Heat networks in the North East and Tees Valley
Heat networks form an essential and significant part of the UK’s plan to reduce carbon emissions, and The North East and Tees Valley are primed to lead the UK in delivering this.
The North East and Tees Valley represent the UK’s first designated ‘heat network cluster’ and have the fastest growing regional pipeline of projects. Companies based here can deploy at scale, drive down costs and develop next-generation innovations for clean heating solutions.
The North East and Tees Valley
Foreign direct investment
Greener buildings, Sustainable infrastructure
Sector and market opportunity
Demand for net zero heating solutions is growing as the UK seeks to decarbonise its heating and promote clean growth. The UK needs to achieve 19% of heating from clean heat networks by 2050 (up from 2% today). The region is in an excellent position to lead on this.
Companies can access a pipeline of opportunities including:
- design and manufacture of pipe and insulation solutions
- logistics, trenching and laying technologies
- smart technologies for network management and metering
- heat innovations using low-carbon heat sources
The UK heat network project pipeline is valued at £1.2 billion (one of the largest in Europe) and continues to grow. The North East and Tees Valley’s own heat network pipeline is valued at about £500 million.
The region is home to the UK’s first heat network cluster. Existing district energy schemes include Gateshead District Energy Scheme, the Newcastle Helix District Energy Centre, and ground-breaking projects such as Seaham Garden Village and Core 364.
Direct access to locations worldwide, with flights to major cities in the UK and globally via Newcastle International Airport and Teesside International Airport.
The 4 major train stations offer fast and frequent rail links to London, Birmingham, Manchester and Edinburgh.
The 6 deep sea ports in the region (including the Port of Tyne) are strategic hubs for businesses; the east coast position is perfect to react quickly to transportation needs.
Local talent and skills
More than 25,000 are employed in the energy sector, and there’s experience in heat network delivery.
Five world-class universities offer courses to support heat networks.
Networks that can help influence and provide support include the Heat Networks Industry Council, the Energy Systems Catapult and the UK District Energy Association. The North East Energy Catalyst brings together the private and public sector to develop and showcase solutions to global energy challenges.
Research and expertise
The region is complemented by world-class research and opportunities to collaborate. Companies can benefit from access to the National Centre for Energy Systems Integration, the Tees Valley Net Zero Innovation Centre and the Durham Energy Institute.
North of England
The North of England is recognised as a global centre for creativity and design and attracts thriving international investment. This heritage of expertise and manufacturing know-how is well established on the world stage, and historically gave birth to the Industrial Revolution.
Enabling clean growth
Heat networks will play a key role in accelerating and realising the UK’s net zero ambitions. A rapid growth in the pipeline of heat network projects demonstrates increased demand in both domestic and export markets.
Local and national government support
Funding through the Green Heat Network Fund will support projects to deliver increased volumes of low-carbon heat through the creation of new and more efficient networks.
North East councils have committed to being carbon neutral by 2030 and have ambitious plans in this sector. Local support through Strategic Economic Plans highlights growth opportunities and regional energy projects which will significantly contribute to regional and national net zero goals.
Headquartered in Denmark, LOGSTOR is a large manufacturer of pre-insulated pipe systems.
LOGSTOR was an approved supplier of specialist pipes for significant projects in the region including the Energy Centre in Gateshead and the Leeds PiPES District Heating Scheme.
ENGIE is a French energy and services company with three main activities: production and supply of low-carbon energy services and regeneration.
In the UK, ENGIE is a strategic supplier to the UK government and in 2018 entered a joint venture with Newcastle City Council to develop and operate district energy schemes in the city over 40 years.
E.ON is an international, privately-owned energy supplier based in Essen, Germany. The company is leading the energy transition by offering customers a smart, sustainable and personalised energy solution.
E.ON operates more than 60 district heating networks in the UK, serving 30,000 residential and business customers. The Scotswood district heating site in central Newcastle serves nearly 400 properties, with an ambition to reach 1,800.
