What is the (BEIS) Industrial Heat Support Programme and what is it for?
The Government’s Modern Industrial Strategy
At the start of this year, the Government released a Green Paper outlining their vision for post-Brexit industry within the UK, cementing the need for a Modern Industrial Strategy to improve the country’s productivity, living standards and economic growth.
Within this strategy, one of the key deliverables was focussing on affordable energy and clean growth whilst reducing business energy costs. This can be achieved through a process that is vastly underused within the UK - by recovering and reusing waste heat from industrial processes.
The Industrial Heat Recovery Process
The extracted waste heat can then be reused in a number of ways, including within the same industrial facility, by another end-user, or by converting the waste heat to power.
Implementing this process not only reduces fuel requirements and helps industry avoid energy waste, but also the reduction in carbon emissions associated with this technique helps the UK meet its legally binding Carbon Budgets.
However, within the UK, the take up of the technique is relatively low with deployment falling short of its economic potential of 7 TWh per year due to a range of commercial, technical and information barriers.
The Industrial Heat Recovery Support Programme
These have now been recognised by the BEIS (Department for Business, Energy & Industrial Strategy) and are being addressed in the form of the Industrial Heat Recovery Support Programme. The initiative is currently in the public consultation period, with the BEIS requesting feedback through a series of workshops from industry experts.
The aim of the government support programme is to increase industry confidence in identifying and investing in opportunities for recovering heat from industrial processes, and increase the deployment of the technologies needed to do it in England and Wales.
It is estimated that the initiative will deliver industrial energy bill savings of up to around £0.5 bn, and carbon savings of up to 6 million tonnes over the course of its lifetime.
The Objectives of the Initiative
The three primary objectives of the consultation are to: test the proposed design of the Industrial Heat Recovery Support Programme (IHRS), gather additional evidence on the enablers and barriers to recovering industrial waste heat and to ensure the scheme is appropriately designed and maximises value for money.
The Timings of the Initiative
The BEIS has split the Industrial Heat Recovery Support Programme into two phases; the initial phase incorporates the present ongoing consultation, plus identifying industrial heat recovery opportunities and assess their costs and benefits.
The current plan is for Phase 2 to target Industrial Heat Recovery projects that are economically viable but require additional capital support to make them commercially viable. These are projects that would not have otherwise gone ahead because their financials, whilst positive, would not have been attractive enough to secure funding.
Following the consultation, the BEIS will consider all feedback and incorporate, where appropriate, within the Programme design, which will lead to a Government Response setting out their responses to stakeholder feedback and confirming the Programme rules and timings.
The consultation is open and encouraging responses, you can view it here >> https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/651125/IHRS_Consultation_Document-October_2017.pdf