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Appendix 1 - Local Heat and Energy Efficiency Strategy and Delivery Plan 2024

Argyll and Bute Council · 26 September 2024
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Argyll and Bute Council LHEES Strategy 2
Table of contents
EXECUTIVE SUMMARY 4
1. What is a Local Heat and Energy Efficiency Strategy? 122
1.1. Purpose 122
1.2. Structure 122
1.3. LHEES guidance from the Scottish Government 133
1.4. How this LHEES was developed 144
2. Policies and progress to net zero 19
2.1. National Policies 19
2.2. Local policies 222
2.3. Progress to net zero in Argyll and Bute 25
2.3.1. Plans and strategies 25
2.3.2. Education and Training 26
2.3.3. Decarbonising buildings 26
2.3.4. Examples of renewable energy generation (not an exhaustive list) 28
3. Stakeholder Engagement 31
3.1. Engagement with external stakeholders 31
3.2. Engagement with internal stakeholders 334
3.3. Community Engagement 366
3.4. Next Steps 36
4. Baselining Building Stock 37
4.1. Domestic buildings 37
4.2. Non-domestic buildings 48
5. LHEES Priorities 52
5.1. Address Grid Infrastructure 53
5.2. Building Sustainable and Energy Resilient Communities 53
5.3. Address supply chain constraints and shortage of skills 53
5.4. Improve education and awareness of decarbonisation requirements and solutions 54
5.5. Tackle Fuel Poverty 55
5.6. Ensure a “Just Transition” to Net Zero 58
5.7. Decarbonising the Heat Source 63
5.8. Energy efficiency, a fabric-first approach and getting buildings heat pump ready 70
6. Challenges 766
7. Opportunities 79
8. Next steps 810

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Argyll and Bute Council LHEES Strategy 3
9. Glossary 82
9.1. Abbreviations 823
9.2. Terms 83
10. Appendices 87
10.1. Appendix A: Additional National Policy Drivers 87
Appendix B: Datasets Used in the Development of the LHEES 889
10.3. Appendix C: Datasets and Limitations of the LHEES approach 911
10.4. Appendix D: LHEES Stage Descriptions 94
10.5. Appendix E: Detailed Methodology for the Identification of Potential Heat Network Zones 966
10.6  Appendix F: Heat Network Opportunities from Argyll and Bute’s Pilot Study 98

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Argyll and Bute Council LHEES Strategy 4
Executive summary 
Argyll and Bute’s Local Heat and Energy Efficiency Strategy (LHEES) sets out how to tackle
greenhouse gas emissions from buildings, whilst also improving residents’ quality of life by
addressing fuel poverty. Argyll and Bute, and Scotland as a whole, aim to be net zero by 2045.
This is a challenging target and the LHEES is a crucial step in planning the Council’s approach to
achieving this goal.  
Argyll and Bute Council’s LHEES strategy aims to: 
1. Address grid capacity  
2. Build sustainable and energy-resilient communities 
3. Tackle supply chain constraints and shortage of skills
4. Improve education and awareness of decarbonisation requirements and solutions
5. Tackle fuel poverty 
6. Ensure a “Just transition” to net zero 
7. Decarbonise heat sources
8. Advocate for a fabric-first approach to ensure buildings are heat pump-ready

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Argyll and Bute Council LHEES Strategy 5
What is a Local Heat and Energy Efficiency Strategy?
This LHEES uses an evidence-based approach to identify the most suitable heat decarbonisation
approaches for building types and areas. It also recommends where resources should be targeted
to ensure existing buildings are energy efficient and are heated with a low or zero carbon heat
source. 
The LHEES has been developed in accordance with the Scottish Government’s methodology,
which entailed: 
• Carrying out a policy and strategy review: assessing the local and national policy
framework, to inform the Argyll and Bute LHEES. 
• Undertaking data analysis of the building stock. 
• Identifying strategic zones and decarbonisation pathways.
• Determining priorities and initial delivery areas.
• Engaging with stakeholders. 
The LHEES process concludes with producing two documents: the LHEES Strategy and the
LHEES Delivery Plan. 
The LHEES Strategy is a long-term strategic framework for decarbonising heat in both domestic
and non-domestic buildings and improving energy efficiency across Argyll and Bute. 
It is published alongside the LHEES Delivery Plan, which sets out how Argyll and Bute Council
will implement the strategy. The Council cannot accomplish this alone and will require the
assistance of numerous stakeholders to carry out the actions in the delivery plan.
The regulatory landscape will change quickly over the next few years to drive progress in
decarbonising buildings in Scotland. The LHEES Strategy and Delivery Plan will be flexible and
iterative. These documents will be revised to react to legislative changes, technological
advancements, and market changes and ensure that the benefits from new opportunities are
realised.   
The LHEES was developed using a variety of engagement mechanisms to ensure that internal and
external stakeholders informed the evidence base and analysis at all stages of the LHEES. It is
important to note that the LHEES process is iterative and so stakeholder input will continue to
shape the documents, as they are intended to be dynamic and adaptable rather than static.

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Argyll and Bute Council LHEES Strategy 6
Local authority’s LHEES priorities 
As introduced above, the Council has identified eight priorities for the LHEES:
• Addressing grid capacity  
• Building sustainable and energy-resilient communities 
• Address the supply chain constraints and shortage of skills
• Improve education and awareness of decarbonisation requirements and solutions
• Tackle fuel poverty 
• Ensure a “Just transition” to net zero. 
• Decarbonise heat sources
• Energy efficiency, a fabric-first approach and getting buildings heat pump-ready 
Figure 1: LHEES Priorities identified by Argyll and Bute Council 
Heat and energy efficiency in Scotland 
In 2018, the Intergovernmental Panel on Climate Change (IPCC) advised that to reach the 1.5°C
target set in the Paris Climate Accord, the world needs to reach net zero carbon emissions by
2050. The Climate Change (Emissions Reduction Targets) (Scotland) Act 2019 set an ambitious
target of Scotland reaching net zero by 2045. Achieving net zero is crucial to mitigating the impacts
of climate change to stabilise global temperatures. This is a vital step to avoid the worst
consequences of climate change. According to the Scottish Government’s Heat in Buildings
Sustainable,
enegy resilient 
communities 
mproved grid capacity
Skills and the
supply chain  
mprove
knowledge and
awareness
Tackling fuel
poverty
Energy Efficiency 
and Fabric first
approach
ecarbonising
heat sources
Just transition

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Argyll and Bute Council LHEES Strategy 7
Consultation1, “The way we heat our homes, workplaces and other buildings is the third-largest
cause of greenhouse gas emissions in Scotland”. To meet the net zero target, both domestic and
non-domestic buildings in Scotland will have to significantly reduce their carbon emissions. 
Heat and energy efficiency in Argyll and Bute
Argyll and Bute Council is already making progress toward achieving its goals of decarbonisation
and improving energy efficiency. This is being achieved by:
Non-Domestic Energy Efficiency Fund 1
The Council is investing in improving energy efficiency to reduce energy demand and installing low
or zero carbon heating systems to reduce carbon emissions in its own non-domestic building stock.
The Council’s Non-Domestic Energy Efficiency Fund (NDEEF1) had 50 decarbonisation and
energy efficiency projects, 49 of which have been completed this year. The Council is currently
selecting projects for NDEEF2. 
The Council’s Decarbonisation Plan
The Council’s  ecarbonisation Plan specifies the actions the Council will take to address climate
change. This plan has a decarbonisation tracker, which was last updated and approved by the
Council's Policy and Resources Committee in February 2024. The LHEES strategy aims to build
on this work to provide an energy efficiency and heat decarbonisation framework for other Public
Sector Buildings (PSB) and private sector non-domestic buildings. 
Local Development Plan 2 
The Council’s Local  evelopment Plan 2 provides the local planning framework for the council
area. It includes policies that encourage energy efficiency and the development of heat networks. 
Local Housing Strategy 
The Local Housing Strategy for Argyll and Bute is underpinned by four foundational pillars. One of
these pillars focuses on addressing poor building condition, reducing energy demand through
energy efficiency measures, and decarbonising heating systems. This strategy sets out a series of
actions aimed at bolstering the sustainability of housing in Argyll and Bute, optimising energy
efficiency, and ensuring a greater proportion of the energy used to heat buildings is derived from
low or zero carbon heat sources. 
Energy Efficiency Services
The Council administers the Area Based Scheme (ABS), which aims to improve energy efficiency
of homes for owner occupied and privately rented properties. In addition, the Council, working in 
1 Scottish Government (2023) Delivering net zero for Scotland's buildings - Heat in Buildings Bill:
consultation. Available at: https://www.gov.scot/publications/delivering-net-zero-scotlands-buildings-
consultation-proposals-heat-buildings-bill/documents/ (Accessed 16/07/2024).

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Argyll and Bute Council LHEES Strategy 8
partnership with Housing Associations, has delivered energy efficiency measures through the
Warmer Homes Scotland programme. Homes in Argyll and Bute have also benefited from the
Energy Company Obligation (ECO) programme, which has funded several energy efficiency and
decarbonisation measures.
Next steps
The LHEES will support the Council and its Community Planning partners to scale up existing
programmes and leverage in new investment. It will identify the necessary actions to accelerate the
scale and pace of retrofit and facilitate the development of decarbonised heating systems,
including heat networks, which are essential to meeting the national net zero emissions target by
2045.   
Argyll and Bute building stock 
The LHEES methodology included a "baselining exercise" to identify key attributes and
characteristics of the housing stock in Argyll and Bute. Establishing this baseline will enable future
iterations of LHEES to monitor and evaluate progress effectively. Additionally, this baseline
provides the Council with evidence-based data, allowing it to target interventions with the most
significant impact.
Domestic property 
The predominant building types in Argyll and Bute are solid brick or stone structures, which
represent 39% of the stock. Cavity-walled buildings comprise 32% of the stock, and timber frame
constructions constitute 22%. The area exhibits a notable prevalence of custom-built bespoke
properties, which poses challenges for large-scale retrofitting initiatives due to the absence of
prevalent building archetypes. 
According to the 2023 Scottish Islands Data Overview, Argyll and Bute has one of the highest rates
of fuel poverty in Scotland, with approximately 32% of residents affected2. The Council is
committed to alleviating fuel poverty, and the LHEES Delivery Plan sets out a series of actions to
realise this ambition.
Following the transfer of all housing stock, the Council no longer manages social housing assets
but continues to exert influence as the area’s housing authority. The Council and the four largest
housing associations, namely Argyll Community Housing Association(ACHA), Dunbritton Housing
Association, Fyne Homes, and West Highland Housing Association have established the
HOMEArgyll partnership, which focuses on providing quality housing. 
HOMEArgyll partners are members of the Argyll and Bute Energy Efficiency Forum. Other partners
include:
• Home Energy Scotland 
2 Scottish Government (2023) Scottish Islands Data Overview (2023) URL: Scottish Islands Data Overview
(2023) (www.gov.scot)

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Argyll and Bute Council LHEES Strategy 9
• ALIenergy, covering the whole of Argyll and Bute
• Registered Social Landlords and Housing Associations (HOMEArgyll Partners): 
• Argyll and Bute Care and Repair
• Citizens Advice Bureau
• Islay Energy Trust
• Iona Renewables 
The Argyll and Bute Energy Efficiency Forum, chaired by the Council's Home Energy Efficiency
Team, is dedicated to promoting and coordinating the efforts of local organisations with the shared
objectives of enhancing home energy efficiency, alleviating fuel poverty, and addressing the
challenges posed by climate change. 
Much of the land mass in Argyll and Bute is off the mains gas grid, necessitating a reliance on
alternative heating fuels such as oil, LPG, electricity, and biomass. Notably, 33% of buildings in the
area use electricity as their primary fuel type according to Home Analytics (v.3.9), three times
higher than the national average. Due to the highly constrained electricity grid infrastructure, the
LHEES strategy prioritises households already using electricity as their primary fuel type. Electricity
grid limitations mean that currently it is unfeasible for many communities that don’t currently use
electricity to heat their homes to transition to electrified heat.
The LHEES strategy identifies a range of other potential options for heat decarbonisation. The
LHEES Delivery Plan sets out a series of actions to assess the viability of these heat options for
communities within Argyll and Bute. 
Non-domestic property 
According to Non-Domestic Analytics, the heat demand of non-domestic buildings in Argyll and
Bute is 488,583 MWh/yr, which equates to 38% of the total heat demand of buildings in the area.
Buildings such as hotels, holiday lets, and leisure facilities have larger average heating demands
per property than offices and retail premises.  
Electricity provides 236,428 MWh/yr of heat to non-domestic properties in Argyll and Bute, 48% of
the total non-domestic heat demand. Although electricity is the primary source of fuel, buildings
using mains gas, oil, and other fuels typically have a higher average heat demand. 
Argyll and Bute heat networks 
The Scottish Government’s Heat in Buildings Strategy has identified heat networks as a low-regret
decarbonisation option. The Council has conducted a data-driven analysis highlighting potential
areas for future heat network development. The analysis identified five potential heat network
zones that warrant further investigation. This figure is notably lower than most local authority areas

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Argyll and Bute Council LHEES Strategy 10
in Scotland. This can be attributed to the fact that forty-three percent of Argyll and Bute's
population reside in areas classified as 'remote rural’3, characterised by low population density and
heat demand, making them less conducive as viable heat networks.
As there are only a few potential heat network zones, the Council commissioned an additional
study by Burpo Happold to identify possible shared ground loops that effectively offer smaller-scale
heat network opportunities. The study found several potential shared ground-loop opportunities,
which will be explored further in the delivery plan. 
Challenges and Opportunities  
Several challenges must be overcome to decarbonise Argyll and Bute’s buildings. These include: 
• Inadequate grid infrastructure: The significantly constrained grid infrastructure will
prohibit the mass electrification of heat. 
• Limited decarbonisation options: Only five potential heat network zones were identified
in Argyll and Bute. Consequently, most buildings within the area not will not connect to heat
networks. Inadequate grid infrastructure makes mass transitioning to heat pumps
unfeasible in many communities. Therefore, new or adapted decarbonisation options must
be devised to enable heat decarbonisation in Argyll and Bute to be realised.
• The Council does not have direct control over social housing: Argyll and Bute Council
transferred all its housing stock and consequently, unlike most other councils, does not
have direct control over social housing. 
• Financing decarbonisation: The area's geography means that communities face higher
costs to decarbonise their buildings than their urban counterparts. Furthermore, the limited
heat network opportunities make it harder to attract private sector investment. This,
combined with diminishing government budgets, will make it challenging to resource the
decarbonisation journey.
• Skills and  supply chain constraints: The shortage of contractors to install energy
efficiency measures and heat decarbonisation technologies in the local authority area
poses a significant risk to the progress of decarbonisation efforts. 
• Large number of bespoke buildings: The local authority area is characterised by
bespoke, individual and diverse building styles. This means the cost per unit to retrofit is
higher as the economies of scale realised by mass retrofitting of buildings with the same
building archetype cannot be achieved for a considerable proportion of the building stock. 
Not all these challenges can be addressed in the first iteration of the LHEES Delivery Plan, as
some will take many years to address. 
While there are challenges in delivering the LHEES priorities, there are also a wealth of
opportunities, such as: 
3 Argyll and Bute Council (2023) Quick Facts and Figures about Argyll and Bute URL: https://www.argyll-
bute.gov.uk/my-community/quick-facts-and-figures-about-argyll-and-bute

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Argyll and Bute Council LHEES Strategy 11
• Community Wealth Building: There are opportunities for communities to retain more
benefits from the energy generated in their communities. 
• Utilising surplus energy generated: Argyll and Bute’s natural assets currently produce
more than 1 Gigawatt of clean energy, potentially generating over 5 Gigawatts over the
next decade. Grid constraints mean that exporting all this energy is not always possible.
Surplus energy can be harnessed to produce green hydrogen, charge batteries, or create
thermal battery stores, and new technologies will provide additional commercial
opportunities.
• Local energy distribution opportunities: Some communities in Argyll and Bute already
generate energy from wind turbines, micro-hydro, etc. The LHEES will be used to engage
key stakeholders to explore how this energy can be distributed locally, providing low-cost
heating options for communities. 
• Generation of higher-waged green jobs: Argyll and Bute is currently a low-wage
economy, but as the supply chains grow, there will be many opportunities for new, higher-
paid green jobs. The LHEES will enable further collaboration with key stakeholders to
identify how best to harness these opportunities.
• Opportunities to leverage in new public and private sector investment: Argyll and
Bute's heat networks may be less profitable overall than in other parts of Scotland, but
some still present attractive opportunities for investors. Furthermore, the Council is actively
discussing potential investment in a decarbonised heat project with a private sector
company and has also successfully secured government funding for another decarbonised
heat project. This demonstrates that it is possible to access new investment to decarbonise
heat. 
• Utilising new and existing technology to provide cheaper, cleaner energy: Argyll and
Bute is strategically positioned to attract companies at the forefront of piloting new energy
harnessing technologies. Furthermore, emerging technologies present novel solutions for
decarbonisation, providing more cost-effective and environmentally friendly energy options
for communities in Argyll and Bute that currently face limited decarbonisation choices. 
• Alleviate fuel poverty: The LHEES provides an opportunity to alleviate fuel poverty by
engaging with communities and supporting them in developing and implementing local
solutions.

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Argyll and Bute Council LHEES Strategy 12
1. What is a Local Heat and Energy    
Efficiency Strategy? 
1.1. Purpose 
Achieving net zero is crucial to mitigating the impacts of climate change and stabilising global
temperatures. This is a vital step to avoid the worst consequences of climate change. Heating
homes and buildings is the third-largest cause of carbon emissions4. Consequently, domestic and
non-domestic buildings in Scotland will have to significantly reduce their carbon emissions if net
zero ambitions are to be realised. Building decarbonisation can be achieved by reducing energy
demand, improving buildings' energy efficiency and transitioning to low and no-carbon heating
systems. 
Scottish local authorities have a statutory duty to develop a Local Heat and Energy Efficiency
Strategy (LHEES), as described in the Local Heat and Energy Efficiency Strategies (Scotland)
Order 2022. 
The purpose of this LHEES is to present the evidence base that identifies what needs to be done
across Argyll and Bute. It outlines required changes to buildings and local infrastructure, needed by
2045 to fulfil the Scottish Government’s objectives and local priorities, relating to heat in buildings. 
This LHEES sets out the long-term plan for decarbonising heat in buildings and improving energy
efficiency across the entire local authority. The focus on locally led planning ensures that the
decarbonisation of heat in buildings is delivered in a way that is relevant to local contexts and
tailored to the specific needs of communities.
1.2. Structure 
LHEES has a two-part structure consisting of a strategy and a delivery plan.
• The Strategy is a long-term strategic framework, covering the next 15-20 years, for
decarbonising heat in buildings and improving energy efficiency across Argyll and Bute. It is
framed around the six considerations outlined below (Table 1). Argyll and Bute Council’s
Strategy is data-led and justifies the actions proposed. In short, this document
demonstrates the direction the Council is moving towards. 
• The Delivery Plan accompanies the strategy. The plan is flexible and iterative, outlining
how the Council will implement its strategy over the next five years. It outlines the areas
requiring further analysis and investigation, and identifies low or no-regret measures for 
4 Scottish Government (2023) Delivering net zero for Scotland's buildings - Heat in Buildings Bill:
consultation. Available at: Delivering net zero for Scotland's buildings - Heat in Buildings Bill: consultation -
gov.scot (www.gov.scot). (Accessed: 04/07/2024).

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Argyll and Bute Council LHEES Strategy 13
decarbonising heat in buildings. It provides a focus for the Council to consult and work with
stakeholders to deliver the LHEES strategic objectives. 
Both documents will be reviewed and updated periodically to reflect legislative changes, progress
towards net zero, new available technologies and funding, and changing priorities in the local
authority. Argyll and Bute Council’s Strategy and Delivery Plan can be found on Argyll and Bute
Council’s website. 
1.3. LHEES guidance from the Scottish Government 
The Scottish Government’s LHEES guidance frames the strategy around six considerations
relating to heat decarbonisation and energy efficiency. They identify and target interventions in
different parts of the building stock. The six considerations are outlined in Table 1.
Considerations relating to heat decarbonisation focus on decarbonising both off-gas grid and on-
gas grid buildings, as well as areas with potential to develop heat networks. Considerations relating
to energy efficiency and other outcomes focus on areas with poor building energy efficiency, such
as no or low levels of insulation, and areas where this is likely to contribute to high levels of fuel
poverty. This focus will ensure that energy efficiency projects will reduce fuel poverty. Mixed-
tenure, mixed-use, and historic buildings are included as a separate consideration as these are
likely to require different approaches.
Table 1: Summary of the LHEES considerations 
No.  LHEES Considerations  Description 
Heat
decarbonisation 
1  Off-gas grid buildings  Transitioning from heating oil and LPG
in off-gas areas 
2  On-gas grid  On-gas grid heat decarbonisation 
3  Heat networks  Decarbonisation with heat networks 
Energy efficiency
and other outcomes 
4 Poor building energy
efficiency  Poor building energy efficiency 
5 
Poor building energy
efficiency as a driver for fuel
poverty 
Poor building energy efficiency as a
driver for fuel poverty 
6  Mixed-tenure, mixed-use and
historic buildings 
Mixed-tenure and mixed-use buildings,
listed buildings and buildings in
conservation areas 
LHEES stages
This LHEES has been developed over eight stages, as outlined in Table 2. Completing stages 1-6
provided the data analysis and evidence base that forms the foundation for the Argyll and Bute
Strategy (Stage 7) and Delivery Plan (Stage 8).

