Scotland's heat transition is stalling – it needs a route that works for every home
SGN Biomethane tanks in Lochgelly, Scotland
Antony Green, Chief Strategy and Regulation Officer
| SGN
As Scotland’s gas network, we know the transition to a lower carbon economy requires solutions that work for every household and business, particularly when it comes to decarbonising home heating.
SGN delivers gas to around two million Scottish homes. Moving these homes to clean heat by 2045 is one of the biggest commitments the Scottish government has made.
Over the coming year this will move from ambition into law via the Heat in Buildings Bill.
How the bill treats homes that cannot easily go fully-electric will be the difference between whether we take customers with us on the transition or impose it upon them.
Heat networks and heat pumps will undeniably play a role, but uptake in Scotland remains low and for many households the financial barriers are real.
While heat pump installations are increasing, uptake remains at fewer than 10,000 homes a year, leaving Scotland a long way off its trajectory to meet its 2045 climate ambitions.
Research by Stonehaven found cost is the biggest factor when choosing a new heating system, and upfront cost, disruption and the suitability of the property all get in the way. Scotland has particular challenges, with one in four customers in our network in fuel poverty.
Tenement flats, older stone-built homes, and rural and island properties in a colder climate where heating demand peaks sharply in winter also pose challenges for full electrification.
Accelerating the transition
Hybrid heat pumps combine an electric heat pump with a gas boiler. The heat pump provides most of a home's heating and the boiler steps in on the coldest days. Research by Hybrid Heating Great Britain suggests hybrids can cut a home's gas use by around 75%, with lower upfront costs and less disruption than a full heat pump system installation.
For many, hybrids could provide a practical intermediate step, introducing a heat pump into the home, immediately reducing carbon emissions and supporting a faster, wider rollout of the technology.
By using the gas boiler to provide additional heat when demand is highest, hybrids can also reduce the amount of electricity needed for heating at peak times, easing pressure on the electricity network.
Making renewable gas go further
Scotland is also uniquely placed to realise the potential of green gasses.
SGN already has 27 biomethane plants connected to our network, producing renewable gas from farm waste, food waste and distillery byproducts.
Together they represent enough biomethane production capacity to meet the equivalent annual gas demand of more than 15% of Scottish homes. A study by Alder Bioinsights commissioned by the Green Gas Taskforce estimates Scotland has enough sustainable feedstocks to produce 19 TWh of biomethane by 2050, around half of Scotland’s economy-wide gas demand today.
With economic growth at the heart of the Scottish Government’s Programme for Government, biomethane offers a significant opportunity. Growing the sector could add £10 billion to Scotland’s economy, support around 8,000 jobs by 2050, while keeping 85p of every £1 invested within the UK – more than any other renewable technology.
The workforce is already here
Scotland also has the people to deliver this. A large workforce of gas engineers provides a strong skills base and an opportunity to retrain more people to install and maintain low-carbon heating systems, including hybrid heat pumps.
At SGN, we are continuing to invest in the skills our future energy system needs. With almost 1,000 people completing training at our National Training Centre in Glasgow in its first year, we’re developing the workforce needed to maintain our critical gas infrastructure as the energy system evolves.
What the Bill should do
We are asking all MSPs to make sure the Heat in Buildings Bill, and the Strategy and Delivery Plan that follows it, recognises the key role that hybrid heat pumps can play as an important, legitimate route to clean heat for existing Scottish homes. In practice that means hybrid systems being eligible for Home Energy Scotland support.
Scotland has the opportunity to deliver an energy transition that reaches every home by utilising a wider range of technologies that work for customers and the Scottish housing stock.
Hybrids and renewable gas give Scotland pragmatic, more affordable solutions, and the Heat in Buildings Bill is the opportunity for Scotland to seize this untapped potential.