EON launches a pioneering district heating network for 6,500 people

Energy titan E.ON and Australian property giant Lendlease have announced a partnership to implement a pioneering low-carbon heat network across East London, targeting approximately 6,500 new homes and business units. This initiative will debut at the expansive 760,000m² Silvertown development at the Royal Docks in Newham, marking the first UK application of E.ON's innovative 'Ectogrid' energy sharing system.

The Ectogrid system, a sophisticated network, leverages local energy sources such as air, water, or ground energy generation and storage community assets to provide heating and cooling solutions. According to E.ON, the technology facilitates an energy exchange between b uildings and neighbourhoods where the buildings contribute or draw heating and cooling as required, thereby balancing and optimizing energy use across neighbourhoods.

This energy sharing and storage method allows the system to utilize all existing energy before introducing additional sources, significantly slashing energy use, operational costs, and ecological footprint. The developers estimate that once operational, the network could cut CO2 emissions by about 4,000 tonnes annually, achieving an 88 percent reduction compared to traditional gas boilers.

While this represents a pioneering step in the UK, the Ectogrid technology has been successfully integrated into several European projects, including Medicon Village in Lund, Sweden, and the MIND Milan Innovation District in Italy. Upon completion, Silvertown is set to become the UK's most significant ambient temperature heating and cooling network, as stated by E.ON.

"Silvertown is a huge milestone for UK developments as this is the first Ectogrid for Britain," said Chris Norbury, E.ON UK chief executive.

"Allied to our recent investments in battery storage in Uskmouth, solar at the Port of Liverpool, and our geothermal energy solution for the Queen's Medical Centre in Nottingham, this is yet another example of E.ON stepping up as a playmaker in the energy transition and investing at scale in the UK's energy future.

"Making energy more affordable and sustainable is a critical element of growing the UK economy, and it cannot be achieved without an ambition to deliver huge societal benefit too – creating opportunities for people across the country and delivering innovative change to bring real-world benefits felt far beyond the world of energy alone."

The Silvertown regeneration initiative is a collaborative effort involving the Silvertown Partnership, which includes the global real estate and investment group Lendlease. The project also garners support from the Greater London Authority (GLA), Homes England, and The Guinness Partnership (TGP). With an estimated cost of around £3.5 billion, the regeneration scheme aims to dramatically transform the area.

Homes England has contributed significantly to the project with a £233 million infrastructure loan. This funding supports a broad scope of developments, including restoring the long-abandoned Millennium Mills, which has been dormant for over four decades. The project's comprehensive plan envisions the construction of approximately 6,500 homes alongside contemporary workspaces, retail outlets, restaurants, bars, and even a water sports center. This extensive regeneration is anticipated to generate more than 6,000 new jobs, marking a significant economic boost for the region.

Ed Mayes, Silvertown's development director, said the low-carbon energy network was central to Lendlease's vision for the development.

"We're delighted to extend our relationship with E.ON and to be working with them to deliver their pioneering Ectogrid in the UK for the first time," he explained. "Unlocking this complex site is the result of close partnerships – including the London Borough of Newham, the GLA, Homes England, and The Guinness Partnership – and in E.ON, we have secured an equally strong partner to support us in delivering on our zero-carbon ambitions."