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Argyll and Bute Council LHEES Strategy 14 
Figure 2: Summary of LHEES Stages
1.4. How this LHEES was developed
Argyll and Bute’s LHEES was developed in partnership with Changeworks. Table 2 displays the
outputs of each stage and how they have been used in the LHEES process. 
Table 2: Summary of LHEES outputs and their use in the project.
LHEES
Stage Outputs and Formats Role in informing LHEES
1 Policy and Strategy Review
(.pdf/.doc)
Sets priorities for LHEES and highlights relevant
national and local policy and strategy drivers
2  ata and Tools Library (.xlsx) 
ataset scoping and review exercise, including
uses in subsequent LHEES stages and key
contacts
3
Baseline Tools ( omestic and Non-
omestic) (.xlsx)
Maps (.pdf) 
ata outputs on Strategic Zones used in the
identification and mapping of initial  elivery
Areas (Stage 4)
4
G S layers on Heat Networks
(.mpkg)
Summary table of clusters,
resources and constraints (.xlsx)
Summary table used for sense-checking of
initial  elivery Areas and G S layers and for
deeper exploration of maps. Both outputs are
further carried forward for deliberation in
stakeholder workshops (Stage 6) 
5 PEAT-OR Power-B 
Visual breakdown of potential costs and savings
per total installation measures at property/
datazone levels.  emonstrated in stakeholder
workshops to identify potential  elivery Areas

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Argyll and Bute Council LHEES Strategy 15
6 Ranked list of  elivery Areas Used in the structuring and writing of the
Strategy  ocument and  elivery Plan
7
Strategy  ocument (.pdf/.doc)
Story map of Strategy  ocument
Summary document of local authority’s building
stock and opportunities for achieving net zero
as well as challenges
StoryMap used to supplement the Strategy
document.
8  elivery Plan (.pdf/.doc) Final output highlighting priorities and actions in
delivering LHEES for the next five years
The analysis in Stage 3 separates buildings into four categories, which are primarily based on their
suitability for a heat pump retrofit. The categories are defined in the Scottish Government’s LHEES
guidance and are based on indicators from the Home Analytics dataset. Table 3 provides a brief
description of each category and the process for categorising all domestic properties. 
Table 3: Building categories based on suitability for a heat pump retrofit 
Building
category  Description Indicators 
Category 0 
Currently have a low
or zero direct
emissions heating
system, or heat
network connection
• Properties with a heat pump (off-gas only) or communal
heating as the main heating system 
Category 1 
“Heat pump ready”
buildings that are
well-suited to heat
retrofit with minimal
other changes.  
• Cannot be a category 0 property
• Not a listed building or in a conservation area
• Properties with insulated walls and double or triple
glazed windows
•  f the property has a loft, it must have at least 100mm of
loft insulation
• Properties which are likely to have a wet heating system
(i.e. mains gas, LPG, Oil or Biomass/solid fuels) 
Category 2 
Secondary potential
for heat pump
retrofit. Require
some fabric and/or
• Cannot be a category 0 or 1 property

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Argyll and Bute Council LHEES Strategy 16
distribution systems
upgrades. 
• Properties that are cavity construction5 (either insulated
or uninsulated), or any other construction type, with
insulated walls
• No risk of the property having a narrow uninsulated
cavity
• Properties can be listed or in a conservation area 
Category 3 
Significant upgrades
required to be heat
pump ready.
Off-Gas Categorisation Process
The subcategory indicates the most viable decarbonisation
technology.  Heat pumps are the priority solution. The suitability
of storage or direct electric heating, and biomass are indicated
by the characteristics listed below:
Category 3 – Heat pump
•  f the property is currently heated via an oil or LPG
system 
Category 3 – Electricity (storage or direct)
• Properties already using electricity as the main fuel type
• Flats 
• Properties with double or triple glazed windows 
• Properties in urban areas (1, 2 or 3 in the 8-fold
classification6) 
Category 3 – Biomass
• Properties already using biomass as the main fuel type
• Detached and semi-detached properties
• Properties of a solid brick or stone construction type 
On-Gas Categorisation Process
As per the off-gas categorisation process but there are no
subcategories for electric and biomass options. 
5 
6 Scottish Government Urban Rural Classification 2020

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Argyll and Bute Council LHEES Strategy 17
Table 4 outlines how Changeworks’ methodology deviates from the standard LHEES methodology. 
Table 4: Summary of the deviations (if any) from standard methodology in the LHEES Considerations
LHEES
Consideration Standard LHEES methodology Deviation from standard LHEES
method
Off-Gas Grid
Buildings
Categories 0, 1, 2 and 3 properties
determined according to the following
factors:
• Unlisted property
• Not in a conservation area
• Wall insulation
• Double/triple glazed windows
• Wet system replacement (except
electric and no heating/hot water
systems)
• Loft insulation prediction (99mm +) 
Only wall insulation is considered
in determining Category 1
properties for all heating types
(boilers, room heaters, storage
heaters, no heating/hot water
systems). 
Additionally identified solar PV
suitability for category 1 properties. 
On-Gas Grid
Buildings
Categories 0, 1, 2 and 3 properties
determined according to the following
factors:
• Unlisted property
• Not in a conservation area
• Wall insulation
• Double/triple glazed windows
• Wet system replacement (except
electric and no heating/hot water
systems)
• Loft insulation prediction (99mm +)
Only wall insulation is considered
in determining Category 1
properties for all heating types
(boilers, room heaters, storage
heaters, no heating/hot water
systems).
Additionally identified solar PV
suitability for category 1 properties.  
Poor Building
Energy
Efficiency
Energy efficiency score is determined by
wall insulation status, loft insulation status
and double glazing. 
As most programmes and projects
are wall insulation focused, the
weighted Energy Efficiency map
only includes wall insulation
potential, not glazing and loft. 
Poor Building
Energy
Efficiency and
Fuel Poverty
Energy efficiency and Fuel Poverty score is
determined by wall insulation status, loft
insulation status and double glazing and
Fuel Poverty.  
As most programmes and projects
are wall insulation focused, the
weighted Energy Efficiency and
Fuel Poverty map only includes

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Argyll and Bute Council LHEES Strategy 18
wall insulation potential, not
glazing and loft. 
Engagement
The LHEES was developed using a variety of engagement mechanisms to ensure that internal and
external stakeholders informed the evidence base and analysis at all stages. 
Below is a summary of the engagement process; full details are outlined in Section 3. 
LHEES steering group
In the early stages of the LHEES development, the Council set up an LHEES Steering Group with
representation from relevant services. The steering group provided input and reviewed the
LHEES's outputs. 
Stakeholder events
The Council hosted two stakeholder events to determine the LHEES priorities. 
Engagement with Groups
The Council is engaged with relevant partnerships, established groups and forums which shape
the LHEES, such as:
• The Climate Change Board 
• Argyll and Bute Energy Efficiency Forum 
• The Community Planning Partnership 
Engagement with the DSO
The LHEES Officer has engaged with both   Scottish and Southern Energy Network (SSEN) and
Scottish Power Energy Network (SPEN). Engaging with both Distribution System Operators
(DSOs)7 is vital to progressing the LHEES, as grid constraints will be the greatest barrier to
decarbonising heat. 
Community consultation and engagement 
The Council will commence the wider community engagement process by consulting on the draft
LHEES Strategy and Delivery Plan. 
Next steps 
After conducting the community engagement exercise, the councils will revise the LHEES
documents based on the feedback received. The finalised documents will be made available on
the Council's website. 
7 Distribution Network Operators (DNOs) are currently transitioning to becoming DSOs in order to fulfil the
duties that will be required for the grid to transition to net zero. The transition requires the electricity system
to be managed in a much more dynamic way.

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Argyll and Bute Council LHEES Strategy 19
It is important to note that this does not mark the end of the engagement process; rather, it will
facilitate broader stakeholder participation. Since the LHEES process is iterative, stakeholder input
will continue to shape the documents, as they are intended to be dynamic and adaptable rather
than static.
2. Policies and progress to net zero 
The LHEES is influenced by a range of different policies, strategies, and targets. The following
subsections outline key policies that are relevant to the LHEES at local and national level. 
2.1. National Policies  
In 2018, the Intergovernmental Panel on Climate Change (IPCC) advised that to reach the 1.5°C
target set in the Paris Climate Accord, the world needs to reach net zero carbon emissions by
2050. The Climate Change (Emissions Reduction Targets) (Scotland) Act 2019 set an ambitious
target of Scotland reaching net zero by 2045. 
Argyll and Bute’s LHEES is primarily driven by Scotland’s statutory targets for greenhouse gas
emissions reduction and fuel poverty. Several national policies are relevant, particularly the Heat in
Buildings Strategy, the Heat Network Act, and the Fuel Poverty Act. These policies are described
below, followed by a table with further relevant national policies (
Table 5). A comprehensive list of national policies is outlined in Appendix A.  
Heat in Buildings Strategy 
The Heat in Buildings Strategy, published in 2021, sets out a vision that by 2045 Scotland’s homes
and buildings are cleaner, greener and easy to heat, and no longer contributing to climate change.
The strategy prioritises improvements to the fabric of buildings to reduce energy demand,
alongside a focus on zero emissions heating systems. This LHEES will contribute to the targets set
out in the Heat in Buildings Strategy by identifying measures for reducing building emissions and
potential heat network zones. 
In the Heat in Buildings Strategy, the Scottish Government committed to the development of a
Heat in Buildings Bill to provide a regulatory framework for zero emissions heating and energy
efficiency. The Bill, which went under consultation in November 2023, proposes a minimum energy
efficiency standard for private landlords by the end of 2028, and for owner-occupiers by 2033. It
also proposes a ban on polluting heating systems in all buildings by 2045. The consultation closed
in March 2024.
Social Housing Net Zero Standard 
The Scottish Government has established targets to improve the energy efficiency of social
housing. Previously, these have been set through the Energy Efficiency Standard for Social

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Argyll and Bute Council LHEES Strategy 20
Housing (EESSH). EESSH2 guidance required all social housing to meet an energy efficiency
rating of EPC band B by 2032. 
In November 2023, the Scottish Government launched a consultation on a new Social Housing Net
Zero Standard, which will replace EESSH2. The proposed new standard includes setting a
minimum fabric efficiency rating (different to current EPC ratings) and introducing a requirement to
replace polluting heating systems with clean alternatives by a backstop date of 2045, with possible
interim targets before then.
Heat Networks Act
Heat networks supply multiple buildings with heat or cooling from a central source or sources. This
avoids the need for individual boilers or electric heaters in every building. 
The Heat Networks (Scotland) Act 2021 defines a heat network as either a district heat system or a
communal heating system. The Act provides the legislative framework to set up and regulate heat
networks. It requires local authorities to review areas within their constituency that are potentially
suitable for heat networks. This LHEES will function as the main vehicle by which Argyll and Bute
Council will conduct this review.
Fuel Poverty (Scotland) Act 2019 
The Fuel Poverty Act was passed by the Scottish Parliament in 2019. 
A household is classified as fuel poor if, in order to maintain a satisfactory home heating regime,
total fuel costs are more than 10% of the household’s adjusted net income (after housing costs),
and if after deducting fuel costs, benefits received for a care need or disability and childcare costs,
the household’s remaining adjusted net income is insufficient to maintain an acceptable standard
of living.
The interim set of targets laid out in this legislation are that by 2030, no more than 15% of
households in Scotland are in fuel poverty, and no more than 5% are in extreme fuel poverty. This
is with the aim of achieving the main target of no more than 5% of households in Scotland in fuel
poverty, and no more than 1% are in extreme fuel poverty by 2040. Homes with a lower energy
efficiency were identified as one of the key drivers of fuel poverty and the LHEES looks to address
this pressing issue. By improving the energy efficiency of homes, fuel consumption can be
reduced. LHEES can, therefore, provide support to reducing fuel poverty by mitigating energy
efficiency as a driver.
Energy Performance Certificate reform
The Energy Performance Certificate (EPC) ratings evaluate a building based on various criteria,
amalgamating them to generate an overall rating. However, there are limitations to this approach
because the criteria cannot be separated, potentially skewing the ratings. For instance, one
element of the rating considers the cost of using the heating system, which can disadvantage
homes powered by electrical heating. As a result, this methodology does not accurately measure
the building's energy efficiency. To address this issue, the Scottish Government conducted a
consultation on EPC reform, proposing new metrics, such as a fabric rating. Metrics will not be

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Argyll and Bute Council LHEES Strategy 21
amalgamated; consequently, they will provide a more accurate assessment of the building's
energy efficiency.
Table 5: Summary of relevant national policies 
Name Description Targets/Aims
Climate Change
Climate Change
(Emissions
Reduction Targets)
(Scotland) Act 2019 
Targets to reduce Scotland’s
emissions of all GHGs to net-
zero. 
2045: Net zero GHG emissions
2040: 90% reduction 
2020: 56%8
Update to the
Climate Change
Plan 2018–2032
Sets out a pathway to deliver
Scotland’s climate change
targets, including ambitions for
Scotland’s buildings.
Multiple targets, includingat least
50% of buildings heated using
zero emission systems by 2030
Housing
Heat in Buildings
Strategy 2021 
Sets out a pathway to reduce
emissions from buildings and to
remove poor energy
performance as a driver for fuel
poverty.
By 2030, majority of buildings
should achieve EPC band C, and
1 million homes use zero
emission heating 
Heat in Buildings Bill
(currently at
consultation stage)
Proposed new laws around
minimum energy efficiency
standards and prohibiting direct
emissions heating systems,
excluding biomass.
Minimum energy efficiency
standards to be met by:
2028 for Private landlords
2033 for owner-occupiers
Social Housing Net
Zero Standard
Proposed new energy efficiency
standard that replaces
EESSH2.  Sets a minimum
fabric efficiency rating for each
home rented by social
landlords. Consultation is now
closed.
2033: Fabric energy efficiency
rating 
2045: Clean heating in all socially
rented homes 
Housing to 2040 
Sets out the vision and route
map for housing in Scotland to
2040.
Existing homes are adapted and
retrofitted to improve their energy
efficiency and decarbonise their
heating
Energy Heat Networks
(Scotland) Act 2021 
Requires local authorities to
review whether one or more
heat network in the local
authority is suitable for
construction. 
Achieve a combined supply of
thermal energy by heat networks
of:
2030: 6 TWh 
2027: 2.6 TWh 
8 The Climate Change Committee highlighted in March 2024 that these interim targets were unreachable.
The Scottish Government are expected to amend or remove these interim targets in the Climate Change Act
later in 2045 whilst still maintaining the end goal of reaching net zero by 2045. (BBC News, 2024 -
https://www.bbc.co.uk/news/articles/ce9941nzq4yo)

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Argyll and Bute Council LHEES Strategy 22
Heat Networks 
elivery Plan 
Sets out how provisions of the
Heat Networks (Scotland) Act
2021 will contribute to
increasing heat networks in
Scotland. 
The targets set out in the Heat
Networks (Scotland) Act 2021. 
Fuel
Poverty Fuel Poverty
(Scotland) Act 2019 
efines fuel poverty and
requires the creation of
strategies to tackle fuel poverty. 
2040: 
< 5% of households in fuel
poverty, 
< 1% in extreme fuel poverty. 
National Planning
Framework 4 
Sets out Scotland’s spatial
principles, regional priorities,
national developments, and
national planning policy.
Multiple 
2.2. Local policies
Argyll and Bute Council has several policies and strategies relevant to the LHEES. These cover
topics such as climate change, energy efficiency, fuel poverty decarbonisation, and land use
planning. The following table lists the most relevant policies (Table 6). 
Table 6: Summary of relevant local policies and strategies
Name  Description 
Argyll and Bute Council 
ecarbonisation Plan (2022- 2025)
The Council’s  ecarbonisation Plan outlines its journey to
reduce carbon emissions. It includes a commitment to
develop a roadmap to achieve net zero emissions for Council
services, buildings, and assets. IT also includes a
commitment to consume less energy and be more efficient
with heating oil, gas and electricity in schools, offices, and
other buildings. The plan also features a  ecarbonisation
Tracker which monitors progress in replacing fossil fuel
energy sources with low or zero carbon heating sources.   
Argyll and Bute Outcomes 
mprovement Plan (2024 – 2034) 
The ABO P sets out the key challenges the area faces. This
includes its remote and rural geography, with many
communities living in economically fragile areas, the area's
reducing and ageing population, the need to improve the
authorities' critical economic infrastructure, tackling
deprivation and health inequalities, and unlocking the area's
full economic and employment potential.

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Argyll and Bute Council LHEES Strategy 23
The new 10-year Outcome  mprovement Plan has three
outcomes. Outcome 2 focuses on ensuring everyone in the
local authority has access to warm homes.
Local  evelopment Plan 2 (2024) 
Adopted in February 2024, the plan provides the local
planning framework for the Council area. The L P vision
states, “Argyll and Bute is an economically diverse and
successful area based on sustainable and low-carbon
development….”
The plan includes policies that encourage energy efficiency
and the development of heat networks where viable. 
Section 5 of the L P2 outlines a range of policies for diverse
and sustainable economies. These policies recognise the
unique characteristics of places within Argyll and Bute and
the unsuitability of off-the-peg approaches for these
communities.
Local Housing Strategy (2022-2027)
The Local Housing Strategy outlines the Council’s priorities
in relation to housing over a five-year period. The second of
the four LHS pillars is “energy efficiency, climate change and
poverty”. This pillar seeks to take action to improve energy
efficiency and increase the decarbonisation of the fuel
source. The pillar also outlines the actions required to be
taken to address fuel poverty. 
Argyll and Bute Anti-Poverty
Strategy 2018-2022
The council’s vision is for an Argyll and Bute where no-one
lives in poverty. Everyone should be able to achieve their
potential and feel healthy, happy and valued. “We want to be
a place where everyone understands that tackling poverty is
everyone’s responsibility. We believe that if we act locally
and in partnership, we can make a real difference.” This
strategy is based on four key objectives: 
• To listen to people and families experiencing poverty and
make sure their voice is heard. 
• To support people experiencing poverty to move from
dependence to independence. 
• To ensure our information and services are easy to
access. 
• To provide services that meet the needs of people
experiencing poverty.

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Argyll and Bute Council LHEES Strategy 24
Argyll and Bute Child Poverty Action
Plan Review 2022-2023  
The plan outlines the role that housing condition, poor energy
efficiency, and high energy demand play in perpetuating child
poverty.  t also outlines the detrimental impacts of living in a
cold, damp home on child health and development. The plan
outlines a series of actions to help alleviate energy-related
child poverty.
Economic  evelopment Plan (2019-
2023)
The Smarter Growth – ‘doing more that works’ pillar outlines
how the area plans to develop and capitalise on its low
carbon economy by generating and using energy locally as a
mechanism to decarbonise and tackle fuel poverty. The plan
outlines the need to modernise and have greater flexibility in
energy distribution. The strategy pledges to work with the
council's partners through Argyll and Bute Renewables
Alliance (ABRA). It will focus on tackling strategic issues that
currently limit the area's potential to generate, distribute,
allow local people to take up employment opportunities and
make the best use of clean energy. This work will be
informed by Argyll and Bute’s Renewable Energy Action Plan
(REAP). 
Economic  evelopment Strategy
(2024-2034)
The Council's new economic development strategy
recognises that Argyll and Bute is particularly well placed to
benefit from the potential of the area’s natural capital
resources and its role in providing green jobs and achieving
net zero across key industries. The strategy was approved
by committee on March 21st, 2024.  t has four strategic
pillars. Actions required to reach Net zero is evident in three
of the four pillars. 
Pillar 1: People – Supporting job opportunities in energy and
new industries such as the green economy.
Pillar 3: Planet - Delivering net zero and improving our
biodiversity by supporting the sustainable growth of clean
energy production (i.e. hydro, solar, wind and biomass). 
Pillar 4: Prosperity - seizing opportunities in the net-zero
economy and promoting blue and green economies.
Scheme of Assistance 
The scheme sets out how the council will support eligible
households in improving their property condition. This fabric-
first approach is key to effective decarbonisation.

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Argyll and Bute Council LHEES Strategy 25
Strategic Housing  nvestment Plan
(2024/25 – 2028/29) 
dentifies priority housing projects to support the delivery of
local and national strategic housing targets, as well as
helping to increase the housing supply across other tenures
as appropriate. One strand of the SH P outlines the need to
meet energy efficiency standards to support households with
unprecedentedly high energy costs. 
2.3. Progress to net zero in Argyll and Bute
The Council recognises climate change as one of the biggest threats to communities.
Consequently, the Council has made a clear commitment to be a net zero organisation by 2045.
The LHEES will build on work already occurring within Argyll and Bute to reduce emissions. This
section provides an overview of some activities that will help Argyll and Bute achieve net zero.
2.3.1. Plans and strategies 
Argyll and Bute Council Decarbonisation Plan 
Over the last five years, Argyll and Bute Council has successfully reduced its carbon emissions by
27%. The Council is committed to investing £1.2 million to reduce carbon emissions further. The
Decarbonisation Action Plan Tracker details the actions planned to realise this ambition. The plan
is shared publicly on the Council’s Climate Change webpages, and progress against the tracker is
reported to the Policy and Resources Committee. 
Net Zero Route Map 
Work is underway to build on the Decarbonisation Plan by developing a Net Zero Route map to
provide further details on the journey to net zero. 
Community Planning Partnership  
The Community Planning Partnership has recently appointed a Climate Change Action Project
Manager who is responsible for leading on delivery of a new regional Argyll and Bute Climate
Action Plan. This plan will work in conjunction with the LHEES to reduce heat demand. 
Carbon Neutral Islands 
The Scottish Government Carbon Neutral Islands project aims to support six islands to become
carbon neutral by 2040. The six islands participating in the programme are Islay, Barra, Great
Cumbrae, Hoy, Raasay and Yell. Each island has completed carbon audits, developed community
climate change action plans and investment strategies, and identified learning and good practice
that can be shared with other Scottish islands. Argyll and Bute Council sits on the newly formed
Local Authority Advisory Group to support the implementation of the Carbon Neutral Island project,
ensuring alignment and coordination with wider Local Authority activity and reciprocal sharing of
information.

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Argyll and Bute Council LHEES Strategy 26
2.3.2. Education and Training 
The Argyll and the Isles Countryside Trust (ACT) is a key partner in progressing towards net zero.
ACTNow has provided Carbon Literacy Training and support to help the Council achieve
organisation-wide Carbon Literacy Bronze Standard Accreditation. A carbon-literate citizen
understands the impact of climate change on themselves and others. They have the knowledge
and skills to reduce their and others' carbon footprint. Accrediting Elected Members and Officials
enables them to consider the carbon implications when making decisions. Figure 3 shows that this
significantly impacts reducing global temperatures more than developing pledges and targets.
Figure 3: Climate Action Tracker warming projections – Global temperature increase by 2100. Source: Climate Action
Tracker (2023). Image copyright: Climate Analytics and NewClimate Institute, reproduced by Argyll & Bute Council. 
2.3.3. Decarbonising buildings 
Argyll and Bute Council Non-Domestic Energy Efficiency Projects 
Carbon emissions associated with the Argyll and Bute Council’s estate and buildings account for
over 20% of the Council’s overall carbon footprint.  n 2021, Argyll and Bute Council identified 50
individual energy efficiency projects for its non-domestic buildings, including schools, offices, and
leisure centres. By May 2024, 49 out of 50 of these energy efficiency projects had been delivered,
with an annual carbon saving of 357 tonnes.

