Heating networks are largely in public hands. Sources from The Hague report that the cabinet is expected to propose tomorrow to change the heat law on this point. In this way, public interests could be better protected and municipalities could get a better handle on the expansion of heating networks.

If Minister Jetten has its way, the government will hold a majority of 51 percent. Energy companies would then hold a minority stake.

It has long been clear that Minister Jetten is considering this plan. Now it has become known that the cabinet wants to decide on this tomorrow. Residual heat from industry is often used in heating networks. Around half a million households are currently connected to a heating network, but more than a million are expected to do so in the coming years.

Vattenfall: unsolvable situation

The energy company Vattenfall announced today that it will no longer build any new heating networks due to the government’s plan. And existing networks will not be expanded for the time being.

Vattenfall agrees that the coordinating role of municipalities should be strengthened. However, the company fears that private heating companies will lose control over existing and newly developed heating networks while retaining financial responsibility. Vattenfall calls this an unworkable situation. The company also believes the plan will slow the heat transition and put further pressure on climate targets.

Jetten wants the new system to come into effect in 2025. From then on there will be a transitional period of seven years, during which the majority holdings of the companies will be gradually reduced. The minister also wants the heat price to no longer be linked to the gas price. This will be replaced by a new tariff.