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Which clean energy technologies should housing providers be considering?

Housing associations are looking at a variety of clean energy technologies, but which should they focus on? Shazia Bashir runs through the options

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Housing associations are looking at a variety of clean energy technologies, but which should they focus on? Shazia Bashir runs through the options #ukhousing

Which clean energy technologies should housing providers be looking at asks Shazia Bashir of TLT #ukhousing

There is an increasing interest in the clean energy sector from local authorities and social housing providers as they gear up to join the clean energy revolution.

Why? Not only does it move the UK towards the zero-carbon future envisaged by the government’s 2050 deadline, but it’s also a means of generating additional revenue streams and can provide residents with additional benefits, such as reduced energy costs and electric vehicle (EV) charging infrastructure. So what technologies should housing providers be considering?

In the age of subsidy free clean energy projects, multi-technology projects which combine solar, energy storage and EV charging infrastructure can provide an option which is both bankable and offers different revenue streams.

When undertaking a scheme of this nature, consideration needs to be given to the project structure, grid connections, power purchase agreements and the role of the housing provider as an energy supplier. There is no one-size-fits-all for this type of project, so these elements need to be reviewed on a scheme-by-scheme basis.


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There is, however, evidence that these schemes work in practice.

Warrington Council’s landmark solar plus battery storage project, which generates enough energy to supply a town, is a great example of how local authorities can partner with developers to deliver projects which cut carbon, supply clean electricity and generate millions of pounds for councils to fund essential services.

Another avenue housing providers may wish to explore is the co-location of clean energy assets. A co-location scheme typically refers to the addition of energy storage or energy storage plus EV charging infrastructure to an existing clean energy installation which benefits from renewables subsidies.

Co-location can be beneficial where it will provide additional revenue streams or increase generation capacity – meaning the assets can provide power to additional houses. Careful modelling and project structuring is required to avoid any additional assets negatively impacting on the existing clean energy installation’s subsidies.

Housing providers have also been some of the first to recognise the benefits of heat networks in delivering energy-efficient homes, tackling fuel poverty, reducing carbon emissions and improving energy security. However, designing, installing and operating a heat network can be a complex undertaking and is not without risk.

For example, this type of scheme can also require the housing provider to adopt a new role as an energy supplier, which in turn affects both their business model and the support they can offer to residents experiencing difficulties with debt or fuel poverty.

But it is easy to see that for many the benefits will outweigh the cons. Bristol Council is developing a heat network which will provide local businesses and housing with heat and power sources from sustainable sources. Peterborough Council has recently announced its plans to host the UK’s largest smart, low-carbon city energy system which will include renewable electricity generation, energy storage and heat networks.

EV charging infrastructure continues to be a hot topic. The government plans will soon make it a legal requirement for new homes to be built with charging points for electric vehicles and there is an opportunity for housing providers to not only be at the forefront of the revolution but to also benefit from another potential income stream.

Before embarking on a scheme, housing providers should consider the logistical issues, particularly if they are looking to install EV charging infrastructure on an existing development. These range from the cost of installation to the capacity to deal with demand to whether electric charging posts or underground connectivity are better suited to the development.

However, these issues are not insurmountable as is proved by a number of schemes, including Devon Council’s two-year project which will see at least 25 points installed across the county and Dundee Council’s plans to install 66 charging bays and create a rapid charging hub.

As the UK continues its drive towards vehicle electrification, the cost of installing EV infrastructure will continue to fall as the sector continues to innovate. Another positive when considering EV infrastructure as an income stream.

Housing providers have a key role to play in supporting the UK’s zero-carbon future. And while careful consideration needs to be given to which technology or combination of technologies will best suit their future and current developments, there is a real opportunity for housing providers to leverage assets to provide clean energy infrastructure, both as a way of generating revenue and reducing energy costs for residents.

Shazia Bashir, partner, TLT

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