To ask the Secretary of State for Communities and Local Government whether she plans (a) to make proposals and (b) to provide incentives to improve the energy efficiency of district heating schemes. (124714)

The decent homes standard is the major mechanism by which the Government are encouraging greater thermal and energy efficiency in social housing. The standard requires that homes have both efficient heating and effective insulation and this covers district heating systems.

The proposals in the consultation paper “Building a Greener Future” that all new homes will have to be zero carbon by 2016 could also drive the use of energy efficient district heating systems. This is supported by an incentive announced by the Chancellor in Budget 2007. The Chancellor announced a time-limited stamp duty exemption for zero carbon homes with all new zero carbon homes costing up to £500,000 paying no stamp duty.