Lightweight structures in Greater Manchester
Greater Manchester’s accelerated Carbon Neutrality target of 2038 is creating opportunities to demonstrate innovative low carbon solutions at scale using lightweight materials.
Rail in Doncaster
Decarbonisation of the rail sector is key priority for the UK, and companies in Doncaster are on track to take a leading role in the sustainable transformation of the network.
Spalding Battery Energy Storage System in Lincolnshire
The Spalding Project will deliver one of the largest battery energy storage systems (BESS) in the world.
Tyne Clean Energy Park
An exciting opportunity to invest in the North East’s most versatile clean energy park at the Port of Tyne.
Offshore wind floating substructures in Scotland
The UK is the global leader in offshore wind. Now, Scotland is set to become the world’s first floating offshore wind market of scale, propelling the country’s net zero ambitions.
Mining in Cornwall
Key metals and minerals are needed to deliver the technology for the UK’s transition to clean energy, and Cornwall offers significant potential to provide them.
Advanced Manufacturing Innovation District Scotland (AMIDS)
Investment at the Advanced Manufacturing Innovation District Scotland (AMIDS) focuses on re-energising Scotland’s local manufacturing base. Development opportunities include advanced manufacturing, aerospace and commercial offices. Investment opportunities include joint-venture partnerships.
Howbery Business Park in Wallingford, Oxfordshire
Creation of a centre of excellence for water, the environment and climate change, providing opportunities for collaboration across research, innovation and industry
Brent Cross Town
Brent Cross Town will be a new 1 million square metre (10 million square foot) mixed-use neighbourhood spanning 180 acres, with 50 acres of open space, parkland and playing fields.
Fawley Waterside aims to be one of the first net zero smart towns in Europe; spread over 400,000 square metres, it will sit inside the proposed Solent Freeport.
Gateway battery energy storage system in Essex
Gateway will be one of the largest battery energy storage systems (BESS) in the world, with a capacity of 320 megawatts for a 2-hour discharge duration with zero greenhouse gas emissions.
Cardiff Central Quay
A 200,000 square metre mixed-use regeneration scheme adjacent to Cardiff’s Central station, in the heart of the capital city of Wales.
Thainstone Energy Recovery Plant in Aberdeenshire
The Thainstone Energy Recovery Facility (ERF) will generate 30 megawatts electricity from 200,000 kilotons of residual waste using efficient, sustainable technologies.
Trafford Battery Energy Storage System
The Trafford Battery Energy Storage System (BESS) is at an advanced stage of development with National Grid expected to enable connection of approx. 500MW by Q3 2024 and up to 1GW by mid 2026.
Bicester Motion in Oxfordshire
Bicester Motion is a 444-acre branded commercial and leisure destination, strategically located at the heart of the UK’s mobility and tourism industries.
GRIDSERVE Sustainable Energy Ltd – national electric vehicle (EV) charging network powered by renewable energy
GRIDSERVE delivers sustainable energy and moves the needle on climate change with a nationwide electric vehicle (EV) charging infrastructure powered by renewable energy,
Newtown Works in Ashford, Kent
A mixed-use town centre regeneration project offering world-class film studios, apartments and commercial space at a heritage site next to Ashford International Station.
An immediate investment opportunity in a data-driven commercial development that’s focused on sustainability and clean growth.
Arden Cross in the Midlands
Arden Cross is a global destination for innovation, business, learning and living, across more than 140 hectares in Solihull in the West Midlands.
First Street in Manchester
A high-profile opportunity to invest in net zero commercial office space in the heart of Manchester City Centre.
Heath Park in Cheshire
A unique ethical investment opportunity for a mixed-use regeneration development, focused on market-leading green technology, at a thriving and successful business and technical park.
An opportunity to invest in a £1.3 billion development along the Thames Estuary – a creative hub and new town centre providing homes, film and TV studios and community and transport infrastructure.
