East Devon District Council tenders for Esco to build and own new district heat network

East Devon District Council has opened a tender for an energy services company (Esco) to own and operate the expansion to a district heating network in Cranbrook. The network will supply heat to around 4,500 new homes and 24,500m2 of commercial space including three new schools.E.On is the owner and operator of the existing network.
Heating will be sourced from local energy from waste facilities and a gas CHP via interconnect pipework. The expansion will require the Esco to install nearly 100km of new network and it includes a 900m3 thermal storage plant located in the vicinity of the Cranbrook energy centre to secure additional carbon savings through further avoidance of gas CHP.
The ESCo will design, build, operate, maintain and own the expanded pipe network, scheduling network construction to ensure heat can be delivered to customers in line with developer programmes. The initial heat on will be expected by Q2 2024 (by connection to temporary energy centres).
The successful bidder will then operate and maintain the network for 80 years and be responsible for customer billing, with a subsequent move to market regulations once applicable.