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Argyll and Bute Council LHEES Strategy 27
Area Based Schemes (EES:ABS) 
ABS is a Scottish Government grant funding scheme for local authorities to offer installation of
energy efficiency measures to homes in areas of low income and fuel poverty. As a non-stock
owning Council, Argyll and Bute’s programme differs to that of other local authorities by inviting
applications from throughout the entire Argyll and Bute area - with geography being no barrier to
be able to take advantage of the Scheme. The Scheme has been delivered in Argyll and Bute
since 2013, and £21,134,881.31 has been spent on measures since inception to July 2023. The
Scheme is available to eligible private owners and private rented tenants in Argyll and Bute. It
takes a fabric-first approach, installing the most suitable type of insulation for the property, helping
to reduce harmful carbon emissions and, in turn, reduce fuel costs.
To the end of the Project Year in June 2023, the Council spent all its 2022/23 budget allocation of
£2,011,323, plus an additional £300,000, which was approved by the Scottish Government to meet
the demands of an increased number of applications. In this programme period, 281 homes were
insulated. The programme year for 2023/24 ends in June 2024, and the budget of £1,979,827 is
predicted to be spent in full. The Council hopes the Scottish Government will award similar
amounts to continue the programme in 2024/25.
Warmer Homes Scotland
Starting in 2022, Argyll & Bute Council and ACHA worked together on a programme of applying
external wall insulation on mixed tenure blocks of properties in Tarbert, Bute and Cowal. Utilising a
Special Project EES:ABS grant of £984,400 from the Scottish Government the programme was
able to support eligible private owners and privately rented properties within the blocks, with ACHA
utilising Warmer Homes Scotland funding for their stock.
Energy Company Obligation (ECO)
ECO was first introduced in 2013 and legally obliges energy suppliers in the UK to deliver energy
efficiency measures to low-income and fuel-poor domestic premises. It is in its 4th iteration. It is
designed to tackle fuel poverty and help reduce carbon emissions. Between October and
December 2023, 18,455 measures were installed through ECO4 in the local authority area. 
Local authorities are invited to set expanded qualifying criteria for households in their area to
access ECO4Flex Funding, which considers the unique qualities of specific areas. Argyll and Bute
Council have published their Statement of Intent, setting out eligibility criteria for April 2022 to
March 2025. 
Achieving standards for social housing
Argyll and Bute Council is one of the few councils that transferred all its housing stock and
consequently has no direct control over social housing. However, the Council continues to work in
partnership with housing associations to improve energy efficiency in line with the targets and
standards set by the Scottish Government. For example, the warmer homes project. 
Previously, these standards have been set through the Energy Efficiency Standard for Social
Housing (EESSH) and EESSH2 (see Section 2.1). Argyll and Bute Registered Social Landlords

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Argyll and Bute Council LHEES Strategy 28
were on track to meet full compliance with EESSH2 targets by 2032. In November 2023, the
Scottish Government launched a consultation on a new Social Housing Net Zero Standard, which
will replace EESSH2. The proposed new standard includes setting a minimum fabric efficiency
rating (different to the current EPC rating) and introducing a requirement to replace polluting
heating systems with clean alternatives by 2045. Argyll and Bute Council will continue to work
jointly with the Housing Associations, at their request, to meet these standards. 
Campbeltown wastewater to heats Aqualibrium leisure centre
In 2018, a joint venture between Argyll and Bute Council, Scottish Water Horizons and SHARC
Energy Systems enabled Campbeltown’s Aqualibrium leisure centre to be heated by wastewater
from the Kinloch Park Pumping Station. The heat-from-wastewater technology was one of the first
of its kind and was funded by the Scottish Water Horizons and the Scottish Government’s Low
Carbon Infrastructure Transition Programme (LCITP). 
Home Energy Scotland 
Home Energy Scotland is a key partner for the Council in delivering EES:ABS, energy efficiency
advice, and funding checks for residents. During 2022/23, Home Energy Scotland interacted with
4,266 households, compared to 3,268 in the same period the previous year, an increase of 31%. 
Strategic Housing Investment Programme Heat Network Infrastructure 
The Council has developed a Strategic Housing  nvestment Plan that identifies priority housing
projects to support the delivery of both local and national strategic housing targets, as well as help
to increase the supply of housing across other tenures as appropriate. The Council will investigate
the possibility of installing infrastructure for shared ground loops and heat networks when
infrastructure is being installed for new homes. For example, a proposed housing project in
Lochgilphead is located near a potential heat network area. Implementing shared infrastructure can
help overcome the challenge of high infrastructure costs and increases the likelihood of developing
the network.
ALIenergy 
ALIenergy works across Argyll and Bute to promote sustainable energy use and renewable energy
generation, to address fuel poverty and reduce carbon emissions. During 2022/23, they received
1,246 enquiries, delivered 2,858 advice sessions, and made 1,130 referrals to partners and/or
funds. The Affordable Warmth Team secured £180,582 in client gains from crisis intervention
support through energy vouchers, alleviation of fuel debt and help with energy bills.
2.3.4. Examples of renewable energy generation (not an
exhaustive list) 
Argyll and Bute is well placed to significantly contribute to Scotland and the UK’s Net Zero
ambitions. In 2023, Argyll and Bute produced over 1.5 Gigawatts of clean energy, approximately
10% of the Scottish annual total. This energy largely feeds into the national grid with limited

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Argyll and Bute Council LHEES Strategy 29
benefits to the local area except for the local distribution of the community benefit funds. The local
grid is currently constrained, and there is a need to modernise it to enable greater flexibility in
addressing local energy issues. 
It is important to note that the renewable energy generation projects listed below are not an
exhaustive list but provide some examples of renewable energy generation in Argyll and
Bute. 
ABRA
The Council will continue to work with its partners through the Argyll and Bute Renewables Alliance
(ABRA), focusing on tackling strategic issues that currently limit the potential to generate and
distribute clean energy, allow local people to take up employment opportunities, and make the best
use of clean energy in their communities. 
Local Energy Scotland 
Local Energy Scotland supports communities across Scotland to engage with, participate in and
benefit from the energy transition to net zero. Through the Community and Renewable Energy
Scheme (CARES), Local Energy Scotland offers a range of financial support and advice to
community groups to get local energy projects up and running.  
Local energy generation and distribution
The LHEES delivery plan will set out as series of actions for the Council and its partners to assess
the viability of developing local energy generation and distribution projects. These projects aim to
provide clean and affordable energy to local communities facing challenges in accessing clean and
affordable energy due to grid constraints.
Tiree Community Develop Trust -TREL (Tiree Renewable Energy Limited) 
In 2022, the Tiree Community Develop Trust (TREL) produced 2,013,645kWh. This is enough
electricity to supply 540 average UK homes for an entire year.
Iona Renewables 
Community-led organisation Iona Renewables has commissioned consultants to draw up plans to
develop a heat network to supply heat to 36 households in Iona village, as well as to Iona Abbey
which is owned by Historic Environment Scotland. If funding can be found it will use a ground
source heat pump, powered by a 100KW wind turbine. The heat network will cut carbon emissions
by an estimated 240 tonnes of CO2 annually. 
Argyll and Bute Rural Growth Deal- Creating a Low Carbon Economy for Islay
Argyll and Bute Rural Growth Deal (RGD) is an agreement between the Scottish Government, the
UK Government and Argyll and Bute Council to bring about long-term strategic approaches to
improving the regional economy. In October 2019, the Scottish and UK governments committed to
investing up to £25 million in the Argyll and Bute Rural Growth Deal. The RGD comprises of

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Argyll and Bute Council LHEES Strategy 30
several projects including ‘Creating a Low Carbon Economy for  slay’ project. The proposed project
seeks to support the creation of local energy systems, in collaboration with the Scottish
Government Carbon Neutral Islands project, to support the development of a pathway to net zero
emissions.
A business case for Islay Energy System was generated but was not approved by both
governments. The project team is considering alternative project options. 
The Mull and Iona Community Trust’s AMAZE project
The Mull and Iona Community Trust is an organisation focused on improving the quality of life for
the residents of Mull and Iona, addressing problems of geographic isolation and economic and
social exclusion in remote and rural communities. The AMAZE project is a collaborative project
between the trust and residents who want to limit fossil fuel use on the islands. They received
funding to work with a consultant to develop a local energy plan, to help transform the islands into
a “zero emissions, energy secure, self-reliant, and thriving place with efficient homes…driven by a
local community ethos”9. The project has concluded the research phase and is seeking funds to
recruit project staff to develop and deliver the work. Proposals include examining the feasibility of
heat networks on the islands and working with public and private property owners to decarbonise. 
2.3.5 Heat network development 
According to the Heat Networks (Scotland) Act 2021, heat networks encompass both district and
communal heating. Argyll and Bute has district heating systems, such as the Dunbeg district
heating system, operated by West Highland Housing Association. This scheme uses biomass to
provide heat to social housing. The authority also has examples of operational heat networks such
as the heat network in Campbeltown that uses wastewater.
The Council and its stakeholders have conducted several research projects to assess the
feasibility of heat networks, such as the Iona Heat Network, the AMAZE heat networks, and the
RGD and Carbon Neutral Islands project in Isay. RSLs have also assessed the feasibility of district
heating systems to heat social housing stock. 
As part of the LHEES process, the Council has collaborated with Zero Waste Scotland and Buro
Happold to identify potential sites for shared ground loops and commissioned Changeworks to
identify potential Heat Networks based on the methodology outlined by the Scottish Government.   
9 The Mull and Iona Community Trust (2024) The AMAZE Project: Working towards a zero emissions and
secure energy future of our islands URL: https://www.mict.co.uk/projects-services/amaze-project/.
(Accessed: 02/04/2024).

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Argyll and Bute Council LHEES Strategy 31
3. Stakeholder Engagement
The Council has acknowledged the importance of engagement. The LHEES Officer has devoted
time to cultivating relationships with stakeholders and involving them in identifying priorities and the
actions required to address them. Stakeholder engagement has played a key role in informing the
evidence base and analysis at all stages of the LHEES. 
The Council hosted two LHEES stakeholder engagement events and has also engaged with
stakeholders in other ways as detailed below.
3.1. Engagement with external stakeholders
The following table outlines the stakeholder engagement work undertaken to date (Table 7).
Table 7: Summary of engagement and involved projects across all high priority stakeholders
Category
Stakeholder and
Interest Engagement Activity Challenges
Housing Providers
Argyll Community
Housing
Association 
Priority interest:
Desire to improve
energy efficiency
measures in their
housing stock and
implementing heat
network zones. 
• LHEES Stakeholder
Workshops
• HOMEArgyll
Partnership
• A&B Energy Efficiency
Forum
• ACHA Warmer Homes
Project
• A&B Strategic Housing
Forum
• A&B SHIP Group
Large proportion of stock in conservation areas or
listed buildings. 
Low density of A&B makes suitability difficult for
Heat Network Zones. 
High proportion of stock near coastlines puts them
more at risk from exposed weather, making them
hard to heat and treat. 
Supply chain issues make installing energy
efficiency measures challenging and expensive
Fyne Homes 
Priority interest:
Heat Network
Zones, having
already developed
three heat networks
in the area.
• LHEES Stakeholder
Workshop
• HOMEArgyll
Partnership
• A&B Energy Efficiency
Forum
• A&B Strategic Housing
Forum
• A&B SHIP Group
1,600 housing units in conservation areas making
work challenging and expensive.
High proportion of stock near coastlines puts them
more at risk from exposed weather, making them
hard to heat and treat.
Supply chain issues make installing energy
efficiency measures timely and expensive.

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Argyll and Bute Council LHEES Strategy 32
Dunbritton
Housing
Association
Priority interest:
Improving the
energy efficiency
measures in their
housing stock 
• LHEES Stakeholder
Workshops
• HOMEArgyll
Partnership
• A&B Energy Efficiency
Forum
• A&B Strategic Housing
Forum
• A&B SHIP Group
Large proportion of stock in conservation areas or
listed buildings.
Low density of A&B makes suitability difficult for
Heat Network Zones.
High proportion of stock near coastlines puts them
more at risk from exposed weather, making them
hard to heat and treat.
Supply chain issues make installing energy
efficiency measures timely and expensive
Link Housing
Priority interest:
Desire to develop a
heat network in
Oban  
• LHEES Stakeholder
Workshops
• A&B Energy Efficiency
Forum
• A&B Strategic Housing
Forum
• A&B SHIP Group
Large proportion of stock in conservation areas or
listed buildings.
Low density of A&B makes suitability difficult for
Heat Network Zones.
High proportion of stock near coastlines puts them
more at risk from exposed weather, making them
hard to heat and treat. 
Supply chain issues make installing energy
efficiency measures timely and expensive.
West Highlands
Housing
Association 
Priority interest:
improving the energy
efficiency measures
in their housing
stock
• LHEES Stakeholder
Workshops
• HOMEArgyll
Partnership
• A&B Energy Efficiency
Forum
• A&B Strategic Housing
Forum
• A&B SHIP Group
Large proportion of stock in conservation areas or
listed buildings.
Low density of A&B makes suitability difficult for
Heat Network Zones.
High proportion of stock near coastlines puts them
more at risk from exposed weather, making them
hard to heat and treat. 
Supply chain issues make installing energy
efficiency measures timely and expensive.
Organisations
with energy
remit Community
Planning
Partnership
• LHEES Stakeholder
workshop
• Climate Change Board 
The CPP has only recently appointed a Climate
Change Action Project Manager so the process to
develop a Regional Climate Action Plan has only
just commenced.

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Argyll and Bute Council LHEES Strategy 33
Local Energy
Scotland 
• LHEES Stakeholder
workshop 
LES supports communities to generate their own
energy and develop heat networks. Project
development is often halted by funding or
community organisations capacity to take projects
forward.
Distribution System
Operators
Scottish &
Southern
Electricity
Networks 
Priority interest:
ensuring grid
maintains capacity
and is not
overburdened in
specific areas
• LHEES Officer
participated in a wide
range of SSEN
Stakeholder events,
stakeholder surveys
and stakeholder
returns.
• One to one meetings
with various teams and
most recently the
Whole System Team
to ensure they are
aware of the issues
with implementing
LHEES priorities and
discussing potential
solutions.
• Working with SSEN to
share data and project
priorities using the
Lenza tool 
Current grid constraints across Argyll and Bute
have prevented the progress of large-scale
retrofitting for electric heating in several areas.
Argyll and Bute Council are unusual, with two
DSO covering the council’s boundaries. This
means more engagement and liaison. What is
most challenging is both DSOs have different data
sharing platforms, which requires the council to
collect and provide data differently.
Scottish Power
Energy Networks 
Priority interest:
ensuring grid
maintains capacity
and is not
overburdened in
specific areas
• LHEES Officer
participate in a wide
range of SPEN
Stakeholder events,
stakeholder surveys,
and stakeholder
returns.
• In discussions with
SPEN regarding data
sharing mechanisms 
Current grid constraints across the Helensburgh
area have prevented the progress of large-scale
retrofitting for electric heating in several locations.
Argyll and Bute Council are unusual, with two 
SO covering the council’s boundaries. This
means more engagement and liaison. What is
most challenging is both DSOs have different data
sharing platforms, which requires the council to
collect and provide data differently. 
Argyll and Bute Energy Efficiency Forum 
The Argyll and Bute Energy Efficiency Forum is a key group with which to engage. The LHEES
Officer is a member of the Forum. Other members include:
• Islay Energy Saving Trust 
• Argyll and Bute Citizens Advice Bureau 
• ALIenergy
• Argyll and Bute Council Leader

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Argyll and Bute Council LHEES Strategy 34
• Home Energy Scotland 
• Local Energy Scotland 
• Argyll and Bute Area Based Team 
• Dunbritton Housing Association
• West Highland Housing Association
• ACHA 
• Fyne Homes
3.2.  Engagement with internal stakeholders
In the early stages of the LHEES development, the Council set up an LHEES Steering Group with
representation from relevant services. The steering group provided input and reviewed the
LHEES's outputs. Table 8 shows the various internal teams within the Council which have
participated in the LHEES process. 
Table 8: Summary of engagement and challenges across Argyll and Bute Council departments 
Department
Stakeholder(s) Engagement Challenges
Housing Strategy
Housing Strategy
Team
Considered the viability of using
new build housing projects
outlined in the Strategic Housing
Investment Plan (SHIP), to lay
infrastructure for heat networks
and enable the retrofit of existing
housing stock 
Communication with housing
associations to establish
HOMEArgyll Partnership to deliver
EESSH2/SHNZS
The Council does not directly control social
housing which limits influence
Transition to SHNZS from EESSH2 brings
focus to fabric-first
Grid capacity prevents upgrades
Housing stock on the coast is often difficult to
heat and treat  
Housing -ABS 
Home Energy
Team 
Experienced in implementing
energy efficiency measure
projects across Argyll and Bute
Administer ABS schemes 
Co-ordinate the interagency
Energy Efficiency Forum 
Large proportion of buildings with solid walls
makes insulating expensive
Large proportion of properties hard to heat
and hard to treat
Supply chain issues combined with the
geography of the local area make any
retrofitting project timely and costly
The Council’s low-wage economy makes it
difficult for residents to afford a transfer to an
electric clean energy system

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Argyll and Bute Council LHEES Strategy 35
Planning
Local Development
Plan team
Write policies on heat networks
and retrofitting in conservation
areas. 
Delivering NPF4 as it has an
important role to play in facilitating
the rollout of low carbon heat.
Limitations on retrofitting housing stock in
conservation areas 
Property and Estates  Property Services
Team
Expertise in non-domestic
property management. 
Responsible for implementing the
Council’s  ecarbonisation Plan
and managing non-domestic heat
network/district heating schemes
for non-domestic council assets. 
Public-owned non-domestic building stock
only makes up a small percentage of the
areas total heat demand annually. 
Climate Change
Officer
The Climate Change Officer is
secretariat to the Climate Change
Board and is leading on the net
zero route map.
The Climate Change Officers remit is limited
to Council assets. This post is also currently
vacant. 
Business
Development
Rural Growth Team 
Vital in progressing Argyll and
Bute’s Rural Growth  eal which
aims to implement a project to
achieve a low carbon economy in
Islay  
The Scottish and UK government did not
agree to the business case developed for a
low carbon energy system on Islay. 
Climate Change Board
In addition to consulting with individual Council services the Strategy and Delivery Plan have been
shaped by the Climate Change Board, which is a key consultation and engagement vehicle. The
board meets every two months and comprises of: 
• representatives from relevant council services
• the Elected Members, who is the Policy Lead for Climate Change
• the Community Planning Partnership
• ACTNow (a third sector organisation) 
Elected Members 
The Policy Lead for Climate Change has been engaged in the LHEES process. Other elected
members have received updates on the LHEES every few months through reports to the Policy
and Resources Committee. The LHEES consultative draft and final document will be presented to
the full council to ensure that all Elected Members have the opportunity to contribute and shape the
LHEES documents.

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Argyll and Bute Council LHEES Strategy 36
3.3. Community Engagement
The Council will also provide the opportunity for the community and other stakeholders to engage
with the LHEES. The Council will actively promote the LHEES Consultative Draft and online
consultation process through its communication channels, using social media as well as traditional
promotional methods. 
3.4. Next Steps
The LHEES process is iterative, so stakeholder input will continue to shape the documents, which
are intended to be dynamic and adaptable rather than static. 
Further engagement is crucial to inform the Delivery Plan. The Community Planning Partnership
has participated in the LHEES stakeholder events that shaped the LHEES priorities and actions.
The Council will continue to work closely with the Community Planning Partnership, which will soon
issue a "call for evidence" to organisations and communities to gather better local data and
grassroots ideas on decarbonisation and which organisation or community can take these actions
forward.

