The UK Government has awarded £36 million ($44.5m) to a district heating system in West London which will share data center waste heat with up to 10,000 new homes.

The Department of Energy's Green Heat Network Fund (GHNF) will pay the money to the Old Oak and Park Royal Development Corporation (OPDC) to create the heating system to harness waste heat at between 20°C (68°F) and 35°C (95°F).

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– Statkraft

The ODPC declined to name the data centers involved, but said it was in "advanced commercial and technical discussions" with two data centers within the Old Oak/Park Royal area, which could produce a combined heat supply of 98.7GWh of heat.

ODPC said it could not give names until an agreement ("heads of terms") was signed, but revealed that infrastructure company Aecom will be developing the network.

DCD has contacted Virtus, Ark Data Centres, Microsoft, and Vantage, all of whom have projects in various stages of development in the area.

Data center development in West London became controversial in July 2022, when it was revealed that new home-building projects were effectively "halted" because data centers had reserved all the available power that could be distributed from the local substations.

ODPC says this is the first heating network of its kind to get GHNF support and is part of a group of five projects adding up to £65m ($80.4m) in awards from the GHNF.

The ODPC says its "Opportunity Area" covers three London Boroughs, and a brownfield development area around the future Old Oak Common Station, known as Old Oak West, will deliver over 9,000 homes and 250,000 sq m of commercial space.

The project will also get around £400,000 ($495k) of technical expertise funding from the Mayor of London’s Local Energy Accelerator (LEA) program.

Data centers offer a predictable supply of low-grade heat which is normally vented to the atmosphere in the absence of systems to use it effectively. The waste heat will be distributed in an “ambient” network of plastic pipes to energy centers where the temperature will be boosted with heat pumps to supply "low-temperature hot water" (LTHW) which can then be piped through traditional steel pipes into new and existing homes.

"Recycling the huge amounts of wasted heat from our local data centers into heat and energy for local residents, a major hospital, and other users is an exciting and innovative example of OPDC’s support for the Mayor’s net zero ambitions," said David Lunts, OPDC Chief Executive.

Lord Callanan, Minister for Energy Efficiency and Green Finance, said: “Keeping homes warm with waste heat from technology is a glimpse into the future - and demonstrates just how innovative this country can be when it comes to reducing our carbon emissions."

There are four other projects funded alongside the ODPC network.

A thousand homes and a primary school on a housing estate in Chilton Woods, Suffolk will get heat pumps and a thermal store to use excess energy, with a grant for £745,000 ($922k).

The London Borough of Brent will get £5.2m ($6.4m) for a South Kilburn District Heat Network, which will share heat created from air source heat pumps, along with backup gas boilers to 34 sites via a 2.79km pipe network, connecting 2,900 customers.

The London Borough of Brent will get £5.2m ($6.4m) for a South Kilburn District Heat Network, which will share heat created from air source heat pumps, along with backup gas boilers to 34 sites via a 2.79km pipe network, connecting 2,900 customers.

Lancaster University will get more than £21m ($26m) to fully decarbonize its campus with air-source heat pumps, thermal storage, and electrical infrastructure works.