Next phase of low-carbon heat network set to reach thousands more residents

Building on the huge and on-going success of Leeds PIPES, Hemiko has been appointed to develop a new low-carbon heat network in the city centre, with the initial phase planned for the South Bank and expected to reach up to 8,000 more residents.

Heating provided through the district heating network is both more affordable and lower carbon, with Leeds PIPES saving over 7,000 tonnes of carbon in 2025 alone.

Leeds PIPES has seen over 30 kilometres of pipework installed, connecting over 4,100 residential properties including over 2,000 council flats, and 30 public and commercial buildings, providing them with heat recovered from the city’s non-recyclable domestic waste plant.

This is in line with the council’s ambition to become the UK’s first net zero city, by rapidly reducing carbon emissions and supporting people and businesses to make increasingly sustainable choices that improve their standard of living and create a regenerative thriving city.

The new heat network will be delivered differently to Leeds PIPES, with the council not making any financial investment and Hemiko financing, owning, developing, operating and maintaining the network.

Leeds City Council will still have influence over aspects such as customer standards and pricing as well as the growth rate of the network.

The council has previously secured £23.5million in capital grant funding from the government for the new scheme, as one of just a few authorities in the UK to secure early government support to procure a private sector partner to deliver a network on this scale.

The initial phase of the scheme alone has the potential to connect 28 residential and commercial buildings in South Bank, bringing significant benefits in terms of carbon reduction and affordable heating to up to 8,000 residents and customers.

At the council’s executive board meeting on 11 March, Hemiko was given the green light to complete the technical, commercial, financial and legal preparation work required for them to be able to start construction of the network. Their detailed proposals are expected to be submitted to the council in early 2027, with construction starting soon after if approved.

Councillor Mohammed Rafique, Leeds City Council’s executive member for climate, energy, environment and green space, said: “Leeds is taking significant steps in response to the climate emergency declared by the council in 2019, and we are working hard towards becoming the UK’s first net zero city.

“Part of this ambition is making homes easier and more affordable to heat, for example by helping residents, and businesses, move away from costly fossil-fuel powered heating systems, which also helps combat fuel poverty and reduce cold-related illness. Investment in alternative and local heat sources in the context of the current soaring energy prices will help make Leeds a more resilient and self-sustaining city.

“We’re pleased to be formally giving the go-ahead to Hemiko for the next phase of the district heat network, which has already been hugely successful through Leeds PIPES in providing lower carbon and more affordable heating to the city.”

Toby Heysham, CEO of Hemiko said: “We are so pleased to be working with Leeds City Council on this network. This project is about capturing locally generated waste heat and providing access to that heat for local buildings. This is creating a cleaner, cheaper and more resilient way to heat the South Bank.

“With an initial investment of around £30 million, Hemiko will be delivering the infrastructure that enables this clean and affordable heat to be provided. This will support the council's ambitions for a thriving city-centre hub for people to live and work. We want to work with the council to deliver more infrastructure and provide more of Leeds access to cheap, clean heat. Heat that comes from the town’s waste.

“Projects like this set the standard for what can be achieved when infrastructure, local ambition and strong partnerships come together with a shared purpose.”

ENDS