Elgin town centre could benefit from an innovative decarbonised community heat network.
A feasibility study will be carried out to see if a scheme is viable.
If it is, then public sector organisations and businesses could see lower energy bills, while moving away from using fossil fuels to heat their buildings.
And there may well be potential for individual property owners to become involved.
As well as Moray Council buildings, the scheme could include Dr Gray’s Hospital, Moray College UHI, Elgin Town Hall and Grant Lodge.
Lower heating costs
While not part of the £100m Moray Growth Deal, plans to bring vacant buildings into use in the South Street development has inspired the plan.
It also ties in with new responsibilities for local authorities to make their buildings more energy efficient.
Head of economic growth and development Jim Grant said: “Because of the growth deal we have to look at the decarbonisation of buildings.
“In Elgin we have a number of big heating users in a relatively small area, so there is potential for a commercially viable system.
“The college is in there and there’s the possibility for business like Johnstons or even Walkers to be involved.
“But that will depend on the feasibility study, because the further we go out the more expensive it becomes.”
The Scottish Government Heat Network Support Unit will fund the total cost of the study.
And up to 50% of the capital cost if a project is deemed viable.
Feasibility study costs covered
The study will look at the different options, including ground source systems that draw heat from the soil and pumps water round various properties.
Costs of laying pipes throughout the town centre will also be included.
And investigations will be carried out into existing heating systems and whether they can be kept as a back up for any new scheme.
In order to attract the rest of the money, the network will have to be large enough to make it financially viable.
Chief climate change officer Rod Lovie said: “There would be opportunities for other businesses to come into the system.
“But they would want to know the system is working before they commit themselves.”
A private operator is likely to be put in charge if a new network is adopted.
Mr Grant said: “Heating networks have been around for hundreds of years, and are particularly popular in the likes of Denmark and Sweden.
More Moray heat networks under consideration
“The benefit for the council and the growth deal buildings is the decarbonisation of the heating systems.
“Heating cost fluctuations have been huge, largely because of external factors.
“And having a heating system which is self contained, you have lower heating costs and a more predictable heating resource.”
On top of the one for the centre of Elgin, the council is looking at several other zones across Moray where heat networks could be introduced.
It includes areas in Forres and Buckie where two new secondary schools are expected to be built.
And an extension at Moray Leisure Centre in Elgin could also lend itself to a similar scheme.
Councillors gave the go ahead for the feasibility study at a meting in September.
It is expected to take around 12 months for investigations to be completed.
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