Template Heat Contracts Published to Reduce Transaction Costs and Raise Standards across Heat Network Projects
TP Heat Networks is pleased to announce today that a suite of thirteen template heat contracts for use by anyone involved in a district heating scheme have now been published. Drafted by clean energy law firm, Lux Nova Partners, a member of HNIP team. The work was commissioned by the Department for Business Energy and Industrial Strategy and these templates have been developed based on feedback received following two rounds of consultation. We are confident that they will be of significant value, and that they will offer a useful starting point to contract creation and negotiation.
The suite of contracts includes but is not limited to templates on energy centre lease; operation and maintenance (O&M); and connection and supply agreement. Each of these will need to be tailored to each specific project.
To access the Heat Contract Templates known as the “Sales, Operations and Maintenance Set (SOMS)”, please visit the Triple Point Heat Networks Investment Management website.
The first projects to receive gap funding for heat network schemes have been announced today by the Department for Business Energy and Industrial Strategy (BEIS) in partnership with Triple Point Heat Networks Investment Management. With over £30 million awarded to five local authority projects and a further £10 million awarded to two exciting private sector projects in South East London and Liverpool.
The UK Government has announced it will seek to legislate toward a net zero target for greenhouse gas emissions by 2050, a move that is hugely positive for the growing heat networks market. Launched by The Department for Business, Energy and Industrial Strategy (BEIS) during Green Great Britain Week, the Heat Networks Investment Project (HNIP) is a major Government project which will seek to invest up to £320m of capital funding in heat network projects. Triple Point Heat Network Investment Management, the consortium responsible for the delivery of HNIP has responded to the announcement, noting that heat networks offer a substantial opportunity to assist the UK in achieving a net zero target.
Triple Point Heat Networks Investment Management (TP Heat Networks) have announced that the £320 million Heat Networks Investment Project (HNIP) will open for applications from 5th February 2019. The Department of Business, Energy & Industrial Strategy (BEIS) funded scheme will invest capital funding in heat network projects, offering a substantial opportunity to assist the UK in achieving a clean and cost-effective transition towards a low carbon economy.
The Clean Growth Strategy’s illustrative 2050 pathways suggest that around one in five buildings could be heated by a largely low carbon district heat network by 2050. One way this potential can be unlocked is through the development of a sustainable heat network market. This press release marks the launch by Claire Perry (Minister of State for Energy and Clean Growth) and the Department of Business, Energy and Industry Strategy of the Triple Point Heat Networks Investment Management Project (HNIP). Further, it marks the announcement of Triple Point Heat Networks Investment Management as the Delivery Partner responsible for deployment of £320m of Government support which in turn should leverage around £1bn of private and other capital, supporting the growth of the heat network market in the UK.