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Argyll and Bute Council LHEES Strategy 37
4. Baselining Building Stock 
Age, dwelling type, wall construction, tenure, and heating fuel are key factors that impact energy
performance, operational costs, and living conditions in buildings. Home Analytics data for Argyll
and Bute has been used to benchmark key property statistics against overall national statistics
found in the Scottish House Condition Survey, 2021.
4.1. Domestic buildings 
Property age and construction type for domestic buildings
Property age can be used to predict construction type, which is useful when planning appropriate
retrofit interventions across many buildings. Properties built before 1919 are likely to be of a solid
wall construction, from brick or stone, with timber floor and roof construction. Table 9 depicts the
age profile of domestic properties in Argyll and Bute. 
Table 9: Property ages per property type within Argyll and Bute. Source: Home Analytics v.3.9 
Property Type  Pre-
1919 
1919-
1949 
1950-
1983 
1984-
1991 
1992-
2002 
Post-
2002  Total 
Detached house  5,641 910  5,468  1,067  1,363  2,662  17,111 
Semi-detached house  1,157  788  4,334 297  575  832  7,983 
Mid-terraced house  621  297  2,367  122  132  277  3,816 
Small block of flats/dwelling
converted in to flats  3,784 1,011 1,368  238  399  588  7,388 
Block of flats  1,456  255  2,050  208  313  407 4,689
End-terraced house  629  251  1,873  104  106  269  3,232 
Large block of flats  39  2  262  374  131  337  1,145 
Flat in mixed use building  2,403  109  336  124  227  109  3,308 
Stone buildings are likely to have a high conservation value and might be within conservation
areas or be listed. This can make the path for retrofitting and upgrades much more difficult.
Retaining the facing stone in such buildings is often essential to the character of the area; this
presents unique retrofit challenges.  
Cavity wall construction became commonplace from the 1920s onwards and is still built today. Like
traditional construction, cavity wall construction commonly uses timber for floor and roof
construction. Walls are constructed in two rather than a single leaf. While cavity walls are currently
one of the most popular insulation upgrades, cavity wall insulation is generally not suitable for
buildings with stone construction as no gap is present for cavity wall insulation. Solid walls must be

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Argyll and Bute Council LHEES Strategy 38
insulated either from the inside or the outside. This will cost more than insulating a standard cavity
wall, but the total savings on heating bills will also be higher. 
Additionally, cavity wall constructed properties are much more likely to incorporate damp proof
courses and Portland cement than traditionally constructed properties. More recent cavity wall
constructed properties (post-1980) are likely to have partially filled cavities. 
System-built usually refers to post-war non-traditional construction housing that is not cavity wall
constructed. Such housing is normally utilitarian in design and has low conservation value. This is
advantageous regarding potential external wall insulation interventions; however, these properties
have a range of unique designs making standardised retrofit plans challenging.   
In Scotland, timber frame construction superseded cavity wall construction as the primary method
of housebuilding in the early 1980s. The proliferation of timber frame construction in Scotland has
coincided with the incremental increase of insulation standards. Older properties may have minimal
mineral wool insulation between timber studs, whereas newer properties may have up to 140mm of
phenolic foam or air-tight barriers. Increasing insulation standards have been the main driver in the
increase in depth of the timber structure, with older properties having around 75mm timber studs in
comparison to 140mm in modern buildings.
Figure 4: Property types by age of building in Argyll and Bute 
Table 10 illustrates the insulation status of residential buildings in Argyll and Bute. Notably, of the
total domestic building stock, 32% are uninsulated solid brick or stone. This statistic is particularly
significant considering that solid wall buildings are the most common type in the area, and only one
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
18,000
Distribution of property ages within property types in Argyll and Bute
Pre-1919 1919-1949 1950-1983 1984-1991 1992-2002 Post-2002

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Argyll and Bute Council LHEES Strategy 39
in five of these buildings are insulated. This highlights the considerable challenge of improving
insulation levels in the council area. 
Table 10: Construction types of properties within Argyll and Bute. Source: Home Analytics v.3.9
Cavity Timber Frame Solid brick or stone System built All construction
types
Insulated  Uninsulated  Insulated  Uninsulated  Insulated  Uninsulated  Insulated  Uninsulated  Total
10,718
(22%) 
5,696 
(12%) 
6,903
(14%) 
4,038
(8%)  
3,603
(7%) 
15,726
(32%)  1,190 (2%)  798
(2%) 
48,672
(100%)
Tenure of domestic buildings
The type of property tenure directly impacts the pace and extent of retrofit installations in Argyll and
Bute. Specific policies targeting public sector housing, such as EESSH/ EESSH2, have proven to
accelerate change. The private sector has experienced slower progress as it has not been subject
to complying with the same policy requirements. Additionally, property owners investing in
insulation and decarbonised heating systems have not seen a strong return on their investment,
resulting in lower installation levels in the private sector. 
Just under a fifth of the domestic properties in Argyll and Bute are social housing (Figure 5).
Despite some financial support for these properties, it is challenging for Registered Social
Landlords (RSL) to allocate funds for retrofit works, to comply with energy efficiency requirements,
while simultaneously maintaining affordable rents.  
The majority of properties in the local authority area are owner-occupied (68%), and 15% are
privately rented (Table 11). Consequently, if the authority is to meet its net zero ambitions, it must
develop a retrofit strategy for privately owned properties. 
Table 11: Tenure split of properties within Argyll and Bute. Source: Home Analytics v.3.9 
Owner Occupied  Local Authority  Privately Rented  Housing Association 
33,209 (68%)  0 (0%)  7,087 (15%)  8,372 (17%)

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Argyll and Bute Council LHEES Strategy 40 
Figure 5: Pie chart of property tenure split within Argyll and Bute 
Mixed-tenure properties provide an additional retrofit challenge due to having multiple owners
within the same building. Just under a fifth of properties in Argyll and Bute are mixed-tenure (Table
12). These owners have different priorities or capital investment plans, and this can delay or
reduce the extent of any retrofit. However, less than a fifth of the total housing stock in Argyll and
Bute is located in a mixed-tenure building.
Table 12: Mixed tenure and single tenure properties split in Argyll and Bute. Source: Home Analytics v.3.9
Tenure Type 
Single tenure Mixed tenure 
41,119 (84%)   7,553 (16%) 
33209
68%
7087
15%
8372
17%
Tenure split of properties within Argyll and Bute
Owner Occupied Privately Rented Social Rented

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Argyll and Bute Council LHEES Strategy 41 
Figure 6: Pie chart of mixed tenure split within properties in Argyll and Bute 
Fuel poverty 
Data from the Scottish House Condition Survey and the Scottish Index for Multiple Deprivation
(SIMD) have been used to assess fuel poverty within Argyll and Bute.   
41119
84%
7553
16%
Split of mixed tenure properties in Argyll and Bute
No Yes
Box 1: Scottish House Condition Survey: Fuel Poverty Data
In this dataset, a household is classified as fuel poor if, in order to maintain a satisfactory
heating regime, total fuel costs necessary for the home are more than 10% of the household’s
adjusted net income (after housing costs), and if after deducting fuel costs, benefits received for
a care need or disability and childcare costs, the household’s remaining adjusted net income is
insufficient to maintain an acceptable standard of living.
The most recent local authority estimates of fuel poverty are from 2017-19. This is because
data was not collected in 2020, and there were changes to the way data was collected in 2021.

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Argyll and Bute Council LHEES Strategy 42
Argyll and Bute had one of the highest rates of fuel poverty in Scotland (32%), according to the
2017-19 Scottish House Condition Survey.10 The gap between Argyll and Bute’s fuel poverty rate
and national average has historically fluctuated but has always been higher than the national
average (Figure 7). While this trend provides an overall historical insight, the definition of fuel
poverty changed in 20194, meaning direct comparisons cannot be drawn with the statistics
published prior to 2016-2018. Nonetheless, the figures highlight ongoing significant challenges
within Argyll and Bute where a balance is required between reducing fuel poverty and avoiding
driving an off-gas grid majority population into further fuel poverty.
Table 13: Scottish House Condition Survey figures showing the three-year average fuel poverty rates across Argyll and
Bute and Scotland. Source: Scottish House Condition Survey 2013-22
Households  2013-15  2014-16  2015-17  2016-18  2017-19  2019-22
Argyll and
Bute  16%  45%  44%  29%  32%  data
unavailable
Scotland  9%  34%  27%  25%  24%  31% 
Figure 7: Three-year average fuel poverty rate across Argyll and Bute relative to the Scottish national. Note that from the
years 2016-18 onwards, the definition of fuel poverty differed to the previous years.   
10 Scottish Government (2021) Scottish House Condition Survey: Local Authority Analysis 2017-2019, 23
February. Available at: https://www.gov.scot/publications/scottish-house-condition-survey-local-authority-
analysis-2017-2019/pages/6/ (Accessed: 02/04/2024).
16%
45% 44%
29%
32%
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
50%
2013-15 2014-16 2015-17 2016-18 2017-19
Comparison of three-year average fuel poverty rates across Argyll and
Bute and Scotland
Argyll and Bute Scotland

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Argyll and Bute Council LHEES Strategy 43
Fuel poverty is a function of several variables including income and how energy is used in the
home, neither of which have been analysed as part of the LHEES. Fuel poverty is also driven by
the energy efficiency of homes and by fuel prices. While the average fuel poverty rate in Argyll and
Bute stands at 32%11, there are areas with much higher concentrations of fuel poverty, as
demonstrated in Map 1.
Forty three percent of Argyll and Bute’s population live in areas classified as ‘remote rural’; and
4.2% live in areas classified as ‘accessible rural’. Rural populations are potentially at greater risk of
fuel poverty.12 The rate of fuel poverty is likely to have worsened since 2019 due to the recent cost-
of-living crisis and energy price crisis.
Map 1: Probability of fuel poverty across Argyll and Bute.13 
11 Scottish Government (2019) Scottish House Condition Survey: Local Authority Analyses 2010-2012 to
2016-2018. Available at: Scottish House Condition Survey: Local Authority Analyses 2010-2012 to 2016-
2018 - gov.scot (www.gov.scot) (Accessed: 02/04/2024).
12 Changeworks (2022) A perfect storm: Fuel poverty in rural Scotland
13 Map 1 is only an indication of the number of properties at risk of fuel poverty as a result of poor building
energy efficiency. It does not account for the other variables that are drivers of fuel poverty (household
income, energy bills and how energy is used in the home). This, however, does not mean that poor building
energy efficiency alone should be used as the sole indicator of fuel poverty risk, as it may highlight affluent
areas with poor building energy efficiency.

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Argyll and Bute Council LHEES Strategy 44
In a national context, Argyll and Bute is a lesser deprived area (ranked 18th of 32 local authorities),
based on SIMD rankings. A total of 4,992 properties in Argyll and Bute fall within SIMD deciles one
and two (see Box 2). Only 4% of Argyll and Bute’s social housing and 4% of owner-occupied
properties fall within these two deciles of high deprivation (Table 14). The Council has used the
LHEES process to investigate where these areas with a high probability of multiple deprivation also
have a high number of category one ‘heat pump ready’ properties. 
Table 14: SIMD statistics covering Deciles One and Two by tenure within the local authority’s total domestic building
stock. Source: Home Analytics v.3.9
Owner Occupied Privately Rented Housing Association
2,074 
(4%)
881
(2%) 
2,037 
(4%)
Box 2: Scottish Index for Multiple Deprivation as a proxy for fuel poverty
The Scottish Index for Multiple Deprivation (SIMD) dataset has been used to assess fuel
poverty within Argyll and Bute. SIMD is a standard tool for identifying areas with relatively high
levels of deprivation and was published in 20201. The SIMD:
• Is a relative measure of deprivation across small areas in Scotland.
• Looks at multiple deprivation. 'Deprived' does not just mean 'poor' or 'low income'. It can
also mean people have fewer resources and opportunities, for example in health and
education.
SIMD data can be used to:
• Compare overall deprivation of small areas.
• Compare the seven domains of deprivation.
• Compare the proportion of small areas in a Council region that are very deprived.
• Find areas where many people experience multiple deprivation.
• Find areas of greater need for support and intervention.
SIMD data is split into ten deciles covering the whole population, where one is most deprived
and ten is least on the scale.

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Argyll and Bute Council LHEES Strategy 45
Figure 8: Tenure split amongst SIMD Decile One and Two Properties within Argyll and Bute 
Primary fuel type for domestic buildings
In Argyll and Bute the use of electricity as the primary fuel type in domestic buildings is around
three times the national average (Table 15). Although gas is the most common fuel type, the
number of homes using gas is approximately half of the national average. In some areas, such as
Oban, it is not mains gas but rather “town gas”; gas delivered to the town and then filled into tanks,
from which it is piped to individual residences.
Biomass or solid fuel (wood or coal) is six times more prevalent as the primary heating source than
in Scotland as a whole (Table 15). This figure is likely to be higher, as many households may have
another fuel as their main heating source, but they often do not use that heating at all or only at
certain times of the year due to the cost. Instead, many households heat a room or two using a
wood-burning stove or open fire as the wood fuel is often free. 
Housing
Association
2,037
4%
Owner Occupied
2,074
4%
Privately Rented
881
2%
Other SIMD
Category
Properties
43,680
90%
Tenure split of properties within SIMD Deciles One and Two within Argyll
and Bute
Housing Association Owner Occupied
Privately Rented Other SIMD Category Properties

Page 46

Argyll and Bute Council LHEES Strategy 46
Table 15: Primary fuel type statistics for domestic properties in Argyll and Bute. Source: Home Analytics v.3.9
Primary Fuel Type Argyll and Bute Scotland
Mains Gas (including Town
Gas) 20,211 (42%) 2,016,000 (82%)
Electricity 16,270 (33%) 262,000 (11%)
Oil 7,211 (15%) 129,000 (5%)
LPG 1,753 (4%) 18,000 (1%)
Biomass/Solid Fuel 2,871 (6%) 36,000 (1%)
No Fuel 356 (1%)         -     
Figure 9: Primary fuel types across properties in Argyll and Bute relative to the Scottish national average. 
Energy Performance Certificate data for domestic buildings
Social housing generally has much better energy efficiency than the other property tenures. In
Argyll and Bute 8% of social housing is rated EPC band A-B compared to the national average of
6% (Table 16), suggesting a strong programme of existing retrofitting works have taken place in
this tenure type in Argyll and Bute. 
1
10
100
1000
10000
100000
1000000
10000000
Electricity LPG Mains Gas Oil Biomass/Solid
Fuel
Primary Fuel Type in Argyll and Bute and Scotland
Argyll and Bute Scotland

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Argyll and Bute Council LHEES Strategy 47
Table 16 shows that 21% of privately rented and 18% of owner-occupier properties have an EPC
band C. This is approximately half as many than the national average of 43% for both tenures.
More work is required to encourage landlords to improve energy efficiency measures. 
Table 16: EPC data for domestic properties in Argyll and Bute. Source: Home Analytics v.3.9
EPC Band Owner Occupied Private Rental Social Housing  
Argyll and
Bute Scotland Argyll and
Bute Scotland Argyll and
Bute Scotland
A-B (81-100)  6% 4% 6% 7% 8% 6%
C (69-80)  18% 43% 21% 43% 53% 59%
D (55-68)  36% 38% 32% 35% 29% 28%
E (39-54)  23% 11% 21% 9% 7% 6%
F-G (1-38)  17% 4% 20% 6% 2% 1%
All 100% 100% 100% 100% 100% 100%

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Argyll and Bute Council LHEES Strategy 48 
Figure 10: Split of EPC bands across all property tenures in Argyll and Bute relative to the Scottish national average. 
Carbon emissions from domestic buildings
It is noteworthy that all dwelling types in Argyll and Bute have lower carbon emissions than the
national average.
Carbon emissions are relatively consistent across the different dwelling types in Scotland as a
whole, ranging from 67.4 kg/m²/yr to 70.5 kg/m²/yr.  n contrast, Argyll and Bute’s tenements and
detached housing have lower emissions than other housing types in Argyll and Bute. When
compared to the national average this equates to approximately 18% and 15% lower carbon
emissions per m², respectively. 
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
A-B (81-100) C (69-80) D (55-68) E (39-54) F-G (1-38)
EPC Data for Domestic Properties in Argyll and Bute Relative to
National Figures
Owner Occupied Social Housing
Private Rental Private Rental (Scotland)
Owner Occupied (Scotland) Social Housing (Scotland)

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Argyll and Bute Council LHEES Strategy 49
Figure 11: Carbon emissions (kg/m²/yr) for each dwelling type in Argyll and Bute. Source: Home Analytics v.3.9 
4.2. Non-domestic buildings 
Non-domestic buildings make up only 17% of the total building stock in Argyll and Bute. Within
non-domestic buildings, the majority (90%) are privately owned; this is 7% more than observed
within the total domestic building stock (Figure 12). This means that significant partnership working
will be required with the owners of non-domestic buildings if these buildings are to be
decarbonised. 
63.3
67.0
59.9 63.5
55.4
60.3
70.4 68.2 70.5 69.8 67.4 69.3
0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
80.0
Carbon Emissions (kg/sqm/yr)
Argyll & Bute CO2 emissions estimate (kg/msq/yr)
National CO2 emissions estimate (kg/msq/yr)

Page 50

Argyll and Bute Council LHEES Strategy 50
Figure 12: Breakdown of privately owned and public owned non-domestic building stock in Argyll and Bute   
Non-domestic buildings in Argyll and Bute require significantly less heat than domestic properties,
equating to only 38% of the total heat demand across all properties (Table 17).
Table 17: Total heat demand for domestic and non-domestic buildings in Argyll and Bute. Source: Non-Domestic
Analytics v.1.1
Non-domestic total heat
demand (MWh/yr)
Domestic total heat demand
(MWh/yr) Total heat demand (MWh/yr)
488,583 (38%) 806,891(62%) 1,295,474
Figure 13 demonstrates that the correlation between the number of properties and heat demand is
not always directly proportional and depends on the property’s end use. Non-domestic typologies
such as residential properties, including care homes, sheltered housing and short-term/holiday lets,
are most common within Argyll and Bute, with proportionally high heat demand. Storage facilities
and offices constitute the next greatest frequencies of non-domestic stock within Argyll and Bute,
yet heat demand is significantly lower.
Although hotels make up a relatively low number of properties, they have high heat demands.
Hotels are often of stone construction and located on the seafront. Consequently, they are
exposed to the elements, which probably accounts in part for their high heat demand. In addition,
hotels have high-intensity heating to maintain continuous temperature control.
10%
933
17%
8,374
90%
8,691
83%
40,298
0
10,000
20,000
30,000
40,000
50,000
60,000
Non-domestic Domestic
Private-Public Split within Domestic and Non-Domestic
Stock in Argyll and Bute
Public Owned Privately Owned

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Argyll and Bute Council LHEES Strategy 51
Figure 13: Non-domestic property count and total heat demand in Argyll and Bute 
Primary fuel type in non-domestic buildings
Over half of non-domestic properties across Argyll and Bute use electricity as their main fuel
source, a total of 6,317 properties (Table 18). Electricity is used to meet 66% of the total heat
demand for non-domestic properties in Argyll and Bute, providing 236,428 MWh/year of heat.
Figure 14 shows that oil and other fuels make up a slightly higher percentage of heating demand
when comparing to property counts. This suggests that properties using these fuel types have a
higher heating demand than those fuelled by electricity. 
0
50,000,000
100,000,000
150,000,000
200,000,000
250,000,000
0
500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
Non-domestic property count and heat demand
Count Heat Demand (kWh/yr)

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Argyll and Bute Council LHEES Strategy 52
Table 18: Non-domestic property count by main fuel type. Source: Non-Domestic Analytics v.1.1
Electricity Mains gas Oil Other
6,317 (66%) 1,014 (11%) 1,580 (16%) 713 (7%) 
Table 19: Heat demand by main fuel type (MWh/yr). Source: Non-Domestic Analytics v.1.1
Electricity Mains gas             Oil       Other
236,428 (48%) 80,257 (16%)     111,346 (23%) 60,552 (12%) 
Figure 14: Count of non-domestic properties by main fuel type and respective heat demands within Argyll and Bute 
6,317
66%
1,014
11%
1,580
16%
713
7%
236,428
48%
80,257
16%
111,346
23%
60,552
12%
0%
10%
20%
30%
40%
50%
60%
70%
Electricity Mains Gas Oil Other
Relationship between count of non-domestic properties by main
fuel type and respective heat demands (MWh/yr)
Count Sum of Heat demand (MWh/yr)

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Argyll and Bute Council LHEES Strategy 53
5. LHEES Priorities 
The residents of Argyll and Bute inhabit an area characterised by its remote rural and insular
geography. Approximately 17% of the population resides across 23 inhabited islands, while others
live in areas of similar seclusion, such as the Kintyre peninsula. This unique geographical makeup
presents distinct challenges in the implementation of decarbonisation measures. The remoteness
and insularity of these communities result in a lack of viable heat decarbonisation options, skills
shortages, supply chain issues, and grid capacity limitations. This renders conventional measures
applicable to other parts of Scotland impractical. It is imperative to develop tailored solutions to
address these exceptional challenges.
Guiding Principles
The priorities for Argyll and Bute's LHEES have been established based on the following guiding
principles:
• Developing an approach that considers the unique challenges encountered by island and
remote rural communities.
• Ensuring LHEES actions do not exacerbate the Council's “housing emergency”.
• The area’s natural assets are harnessed and optimised.
• Ensuring a “Just Transition” to net zero.
• Opportunities for community wealth building are maximised. 
This first iteration of the LHEES necessitates a focused approach on a select range of key
programmes aligning with local and national priorities. However, the documents also aim to serve
as a prospectus for targeted investments intended to achieve heat decarbonisation and optimise
energy efficiency outcomes.
LHEES Priorities 
• Address grid infrastructure  
• Building sustainable and energy resilient communities 
• Address the supply chain constraints and shortage of skills
• Improve education and awareness of decarbonisation requirements and solutions
• Tackle fuel poverty 
• Ensure a “Just transition” to net zero
• Decarbonise heat sources
• Energy efficiency, a fabric-first approach and getting buildings heat pump ready

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Argyll and Bute Council LHEES Strategy 54
5.1. Address Grid Infrastructure 
The Council is firmly committed to achieving the decarbonisation of heating in homes and buildings
by 2045. To accomplish this goal, the Council will need to collaborate closely with the area's two
Distribution System Operators (DSOs) SSEN and SPEN. The severely constrained electricity grid
poses a significant obstacle to the mass electrification of heat in the short to medium term. 
Collaboration with both DSOs is essential to develop a grid system that can effectively support the
Council's net zero commitment. Furthermore, the area's unique geography presents challenges
when it comes to upgrading grid infrastructure. For example, enhancing electricity capacity on
islands requires the costly upgrade of subsea cables. In some island communities, the DSO are
using diesel generators to generate electricity to power heat pumps in homes.
5.2 Building Sustainable and Energy Resilient   
Communities 
The majority of householders in island areas rely on fossil fuels such as oil and LPG to heat their
homes and buildings. These fuel sources are transported to islands via ferries. This not only
elevates fuel costs but there are also fuel security implications as islanders are dependent on ferry
services for their energy supply.
Argyll and Bute’s LHEES Delivery Plan will encourage communities to devise local place-based
plans outlining local bespoke solutions for reducing energy demand and decarbonising the heat
source. These plans should prioritise both reducing carbon emissions from heating homes and
buildings and addressing energy security to fortify community resilience. 
5.3 Address supply chain constraints and shortage of skills 
The energy efficiency and decarbonisation workstream has the potential to generate substantial
economic benefits for businesses and the labour markets. These advantages include: 
• Enhancing the job offer with higher paid, higher skilled jobs. 
• Bolstering the supply chain. 
• Offering opportunities for technological enhancement. 
• Providing businesses with the opportunity to grow by operating in the rapidly expanding
green economy. 
However, there is a noticeable deficiency in the expertise required to implement energy efficiency
and heat decarbonisation measures in Argyll and Bute. This is evidenced by the fact that Argyll
and Bute is struggling to secure installers for the 'Great British Insulation Scheme’. This skills
shortage has the following implications:
• It presents a significant obstacle to achieving the goal of decarbonising homes and
buildings in Argyll and Bute by 2045.

