Green Heat Network Funding
The Green Heat Network Fund (GHNF) is a government funding programme to support the adoption of low and zero carbon heat networks in England. It’s an important part of the UK’s goal to hit net zero carbon targets by 2050. Triple Point Heat Networks Investment Management, a third-party delivery partner contracted by the Department for Energy Security and Net Zero (DESNZ), administers the fund.
A heat network (also known as district heating) is like central heating for cities. Instead of buildings having individual gas boilers or electric heating systems, heat is supplied from a central source through underground hot water pipes. Homes still have the same control over their heating as they’d have with a regular heating system. It’s just supplied differently.
There’s no defined size for a heat network. They can cover anything from a few houses to a full city, and can be extended over time to add new buildings and heat sources. Green Heat Network Funding can cover up to half a heat network project’s eligible commercialisation and construction costs. It can also be used to expand existing networks. The fund provides capital grants to organisations in the public, private and third sectors in England. It’s not available to individuals, households or sole traders. Eligible projects must deliver low-carbon heat and demonstrate value for money.
Pagabo provides advice and support for GHNF applications and can advise on either type of project. We can also advise you on other funding schemes.
How do Pagabo help with green heat network funding?
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Green heat network fund bid writing
There’s a huge demand for green heat network funding, so competition is high. That means your bid must be well prepared and submitted at the right time. Alongside our framework partners, we know the process, we know the dates, and we know what a great bid looks like. Our supply chain write winning bids.
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Funding and project consultancy
The application process for GHNF funding is complex and time-consuming. Alongside our framework partners, we know the system, so we can guide you step-by-step, making it as efficient as possible. Together, we examine your project and let you know if it’s eligible for funding and how likely it is to succeed. And, we advise on the project works, too.
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Eligible GHNF projects
To be eligible for green heat network funding, projects must use low-carbon technologies and deliver heat at a volume consistent with market growth targets. Projects can be either building brand-new networks, or retrofitting and expanding existing ones.
Eligible organisations include local authorities, public sector bodies, private sector companies, and third sector organisations like charities. Grants can cover up to half the value of eligible projects, and there’s a limit of £1 million for commercialisation-only projects. The total grant award is capped at 4.5 pence per kWh of heat delivered over the first 15 years.
GHNF funding must provide additionality, too. So it’s only available to projects which would not be viable without support.
There’s significant nuance and complexity to the eligibility criteria for green heat network fund projects. Along with our supply chain, we understand both, so our partners can write a bid to give you the best chance of success.
Why choose procurement through Pagabo?
Expertise
Alongside our framework partners, we’re green heat network funding experts with decades of experience. Our team includes expert economists and a range of professional qualifications, including MCIPS, MRICS and NEC accreditations. We provide a wide range of suppliers and frameworks, and all our procurement routes are flexible. Give your project the best chance of success by bidding with Pagabo.
Compliance
Pagabo are UK and PCR compliant, and all our frameworks are EU and UK compliant. Procuring through us helps you stay compliant, too.
Experience
Alongside our framework partners, we’ve been helping organisations source GHNF funding and procure for heat network projects for years. Nine out of ten users recommend us. We can give your organisation the best chance to secure green heat network funding.
Funding your project with Pagabo
Key information for green heat network funding
GHNF funding is released in rounds. Round 9 closed for applications in April 2025. There’s no announcement about when round 10 will open at the time of writing, but funding should be available until the 2027-2028 financial year.
