Market-based mechanism for low carbon heat

This consultation seeks views on proposals to introduce a market-based mechanism to support the development of the UK market for low-carbon electric heat pumps.

This mechanism will create a market incentive to grow the numbers of heat pumps installed in existing premises each year, providing industry with a clear, long-term policy framework for investment and innovation.

In this consultation, we are seeking views on a range of design features of the proposed mechanism, including:

• the proposed scope of technologies and installations
• the choice of core target for the mechanism
• options for trading within the mechanism
• options for scheme administration, penalties and enforcement

We have also published a consultation-stage impact assessment.

This consultation was launched alongside the Heat and buildings strategy.

See the BEIS consultation privacy notice.

Please do not send responses by post to the department at the moment as we may not be able to access them.