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Argyll and Bute Council LHEES Strategy 55
• This shortage results in higher installation costs, as skilled individuals must be brought in
from afar due to the lack of local expertise.
• The absence of a locally available skilled workforce poses significant challenges in
ensuring servicing and maintenance of decarbonised heat technologies.
• Inability to unlock the economic benefits of heat decarbonisation such as high-value job
opportunities in a growth sector. 
In 2022, Historic Environment Scotland (HES) conducted a skills audit in Argyll and Bute. This
research highlighted while most trades faced difficulties attracting personnel, the prevalent theme
was the challenge of drawing in and retaining young individuals within the construction industry.
This finding has been backed up by several training providers offering courses in energy efficiency
measures or renewable energy technologies. These courses have either been undersubscribed or
have had to cease due to lack of demand. 
The LHEES Delivery Plan will outline the actions that need to be taken by the Council and key
stakeholders to increase the number of people choosing this career route. It will lay out how Argyll
and Bute will ensure training and skills development programmes are available to increase the
number of skilled people in this sector.
5.4 Improve education and awareness of decarbonisation
requirements and solutions
The complexity of the decarbonisation process necessitates a thorough understanding of the
various technologies and energy efficiency measures. Without such knowledge, building owners
will encounter challenges in identifying the most suitable low or zero carbon heating system for
their specific building. An educational campaign for the general public is imperative to elucidate
available options, their respective advantages and disadvantages, and maintenance requirements. 
The Argyll and Bute LHEES process involved surveying professionals in the energy efficiency and
housing management sectors. The findings revealed that although they possessed theoretical
knowledge of low and no carbon heat technologies and energy efficiency measures, the majority
lacked insight into the most suitable technology or energy efficiency measures for their homes.
Thus, it is vital to provide building owners with the necessary advice and support to facilitate
decarbonisation 
Despite multiple agencies offering funding and guidance, identifying the most appropriate agency
to consult can be arduous. Delivering decarbonisation and energy efficiency objectives hinges on
building owners having access to tailored decarbonisation plans, comprehensive information about
available funding opportunities, and experts adopting a “whole building approach”.
Building owners often seek to transition to low or zero carbon energy or implement energy
efficiency measures following unexpected events, such as boiler malfunctions or building repairs
necessitated by inclement weather. Timely access to impartial advisors is essential to ensure that
building owners can successfully implement these measures. If access to such advice is delayed,

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Argyll and Bute Council LHEES Strategy 56
building owners may proceed with repairs and maintenance without taking the opportunity to install
decarbonisation measures.
There are various tools on the market which could offer building owners bespoke advice to enable
them to ascertain the most appropriate decarbonisation pathway for their building. Promoting the
use of such tools could be advantageous, as they could result in higher rates of energy efficiency
and decarbonisation measures being installed. However, it is vital for the Council to be confident
that such tools provide accurate advice. Promoting tools that provide inaccurate or incorrect advice
would create credibility issues for the Council.
To summarise, there is a need to:
• Dispelling the myths about heat pumps and heat networks by providing case studies and
good news stories. 
• Conduct a comprehensive nationwide education and awareness campaign on heat
decarbonisation and energy efficiency measures.
• Increase awareness of decarbonisation technologies for building owners. 
• Identify energy efficiency measures to reduce heat demand. 
• Ensure that building owners are aware of where to access tailored advice and support.
• Offer guidance on the cost of installing decarbonisation technologies and direct building
owners to funding opportunities.
Some of these actions will be the responsibility of national agencies while others will be actions
needed to be taken within Argyll and Bute’s LHEES  elivery Plan.
5.5 Tackle Fuel Poverty 
Addressing fuel poverty remains a priority for the Council. The ongoing cost of living crisis is felt
particularly hard in rural and remote rural areas, as Figure 15 shows.
Argyll and Bute:  
• Ranks third lowest in median pay rate among all Scottish local authorities.
• Face higher costs, ranging from 13% to 185% higher than urban UK areas.
• Have around 70% of households at risk of fuel poverty.

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Argyll and Bute Council LHEES Strategy 57 
Figure 15: Cost of living in Argyll and Bute. Source: Argyll and Bute – Cost of Living Crisis Case for Support 
Since 2022, high fuel prices have radically increased fuel bills. Figure 16 shows that the average
fuel bill in Argyll and Bute is 62% higher than in Scotland as a whole. 
Figure 16: Average Fuel Bill (£ pa) in Argyll and Bute and Scotland. Source: Home Analytics v.3.9 
High fuel costs combined with homes in Argyll and Bute requiring more heat to feel comfortable
than homes in other parts of Scotland will likely push more households into fuel poverty. This is
illustrated in Figure 17, which indicates that energy demand in Argyll and Bute exceeds 31,000
kilowatt hours per year, while the Scottish average is lower at 22,000 kilowatt hours per year. This
equates to almost a third higher energy demand in Argyll and Bute. 
1,604
993
Average estimate Scotland average
Average Fuel Bill (£ pa)

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Argyll and Bute Council LHEES Strategy 58
Figure 17: Average Energy Demand (kWh/year) in Argyll and Bute and Scotland. Home Analytics v.3.9 
Living in a cold home can have significant impacts:
• Health impacts: Cold homes have been linked to several health conditions, especially
affecting older, vulnerable, and disabled residents as well as younger residents of Argyll
and Bute. 
• Child poverty impacts: A report on child poverty in rural and island regions highlights that
fuel costs are a major contributor to fuel-related poverty in these communities. This is due
to reasons such as larger and older housing stock, and reliance on expensive oil or electric
heating. Interventions focusing on reducing costs for these households, such as improving
insulation to lower energy bills, could be particularly helpful. 
• Impact on life chances: Research indicates there is a relationship between poor housing
and lower educational attainment.14 This means children living in inadequate housing are
more likely to have lower educational attainment, negatively impacting their life chances. 
Although most of the Council does not have a traditional gas network, some of the towns have
‘town gas’; where gas is delivered to the town, gas tanks are filled, and gas is then piped around
the town. The unit price of gas is considerably lower than electricity. Therefore, tenants and
homeowners could be driven into fuel poverty if they switch from a gas heating system to an
electric heat source. The LHEES has a duty to ensure that any decarbonisation plans would not
drive people into fuel poverty. Consequently, the Council is prioritising areas which are off the gas
grid, as transitioning to low or zero carbon heating is less likely to result in increased energy bills. 
14 Shelter (2013) People Living in Bad Housing URL:
https://assets.ctfassets.net/6sxvmndnpn0s/6pmYen0M6fWEJCcKqEq5sY/95d09421aeeec22dcc37c6cd202f
c5bc/People_living_in_bad_housing.pdf 
31,131
22,751
Average estimate Scotland average
Average Energy Demand (kWh/year)

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Argyll and Bute Council LHEES Strategy 59
5.6 Ensure a “Just Transition” to Net Zero 
It is essential that the move to net zero is a just transition. In other words, fair and equitable, where
no community is unable to experience the benefits of low carbon heating at an affordable cost.
Historically resources for energy efficiency measures and heat decarbonisation measures have
been concentrated on social housing, often resulting in private tenure homes being overlooked
when it came to retrofitting. Additionally, householders who live in areas of low heat density will not
have access to heat networks. This leaves very limited options for heat decarbonisation and risks
some homes being left behind. The LHEES aims to provide a just transition and will focus on:
Rental properties
The SHNZS and the HIB are both proposing that rental properties failing to meet energy efficiency
and heat decarbonisation standards will be prohibited from being re-let. With the Council declaring
a housing emergency, it is crucial not to deplete housing stock and worsen the emergency. The
LHEES will focus on supporting rental properties to meet energy efficiency and heat
decarbonisation standards, to ensure that they are retained and re-let. Another reason why the
LHEES will prioritise rental properties is that the Council recognises that tenants have limited
agency and, consequently, are unable to decide to transition to a low-carbon heating source or
install energy efficiency measures.
Public Sector Buildings (PSB)
PSB are expected to transition to clean heating before other non-domestic buildings. The LHEES
will focus on decarbonising the heat sources of PSB. 
Off-gas households
Off-gas households are more at risk of suffering fuel poverty due to the high cost of oil, LPG or
electricity relative to gas. As a result, it is a priority of Argyll and Bute’s LHEES to ensure off-gas
grid properties receive better insulation and affordable heating systems to help reduce the
likelihood of fuel poverty. The Council and its RSL partners have prioritised off-gas rental
properties for retrofitting. This is so support can be given to rental stock that is at risk of being
withdrawn following the implementation of SHNZS and HIB, as well as helping the tenants of these
properties avoid fuel poverty during this transition. Additionally, the Council will prioritise retrofitting
its own non-domestic buildings in off-gas grid areas, as it can generate greater savings in heating
bills compared to similar buildings on the gas grid. The cost of retrofitting will be reimbursed sooner
in off-gas grid buildings, enabling the council to transition more buildings to low and zero carbon
heating solutions.

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Argyll and Bute Council LHEES Strategy 60
Social Rented
There are 2,960 off-gas socially rented buildings within Argyll and Bute, all of which are owned by
housing associations. Map 2 illustrates the concentration of off-gas grid socially rented properties
(by count) within areas of Argyll and Bute. The data zones15 with the highest counts are:
• Whisky Isles – 05
• Oban South – 05
• Oban South  - 07
• Mull, Iona, Coll and Tiree – 03
• Oban North – 04 
Map 2: Count of off-gas socially rented (housing association only) properties in Argyll and Bute 
15 Data zones are defined areas which are used for the analysis of statistics across the public and private
sector in Scotland. Data zone boundaries can be viewed here:
https://spatialdata.gov.scot/geonetwork/srv/api/records/7d3e8709-98fa-4d71-867c-d5c8293823f2

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Argyll and Bute Council LHEES Strategy 61
Private Rented 
Around 17% of the total off-gas housing stock is privately rented. Map 3 illustrates the count of
privately rented domestic properties within Argyll and Bute. The highest levels are in: 
• Bute - 04
• Whisky Isles - 03  
• Knapdale – 01
• Whiskey Isles – 02
• Mull, Iona, Coll and Tiree – 03
The area around Whisky Isles has the highest number of socially rented and privately rented
properties. By looking at areas with overlapping criteria, opportunities for access to economies of
scale in the decarbonisation plan can be identified.
Map 3: Count of off-gas privately rented properties in Argyll and Bute

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Argyll and Bute Council LHEES Strategy 62
Owner Occupied 
The majority of off-gas grid properties within the local authority are owner-occupied (17,085). Map
4 depicts the highest concentrations of this property tenure to be found in: 
• Mull, Iona, Coll and Tiree - 01 
• Cowal North - 01
• Mid Argyll - 03
• Cowal South - 01
• Loch Awe – 03 
Map 4: Count of off-gas owner-occupied properties in Argyll and Bute

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Argyll and Bute Council LHEES Strategy 63 
Opportunities from a ‘Just’ approach  
The opportunities are as follows:
• For eligible tenants and homeowners in off-gas grid areas to access ABS, Warmer Home or
ECO funding to provide energy efficiency measures or cheaper, cleaner energy to heat
their home.
• Off-gas rented properties face higher rates of fuel poverty. Targeting these will help
address the high rates of fuel poverty in the council area whilst meeting net zero
requirements. 
• To reduce the number of private properties with an EPC band D or below, as significantly
more properties in Argyll and Bute have an EPC band D than in Scotland as a whole.
• Having completed 49 energy efficient projects in non-domestic buildings since 2021, the
learnings of these retrofits can be applied to similar off-gas non-domestic public buildings in
the future.
Challenges of a ‘Just’ approach 
Argyll and Bute face a number of challenges in realising the just transition such as:
• Remote rural and island areas encounter higher costs than urban areas. Figure 15 shows
that island communities pay between 13% and 185% more for goods compared to their
urban counterparts. Therefore, the costs of decarbonising is likely to be higher in Argyll and
Bute than in urban areas.
• Argyll and Bute face additional challenges in engaging installers or tradespeople to carry
out energy efficiency and decarbonisation works due to local skills shortages and being
very remote from the central belt. As most off-gas properties are located on the islands,
they would have to pay a premium for installers to travel there.
• The majority of building owners will not be in a heat network and so will not benefit from low
or no cost connection to a decarbonised heat source and instead will have to invest £10-
20k to install a heat pump. This discrepancy is unfair and disadvantages building owners in
remote rural and island communities.
• Some landlords may be unable to engage an installer, connect to the grid due to
constraints, or have access to finances to invest in a clean heating system. Therefore,
these landlords will be unable to let their property, exacerbating the housing emergency.
Therefore, the LHEES has prioritised supporting the private rented sector in transitioning to
clean low-cost heat.
• Many communities are not scheduled to have grid infrastructure improvements for many
years. They will be unable to reap the benefits of transitioning to clean, low-cost heat. The
LHEES will focus on decarbonising heat sources in buildings that already use electricity or

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Argyll and Bute Council LHEES Strategy 64
are in off-gas grid areas with grid headroom to allow for the transition to low—or zero
carbon heating systems.  
• Private Sector Landlords are not a homogeneous group and are not eligible for many
funding sources. 
• Homeowners are also not a homogeneous group. Homeowners on passport benefits have
access to a wider range of funding support to enable them to install energy efficiency
measures and decarbonise their heat source. Most other homeowners do not have access
to funding to decarbonise.
• Encouraging tenants to apply to the ABS scheme is difficult.
• The Council does not own social housing stock, so must work closely with the various RSLs
to target the retrofit of off-gas rented properties.
• The Council is facing staff resource and capacity issues. It will be challenging to find time to
undertake all the required partnership working to delivery this outcome.
• 
5.7 Decarbonising the Heat Source  
This section outlines the various mechanisms which the Council are considering to use to
decarbonise heating in Argyll and Bute.
5.7.1 Heat Networks
In the UK Government Department for Business, Energy and Industrial Strategy, Heat Networks’
define a heat network as follows: 
“Heat networks (also known as district heating) supply heat from a central source to
consumers, via a network of underground pipes carrying hot water. Heat networks can
cover a large area or even an entire city or be fairly local supplying a small cluster of
buildings”. 16 
As part of their plan, the Council aim to transition to a clean heating system by establishing heat
networks or expanding existing zones. Heat networks, depending on their fuel source and
efficiency levels, can reduce greenhouse gas emissions and fuel poverty levels across Argyll and
Bute. Furthermore, their design makes it simple to enable additional new heat sources with
minimal disruption, making potential future expansions to existing networks across the region cost-
effective. Heat networks may also help to reduce householders’ energy bills and tackle fuel
poverty, if well-designed and operating efficiently using an appropriate heat source.
To be efficient, economically viable and deliver value for money, heat networks must be well
located. This means being in areas with sufficient heat demand and density to enable optimal
performance. Argyll and Bute is generally a low heat dense region which limits the opportunities for 
16 UK Government Department for Business, Energy & Industrial Strategy. What is a heat network?.
Available at:
https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/696273/H
NIP_What_is_a_heat_network.pdf). (Accessed: 04/07/2024).

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Argyll and Bute Council LHEES Strategy 65
heat network development. Argyll and Bute’s population density (13 persons per km2) is
significantly lower than the Scottish national average (70 persons per km2).  
Heat network development also requires securing connections to the network from buildings with
large, reliable, and long-term demand for heat. These are known as ‘anchor loads’ and are
essential in allowing heat networks to operate efficiently. 
In collaboration with a range of stakeholders, the Council is looking to build new heat networks and
expand existing heat networks.  
Heat Network Progress 
• Shared ground loops 
o Argyll and Bute is not a heat-dense area. Only small tracts of land within the local
authority will be suitable for heat networks as specified by the Scottish
Government’s methodology. 
o As part of the LHEES process the Council, Zero Waste Scotland, and Buro Happold
carried out a study to identify sites in the local authority area which would be most
suitable for smaller heat networks, namely shared ground loops.  
o The advantage of shared ground loops is that shared infrastructure means the
capital costs of the project diminish, making the transition to decarbonised heat
more viable.
• Waste Water to fuel heat networks
o In 2018, a joint venture between Argyll and Bute Council, Scottish Water Horizons and
SHARC Energy Systems enabled Campbeltown’s Aqualibrium leisure centre to be
heated by wastewater from the Kinloch Park Pumping Station. 
o The heat-from-wastewater technology was one of the first of its kind and was funded by
Scottish Water Horizons and the Scottish Government’s Low Carbon  nfrastructure
Transition Programme (LCITP). The Council is keen to expand this project and is
actively investigating this, as well as the viability of devising similar projects in other
parts of the authority. 
Heat Network Data 
Analysis was undertaken to identify the areas where heat networks present a decarbonisation
pathway that could be of strategic importance for Argyll and Bute. The areas of greatest potential
were identified based on heat density and the identification of anchor loads (see Appendix E for the
full methodology). For the first iteration of the LHEES, only non-domestic buildings that the Council
has full or partial control over were treated as potential anchor loads in the heat network zoning
exercise. This is because the Council has greater control over the operation of these buildings and
can guarantee their use as an anchor load. 
A total of five indicative heat networks have been identified from the analysis (Map 5). These are in
the areas of Campbeltown, Rothesay, Lochgilphead and Bowmore.

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Argyll and Bute Council LHEES Strategy 66
Prior to the LHEES, Argyll and Bute had conducted a pilot study on heat networks. In the study, 10
district heat network clusters were identified, with similarities seen between the pilot study and the
LHEES analysis (Appendix F). In particular, the areas of Oban, Lochgilphead and Campbeltown
were further identified as possible priority heat network development opportunities considering
number of property connections, fuel poverty statistics, nearby waste heat sites and local
development projects. However further investigation will be required to determine if these are
viable heat networks the LHEES delivery plan will set out actions on this regard. 
Heat Network Opportunities
• Work with stakeholders carrying out infrastructure works (e.g. RSLs who are building new
homes). This enables the heat network infrastructure to be laid at a lower cost. This could
potentially be a game changer for the Lochgilphead heat network which may have been
precluded because of the cost of infrastructure.
• The Council has Rural Growth Deal funding to develop a decarbonised heating project in
Islay which has a potentially viable heat network opportunity. Islay has also devised plans
to become a net zero community and have carried out a feasibility study to this end.
Consequently, the Council and stakeholders have data, the desire and funding to carry out
a project on Islay.
• The community in Iona have undertaken a feasibility study to develop a heat network on the
Island. 
• The expansion of heat networks among coastal and off-gas communities can help them
transition away from expensive fossil fuels. 
• The Council has previously worked in partnership to build successful heat networks in
Campbeltown and is actively seeking to expand this project.
• There are also several district heating schemes in the local authority area which provide
learnings for future projects. 
Heat Network Challenges
• Argyll and Bute is not a heat-dense area, so developing heat networks within the council
boundaries will be costly and generate more limited financial returns than networks built in
heat-dense areas. Consequently, it will be difficult to leverage in private sector investment
to build heat networks, leading to a greater need for public sector funding.
• Local and Scottish Government capital budgets have been diminished in real terms. It will
be challenging to find monies to invest in heat network infrastructure.
• To develop a heat network will require considerable staff resource to collaborate with
stakeholders. However, the current staff capacity is inadequate to fulfil this role.

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Argyll and Bute Council LHEES Strategy 67
Map 5: Heat network opportunities in Argyll and Bute as identified within LHEES

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Argyll and Bute Council LHEES Strategy 68
5.7.2 Heat Pumps 
Many communities in Argyll and Bute do not live in one of the potential heat network zones nor will
they be able to transition to a heat pump due to the grid being unable to provide the capacity for
mass electrification of heat. Other decarbonisation solutions must be found. These are explored in
the next section.
5.7.3 Bespoke solutions for Argyll and Bute
Biomass  
The Energy Saving Trust classify biomass as a ‘lower carbon option’. The carbon dioxide emitted
when wood is burned is the same amount that was absorbed over the months and years that the
plant was growing. Home Energy Scotland currently provide £7,500 (up to £9,000 in remote rural
areas) of grant funding to install a biomass boiler. A further £7,500 is available as an optional
interest-free loan for homeowners wishing to transition to this fuel type. 
In addition, some farmers, hotels, council buildings, swimming pools, and other non-domestic
buildings in Argyll and Bute transitioned to biomass following the introduction of the Scottish
Government’s Renewable Heat  ncentive (RH ). This scheme paid building owners per kWh of heat
generated enabling the monies invested in a biomass heating system to be recouped. Using
biomass allows building owners reliant on oil, LPG or gas to move from fossil fuels to a lower
carbon fuel. Biomass is important in rural areas as it:
• Provides local employment with jobs in installing stoves, cleaning chimneys and supplying
wood fuel
• Provides free fuel for estate workers, farmers, other landowners, and local people who
have scavengers’ licences allowing them to find wood fuel on Forestry and Land Scotland
sites. Without this free fuel, some of these households would fall into fuel poverty.
• Is part of the circular economy using the waste wood product from timber harvesting or
industrial processes 
Unused locally generated energy 
In 2023, the total operational capacity of renewable developments was over 1552MW which is
approximately 10% of the Scottish total. In addition, there is potential to increase clean energy
production to five gigawatts17 in the next decade. Current renewable installations such as
windfarms and hydro can produce significantly more energy, but grid constraints mean this energy
cannot be exported to the grid. These installations are turned off until the grid can facilitate the
energy they generate. The Council and stakeholders are keen to harness this potential electricity.
The LHEES Delivery Plan will investigate potential technological solutions which would either
utilise energy locally for example making green hydrogen, storing the electricity in industrial scale 
17 Argyll and Bute Council Development and Economic Growth. Argyll and Bute Council’s Economic Strategy
Refresh: 2024-2034. Available at:  https://www.argyll-
bute.gov.uk/moderngov/documents/s205254/ARGYLL%20AND%20BUTE%20COUNCILS%20ECONOMIC
%20STRATEGY%20REFRESH%202024-2034.pdf (Accessed: 12/07/2024).

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Argyll and Bute Council LHEES Strategy 69
batteries similar to the ones used in the Annan Distillery project, storing heat in thermal batteries or
other new technological solutions to maximise local energy production and distribution.  
Local generation and distribution projects
The Council will continue to work with Local Energy Scotland who support local energy generation
and distribution projects. Local Energy Scotland has supported the Iona community to carry out
research as to whether it would be viable to install a heat network powered by a wind turbine. The
proposed heat network would heat homes and the Abbey (a HES asset). The project is seeking
funding to implement the recommendations outlined in the feasibility study.
Hydrogen and Gas mixed fuels 
Argyll and Bute have a pilot project where gas is being mixed with hydrogen to reduce carbon
emissions. This is not a zero-carbon project but does allow for carbon emissions to be reduced by
20% and is one step in the decarbonisation journey. The advantage of this approach is that there is
no need to invest in a new heating system as gas and 20% hydrogen mix can be used with the
existing infrastructure.
Heat pumps with electricity generated by diesel generators 
In Islay, buildings have heat pumps, however, there is no grid capacity to power these heat pumps.
SSEN installed diesel generators to generate electricity to power the heat pumps. Although these
heat pumps are not using clean fuels at present it is a step towards decarbonisation. When grid
capacity becomes available these buildings will immediately be transferred to the grid, immediately
being heated with clean heat rather than having to wait to install a clean heating system. 
5.8  Energy efficiency, a fabric-first approach and getting
buildings heat pump ready 
Argyll and Bute is not a ‘heat dense’ area, with limited opportunities for large Heat Networks.
Although there are prospects for district heating systems powered by biomass, progressing these
hinges on whether the Scottish Government’s H B bill will allow biomass to be a permitted fuel in
its quest towards zero emissions heating. 
Currently, the only permitted or available decarbonisation options for most buildings in Argyll and
Bute is a heat networks powered by shared ground-loops, individual heat pumps or direct electric
heating systems. All these options necessitate grid capacity, which is constrained in most of the
Council area. Local DSOs have indicated that significant infrastructure upgrades will be required
before mass electrification of heating can occur in the area. Hence, the LHEES prioritise ensuring
that buildings are ‘heat pump-ready’ while the area awaits the necessary infrastructure
enhancements.

