New agreement forged to channel low carbon heat to homes and businesses in the Steel City
- A new agreement forged between E.ON UK and Sheffield stainless steel manufacturer, Marcegaglia, will channel heat energy into E.ON’s Sheffield heat network
- The private sector partnership develops Sheffield’s position as one of six pioneering cities within the Government’s heat network plan
- Developing the eco-industrial revolution in the heart of the Steel City, E.ON and Marcegaglia will create new opportunities for green jobs, skills and warmth within Sheffield
In the latest evolution of Sheffield’s proud history as a leader in industrial steel production, the city that invented stainless steel has now forged a new agreement, which will see heat reclaimed from the Marcegaglia Stainless Steel melting shop and distributed into E.ON UK’s local district heat network. The move will bring more low carbon heating to homes and businesses across the Steel City.
The new agreement – a Memorandum of Understanding (MoU) – develops E.ON UK’s existing district heat network in Sheffield’s Lower Don Valley and utilises waste heat, a by-product of the stainless melting process.
Once operational, the collaboration will play a critical role in enhancing the resilience of the Lower Don Valley region’s energy infrastructure, while also contributing to Sheffield City Council’s decarbonisation goals and aligning to wider UK Government policy around Heat Network Zoning, where the city was identified as one of six pioneers.
“This agreement with Marcegaglia marks a major milestone in our efforts to accelerate the energy transition and expand sustainable energy solutions for the City of Sheffield,” said Vijay Tank, Chief Commercial Officer of E.ON Energy Infrastructure Solutions.
“By leveraging Marcegaglia’s expertise and infrastructure, we are forging the foundations for a greener, more resilient energy future that will create a crucible of benefits, including green jobs, increased skills and warmth within the local community.”
Liam Bates, President - Long Product at Marcegaglia, added: “As a company committed to improving its sustainability, this partnership allows us to enhance our energy efficiency and contribute to the decarbonisation of the region. We are proud to be part of a project that not only supports our own sustainability goals but also plays a key role in advancing city-wide energy resilience.”
The partnership is a significant step in E.ON UK’s ongoing efforts to develop city-wide district heating solutions, and it signifies Marcegaglia’s dedication to contributing to the global transition to a low-carbon economy.
For more information on E.ON UK’s heat decarbonisation activities, visit our District Heating Hub and on Heat Zoning in Sheffield, visit the Department for Energy Security and Net Zero’s Opportunity Report on gov.uk.
Notes to editors
About E.ON UK
E.ON's goal is to ensure the energy transition works for everyone. Through E.ON Next, E.ON Energy Infrastructure Solutions and npower Business Solutions, our mission is to help make energy more affordable and sustainable across homes, businesses, cities and communities.
Globally, E.ON is a major provider of energy solutions and clean energy networks with around 47 million customers across 17 countries. In the UK, we serve nearly one in seven households and businesses, and we are the UK's largest supplier of electricity to industrial clients.
About Marcegaglia
Founded in 1959, Marcegaglia is the Italian industrial group active in steel processing for over 60 years. Entirely controlled by Antonio and Emma Marcegaglia, today it is present in the entire steel value chain. With a turnover of €7.5 billion; 7,800 employees, 36 plants spread across 4 continents, 6.5 million tonnes of steel processed each year for over 15,000 customers across Europe and the world, the Group is a recognised leader in the national and international steel scenario. Marcegaglia Stainless Sheffield has recently announced a £50m investment to install a new Electric Arc furnace to grow capacity beyond 500,000 tonnes of stainless steel in Sheffield.
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