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Organisations Must Look to Improve the Performance of Their Heat Networks to Lower Bills and Hit ESG Targets

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Feb. 20, 2025

Leading heat network provider, Switch2 Energy, has published - Sustainable Energy, Sustainable Business – a new paper exploring the vital role that heat networks play in the UK’s transition to net zero while supporting environmental, social and governance (ESG) goals across the public and private sectors.

With heating accounting for 37% of the UK’s carbon emissions, improving heat network performance is critical to achieving the government's 2050 net-zero targets.
Improved efficiency reduces operational costs, extends the lifespan of infrastructure, and minimises maintenance costs. Crucially, these savings can be passed on to residents through lower heat tariffs, helping to combat fuel poverty – a persistent concern as energy costs remain high.

Cathy Olphin, Sustainability Manager at Switch2, said:

 “Heat networks are at the forefront of the UK’s decarbonisation journey, offering a proven, scalable solution to reducing carbon emissions and improving energy efficiency. Ensuring networks are correctly optimised and maintained has a massive impact on our organisations and end users.

Investing in small improvements to how networks are set up not only improves environmental performance but also directly benefits residents - reducing costs, improving reliability, and supporting efforts to tackle fuel poverty. We wanted to provide a set of clear, actionable insights for organisations who operate heat networks so they can align how they work with wider ESG objectives while meeting regulatory requirements.

By embracing smarter monitoring, data-driven decision-making, and a commitment to transparent governance, organisations can unlock significant benefits for both the environment and their customers.”

With around 500,000 social housing homes already connected to heat networks, improving system performance can have a direct impact on some of the UK’s most vulnerable households.

Optimisation can help lower heat tariffs, improve service reliability, and ensure residents receive affordable and reliable heating and hot water – factors that directly impact health, well-being, and tenant satisfaction.

The whitepaper also identifies governance as key in maximising the benefits of heat networks. Effective monitoring and metering allow operators to track performance, demonstrate that systems are performing well, and ensure compliance with regulation.

As the government scales up investment in heat networks to support the net-zero transition, optimising existing systems will be crucial in meeting sustainability targets, reducing costs, and improving quality of life for residents.

 

For more key strategies and insights on heat network optimisation, and its role in sustainable business practices, read the full whitepaper here.

 

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