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Fabric-first
A fabric-first approach to retrofit prioritises making the building envelope (walls, roof, floor, doors,
windows) thermally efficient, alongside repairs and improvements to the building condition. This
reduces a building’s heat demand, before installing a decarbonised heating system. 
There was a professional consensus that it is crucial to take a fabric-first approach before installing
a heat pump. Some funding streams, such as Warmer Homes, require recipients to agree to install
all the offered insulation measures before they can have a heat pump or electric storage heaters
installed. This approach of having to comprehensively treat the building fabric can be time-
consuming and costly, potentially discouraging building owners from acting. There is a new school
of thought which recommend that heat pumps should be installed without having to deal with all the
fabric requirements. While this could be more effective in reducing carbon emissions it does have
other potential implications such as failing to reduce the buildings heat demand which could
increase the cost of energy bills. In domestic settings, this could lead to fuel poverty. 
It is important that the Council engage with various RSLs about implementing this fabric-first
approach so they have the time and resources to explore funding options and plan how to make
their properties heat pump ready. Additionally, outlining a fabric-first focus to private tenure
households enables retrofitting schemes, like ABS, and various funding streams to be promoted so
it becomes more accessible to transition to a heat pump ready home.
Building fabric challenges in Argyll and Bute:
Social Rented Housing
Estimates predict that 1 in 2 homes in the area would fail the Scottish Housing Quality Standard,
the regulatory measure for social house conditions. Between 2017 and 2019, an average of 41% of
dwellings in Scotland failed the SHQS. Argyll and Bute is one of eight local authorities with failure
rates higher than the Scotland average, with 52% of properties in the area failing SHQS
standards.18 
For Argyll and Bute to meet the SHNZS standard of retrofitting and replace all polluting heating
systems in social housing by 2045, a lot of focus will be required on implementing fabric-first
across the region. 
18 Argyll and Bute Council. Argyll and Bute Local Housing Strategy 2022-2027. Available at:
https://www.argyll-bute.gov.uk/sites/default/files/migrated_files/argyll_bute_local_housing_strategy_2022-
2027.pdf. (Accessed: 12/07/2024).

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Figure 18: SHQS Dwellings failures (%, all tenures). Source: SHCS 2017-2019 
Private Rented Housing 
Table 16 in the baseline section indicates that only 27% of privately rented properties in Argyll and
Bute attained an EPC band C or higher, whereas 50% achieved a band C or higher in Scotland
overall.
Owner Occupied Housing
In the baseline section, Table 16 indicates that only 24% of owner-occupied properties in Argyll
and Bute have an Energy Performance Certificate (EPC) rating of band C or above. In contrast, in
the rest of Scotland, 47% of properties have an EPC rating of band C or above. Additionally, 17%
of domestic properties in Argyll and Bute have the lowest EPC bands (F and G), while only 4% in
the rest of Scotland have these lower ratings, representing more than a fourfold difference.
How suited are properties in Argyll and Bute to Heat Pumps?
The LHEES methodology categorizes buildings from 0 to 3 to determine which buildings are most
and least suited for heat pumps. The LHEES prioritises categories 1 and 2, where a heat pump
would be a suitable heating system. Table 20 indicates that 44% of domestic buildings in Argyll
and Bute are suitable for a heat pump installation.

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Argyll and Bute Council LHEES Strategy 72
Table 20: Percentage of domestic properties in Argyll and Bute under each building category assessed for heat pump
suitability. Source: Home Analytics v.3.9
Building
category Description % of domestic
properties
Category 0
Those properties already have a low or zero emissions heating
system i.e. these properties have heat pumps or are connected to
a heat network
9%
Category 1 Those considered highly suitable for heat pump retrofit (i.e. well
insulated properties with a wet heating system). 19%
Category 2
Those with secondary potential for heat pump retrofit (i.e.
properties in need of moderate fabric upgrades and or additional
wet distribution to be heat pump ready)
25%
Category 3
Those with tertiary potential for heat pump retrofit(i.e. properties in
need of significant fabric upgrade to be heat pump ready) or those
less suited to heat pump technology with electric (storage or direct
electrical) or biomass likely to be the most viable decarbonisation
technology
47% 
Map 6 gives an illustration of the concentration of heat pump ready domestic properties (by count)
within areas of Argyll and Bute. As shown in the map, the areas with the highest levels of Category
1 (heat pump ready) properties are:
• Kintyre Trail
• Garelochhead
• Mull and Iona

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Map 6: Off-gas Category 1 domestic properties in Argyll and Bute by count. 
Category 2 properties are also suitable for a heat pump but would require moderate fabric upgrade
and a wet heating system installed. Map 7 provides an illustration of the distribution of Category 2
properties. The areas with the highest levels of Category 2 buildings are found in: 
• Loch Awe
• Greater Lochgilphead
• Oban South

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Argyll and Bute Council LHEES Strategy 74
Map 7: Off-gas Category 2 domestic properties in Argyll and Bute by count. 
The LHEES delivery plan will:
• Prioritise getting buildings heat pump ready, ensuring that once there is adequate grid
capacity heat pump installations can be undertaken swiftly to decarbonise heating.
• Focus on homes where energy inefficiency is a driver of fuel poverty, to lift people out of
fuel poverty.
• Focus on non-domestic council buildings which require fabric improvements. The Council
has successfully delivered 49 decarbonisation projects which are outlined in the NDEEF
plan and consequently, these buildings are on their way to being heat pump ready.

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Argyll and Bute Council LHEES Strategy 75
Opportunities with a fabric first approach 
• The Area Based Scheme (ABS) is available for eligible owner occupiers and tenants in the
private rented sector. This programme will play a crucial role in dealing with fabric issues
and getting homes' heat pumps ready.
• Maximise the number of homes in Argyll and Bute that access Warmer Homes Scheme,
ECO and ECO4Flex to decarbonise heating homes and buildings. 
• The Council’s 49 completed non-domestic energy efficiency projects could act as vital
case-study in how to effectively undergo a fabric-first retrofit prior to making a building 'heat
pump ready'.  
• Maximising access to the Council’s Scheme of Assistance, as it can support eligible
building owners tackle building condition issues. 
• RSLs will be keen to take a fabric-first approach, as this is in line with their likely duties
outlined in the Social Housing Net Zero Standard.
• Potential grid development on the off-gas islands, Iona, Coll and Tiree, means a transition
to an electric heating system. This could see a significant reduction in the level of fuel
poverty on these island communities.
Challenges with a fabric first approach: 
• A higher proportion of domestic properties than seen nationally are EPC band E and below.
• When compared with buildings nationally, a high proportion of the buildings in the local
authority areas have inadequate insulation levels. 
• The Council has one of the highest levels of substandard buildings and buildings below
tolerable standards. 
• The bespoke building archetypes make it difficult to retrofit fabric upgrades at scale.
• Forty seven percent of domestic buildings in Argyll and Bute are category 3 buildings which
require significant fabric upgrade to be heat pump ready. In some cases they will not be
suitable for a heat pump.
• The Council do not directly control the social housing in the region, limiting its influence in
promoting properties get heat pump ready.
• The grid constraints experienced on some islands may prevent some communities
transitioning to electric heating in the near-future.

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6 Challenges
This section provides an overview of the challenges Argyll and Bute Council will face when
delivering on the LHEES priorities. 
Geography
Argyll and Bute is the second-largest local authority in Scotland, encompassing nearly 9% of the
nation’s total land area. The area is sparsely populated, with 43% of the population living in remote
rural areas and 17% living on one of the area’s twenty-three inhabited islands. 
This results in just 13 people per km2, significantly lower than the Scottish average of 70 per km2.
Argyll and Bute has a considerable coastline, with 79.7% of the population living within 1km of it. 
Buildings sitting along this elevated coast are often very exposed to extreme weather, and so are
often hard-to-heat and hard-to-treat. To reduce energy demand, these properties often require
significant investment to the building fabric. 
Argyll and Bute's geography also has a significant impact on heat pump viability, the cost of
upgrading the grid and the high cost of decarbonising due to the constrained supply chains.
Heat Network Viability 
Argyll and Bute has a very low heat density, which means establishing heat networks is not
generally economically viable. As a result, many building owners in Argyll and Bute will not be able
to use this low-cost measure to connect to a decarbonised heat source.
Inadequate Grid Infrastructure 
Argyll and Bute has significantly constrained grid infrastructure which is currently blocking new
houses being built. Mass electrification of heat is not possible in many communities within the
council area. These grid limitations, in conjunction with the unsuitability of most of the council area
for heat networks, constitute the principal impediments to the realisation of the LHEES priorities.
Category 3 Buildings 
Argyll and Bute has 47% domestic buildings categorised as category 3 buildings. Category 3
buildings, are not well suited for a heat pump and "direct electric heating or biomass is likely to be
the most viable decarbonisation technology." 
However, due to grid constraints in significant parts of the area, mass transition to direct electric
heating is not feasible. Additionally, policymakers have not yet made definitive decisions regarding
whether biomass will be an approved decarbonisation measure in the future. Until these issues are
addressed, the Council is unable to formulate solutions for decarbonising category 3 buildings.

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Financing Decarbonisation in Argyll and Bute
The Council's geography results in communities facing higher costs to decarbonise their buildings
than their urban counterparts.
For Households and Businesses
Argyll and Bute is characterised by a low-wage economy, featuring the lowest average wage levels
in Scotland. The region exhibits a higher prevalence of low-income working households, older
households, and a significant concentration of small businesses. The cost-of-living crisis has
resulted in limited financial resources being available, for householders and many small
businesses, to allocate towards decarbonising homes and buildings. This, coupled with high unit
costs of decarbonising buildings in areas like Argyll and Bute, puts the area at a disadvantage
when implementing the decarbonisation programme outlined in this strategy and delivery plan.
It is essential that funders consider areas like Argyll and Bute when allocating funding resources as
these areas have less opportunities to leverage in funds from the private sector.
Public Sector Buildings 
It is important to recognise that capital budgets within local authorities have endured significant
reductions. The extensive shift to low and no carbon heating will necessitate considerable capital
expenditure, with substantial investment imperative from both national governments and the
private sector. 
Supply Chain 
There is currently a shortage of contractors available to perform decarbonisation work in the local
authority area. Local installers will often only accept work in their immediate locality and reject jobs
which have significant travel times. Contractors from the central belt experience extended travel
times which is exacerbated if they need to travel by ferry. For example, a journey from Glasgow to
Tiree takes nearly seven hours. 
Building Architypes: Bespoke Properties
The Strategic Housing Investment Programme (SHIP) outlines the future house building
programme for the local authority areas. It demonstrates that housing associations and community
housing projects primarily build a small number of properties. Although, there are a few large-scale
projects in Oban, Dunbeg, and Helensburgh these projects take several years to complete and
consequently have different building specifications. This historical trend has resulted in a diverse
range of building types in the social housing stock. This diversity is also reflected in the private
sector, where there is a significant number of custom-built properties. These include farms, estate
workers' housing, self-built properties, and buildings with unique extensions and conversions. This
patchwork of building styles creates the following challenges:
• Large-scale retrofit is not viable

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• There are no economies of scale realised by mass retrofitting buildings with the same
building architype. As a result, the unit cost of decarbonising buildings is higher.
• Building owners often find it difficult to obtain a decarbonisation pathway for unique
properties. For instance, a stone farmhouse with a 1980s brick-built extension with an
uninsulated cavity requires both solid wall insulation and cavity wall insulation. Some of
these properties have suspended floors in the newer section, whereas the older part of the
building does not, necessitating different underfloor insulation solutions.
Argyll and Bute Council is a “Stock Transfer Authority” 
Argyll and Bute Council, unlike many others, transferred all its housing stock and consequently
does not have direct control over social housing. It is imperative that the Council work
collaboratively with housing associations to realise the LHEES priorities. 
Data Accuracy
The LHEES relies on modelled data for its baseline information. In areas where diverse custom
buildings populate each street with no consistent architectural style, the data analysis often varies
greatly from the actual on-site conditions. Better quality data is essential for making informed
decisions.

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7 Opportunities
Argyll and Bute are well placed to make a significant contribution to both Scotland and the UK’s
Net Zero ambitions by utilising the area’s natural assets. This section provides an overview of the
opportunities that the LHEES will provide for Argyll and Bute.  
Improving Grid 
The introduction of the LHEES statutory duty in Scotland, and local authorities in England
developing LAEP (Local Area Energy Plans), has provided a framework for DSOs and councils to
consider each other's policy priorities when developing plans.
Economic Opportunities by Local Energy Generation
The LHEES provides a wealth of economic opportunities for Argyll and Bute including opportunities
to develop local energy generation projects which utilise:
• Existing waste heat
• The renewable energy produced by Argyll and Bute is currently unable to be exported to
the grid. Presently, Argyll and Bute contribute over one gigawatt of clean energy,
constituting roughly 10% of the nation's clean energy output. The Council’s economic
strategy outlines the potential for increasing this output to five gigawatts over the coming
decade. However, the current grid infrastructure does not possess the capability to
accommodate this heightened level of generation. This surplus energy could be effectively
harnessed locally or through alternative means, such as the production of green hydrogen,
charging batteries, or providing heat which can be stored to be used later in thermal
storage systems.
Transitioning from A Low-Wage Economy to A Higher-Wage Economy Through The
Creation Of Green Jobs
Realising the LHEES priorities will create significant supply chain opportunities, which will require
new jobs and new skills, providing many opportunities for Argyll and Bute’s economy.
Improving Access to Finance and Leveraging In Investment to Decarbonise The Heat
Source
There is a plethora of funds available to support decarbonisation efforts. Nevertheless, navigating
this landscape can be confusing, making it difficult to find a fund that provides resources for a
particular measure. This is especially challenging for remote and island communities, where
options for decarbonisation measures are limited. As a result, building owners in these areas may
not have access to the same level of funding as their counterparts in other regions.

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Tools that provide information and guidance to building owners for the identification and
implementation of decarbonisation measures, as well as the identification of funding sources, could
lead to increased adoption of such measures by building owners.
Although much of Argyll and Bute is not conducive to heat networks, the LHEES has identified
several potential heat networks that could present opportunities for inward investment in the area.
Utilising Technology  
Rising energy prices have heightened the "cost of doing business" in all economic sectors.
Therefore, the LHEES presents opportunities to investigate technologies capable of reducing
energy consumption or providing low and zero carbon heat in a cost-effective manner. These
endeavours are expected to positively impact the overall expenses of business operations, while
simultaneously reducing household energy costs and increasing disposable incomes.
Community Wealth Building 
Argyll and Bute’s Economic Strategy states that “there is a compelling need to strengthen the link
with our natural environment and the retention of more of the wealth we generate locally within our
local communities”. The council is dedicated to continuous collaboration with partners to enhance
the benefits for residents. Implementing the LHEES priorities provides opportunities for local
people to access high-skilled, lucrative employment opportunities and empower communities to
derive enhanced benefits from clean energy generated in their communities.
Reduction in Fuel Poverty
Fuel poverty rates are higher in Argyll and Bute than in Scotland as a whole. This is a particular
issue that faces many of the coastal communities in Argyll and Bute, especially those that are off-
gas grid. The LHEES provides opportunities to connect with these communities and support them
to develop and implement local solutions to fuel poverty. 
Utilising Infrastructure Works to Reduce the Cost Of Installing Decarbonisation
Infrastructure
Many SHIP projects require significant infrastructure work to be undertaken. The Council will
collaborate with housing associations to utilise these infrastructure works, to lay the necessary
infrastructure which will allow decarbonising of existing housing. This approach will reduce costs
and potentially make unviable heat networks viable. A project of this type is proposed in
Lochgilphead, with a new housing development being built in close proximity to a potentially viable
heat network. Working together could maximise the number of properties that can transition to a
low or zero carbon heating system at a reduced cost. 
Many of the possibilities for the Council overlap across the three LHEES priorities, such as the
success of the non-domestic energy efficiency project guiding the way for change; coordination
with housing associations enabling reduced infrastructure costs; and the chance to reduce the

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number of fuel poor households across the region. For the LHEES to reach its potential, these
opportunities must be effectively incorporated into the delivery plan.
8 Next steps 
Argyll and Bute’s LHEES will support the delivery of the Council’s goals of improving energy
efficiency, reducing fuel poverty, and decreasing carbon emissions through low or zero carbon
heating systems. In addition, it will support the Council and its community planning partners to
scale up and align existing programmes, and to increase the scale and pace of retrofit and heat
network development that is needed to meet the national target of net zero by 2045.  
Overall, the content of Argyll and Bute’s LHEES has been informed primarily through a data-driven
approach using several datasets and proxy indicators. The Strategy outlines several challenges
which need to be overcome to decarbonise Argyll and Bute’s buildings. It also highlights
opportunities, including building on the success of existing projects. 
The next step is for this LHEES Strategy is for the Council to seek feedback as part of a public
consultation. 
The LHEES Delivery Plan has also been developed, which details how the LHEES Strategy will be
delivered in practice, providing more detail on delivery areas, timelines, stakeholder engagement
and monitoring methods.

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9 Glossary 
9.1 Abbreviations
Acronym Description
DNO  Distribution Network Operator
ECO Energy Company Obligation
EES Energy Efficient Scotland
EESSH Energy Efficiency Standard for Social Housing
EPC Energy Performance Certificate
EST Energy Saving Trust
GIS Geographic Information System
HA Housing Association
HIB Heat in Buildings 
ABS Energy Efficiency Scotland: Area Based Schemes
INTOG Innovation and Targeted Oil and Gas Leasing
LA Local Authority
LHEES Local Heat and Energy Efficiency Strategy
LPG Liquefied Petroleum Gas
PEAT Portfolio Energy Analysis Tool
SHIP Strategic Housing Investment Programme
SHNZS Social Housing Net Zero Standard
SPEN Scottish Power Energy Networks
SSEN Scottish and Southern Electricity Networks

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9.2 Terms
Terms Description
Baselining Baselining is the purpose of understanding at local authority or strategic
level, the status of the buildings against the Priorities, Targets and
Indicators set out in the Baseline tool.
Building-level Pathway As part of LHEES Stage 5, a building-level pathway is the outcome of
the assessment undertaken using PEAT. It provides the likely energy
efficiency retrofit technologies, as well as the low carbon heating system
(where applicable) to support building level decarbonisation. 
Criteria Criteria are the settings applied to the Indicators for each Priority in
order to support Baselining, Strategic Zoning and the identification of 
elivery Areas. An example of Criteria is a simple “no” applied to the 
ndicator of “wall insulation (Y/N)” to identify properties with uninsulated
walls. Another example is the definition of an “anchor load” within the
Heat Networks analysis, which applies a minimum threshold to the “heat
demand”  ndicator. The LHEES methodology provides a set of default
Criteria that local authorities may wish to use, with flexibility to update
and augment these to support local needs or for more focused analysis
linked to specific actions and project identification within the Delivery
Plan.
Data – Alternative Alternative data can overwrite the Core data to improve accuracy
(national to local level of detail, e.g. local housing data to overwrite fields
in Home Analytics). 
Data – Core Core data is the data that is essential to complete the minimum
requirements of the LHEES analysis. Core data will come from national
datasets e.g. Home Analytics or the Scotland Heat Map.
Data – Supplementary Supplementary data allows inclusion of additional Indicators to inform
specific, local priorities & targets; also, Supplementary data can be used
in GIS investigation to complement the Core analysis carried out in any
assessment. An example of Supplementary data would be the inclusion
of low carbon heat supply information layers within a district heating
analysis. 
Data Zone Data zones are groups output areas which have populations of around
500 to 1,000 residents.
Delivery Area Delivery Areas (sometimes referred to as Delivery Level Areas) are a
term used for all LHEES Priorities with the exception of Heat Networks.
These Areas will be an important starting point for identifying a range of
projects, regulation and actions that are within the competence of the
Scottish Government and local authorities (projects and actions to be

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Argyll and Bute Council LHEES Strategy 84
developed in the LHEES Delivery Plan). Delivery Areas are at a higher
granularity than Strategic Zones, are generated as part of LHEES Stage
4 and are presented in the LHEES Delivery Plan. Guidance is provided
for one approach to identify Delivery Areas, but there are other
approaches that local authorities may wish to use. 
The identification of Delivery Level Areas through LHEES will be
indicative only, with further investigation being required to determine the
viability of progressing projects associated with the area identification
activity.
Detailed practitioner
guidance Steps
These Steps form part of the detailed practitioner guidance in LHEES
Stage 4, Generation of Initial Areas to set out particularly suitable heat
network zones and to support project identification.  
Indicator For a given Priority, the purpose of an Indicator is 1) To act as a key
information field to help characterise the local authority using the
Baseline tool as part of LHEES Stage 3 (authority-wide and at a
strategic level); 2) To act as a key information field to support strategic
zoning and generation of initial delivery areas (as part of LHEES Stage
3 and 4); 3) if suitable, to act as a key information field to measure
progress against Targets over the duration of the LHEES – set out in
LHEES Stage 8, LHEES Delivery Plan. For some Priorities, one
Indicator may be sufficient, but for others a range may be appropriate.
The LHEES methodology sets out a core set of default Indicators that
local authorities may wish to use, with flexibility to update and augment
these to support local needs or for more focused analysis linked to
specific actions and project identification within the Delivery Plan. 
LHEES Delivery Plan An LHEES Delivery Plan is an action plan that enables a local authority
and its partners to work towards delivery of the changes identified in the
LHEES Strategy. Actions will contribute to achieving Scotland’s
statutory targets on net zero greenhouse gas emissions and fuel
poverty, as well as enabling the delivery of changes to buildings and
local infrastructure needed to fulfil the Scottish Government’s objectives
relating to heat and energy efficiency in buildings. The Delivery Plan will
clarify stakeholder roles and responsibilities in delivering the Strategies;
build on existing plans and policies, such as HEEPS:ABS Plans, as far
as possible and; coordinate across local partners and provide a
mechanism for identifying new delivery actions.
LHEES Priorities The LHEES Priorities are a list of technologies, building typologies and
policy priorities that the LHEES Methodology uses to identify and target
interventions. 
They include: 
- Heat networks 
- Off-gas grid buildings
- On-gas grid buildings 
Secondary outcomes include: 
- Poor building energy efficiency 
- Poor building energy efficiency as a driver for fuel poverty

