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Report 21 January 2022

Our response to phasing out fossil fuel heating in businesses and public buildings off the gas grid consultation

A comprehensive consultation from the Department on Business, Energy and Industrial Strategy (BEIS) on the proposed phase out of fossil fuel heating systems, such as oil, coal and liquid petroleum gas (LPG), in businesses and public buildings currently off the gas grid.

The consultation explores the viability of 2024 (for larger buildings) and 2026 (for smaller buildings) as dates for a move away from fossil fuels, the financing options needed to allow for non-domestic buildings to transition to heat pump technology, and the manufacturing needed to meet this demand.

In our response, we agreed in principle that an implementation date of 2024 and 2026 would provide sufficient lead in time for non-domestic consumers and industry to prepare but, given the importance of the public sector leading by example, we think that the 2024 date should apply to all public sector buildings, irrespective of their size.

We also highlighted the need for non-domestic consumers, especially SMEs, to have access to appropriate advice and support in order to help them to prepare, and this should include significant awareness-raising activity and promote the role of energy efficiency measures. We also encouraged the need to offer ambitious and certain green finance products which send a clear signal to the market and support the stimulation of supply chains.

Last updated: 21 January 2022