Decision

Future of Pimlico District Heating Undertaking (PDHU) – Outcome of Initial Outline Business Case Analysis

Decision Maker: Cabinet

Outcome: Item Called In

Is Key Decision?: Yes

Is Callable In?: Yes

Date of Decision: October 16, 2025

Purpose: Cabinet will consider the Outline Business Case for the Pimlico District Heat Undertaking.

Content: Cabinet approved the following recommendations: ·       Approved the proposed shortlist, comprising the four best-scoring options and the best performing Direct Electric option, for progression to Full OBC. The recommended shortlist consists of: o   Do minimum - pipework replacement o   Centralised River Source Heat Pump (RSHP) and Gas Boiler (GB), as top up and back up, in Churchill Gardens (CG) o   Centralised River Source Heat Pump (RSHP) and Electric Boiler (EB), as top up and back up, in Churchill Gardens (CG) o   Cory Mobile Heat Batteries (MHB) o   Direct Electric (DE) Variation 3: Storage Heaters and Direct Cylinders1 ·       Noted that a further report will be brought back to Cabinet seeking approval of the OBC, the recommended single preferred option, and any additional funding which may be needed to progress to Full Business Case.     Reasons for Decision: There is a strong strategic case for renewal or replacement of PDHU. The recommended options are the four highest scoring across a range of Critical Success Factors, balancing affordability, disruption, deliverability and wider strategic objectives. Cabinet Members have also requested to advance the best performing Direct Electric option to ensure a non-network option is explored further. Approval of the shortlist of options will allow the programme team to focus resources on the most viable solutions, progress technical, commercial and financial analysis, and prepare the Outline Business Case for Cabinet consideration.

Supporting Documents

Cabinet Report - Future of Pimlico District Heating Undertaking PDHU Outcome of Initial Outline .pdf
Appendix 2 - RTWG additional technical notes supplied.pdf
Appendix 3 - Graph - Indicative Annual Cost of Heat fuel only for typical 2 bed flat.pdf
Appendix 5 - PDHU Map of estates and blocks.pdf
Appendix 6 - PDHU options scoring matrix.pdf
Appendix 4 - Graph - Discounted life-cycle costs comparison.pdf
Appendix 1 - Qualitative Assessment Methodology Scoring Table.pdf
Appendix 7 Engagement Activities.pdf

Related Meeting

Cabinet - Thursday 16th October, 2025 6.30 pm on October 16, 2025