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- Mixed-tenure, mixed-use properties and historic buildings   
LHEES Stages There are 8 LHEES Stages. The purpose of the LHEES Methodology is
to enable the local authority to complete LHEES Stages 1 to 6. The
completion of these Stages will provide the local authority with the data
analysis and evidence base to enable them to complete their LHEES
Strategy and Delivery Plan documentation. There are two LHEES
guidance templates included alongside this methodology– LHEES
Strategy guidance and LHEES Delivery Plan guidance. The completion
of these two templates will satisfy the completion of LHEES Stages 7
and 8. The 8 LHEES Stages are: 
1 – Policy and strategy review 
2 – Data and tools library 
3 – Strategic zoning and pathways 
4 – Generation of initial delivery areas 
5 – Building-level pathway assessment 
6 – Finalisation of delivery areas 
7 – LHEES Strategy 
8 – LHEES Delivery Plan
LHEES Strategy An LHEES Strategy identifies what needs to be done to change
buildings and relevant local infrastructure by 2045 to fulfil the Scottish
Government’s objectives and local priorities relating to heat and energy
efficiency in buildings. These interventions might occur at building level
or in energy supply networks or in a combination of both. The Strategy
will reflect national and local priorities, policies and wider strategies.
Where feasible, it will consider local and national factors, such as the
timing of planned infrastructure upgrades, access to resources and
funding, major projects, decisions over the gas grid and community
engagement.
Mixed-tenure, mixed-
use and historic
buildings
Mixed-tenure and mixed-use buildings could include a mixture of owner
occupied, private rented and social housing, and also non-domestic
uses, or simply multiple ownership within the same tenure. Historic
buildings include the buildings that are within conservation areas or
those that are listed buildings. These categories may require
established alternative approaches and regulation for the installation of
low carbon heat and energy efficiency solutions and where specific
advice and support might be available relating to the installation of these
solutions.
Potential Zones The Heat Networks Priority follows a distinct methodology to the other
LHEES Priorities – Stage 3 does not apply and the outputs from Stage 4
are of a different type, showing Potential Zones for Heat Networks as
opposed to the identification of Delivery Areas (notionally using a 100m
raster approach). The Heat Networks Priority analysis and activity
carried out within LHEES is also anticipated to support activity related to
formal zone designation as required by the Heat Networks Act. For

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these reasons, the analysis carried out in Stage 4 for Heat Networks is
to identify Potential Zones rather than the otherwise used naming
convention of Delivery Areas. The Potential Zones identified are to be
included in the LHEES Strategy and could also inform actions around
further investigation / progression within the LHEES Delivery Plan.
Raster A matrix of squares, or grid, used as a method of data analysis in GIS.
Each cell in the grid contains a value representing information on the
cell’s contents.
Strategic Level Zone Strategic Zones (sometimes referred to as Strategic Level Zones) are a
term used for all LHEES Priorities with the exception of Heat Networks.
Strategic Level Zones are identified in Stage 3 and are presented in the
LHEES Strategy. These zones offer a visualisation of the potential
pathways to decarbonise the building stock at a local authority level,
split out by intermediate zone level. They are useful to understand the
baseline performance, the scale of potential and initial areas of focus.
Strategic Zones could be used to inform or prioritise focus areas for the
more granular identification of Delivery Level Areas. 
The identification of Strategic Zones through LHEES will be indicative
only.
Targets Targets are the measurable aspect of the Priority and are likely to be
taken directly from national and/or local policy documentation, for
example net-zero by 2045, or EPC C by 2040. Targets are likely to
comprise of end-point targets and milestone targets and would sit along
a timeline within (and beyond) the LHEES. This timeline would help to
prioritise the types of projects undertaken within the LHEES over its
duration.
Weighting For some Priorities, one Target and Indicator may be sufficient, but for
others a range of Indicators may be appropriate to contextualise and
characterise performance against a Target and/or progress towards a
Priority. If multiple Indicators are used in strategic zoning or the
identification of delivery areas, a Weighting can be applied based on the
importance of each. The LHEES methodology sets out a core set of
default Weightings for instances where multiple Indicators are
suggested as a default setting. There is flexibility to update and
augment these to support local needs or for more focused analysis
linked to specific actions and project identification within the Delivery
Plan.

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10 Appendices
10.1 Appendix A: Additional National Policy Drivers 
Policy/strategy Description Targets/aims
Heat in Buildings
Supply Chain Delivery
Plan
This plan sets out how the supply chain
needs to grow and develop to meet the
future of heating and energy efficiency
regulations.
Accelerate efforts to build on energy
efficiency and reduce the Council’s
demand for energy. Rapidly scale up
deployment of zero emissions heating
systems, such as heat pumps and heat
networks.
Tackling fuel poverty in
Scotland: a strategic
approach 
Sets out the policies and proposals for
national government, local authorities,
and third sector partners to help meet the
targets set  in the Fuel Poverty (Targets,
Definition and Strategy) (Scotland) Act
2019. 
Heat Networks Delivery
Plan
Sets out how provisions of the Heat
Networks (Scotland) Act 2021 will
contribute to increasing heat networks in
Scotland.
The plan to facilitate reaching the
targets set out in the Heat Networks
(Scotland) Act 2021.
Draft Energy Strategy
and Just Transition Plan 
The draft sets out key ambitions for
Scotland’s energy future.
Targets include: the production of more
than 20 Gigawatts additional renewable
electricity on- and offshore by 2030,
accelerate the decarbonisation of
domestic industry, transport and heat
and to increase contributions from solar,
hydro, and marine energy.
New Build Heat
Standard 2024 (NBHS) 
This legislation changes building
regulations to promote the uptake of zero
direct emissions heating systems, such
as heat pumps and heat networks.
New buildings applying for a building
warrant from 1 April 2024 will be
prohibited from using direct emissions
heating to help reach the targets set in
The Climate Change (Emissions
Reduction Targets) (Scotland) Act 2019.
Review of Electricity
Market Arrangements
(REMA)
(UK Government)
Proposed reforms to the electricity market
to improve security of supply and cut
prices for consumers. 
Tenements (Scotland)
Act 2004  
The Tenement Management Scheme
(outlined in Schedule 1 of the Act)
explains how to come to arrangements

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Argyll and Bute Council LHEES Strategy 88
about maintenance and how costs are
shared between owners.
The Planning (Listed
Building Consent and
Conservation Area
Consent Procedure)
(Scotland) Regulations
2015
This legislation provides the framework
for applying for listed building consent
and conservation area consent on or after
1st October 2015. 
Public Sector
Leadership on the
Global Climate
Emergency: Guidance
(2021)
This guidance provides advice for public
bodies on leadership; robust, consistent
and comprehensive carbon management;
interpretations of the strengthened
legislation; and resources available to
support public bodies.
Provides advice to public bodies to
assist with achieving the targets set in
the climate change plan 2018–2032
update.
NHS Scotland climate
emergency and
sustainability strategy:
2022-2026
Sets out plans for NHS Scotland to
reduce its greenhouse gas emissions and
impact on the environment, adapt to
climate change and to better contribute to
the United Nation’s sustainable
development goals. 
NHS Scotland is aiming to become a
net-zero health service by 2040 at the
latest. 
Police Scotland –
Environmental Strategy
2021
The Environmental Strategy sets out
Police Scotland’s commitment to
environmental sustainability and
represents an organisational response to
the climate crisis.
Reduce carbon emissions by 35% over
the next 5 years. Includes ambitions to
improve energy efficiency of buildings. 
Historic Environment
Policy for Scotland  
HEPS is a non-statutory policy statement
that should be taken into account
whenever a decision will affect the
historic environment.  
Promote a way of understanding the
value of the historic environment while
encouraging consistent, integrated
management and decision-making to
support a positive outcome for
Scotland’s historic assets.

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Argyll and Bute Council LHEES Strategy 89
10.2  Appendix B: Datasets Used in the Development of the
LHEES
Data Resource/Tool Description Data Format Weblink
Scotland Heat Map
(SHM) (Summer 2020)
Valuable spatial dataset with point-level heat
demand data for all properties in Scotland /
various other useful data fields and additional
information layers. Updated approximately
annually. Source data (including from public
sector) requested at each update.
Spatial
geodatabase
https://www.gov.sc
ot/publications/scot
land-heat-map-
documents/
Home Analytics v 3.9
(May 2024)
Database covering all domestic properties in
Scotland, built using information from the
domestic EPC register and other sources;
statistical models are used to provide
estimates giving 100% property coverage  
Excel
spreadsheet
https://energysavin
gtrust.org.uk/servic
e/home-analytics/
Non-Domestic
Analytics (version 1.1)
Database covering all non-domestic properties
in Scotland, built using information from the
non-domestic EPC register and various other
sources, with extensive modelling to provide
estimates giving 100% property coverage  
Excel
spreadsheet  
Portfolio Energy
Analysis Tool
(PEAT)[VS1]  
Tool to accompany Home Analytics; can be
used to investigate and cost intervention
options for a portfolio of up to 500 properties;
can be driven by a price cap or a target EPC
score  
Tool hosted
online; input /
output as Excel
spreadsheet
https://homeanalyti
cspeat.est.org.uk/
One Scotland
Gazetteer (OSG) -
Address Gazetteer
(AG)
Central database for all addresses within an
authority
GIS API or csv
file 
Local Development
Plan sites
Information, ideally in spatial format, on
development sites in the LDP and LDP2. To
include detail on development type and
expected build-out where available.
GIS shapefiles 
Waste sites capacity
tool (SEPA)   SEPA waste heat data
Online interactive
map viewer/
Excel
spreadsheet  
https://www.sepa.o
rg.uk/data-
visualisation/waste

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Argyll and Bute Council LHEES Strategy 90
-sites-and-
capacity-tool/
Green Heat in
Greenspaces (GHiGs)
GHiGs investigated the suitability of many
types of urban open space across Scotland for
use as low carbon heat sources, heat storage
sites and heat transmission corridors.
Excel
spreadsheet
https://www.greens
pacescotland.org.u
k/introducing-
ghigs#:~:text=Gree
n%20Heat%20in%
20Greenspaces%2
0(GHiGs)%20is%2
0a%20project%20
within%20the,Scott
ish%20low%20car
bon%20heat%20tr
ansition
Geographic boundary
datasets
Information, ideally in spatial format, on
Council-owned assets. GIS shapefiles   https://borders.ukd
ataservice.ac.uk/bd
s.html

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Argyll and Bute Council LHEES Strategy 91
10.3 Appendix C: Datasets and Limitations of the LHEES
approach
Home Analytics
Home Analytics Scotland provides essential data on the Scottish housing stock. This data is
provided down to the address level and is available to the Scottish Government and local
authorities to assist them in developing, targeting and delivering policies, schemes and
programmes designed to improve energy efficiency, install renewable technologies and alleviate
fuel poverty. The core datasets that make up Home Analytics Scotland are: 
• Energy Performance Certificate data 
• Home Energy Efficiency Database (HEED) data 
• Energy Saving Trust Home Energy Check (HEC) data 
• Ordnance Survey AddressBase, MasterMap Topography layer and StreetMap data 
• Scotland Gas Networks data 
• Scottish Census data 
• Scottish Index of Multiple Deprivation (SIMD) data 
While there is full coverage of the Council’s property stock, the data is not entirely accurate given
that not all properties are surveyed; where gaps exist property information will have been
estimated based on neighboring characteristics using statistical modelling. 
Fuel poverty figures in the dataset only act as an indication. To date, there has not been a
comprehensive dataset detailing fuel poverty given the resources required to do so and the risk of
identifying individuals and communities through the use of sensitive information such as income
data. The fuel poverty data is therefore probability driven and users should not treat figures as an
absolute number or percentage but rather a likelihood of fuel poverty. An instance where fuel
poverty data lacks confidence and leads to a poor representation of the geographical area is in
households in affluent areas who may be labelled as in fuel poverty because they live in stone
buildings with poor heating capture. 
Currently, fuel poverty data is calculated by the following: 
• Probability of wall being uninsulated
• Loft Insulation Prediction
• Loft Insulation: 0-99mm.
• Loft Insulation: 100-249mm.
• Loft Insulation: >250mm.
• No loft
• Excess Cold Category 1 Hazard
• Probability of Fuel Poverty (Fuel Bill >10% of Income)

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Argyll and Bute Council LHEES Strategy 92
Non-domestic Analytics
Non-domestic Analytics is a new data set developed by Energy Saving Trust on behalf of Scottish
Government, to provide more property-level details about the non-domestic building stock in
Scotland. The dataset brings together property details from a variety of data sources such as the
Scottish EPC Register, Ordnance Survey, Scottish Assessors and BEIS, to establish property
attributes and energy profiles for each non-domestic building. Like Home Analytics, gaps in these
records are imputed using a series of statistical models. The final database is therefore a
combination of known and modelled records. 
There are limitations on the confidence of using Non-Domestic Analytics due to the lack of robust
information from the non-domestic sector compared to the domestic sector with much of the data
relying on significant modelling. Therefore, users should not take figures as an absolute number or
percentage but rather an estimation. Due to the reliance on probability, analysis was limited to
exploring groupings of building typologies. 
The dataset relies on the use of an external categorisation of property typology (Ordnance Survey)
resulting in a deviation in standard interpretation of property classes. For example, a church can be
classified as either a commercial or place of worship depending on its main function, while
residential (non-domestic) buildings can also indicate short-term lets and sheltered
accommodation. 
Scotland Heat Map (2020)
Containing both domestic and non-domestic heat demand data, the Scotland Heat Map is a crucial
resource to identify the opportunities for efficient heat supply projects and support their
development. Developed with data provided by public and private sector organisations including all
local authorities, it will help to identify opportunities for new and expanding heat projects including
efficient supply projects, such as district heating. The dataset also contains various additional
layers such as Geology and hydrogeology, waste energy supply points, and existing heat
networks. 
As the dataset was captured in the summer of 2020, demand data exists only as a snapshot in
time. Since network viability is based around the demand of individual buildings, the difference
between modelled and expected demand may affect that viability. 
PEAT-OR tool
The PEAT-OR tool, developed by EST, accompanies Home Analytics. It is used to investigate cost
intervention options for a portfolio of up to 500 properties. The tool has a relatively high degree of
flexibility to be tailored to reveal target areas and properties by price cap or a target EPC score.
However, there are the following limitations:
• Individual measures cannot be isolated or removed, the tool will show all possible
interventions. This means some impractical measures are proposed such as installing wind
turbines.

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Argyll and Bute Council LHEES Strategy 93
• Costs and Carbon savings are calculated for all possible measures, this means it is not
possible to investigate the impact of individual measures. 
• Fuel cost data used within PEAT-OR was released at the start of July 2023, with fuel costs
modifying frequently these costs are not totally accurate. 
These limitations will affect the outputs from Stage 5, which should be understood as estimates
only. 
Ordnance Survey 
Various mapping data, central to the development and use of Scotland's Heat Map and other GIS
information sources. OS product data and licenses are required to use SHM & other OS-derived
datasets. Key to GIS analysis elements of LHEES. 
One Scotland Gazetteer 
Central database for all addresses within an authority. Key to GIS elements of LHEES for
identifying multi-tenure non-domestic properties.

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Argyll and Bute Council LHEES Strategy 94
10.4  Appendix D: LHEES Stage Descriptions
Stage 1: Policy and Strategy Review
A policy review was carried out to highlight national, regional and local policies that are linked to,
impact, or could be impacted by LHEES. Results from this review, along with initial stakeholder
mapping were logged in the policy review template for reference during subsequent stages of the
LHEES. 
Stage 2: Data and Tools Library
This stage involves identifying and maintaining a record of the data and tools used to support
analysis in the subsequent stages of the LHEES process. The record captures data sources,
ownership rights, requirements for the LHEES Considerations and data format. 
Stage 3: Strategic Zoning and Pathways
The purpose of LHEES Stage 3 is to support local authorities to understand the current energy
efficiency and heat decarbonisation performance of the building stock at a local authority wide
level. It also supports further analysis to set out Strategic Zones and pathways for each LHEES
Consideration, as far as reasonably possible, at data zone level, a commonly used standard for
statistical reporting of socio-economic data. 
These Strategic Zones identify potential solutions for inclusion in the LHEES Strategy (Stage 7).
The analysis sets out the strategic starting point for the generation and prioritisation of Delivery
Areas (Stage 4), as well as further engagement and actions for the Delivery Plan (Stage 8).
LHEES Stage 3 is supported by both the ‘ omestic Baseline Tool’ and the ‘Non-domestic Baseline
Tool’. The Domestic Baseline Tool was developed by Zero Waste Scotland for analysis of the
domestic sector drawing on Home Analytics as the core source data to support this. The tool was
used to generate a performance baseline of buildings and to set out Strategic Zones with respect
to the LHEES Considerations. The ‘Non-domestic Baseline Tool’ was developed following the
release of Non-Domestic Analytics, as a means to support better understanding of the breakdown
of non-domestic building typologies and by other criteria, such as age, heating system type or floor
area category. Given the limitations of the non-domestic dataset, the outputs are focused on
providing property count and / or total heat demand information for these groupings, rather than
suggesting suitability for specific interventions. 
When assessing heat decarbonisation options in the tools, heat pump installation is one of the
suggestions. According to the LHEES methodology, the level of heat pump ‘readiness’ in domestic
properties are sorted into four categories: 
Building category  Description
Category 0  Currently have a low or zero direct emissions heating system, or
heat network connection
Category 1  “Heat pump ready” buildings that are well-suited to heat retrofit with
minimal other changes.  
Category 2  Secondary potential for heat pump
retrofit. Require some fabric and/or distribution systems upgrades.

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Argyll and Bute Council LHEES Strategy 95
Category 3  Significant upgrades required to be heat pump ready. 
In the standard Zero Waste Scotland methodology, Category 1 properties are assessed based on
a range of indicators including wall insulation, glazing status, wet heating system and loft insulation
prediction. For Argyll and Bute’s LHEES, only wall insulation was accounted for in Stage 3 given
that this was the most relevant factor to the local domestic property stock. 
Stage 4: Generation of Initial Delivery Areas.
Stage 4 is informed by the LHEES Strategy and analysis from Stages 1-3. The purpose of Stage 4
is to support the Council’s decision making by generating initial  elivery Areas for each of the
LHEES Considerations. This Stage uses GIS to generate initial Delivery Areas at a higher
granularity than LHEES Stage 3, to enable the Council to understand specific locations of potential
Delivery Areas within a Strategic Zone or across the whole local authority. The level of granularity
is advised at 250m2 to reflect an appropriately sized delivery area without the risk of identifying
individual properties. 
This analysis is the starting point for more detailed engagement, building level assessment of
interventions and cross-checking against the policy and strategy review (stage 1) to enable
finalisation of the Delivery Areas (LHEES Stage 6). These Delivery Areas should then support
actions in the Delivery Plan (Stage 8) that are within the competence of the Scottish Government,
local authorities and wider partners. 
Stage 5: Building-Level Pathway Assessment
The purpose of LHEES Stage 5 is to support with delivery area identification of Stages 4 and 6 to
establish in more detail the type of intervention(s) required to decarbonise the building from a
heating and energy efficiency perspective. This stage provides an understanding of the costs and
the energy and carbon savings associated with interventions.
Stage 5 enabled South Lanarkshire Council to select and analyse domestic buildings for
assessment in the Energy Saving Trust’s PEAT-OR, for the domestic sector only. PEAT-OR
enables the local authority to evaluate energy efficiency and heat decarbonisation retrofit options in
terms of costs and carbon emissions reduction. Results can be presented at the building level or at
a zone level. The buildings to be evaluated can be selected and taken from the analysis in LHEES
Stage 3 or Stage 4. 
It is recognised that PEAT-OR has not been designed specifically to support LHEES. Therefore, in
this LHEES, a PowerBI report has been developed to enable the Council to explore potential
decarbonisation results in an interactive and customised manner to assess viability and decision
making of delivery areas. 
Stage 6: Finalisation of Delivery Areas
During this stage, Strategic Zones, initial Delivery Areas and any building-level assessment were
considered alongside the detail included as part of the policy and strategy review and all
stakeholder engagement undertaken. The outcomes from this stage are documented in the stage 8
Delivery Plan.

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Argyll and Bute Council LHEES Strategy 96
10.5 Appendix E: Detailed Methodology for the Identification
of Potential Heat Network Zones
Analysis was undertaken to identify the areas where heat networks present a decarbonisation
pathway that could be of strategic importance for South Lanarkshire. Heat Data Point non-
domestic properties were filtered to only include semi-public and public buildings. These were
refined using OS AddressBase classification codes identified as semi-public or public by the Green
Heat in Greenspaces project. Additionally, a sense check of building names was carried out to
identify Council-owned buildings. If that was the case, the buildings were added to analysis. This
approach was chosen so that only non-domestic buildings that the Council has full or partial control
over are treated as potential anchor loads in the heat network zoning. When defining anchor loads,
public and Council-owned buildings have been prioritised as the Council has greater control over
the operation of these buildings. 
Heat network zones have been identified based on a 4,000 kWh/yr/m linear heat density (a means
of relating annual heat demand to a distance). Areas of greatest potential for heat network
development have been further identified based on a solely heat demand perspective where at
least two anchor loads were required > 500MWh/yr. 
Further analysis through feasibility studies and constraints analysis were required to understand
the viability of heat network development in each identified area. Existing heat networks have been
added to potential heat network zones to identify viability of heat network expansion. For the
purpose of LHEES, a 500m radius buffer has been drawn around the existing heat network points
to provide a sensible estimate of the area within which heat demand can serve. 
The methodology for identification of heat networks has been summarised in Figure 19. For a
comprehensive methodology, please see the Heat Network Zoning methodology in the LHEES
documentation.

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Argyll and Bute Council LHEES Strategy 97 
Figure 19: Summary of the methodology for identifying heat network zones

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Argyll and Bute Council LHEES Strategy 98
10.6  Appendix F: Heat Network Opportunities from Argyll
and Bute’s Pilot Study.

