ask His Majesty's Government which technologies are most appropriate for gas-based District Heating Schemes (DHS) to adopt in order to contribute to national decarbonisation targets; what estimate they have made of the approximate cost of the transition by DHS to low-carbon heat; and what methods of financing could be used to support this transition.

Heat networks can use a variety of low-carbon heat sources, for example large heat pumps, industrial waste heat and geothermal. No one solution will be appropriate for every DHS - a mix of technologies will support heat decarbonisation.

Whilst the capital cost of many of these low-carbon sources is higher than gas combustion technologies there are a range of private financing options. The Government has itself invested £288m in the decarbonisation of heat networks through the Green Heat Network Fund.

Longer term the Government intends to introduce Heat Networks Zoning by 2025 to further grow the number of low-carbon heat networks across England and in ‘Powering Up Britain’ the Government committed to outlining a clear approach to price rebalancing by the end of 2024, to lower the running costs of these lower-carbon technologies.