Deadline: 25-Sep-2026
The Green Heat Network Fund (GHNF) provides capital grant funding to support the development, expansion and decarbonisation of heat networks across England and Wales. The programme helps organisations deliver low-carbon heating and cooling systems by supporting project preparation, construction, infrastructure upgrades and the transition towards a net-zero heat sector.
The fund supports public, private and third-sector organisations working on innovative heat network projects that reduce carbon emissions and increase the use of clean heat technologies.
Overview of the Green Heat Network Fund
The Green Heat Network Fund (GHNF) is a government-backed capital grant programme designed to accelerate the transition to low-carbon heating.
The fund supports organisations developing:
- New low-carbon heat networks
- Existing heat network upgrades
- Heat network expansions
- Low-carbon cooling systems
- Clean heat infrastructure
The programme aims to reduce emissions from heating and support the UK’s wider climate and net-zero goals.
Purpose of the Green Heat Network Fund
The main purpose of GHNF is to help transform the heat network sector by encouraging investment in cleaner and more efficient heating solutions.
The fund focuses on:
- Reducing carbon emissions from heat supply
- Increasing the use of low-carbon heat sources
- Supporting heat network innovation
- Improving sector capacity and skills
- Encouraging market transformation
Key Objectives of GHNF
Reducing Carbon Emissions
The fund supports projects that lower the carbon intensity of heating by replacing high-carbon systems with cleaner alternatives.
Projects should demonstrate:
- Carbon savings
- Efficient heat delivery
- Long-term emissions reduction
Increasing Low-Carbon Heat Adoption
GHNF encourages the use of:
The goal is to increase the availability of clean heating solutions.
Strengthening the Heat Network Sector
The programme supports growth across:
- Investment
- Supply chains
- Skills development
- Procurement capability
- Project delivery expertise
What Projects Does GHNF Support?
The Green Heat Network Fund supports a range of heat network activities.
New Low-Carbon Heat Networks
Funding can support the development of new heat networks designed around low-carbon technologies.
Examples include:
- District heating systems
- Community heating networks
- Low-carbon cooling networks
Existing Heat Network Upgrades
The fund supports the improvement of existing systems through:
- Retrofitting
- Expansion
- Efficiency improvements
- Carbon reduction upgrades
Heat Network Commercialisation
Funding can help projects move from early-stage planning towards investment readiness.
Supported activities include:
- Technical studies
- Engineering assessments
- Financial modelling
- Legal support
- Commercial planning
Heat Network Construction
GHNF can support construction activities required to deliver operational heat networks.
This includes:
- Energy centres
- Heat generation infrastructure
- Pipe networks
- Thermal storage systems
- Heat interface units
- Metering systems
- Control technology
Low-Carbon Heat Sources Supported
Eligible projects may include access to low-carbon heat sources such as:
- Heat pumps
- Recovered waste heat
- Renewable energy systems
- Other approved low-carbon technologies
Projects must demonstrate that their design approach supports emissions reduction.
Funding Application Routes
The GHNF provides different funding pathways depending on project development stage.
Commercialisation-Only Support
This route supports projects that need preparation before construction.
Funding may cover:
- Feasibility studies
- Technical design
- Business cases
- Planning work
- Procurement preparation
Commercialisation and Construction Support
This route supports projects requiring both development preparation and physical delivery.
It combines:
- Project development support
- Construction funding
Construction-Only Support
This route is designed for projects ready to begin delivery.
Funding supports:
- Infrastructure development
- Installation
- Construction activities
Eligible Activities
The fund supports activities required to prepare and deliver heat network projects.
Eligible activities may include:
Technical Activities
- Engineering design
- System modelling
- Heat demand analysis
- Technical assessments
Legal and Commercial Activities
- Contract development
- Commercial structuring
- Procurement support
Financial Activities
- Investment planning
- Cost analysis
- Funding models
Planning and Environmental Activities
- Planning applications
- Environmental assessments
- Regulatory requirements
Construction Activities
- Infrastructure installation
- Heat network construction
- System commissioning
Who Is Eligible?
