At our latest seminar, Simon Trevenna from the Department of Business Energy Industrial Strategy (BEIS) discussed the latest updates to the Heat Network (Metering and Billing) Regulations. This blog looks at the key information and changes to deadlines that you need to know, in order to stay compliant.
Established in 2014, The Heat Network Regulations was introduced as part of the transposition of the European Union’s Energy Efficiency Directive; a cornerstone in the EU Europe 2020 plan for member states to lower their energy consumption and greenhouse gas emissions.
The Regulations relate to the distribution of thermal energy from a central source to more than one end user, building or location for the purposes of heating, cooling or hot water supply; district and community heating. The person or body ultimately responsible for supplying and charging these end users (termed a ‘heat supplier’) is now subject to three key requirements:
For a full breakdown of these three stipulations, download our free eGuide for full guidance.
Fast forward 2 years and like most regulation, we are still seeing the teething problems often associated with the role out of a new law. So what are the updates from BEIS on the Regulations? We’ve compiled our notes raised at our heat seminar session.
The deadline to notify BEIS regarding heat networks/communal heating schemes has now past. Heat suppliers should have submitted their notification of heat networks by December 2015. So far 17,125 networks have gone through this process, with many more still to abide by the first stipulation of the location, capacity and supply figures for its heat network or communal heating scheme.
Deadline for the duty to notify has passed. Below is a snapshot of when and what needs to be abided by:
|
Requirement |
Deadline |
|
Building level metering on multi-occupancy buildings on DHNs where more than one final customer is charged for the heat supplied |
December 2014 |
|
Meters must be fitted for any district heating connective to a newly constructed building or where a major renovation of building on a district heating network |
from December 2014 |
|
Heat suppliers must meet the billing requirements for new builds from when the network commences operation |
from December 2014 |
|
The notification for new build systems must be made when it commences operation |
n/a |
|
The date from which final customer meters must be fitted subject to the viability tool |
TBC in late 2017 |
Simply put, the duty to fit final customer meters to existing unmetered buildings is currently on hold. The December 2016 deadline is planned to be extended following the proposed new feasibility tool.
It is expected that a public consultation will be held in summer 2017 with a view to release the revised tool late 2017. A new deadline will then be released for fitting heat meters. There is, of course, nothing to stop you complying with these Regulations now. Waiting for the tool to opt out is optional, and in any case you will need to under-go the viability test once launched, which may mean that you are liable to abide by the duty meter to final customers.
Obligation to fit point of entry meters is still in place and BEIS will enforce this if ignored. It means that you must install point of entry meters for buildings with more than customers connected to a district heat network. Installing point of entry meters is in effect mandatory. As the deadline has now past, every building that falls within the scope should be fitted with point of entry meters. If not, the heat supplier should have plans in place to comply within a reasonable timescale.
A public consultation in summer 2017 will review the Regulations, including the introduction of the new viability tool. Once the consultation has been finalised, it is likely that the final strand to the regulation – final customer metering; will be put in place.