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Elgin might benefit from a heat network that would see buildings such as Dr Gray’s Hospital and the town hall move away from fossil fuels.
The network would supply heat from a central source to consumers, via a network of underground pipes carrying hot water, thereby avoiding the need for individual boilers or electric heaters in every building.
A study is now set to take place to see if the idea – sometimes described as “central heating for cities” – would be practical and affordable in Elgin.
Jim Grant, Moray Council’s head of economic growth and development, said: “In Elgin we have a number of big heating users in a relatively small area, so there is potential for a commercially viable system.
“The college is in there and there’s the possibility for business like Johnstons or even Walkers to be involved.
“But that will depend on the feasibility study, because the further we go out the more expensive it becomes.”
The Scottish Government will fund the total cost of the study.
If a heat network is then deemed viable, it will also pay half the costs of laying pipes throughout the town centre.
The study will look at different options, including ground source systems that draw heat from the soil.
Mr Grant said: “Heating networks have been around for hundreds of years, and are particularly popular in the likes of Denmark and Sweden.
“Heating cost fluctuations have been huge, largely because of external factors.
“By having a heating system which is self-contained, you have lower costs and a more predictable resource.”
Rod Lovie, the council’s chief climate change officer, said: “There would be opportunities for other businesses to come into the system. But they would want to know it is working before they commit themselves.”
A private operator is likely to be put in charge if a new network is adopted.
In addition to Elgin, the council is looking at several other zones across Moray where heat networks could be introduced.
This includes areas in Forres and Buckie where two new secondary schools are expected to be built.
It is expected to take around 12 months for investigations to be completed.
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