The Green Heat Network Fund is open to organisations responsible for developing heating and cooling networks in England and Wales.
Eligible applicants include:
Public Sector Organisations
Examples include:
- Local authorities
- Public bodies
- Government-linked organisations
Private Sector Organisations
Businesses involved in:
- Energy development
- Infrastructure delivery
- Heat network investment
Third Sector Organisations
Eligible organisations may include:
- Community groups
- Non-profit organisations
- Social enterprises
Eligibility Requirements
Applicants must:
- Be a legal entity
- Develop heat network projects in England or Wales
- Meet GHNF scheme requirements
- Provide required supporting documents
Projects must demonstrate:
- Low-carbon design
- Technical feasibility
- Carbon reduction potential
- Delivery capability
How the GHNF Application Process Works
Step 1: Develop a Heat Network Project
Applicants identify a project involving:
- New heat networks
- Existing network improvements
- Low-carbon heat solutions
Step 2: Select the Appropriate Funding Route
Applicants choose whether they require:
- Commercialisation support
- Commercialisation and construction funding
- Construction funding
Step 3: Prepare Supporting Documentation
Applications should include:
- Technical information
- Financial details
- Carbon calculations
- Project plans
- Delivery timelines
Step 4: Submit Application
Applications are assessed against GHNF criteria, including:
- Carbon reduction impact
- Project feasibility
- Value for money
- Delivery capability
Why the Green Heat Network Fund Matters
Heating is a major contributor to carbon emissions, and reducing heat-related emissions is essential for achieving climate targets.
GHNF helps by:
- Supporting clean energy transition
- Reducing dependence on fossil fuels
- Encouraging investment in sustainable infrastructure
- Creating long-term low-carbon heating solutions
Benefits of GHNF Funding
Successful projects can help deliver:
- Lower carbon emissions
- More efficient heating systems
- Cleaner energy infrastructure
- Local economic opportunities
- Stronger green skills development
Common Mistakes to Avoid
Submitting High-Carbon Designs
Projects must demonstrate a clear low-carbon approach.
Incomplete Technical Information
Applications should include:
- Project design details
- Carbon impact evidence
- Delivery plans
Poor Financial Planning
Applicants should provide realistic:
- Cost estimates
- Investment plans
- Long-term sustainability models
Ignoring Future Scalability
Strong projects should consider:
- Expansion opportunities
- Long-term operation
- Future carbon reduction requirements
Tips for a Strong Application
A strong GHNF application should:
- Clearly explain carbon savings
- Use credible low-carbon technologies
- Include realistic budgets
- Demonstrate delivery capability
- Show long-term environmental benefits
Frequently Asked Questions (FAQ)
1. What is the Green Heat Network Fund?
The GHNF is a capital grant programme supporting low-carbon heat network development and decarbonisation projects in England and Wales.
2. Who can apply for GHNF funding?
Public, private and third-sector organisations developing heat networks can apply if they meet eligibility requirements.
3. What types of projects are supported?
The fund supports:
- New heat networks
- Existing network upgrades
- Heat network expansion
- Low-carbon heating and cooling projects
4. What costs can GHNF funding cover?
Funding may support:
- Technical design
- Planning
- Legal work
- Financial preparation
- Construction
- Infrastructure development
5. Does GHNF support cooling networks?
Yes. The fund can support low-carbon cooling supply projects alongside heating networks.
6. Who delivers the Green Heat Network Fund?
The programme is delivered through Triple Point Heat Networks Investment Management on behalf of the Department for Energy Security and Net Zero.
7. What is the main goal of GHNF?
The main goal is to accelerate the transition to a low-carbon heat sector by increasing the use of clean heat networks.
Conclusion
The Green Heat Network Fund provides essential financial support for organisations developing sustainable heating and cooling infrastructure in England and Wales.
By supporting low-carbon technologies, network construction and sector transformation, GHNF helps accelerate the move towards a cleaner, more resilient and net-zero heat system.
For more information, visit GOV.UK.
