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homenews and insights aire valley heat networks

Aire Valley Heat Network: turning waste heat into low-carbon energy

An aerial view of the Aire Valley energy facility

In West Yorkshire, a new heat network is transforming a local source of waste heat into practical, secure and sustainable heating for businesses and communities.

Developed by SSE Energy Solutions, the Aire Valley Heat Network will capture waste heat from enfinium’s Skelton Grange Energy Recovery Facility in Leeds and use it to provide heating and hot water to customers across the Aire Valley area.

As organisations look for reliable ways to decarbonise heat, projects like Aire Valley show how local energy resources and long-term infrastructure can work together to reduce emissions, strengthen energy resilience and support the move towards net zero.

Helping solve one of the biggest decarbonisation challenges

Heat is hard to decarbonise because it’s built into the fabric of buildings, estates and industrial processes. Many organisations depend on established heating systems, so replacing or adapting them can mean navigating existing infrastructure, operational demands, investment decisions and long-term energy planning.

The challenge goes beyond simply finding lower-carbon alternatives. It means finding a practical, scalable approach that works for complex estates and high heat demand, backed by energy partners with the experience, capability and long-term commitment to deliver infrastructure safely and reliably.

Across the UK, heat networks and district heating are expected to play an increasingly important role in helping businesses, public sector organisations and local authorities reduce emissions from heat.

A side view of the heat network at Aire Valley energy facility.

Turning local waste heat into useful energy

At the heart of the Aire Valley project is a simple idea: use energy that would otherwise be lost.

In the first phase, waste heat from enfinium’s Skelton Grange Energy from Waste facility will be captured and supplied to customers through the network. Enfinium Skelton Grange commenced operations in September 2025 and opened by Tracey Brabin, Mayor of West Yorkshire and the Rt Hon Hilary Benn MP for Leeds South. Under a long-term heat supply agreement, enfinium is expected to provide an initial 6MWth of lower-carbon heat.

The project has also secured funding from the UK Government’s Green Heat Network Fund, recognising its potential to reduce emissions in an area with significant commercial and industrial energy demand.

Located south of Leeds city centre, Aire Valley is home to a diverse range of businesses and industrial activity. The network will provide access to lower-carbon heat at scale, using a local energy source that’s already available.

Supporting regional net zero ambitions

The project’s regional impact is significant. When constructed, the Aire Valley network is expected to cut carbon emissions by around 5,500 tonnes of CO2 over the life of the project, based on current first phase customers.

As more organisations connect in future phases, that impact could increase further, helping support West Yorkshire Combined Authority’s ambition to become a net zero carbon region by 2038.

Aire Valley Heat Network is making great progress. Our low-carbon heat network in West Yorkshire is well into construction. We remain on schedule for "Heat-On" at the end of July 2027. When constructed, the project will unlock new heat sources, helping West Yorkshire Combined Authority meet its ambitions of a net zero carbon region by 2038.

Tamsin Lishman
Director of Asset Portfolio Delivery, SSE Energy Customer Solutions

Delivering real progress on the ground

Construction of the first phase is now underway in partnership with Vital Energi, and the network is visibly taking shape.

More than 1km of district heating pipe have been installed, welded and successfully tested, marking an important milestone in the build programme.

The latest phase of construction included the installation of the Thermal Stores and 20-metre flue, helping prepare the network for heat supply from 2027.

For customers, partners and local stakeholders, these milestones show the network is not just planned – it’s being built, with a clear route towards operation.

Building confidence in lower-carbon heat

Aire Valley is a flagship project within SSE Energy Solutions’ heat portfolio.

It brings together a clear decarbonisation purpose, an innovative local heat source, experienced delivery partners and visible progress against defined milestones.

It also shows how trust in heat networks is built over time: through partnership, reliable delivery and practical value for the organisations connected to them.

Alongside renewable power, distributed energy, energy efficiency and infrastructure services, heat networks give organisations another route to decarbonise complex estates and long-term operations.

Looking ahead and partnering to cut carbon

As construction continues, the focus will move to completing key infrastructure, preparing for heat supply from 2027 and supporting future customer connections across the Aire Valley area.

For businesses, public sector organisations and local authorities, the project offers a practical example of how lower-carbon heat infrastructure can be developed around local resources and long-term partnerships.

For SSE Energy Solutions, Aire Valley demonstrates more than ambition. It shows real progress: turning local waste heat into a low-carbon solution that can help reduce emissions and deliver lasting value for customers across West Yorkshire.