The project comprises development of a new heat network serving a mix of buildings including new build residential, existing residential, new build commercial and existing commercial. The project forms an integral part of Birkenhead 2040 Regeneration Framework - one of the biggest brownfield redevelopment sites in the UK. This regeneration of Birkenhead will take place across nine areas providing 21,000 new homes and almost 1,000,000m² square metres of employment space over the next 20 years.

Within this regeneration, there are 8 catalytic projects, one of which is the Birkenhead Heat Network (BHN). In terms of actual building developments, the following projects will form the core heat loads of the BHN:

·  Hind Street Urban Garden Village – over 1,000 new homes;

·  Dock Branch Park – the development linking the south of Birkenhead with Wirral Waters;

·  Birkenhead Commercial District – new offices and new market; and

·  East West Cultural Axis – existing Birkenhead Town Hall and surrounding area

Under the proposals within the report the Council will act as enabler, helping to facilitate connection of these new developments to the BHN in conjunction with its preferred private sector investor.

The Director of Finance has authorised the commencement of a procurement  exercise, to select a private sector partner who will ultimately be responsible for the design, build, finance, operation and maintenance of a district heat network within Birkenhead town centre. This will be conducted through a concessionaire (evergreen) approach, via a competitive dialogue process.

The Chancellor’s 2019 Spring Statement and Future Homes Consultation sets the commitment that fossil fuel heating will no longer be permitted in new homes from 2025. The UK Government estimates that around 18% of UK heat will need to come from heat networks by 2050 if the UK is to meet its carbon targets cost effectively. Heat Networks supply heat from a central source to consumers via a network of underground pipes carrying hot water. On 15 July 2019, Wirral Council declared an Environment and Climate Emergency at a meeting of full Council, and through this committed to action to address the ecological and climate crisis.

Wirral’s Cool 2 Climate Change Strategy 2019 includes an objective to generate and/or source all our local energy needs from zero carbon and renewable sources by around 2041 and commitment to progress heat networks. Provision has been made within the Local Plan to support the heat network through safeguarding of energy centre and mandating suitable buildings for connection to a heat network. The development and delivery of a Birkenhead Heat Network is listed as 1 of 8 catalyst projects in the Birkenhead Regeneration Framework.

No other options have been considered given the specialist nature of this commission.