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  4. CHPA welcomes Scottish renewable district heating fund

CHPA welcomes Scottish renewable district heating fund

11 Oct 2012
  • Renewable Energy Investment Fund (REIF) available to renewable district heating projects
  • Support for infrastructure complements support for heat generation
  • Projects over £400,000 are eligible

Yesterday’s announcement that Scotland will make its £103 million Renewable Energy Investment Fund (REIF) available to district heating projects has been welcomed by industry body, the Combined Heat & Power Association (CHPA).

Following last week’s news that £2.5 million has been released for the second round of the district heating loan fund, the Scottish Government is now providing support through REIF for larger heating schemes that require more than £400,000.

Scottish Enterprise, who are administering the fund, described heat networks as “fundamental” for Scotland’s overall ambition to achieve 100% renewables by 2020. However, there is recognition that such projects are capital intensive and can require additional support to bring them to fruition.

The CHPA particularly welcome the understanding that heat networks are a form of infrastructure for the efficient delivery of heat, and require a different form of support to heat generation technologies.

Ian Manders, Deputy Director at the CHPA and member of the Scottish Government Expert Commission on district heating, said:

“While the proposed increase to the Renewable Heat Incentive (RHI) tariff for biomass combined heat and power is a huge step forward, support explicitly for heat networks will improve the efficiency of all forms of low carbon heating in Scotland.

“The Scottish Government clearly understands that the most effective way to decarbonise heat is to first capture any sources of waste heat, and then to maximise resources through the efficient delivery of heat. Dozens of district heating schemes are already cutting carbon emissions and energy bills across Scotland, but there is still the potential for significant expansion.

“We look forward to similar strategies being adopted by Whitehall when heat policies are announced in the New Year.”


For further information or to request an interview, please contact:

Ian Manders
Deputy Director, CHPA
T 020 7828 4077
M 07946 612508

Notes to editors:

Renewable Energy Investment Fund
The REIF will initially provide loans to district heating projects which have a renewable heat source and which have received planning consent. It may also provide support for innovative enabling technologies or infrastructure such as pipe work that will de-risk future renewable district heating projects. More details can be found on the Scottish Enterprise website.

About District Heating
A district heating scheme comprises a network of insulated pipes used to deliver heat from the point of generation, in the form of hot water or steam, to an end user. District heating networks provide the means to transport heat efficiently. Heat networks can be supplied with heat from a diverse range of sources including power stations, waste-to-energy facilities, biomass boilers and CHP plants, gas-fired CHP units, heat pumps, electric boilers and even solar thermal arrays. Click here for more information about district heating and here for case studies.

About the CHPA
The Combined Heat and Power Association (CHPA) is the leading advocate of an integrated approach to delivering energy services using combined heat and power and district heating. The Association has over 100 members active across a range of technologies and markets and is widely recognised as one of the leading industry bodies in the sustainable energy sector. For more information about the CHPA see: