Present and future financing for heat networks in Scotland

Description

ClimateXChange (CXC) wishes to commission research to provide evidence regarding the current financing of heat networks in Scotland and internationally, and to identify the most suitable financial levers for incentivising private finance in the heat networks sector. This project will provide the Scottish Government with an understanding of present and future financing models suitable for heat networks in Scotland and will contribute to the Scottish Government’s work on accelerating the pace and scale of heat network deployment. This is within the context of a need to move towards a higher proportion of privately financed investment in the sector. Lot 1: This project will provide the Scottish Government with an understanding of present and future financing models suitable for heat networks in Scotland and will contribute to the Scottish Government’s work on accelerating the pace and scale of heat network deployment. This is within the context of a need to move towards a higher proportion of privately financed investment in the sector. The study will: - provide the Scottish Government with an overview of how heat networks are funded and financed in selected countries and how national and local government provide financial support to heat networks; - draw comparisons with selected utility sectors regarding financing; - summarise the current financing models and structures in Scotland’s heat networks, with data inputs from the Scottish Government; - provide insight into how heat networks are currently viewed and treated by private investors; and - suggest suitable heat network financial levers, models and structures for Scotland’s context in the coming 10-15 years. Findings will contribute to the Scottish Government’s delivery considerations regarding heat networks.