Page 99

LOCAL HEAT AND ENERGY
EFFICIENCY DELIVERY PLAN 
Argyll and Bute Council 
July 2024

Page 100

2
Argyll and Bute Council LHEES Delivery Plan 2024 
LHEES stages
This LHEES has been developed over eight stages, as outlined in Figure 1. Completing
stages 1-6 provided the data analysis and evidence base that forms the foundation for the
Argyll and Bute LHEES Strategy (Stage 7) and Delivery Plan (Stage 8).
Figure 1: Summary of LHEES Stages 
• The LHEES Strategy is a long-term strategic framework over the next 15-20 years
for decarbonising heat in buildings and improving energy efficiency across Argyll and
Bute, framed around the six considerations outlined below. Argyll and Bute Council’s
LHEES Strategy is data-led and justifies the actions proposed. In short, this
document demonstrates the direction the Council is moving towards. 
• The LHEES Delivery Plan accompanies the strategy. The plan will be flexible and
iterative, outlining how the Council will implement its strategy over the next five years.
It will outline the areas requiring further analysis and investigation and identify low or
no-regret measures for decarbonising heat in buildings. It provides a focus for the
Council to consult with and work with stakeholders to deliver the LHEES strategic
objectives. 
Both documents will be reviewed and updated periodically to reflect legislative changes,
progress towards net zero, new available technologies and funding, and changing
priorities in the local authority. Argyll and Bute Council’s LHEES Strategy and Delivery
Plan can be found on Argyll and Bute Council’s website. 
Stakeholders 
A variety of methods were employed to engage stakeholders in developing the
priorities for the LHEES and are set out in detail in the LHEES strategy document.
Stakeholders will also play a crucial role in implementing the actions and proposed
solutions. Further engagement will take place with stakeholders to develop these
proposed actions.

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3
Argyll and Bute Council LHEES Delivery Plan 2024 
The LHEES delivery plan is flexible and iterative to capitalise on emerging
opportunities and to allow the LHEES to support and enhance other relevant work in
Argyll and Bute. 
Local authority’s LHEES priorities 
The Council has identified eight priorities for the LHEES:
1. Addressing grid capacity  
2. Decarbonising heat sources
3. Challenging fuel poverty 
4. Building sustainable and energy-resilient communities 
5. Ensuring a “Just transition” to net zero. 
6. Tackling supply chain constraints and shortage of skills
7. Improving education and awareness of decarbonisation requirements and solutions
8. Advocating a fabric-first approach to ensure buildings are heat pump-ready. 
Next Steps 
The next step is to establish a stakeholder implementation group. This group will
further develop, revise, and adjust the proposed actions and solutions set out below.
This important task will enable stakeholders to take ownership of delivering specific
actions, setting targets, and specifying timelines to achieve them.

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4
Argyll and Bute Council LHEES Delivery Plan 2024 
Overarching priority - Improve the accuracy of data. 
Action  Description  Who
Obtain more accurate 
data to better inform
future iterations of the
LHEES
Collaborate with local communities,
council services, organisations,
agencies, and researchers to acquire
precise data concerning the
implementation of energy efficiency
measures and the assessment of heat
demands instead of relying on modelled
data. The next steps are to: 
• Identify and acquire relevant data
sets which are now being collected
by national organisations, such as
Ordnance Survey’s building data set. 
• SSEN and SPEN are also collecting
new data sets. 
• Utilise the findings from the
Community Planning Partnerships –
Regional Climate Change Plan call
for evidence. 
• Obtain data from BARs. 
• Consider incorporating gathering
data through existing mechanisms
such as:
o  CHAT
o NPF4 Local Place Plans 
• Undertake bespoke research
projects to fill data gaps.
Local communities,
Council services,
Community
Planning
Partnership 
HIE 
ALIenergy
Researchers
AMAZE project.
Islay Carbon Neutral
Islands Project
Iona Heat Network
research project
Isle of Mull Energy
Audit 
Oban Energy Plan,
etc

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5
Argyll and Bute Council LHEES Delivery Plan 2024 
Priority 1 and 2- Decarbonising heat and addressing grid capacity. 
Action  Description Key Stakeholders
Retrofit Private
Housing Stock
Support PRS tenants
and homeowners to
transition to a low or
no-carbon heat source.
Ensure Landlords are aware of
their decarbonisation obligations
following the enactment of the
HIBS Bill. 
Enhance the promotion of  
• Warmer Homes Scotland
programme 
• ECO and ECOFLEX
Encourage eligible homeowners
and tenants to sign up for these
programmes. 
Develop/identify an appropriate
toolkit for homeowners to assist
them on their decarbonising
journey.
Landlord Registration
Team   
ABS Team 
LHEES Officer
Retrofit Social
Housing Stock 
RSLs continue to
decarbonise the
heating source of their
housing stock.
RSLs are currently decarbonising
their stock to comply with
EESSH/ EESSH2. 
In the future, RSLs must adhere
to the SHNZS once it is enacted.
RSL’s 
Heat Networks
Evaluate the feasibility
of the proposed heat
networks described in
the LHEES strategy.
Conduct feasibility studies to
determine which Heat Networks
are viable. 
Identify housing sites which are
near the potential heat networks
outlined in the LHEES strategy.
Collaborate with Registered
Social Landlords (RSLs) and
other developers to share the
expenses of infrastructure works.
This collaboration may reduce the
implementation costs and make
another wise, unviable network
viable. 
Explore potential options for heat
network delivery models. 
Develop a business case for
feasible heat networks.
RSLs 
LDP Team 
LHEES Officer
The Rural Growth Team
Technical experts
Potential investors

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6
Argyll and Bute Council LHEES Delivery Plan 2024 
Heat Networks
Prioritise viable heat
networks and support
the implementation of
the most viable ones.
Some heat network projects will
already have potential investment
streams, such as the Islay and
Campbeltown networks.
The LHEES Officer 
Technical experts
Potential investors
The Rural Growth Team 
Heat Networks
Carefully evaluate the
benefits and
drawbacks of formally
designating Heat
Network Zones.
If the Council decides to
designate HNZ, then the Council
will:
• comply with the Heat
Networks (Scotland) Act 202
requirements.
• Use planning policy to
designate Heat Network
Zones in the Local
Development Plan. 
The LHEES Officer 
Council Elected
Members and Senior
Staff
The LDP team 
Heat Networks
Promote and facilitate
the implementation of
shared ground loop
opportunities.
As part of the LHEES process,
research and analysis were
undertaken to determine the
viability of share-ground loop
projects within Argyll and Bute.
This desktop research project will
be developed further by
undertaking the following:
• Determining the level of
interest among stakeholders
regarding the advancement of
potential opportunities.
• Conducting additional
research to ascertain the
feasibility of projects that have
generated interest.
• Support stakeholders in
obtaining resources to
implement these small-scale
heat networks.
LHEES Officer
Technical experts
Stakeholder groups,
organisations,
businesses and
individuals.
Grid Constraints
Identify areas with
available grid capacity
and prioritise projects
in these locations.
We will engage with both
Distribution Network Operators
(DNO) to assess the implications
of individual heat pump
installations on the local grid. We
will use SSEN and SPEN project
planning tools to determine where
grid capacity would allow
decarbonisation projects to occur. 
LHEES Officer 
SPEN 
SSEN
Grid Constraints SSEN’s LENZA tool identifies
areas where there are grid
constraints. Overlaying this data
LHEES Officer 
SPEN 
SSEN

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7
Argyll and Bute Council LHEES Delivery Plan 2024 
Identify the LHEES
priority areas impacted
by grid constraints.
with GIS maps outlining the
LHEES priorities provides a
visual representation of the area
requiring urgent grid
infrastructure enhancements.
The Council needs to have
access to a similar tool for the
SPEN area.
Grid Constraints
Develop plans and
investment streams to
resolve grid constraints
in LHEES priority
areas.
Enhancing the grid infrastructure
in urban and rural areas is
essential to facilitating the
transition to decarbonised heat
and preventing rural areas from
being marginalised or left behind. 
Support Distribution Network
Operators (DNOs) to secure
investment in grid infrastructure
for the priority areas outlined in
the Local Heat and Energy
Efficiency Strategy (LHEES).
Collaboration and dialogue
among the Council, the Scottish
Government, and DNOs are
integral to accomplishing this
target.
ABC Senior
Management  
SSEN 
SPEN
SG 
Decarbonisation
Pathways
Consider how locally
generated electricity
that cannot be
exported to the grid
could be utilised.
Consider how this surplus
electricity can be used, for
example:
• Distributed locally to fulfil local
energy needs 
• to create thermal stores, 
• for battery storage and 
• for producing green hydrogen.
All of which could be utilised
locally to provide low-cost clean
heat.
ABRA 
Economic Development 
LHEES Officer  
Energy generators
Decarbonisation
Pathways
Investigate
decarbonisation
pathways using
emerging technologies
or existing
technologies in new
ways 
This will include:
o Identify potential opportunities
for local generation and
distribution 
o Explore solar potential.
o Explore hydrogen and what
solutions can be provided by
the Argyll Hydrogen Hub
o Demonstration projects such
as hydrogen and gas mix
o Thermal stores 
Climate Change
Manager 
LHEES Officer 
Economic Development

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8
Argyll and Bute Council LHEES Delivery Plan 2024 
o Industrial-sized electric battery
stores such as Annan
Distillery
o Smart grid solutions  
o Keep up to date with novel
solutions through
conferences, workshops,
reports, and research findings,
as well as maintain
relationships with the industry.
Decarbonisation
Pathways
Implement energy
efficiency measures in
non-domestic Council
assets.
Identify the required
decarbonisation pathways for
council assets. This could be
achieved by expanding the Non-
Domestic Energy Efficiency Fund
to decarbonise further council
assets. 
Climate Change
Manager 
Climate Change Board 
Decarbonisation
Pathways
Continued enaction of
the Council’s
Decarbonisation Plan
The council will utilise the
Decarbonisation Plan to
determine the prioritisation of
assets for investment.
Climate Change
Manager 
Climate Change Board 
PRIORITY 3, 4 and 5-  Sustainable energy-resilient communities fuel poverty
and a just transition.
Action  Description  Key stakeholders
Sustainable energy
reliance communities 
Enhance community
resilience by
encouraging
communities to
formulate localised
“place-based” energy
decarbonisation plans. 
Promote examples of good
practice, such as the AMAZE
and Zero Carbon Islay
community energy plans. 
Also, investigate if there are
opportunities to incorporate heat
decarbonisation plans into other
community plans, such as:
• NPF4 (place-based plans) 
• CHAT plans(community-led 
housing plans) 
• Community Planning
Partnership (place plans) 
LDP Team  
Housing Services
Community Planning
Partnership 
Community Trusts and
Organisations
Economic
Development 
Sustainable energy
reliance communities  
Explore mechanisms
enabling communities to
maximise energy
generation benefits in
their area. I.e. promote
Community wealth building
could include: 
• Establishing local energy
distribution projects.
• Providing cheaper,
cleaner energy. 
Economic
Development
LHEES Officer

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Argyll and Bute Council LHEES Delivery Plan 2024 
community wealth
building.
• Providing communal
heating projects.
• Creating high-quality jobs
in the green economy. 
Just Transition
Identify suitable
decarbonisation
approaches for remote
rural and island
communities. 
When formulating
decarbonisation policies and
strategies, policymakers must
consider the specific
requirements of remote, rural,
and island communities. For
instance, it's essential to ensure
that regulations such as the
HIBs bill and the Building
Control regulations allow
biomass to be used in rural
areas. This would facilitate the
shift from fossil fuels to this
carbon-neutral energy source.
ABC senior
management 
LHEES Officer 
Elected Members 
SG 
A Just Transition
To ensure that the move
to net zero is fair and
equitable.
The price individual building
owners must pay to connect to a
low or no-carbon heat source is
determined by the building’s
location. In heat-dense
communities, building owners
are attractive to heat network
investors, resulting in low or no-
cost connections to
decarbonised heat. Conversely,
building owners may face
significant costs to connect to a
decarbonised heat source in
non-heat-dense areas.
Therefore, additional support will
be necessary for these
communities. For example, one
solution could be to provide
grants to communities where
there is a lack of desire to invest
in heat networks.
SG 
A just transition 
Maximise funding and
investment in remote
rural and island
decarbonisation
projects. 
To enhance access to funding
and investment for project
delivery, it is essential to:
• Raise awareness of the
existing funding sources
• Seek out alternative funding
sources to strengthen
retrofit/heat decarbonisation
efforts
Economic
Development 
LHEES Officer

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Argyll and Bute Council LHEES Delivery Plan 2024 
• Find ways to use existing
funding more effectively
• Improve opportunities for
external investment in heat
decarbonisation projects. 
It is imperative to take proactive
measures to prevent the
exclusion of remote rural and
island communities from funding
opportunities due to their high
capital costs. This can be
achieved through the following
steps: 
• Ensuring that funding entities
are well-informed about the
underlying reasons for the
high capital costs faced by
remote rural and island
communities.
• Advocating for an equitable
allocation of resources.
• Outlining the restricted
opportunities for private
investment attributable to the
lack of heat density in these
areas. 
Scottish Government
and other funders 
Fuel poverty
Prioritise installing heat
networks or heat pumps
in homes that use direct
electric heating.
A targeted focus on households
dependent on direct electric
heating represents an
opportunity to alleviate fuel
poverty. This is attributable to
the cost-effectiveness of heat
pumps and heat networks
compared with direct electric
heating systems. 
RSLs
Landlords 
Homeowners
Fuel poverty
Focus on homes where
poor energy efficiency
contributes to fuel
poverty.
Buildings with substandard
insulation require more heat to
maintain a comfortable
temperature, resulting in higher
heating costs. This increased
energy demand can lead to
households falling into fuel
poverty. Prioritising these
properties will help alleviate fuel
poverty.
ABS 
Child Poverty Forum 
LHEES Officer

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Argyll and Bute Council LHEES Delivery Plan 2024 
PRIORITY 6-   Fabric first approach- getting buildings heat pump ready.
Action  Description  Who
Energy Efficiency
Measures
Engage with private
sector building owners
and tenants to
encourage greater
adoption of energy
efficiency initiatives.
Increasing uptake of energy efficiency
measures may be achieved by:
• Raising awareness of the  ABS, ECO
and ECO flex programmes
• Promoting case studies and good
news stories to demonstrate tangible
benefits.
ABS team 
Energy Efficiency
Measures
Signposting structures
are in place to enable
building owners to
identify potential
resources to fund
energy efficiency works. 
Not all building owners qualify for ABS
or ECO funding and may require
guidance on accessing funding. Local
and national awareness campaigns are
necessary to inform building owners
about financing options for energy
efficiency measures. (See awareness
raising section of the plan)
SG
ABC
Energy Saving
Trust 
Home Energy
Scotland
Energy Efficiency
Measures in Mixed
Tenure Properties 
Engage with
stakeholders in mixed-
tenure properties to
implement energy-
efficient measures for
the entire building.
When property owners or residents
make inquiries about or receive funding
from schemes such as the Argyll and
Bute Council’s Scheme of Assistance,
then the council would recommend that
energy-efficiency measures should also
be implemented within buildings. 
Undertake tailored initiatives such as the
Warmer Homes project in Tarbert. This
mixed-tenure structure received funding
from the Warmer Homes Scotland
initiative to address sections occupied
by social rented tenants. However, the
scheme did not extend to tenants in the
private rented sector (PRS) and owner-
occupiers. To address this disparity, the
council pursued funding from the
Special Project Fund under the Area
Based Scheme. This allocation covered
the financial contribution that would
have been required from tenants in the
PRS and homeowners to ensure
comprehensive treatment of the entire
building.
Housing Team 
RSLs

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Argyll and Bute Council LHEES Delivery Plan 2024 
Priority 7- Tackling the skills gap and improving the supply chain. 
Action  Description Who 
Skills and Supply
Chain 
Support the
development of the
supply chain while also
identifying the
essential skills
required for
implementing energy
efficiency measures
and heat
decarbonisation.
Additionally, it
facilitates skills
development in these
specific domains.
Build on the recommendations
identified by Historic Environment
Scotland following their skills
audit in Argyll and Bute. Historic
Environment Scotland advised
that professionals in education,
alongside Skills Development
Scotland, should advocate for
construction careers as a
favourable career path for school
students. They also proposed
that schools introduce vocational
courses to provide students with
practical exposure to such
careers. 
Increase the number of
apprenticeships in
decarbonisation-related roles to
alleviate the skills shortages. 
Identify and address the
underlying causes of low
enrolment in locally offered
decarbonisation and renewable
energy courses. 
Build on Argyll and Bute Council's
"Grow your own" scheme to
upskill local people and enable
them to fill these skills gaps. 
Collaborate with the Argyll and
Bute Skills Development
Partnership to establish a skills
pathway for local individuals
employed in other employment
sectors, facilitating their smooth
transition to roles within the green
economy. 
For Business Development and
Economic Development services
to work with existing construction
and heating businesses to
develop an approach that
Education service
Skills Development
Scotland (SDS)
HIE 
Argyll College 
Various teams with
Argyll and Bute Council 
Skills Development
Partnership 
LHEES Officer

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Argyll and Bute Council LHEES Delivery Plan 2024 
enables employees to upskill and
equip them with the necessary
skills to pursue emerging
opportunities within the green
economy. 
Participate in national discussions
regarding skills gaps in
decarbonisation and identify best
practices and successful
approaches. Implement the
identified solution in Argyll and
Bute or adapt it to suit the local
context. 
Priority 8- Knowledge and Awareness 
Action  Description  Who 
Raise awareness of
the LHEES 
Continue to provide workshops and
training sessions on the LHEES. 
LHEES Officer
The community
knows it needs to
decarbonise
Enhance the
community's
knowledge and
consciousness of the
necessity to
decarbonise.
Emphasising the localised impacts of
climate change and delineating the
necessity of strategies for both
mitigation and adaptation is essential
to motivate individuals to decarbonise
their heat sources and decrease their
energy consumption.
Community
Planning
Partnership’s
Climate Change
Project Manager
Various Council
services  
Other third-sector
and community
organisations  
Community Groups 
Individuals 
Business
decarbonisation
requirements 
Increase engagement
with the business
community to raise
awareness of energy
efficiency and heat
decarbonisation
requirements.
Ensure that business representatives
are aware of the legislative
requirements, the tools available to
assist them in decarbonising, and the
financing options to facilitate this
transition.
Business gateway
Argyll and Bute
Council business
support team
Federation of Small
Businesses 
the Chamber of
Commerce 
Council Staff and
Elected Officials
consider the carbon
implications of their
decisions.
Increase the number of Council staff
and Elected Members who have
completed carbon literacy training. 
For the Council to move from bronze
to silver carbon literacy accreditation.
Elected Members
Council Staff

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Argyll and Bute Council LHEES Delivery Plan 2024 
Elected Members and
Council staff have
knowledge and
awareness of why it is
imperative to
decarbonise and have
pledged to
decarbonise. 
To continue participating in
conferences, workshops, and training
courses to improve and enhance
knowledge of energy efficiency and
heat decarbonisation. 
Meet with practitioners from industry
to improve knowledge and
understanding of heat
decarbonisation and energy
efficiency. 
Bespoke advice 
Businesses, the
community, and
individuals can access
bespoke advice on
decarbonising heating
and improving energy
efficiency measures
tailored to their
buildings.
Signposting to Home Energy
Scotland for bespoke energy
efficiency and heat decarbonisation
advice and information about funding. 
Signpost to EST, who can provide
information about renewable
technologies and case studies of
early adopters. 
Investigate the tools available on the
market that provide bespoke advice
on decarbonisation and energy-
efficient measures for specific
buildings. Evaluate how businesses,
community organisations, and
individuals can use these tools and
what safeguards must be established.
EST 
HES 
Various Council
Services 
LHEES Officer
Knowledge of
decarbonisation
programmes 
Continue to collaborate
with RSLs to ensure
they are aware of the
support available to
decarbonise their
stock. 
Promote and circulate information
regarding programmes and initiatives
which implement energy efficiency
measures or install technologies to
decarbonise heat to:
• The Argyll and Bute Strategic
Housing Partnership, 
• The SHIP Officers Group and 
• Argyll ad Bute Energy
Efficiency Forum
RSLs 
Housing Services 
Knowledge of
decarbonisation
programmes 
Increase knowledge
and awareness of
energy efficiency and
heat decarbonisation
support to PRS
Continue to promote ABS
programmes to owner-occupiers and
tenants in the PRS. 
Promote ECO, existing grants and
loans and other relevant programmes
that become available to owner-
occupiers and PRS.
ABS team

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Argyll and Bute Council LHEES Delivery Plan 2024 
tenants and owner
occupiers.
Knowledge of
decarbonisation
programmes 
Increase knowledge
and awareness of
energy efficiency and
heat decarbonisation
support to non-
domestic building
owners.
Promote existing and new
programmes as they become
available to non-domestic building
owners to support them in improving
energy efficiency or decarbonising
their heat source.
Business gateway
Argyll and Bute
Council business
support team
Federation of Small
Businesses 
the Chamber of
Commerce 
Refuting
misconceptions
Refuting
misconceptions
surrounding heat
pumps.
Signpost to case studies of early
adopters of heat pumps and promote
local success stories. 
Various Council
Services 
Community
Planning
Partnership Climate
Change Project
Manager 
RSLs
Other third-sector
and community
organisations

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Argyll and Bute Council LHEES Delivery Plan 2024 
Appendix 1: Abbreviations
Acronym Description
CPP Community Planning Partnership 
DNO  Distribution Network Operator
ECO Energy Company Obligation
EES Energy Efficient Scotland
EESSH Energy Efficiency Standard for Social Housing
EPC Energy Performance Certificate
EST Energy Saving Trust
GIS Geographic Information System
HA Housing Association
HES  Home Energy Scotland 
HES ? Historic Environment Scotland 
HIE  Highlands and Islands Enterprise 
EESABS Energy Efficiency Scotland: Area Based Schemes
ABS Energy Efficiency Scotland: Area Based Schemes
INTOG Innovation and Targeted Oil and Gas Leasing
LA Local Authority
LDP Local Development Plan 
LHEES Local Heat and Energy Efficiency Strategy
LES Local Energy Scotland 
LPG Liquefied Petroleum Gas

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Argyll and Bute Council LHEES Delivery Plan 2024 
OGG Off Gas Grid
PEAT Portfolio Energy Analysis Tool
PRS  Private Rented Sector 
RSL  Registered Social Landlord 
SHIP Strategic Housing Investment Programme
SHNZS Social Housing Net Zero Standard
SPEN Scottish Power Energy Networks
SSEN Scottish and Southern Electricity Networks
SDS Skills Development Scotland
WHS  Warmer Homes Scotland