Question reference: S6W-23959
- Asked by: Liam McArthur, MSP for Orkney Islands, Scottish Liberal Democrats
- Date lodged: 15 December 2023
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Current status: Answered by Patrick Harvie on 15 January 2024
Question
To ask the Scottish Government whether it can provide the estimated capital cost for local authorities to deliver any local authority-led heat network schemes that are currently in development, and how much financial support it is providing to local authorities to help deliver any such developments.
Answer
Since October 2022, the Heat Network Support Unit (HNSU) has been providing local authorities with funding and/or advice to develop heat network projects in their areas. The Unit is currently supporting 19 local authority led projects at feasibility stage and is providing £551,416 of pre-capital financial support. In addition, approximately £150,000 of pre-capital funding has been provided previously to two local authorities through the Heat in Buildings Development Funding Invitation and LCITP development funding calls.
The estimated total capital costs for local authority led heat networks that are currently being supported by the HNSU is over £203 million.
Local Authorities are also provided capital support through Scotland’s Heat Network Fund (SHNF) and the (now closed) Low Carbon Infrastructure Transition Programme (LCITP). To date through SHNF and LCITP, Scottish Government has committed approximately £50 million to the development and construction of 11 local authority led heat networks in Scotland. This capital support has enabled local authorities to make investments in heat networks which are often predicated on a long term income stream which can be borrowed against. Therefore, Scottish Government capital support would be in addition to this income.