The Heat Network Detailed Project Development Resource is a specialised package of guidance to address some of the complex financial, commercial and delivery considerations when developing heat networks.
Commissioned by the Department of Business Energy and Industrial Strategy (BEIS) it specifically supports the HMT Green Book Five Cases Business Model.
The suite of documents provides guidance on all five elements (Strategic; Economic; Commercial; Financial and Management); Arup’s guidance (published here) focuses on the Strategic and Commercial cases.
Arup approached this project as part of a consortium with industry experts in tax (Mazars), insurance (Willis Towers Watson) and legal (Lux Nova Partners) advice. The strategic context is explored through project drivers as well as national and regional policy. Commercial opportunities and risks are set out from the perspectives of the key roles which must be fulfilled in order to form the commercial delivery vehicle for a heat network. No other guidance takes such a comprehensive and accessible view of structuring the delivery of a heat network. We believe this is a new and innovative approach and will be used as the basis to develop future heat networks.