ENGIE (formerly Cofely GDF SUEZ) is forming a joint venture with Cheshire East Council to create a new flagship company to promote eco-efficient district heating networks in the borough.

ENGIE has established a strong working relationship with the council through its delivery of Facilities Management services.

Through the joint venture opportunities for district heating networks in East Cheshire and surrounding areas will be explored and developed, with a focus on low and zero carbon sources of heat, including geothermal energy. District heating networks will help Cheshire East Council, its residents and businesses to benefit from cleaner, more affordable and secure energy and to realise the council’s long-term ambition to deliver a low-carbon economy.

ENGIE will undertake all related feasibility studies, engineering and construction services, as well as providing consultancy with respect to design and delivery of renewable energy projects.

Through the expertise of its Storengy business, well experienced in underground modelling and drilling activities, ENGIE will assess and maximise the potential use of geothermal heat sources, to provide a baseload of low carbon energy to the local community. Storengy operates an underground natural gas storage facility in Stublach, Cheshire and ENGIE has a deep geothermal well in Southampton, which forms part of the citywide Southampton District Energy Scheme, developed and operated by the firm over the last 30 years, under a long term partnership with Southampton City Council.

Wilfrid Petrie, ceo of ENGIE UK & Ireland, said: “This JV clearly exemplifies the benefits of our strategy of working in partnership with local authorities at many levels. In particular, it utilises the breadth of expertise within ENGIE group to help Cheshire East Council deliver strategic and transformational outcomes”

Cheshire East Council Leader, Rachel Bailey said: “Cheshire Energy Networks is a further addition to the council’s portfolio of energy saving initiatives and we look forward to working with ENGIE to develop a low-cost district heating infrastructure, exploiting carbon neutral or low-carbon sources.”