Perth West in Scotland
A strategic opportunity for debt, equity investment, co-investment or development funding to develop a net zero eco innovation business park and city expansion.
Clyde Gateway Green Regeneration Innovation District (GRID) in Glasgow
Thinking globally, acting locally. Clyde Gateway's GRID integrates real estate and climate resilience in a '20-minute neighbourhood' near central Glasgow.
Weavers Cross transport-led regeneration project in Belfast
Located alongside the largest integrated transport hub in Ireland, Weavers Cross is a 121,000 square metre regeneration project of mixed-use space.
Teesworks in North East England
Teesworks is a significant brownfield regeneration opportunity in the UK, with the largest and most connected industrial zone and diverse, sustainable and low-carbon activity.
Offshore wind supply chain and ports in Teesside and the Humber
Offshore wind will supply the future energy needs of the UK, and companies operating in the offshore-wind super clusters of Teesside and the Humber will make this happen
The Waterside in Belfast, Northern Ireland
An opportunity to invest in a prime waterfront location in central Belfast – something that’ll cater for the office, hotel, serviced apartments, residential and private rental sectors.
18 Central, Corporation Street, Belfast,
A substantial build-to-rent project in Belfast city centre, with a chance for early participation via different finance options - including equity share and traditional funding.
Harlow Innovation Park
This is an opportunity to forward fund or acquire future assets at the developing 10-hectare Harlow Innovation Park on an individual or multiple plot basis.
A new higher education institute in Milton Keynes
A chance to invest in MK:U, a new higher education institute for the digital economy, created with business and for business.
Kings Hall Life Sciences Park in Belfast, Northern Ireland
An opportunity to invest in the next two phases of regeneration of Kings Hall Life Sciences Park. This project is a significant economic driver in the life sciences sector and has already attracted government funding; the first phase of construction is complete and 40,000 square feet fully occupied by Life Sciences tenants.
MIRA Technology Park, South Site in North Warwickshire
A £260 million funding opportunity for occupier-led investment in the industrial sector with potential for a multi-phased development approach. The scheme provides rare, strategic and advanced manufacturing facilities with associated links to the extensive research and development infrastructure at MIRA.
Titanic Quarter in Belfast, Northern Ireland
Comprising of 75 hectares or 185 acres of prime waterfront land, this project is one of Northern Ireland’s most important regeneration enterprises.
The Sixth, Royal Avenue, Belfast, Northern Ireland
An opportunity to invest in a mixed-use, 250,000 square feet space that will serve the Grade A office, creative and technology sectors.
A new high-speed terminus in Birmingham Curzon
Several major investment opportunities exist around the development of a new high-speed terminus station in Birmingham city centre.
Norwich Union House, Belfast, Northern Ireland
A chance to invest early in a 160,000sq ft mixed-use, 7-storey building primarily for Grade A offices in Belfast. Full planning permission is already in place. A variety of finance options are available including equity share or traditional funding.
GatewayEast in Doncaster
A chance to invest in a world-class destination for research, innovation and living, where sustainable environments and international connectivity create an opportunity for communities to thrive.
Interchange Commercial District in Wolverhampton
A chance for developers and investors to get involved with the Interchange Commercial District area in Wolverhampton, via a range of investment and delivery structures.
Humber Freeport builds on the region's existing strengths in renewable energy, clean growth, and advanced manufacturing, offering excellent connectivity to the UK's manufacturing supply chain.
East Midlands Freeport
The East Midlands Freeport is the UK’s only inland Freeport, with unparalleled connectivity across the country, to international cities, and home to a wide range of innovative sectors.
Freeport East (Felixstowe and Harwich)
Freeport East is a world-leading centre for clean energy production, offering a unique set of opportunities and support for investors, traders, manufacturers and suppliers. This includes access to innovation, technology and new collaborative partnerships.
Thames Freeport is Britain’s trading future. With 1,700 acres of development land across 3 zones along the Thames River, it is at the centre of Europe’s biggest consumer market.
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