Designing and building a system to administer the UK’s Clean Heat Market Mechanism

The Department for Energy Security and Net Zero (DESNZ) required a digital service to administer the Clean Heat Market Mechanism (CHMM).
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  • The number of low carbon heat pumps installed within the UK is insufficient to meet the government’s target.
  • The objective of the CHMM scheme is to stimulate a market-led sector transformation and help grow the UK consumer market in heat pumps.
  • The UK Government asked DESNZ to administer CHMM policy.
  • 1
    We built a system that DESNZ could use to serve administrators and manufacturer users.
  • 2
    We used interviews, workshops, and co-design sessions to involve stakeholders in all design decisions.
  • 3
    We addressed all high-risk areas during the Discovery and Alpha stages.
  • 4
    After Alpha, we adopted a Dual-Track Agile approach to ensure that the user experience wasn’t compromised by a rigid sprint delivery model. This enabled us to assess multiple designs and iterate fast, to achieve the best outcome.
  • We passed our Alpha CDDO assessment at the first attempt and within record time.
  • To provide industry with more time to prepare, the go-live was postponed by 12 months.
  • However, we had the CHMM system ready for the original go-live date in case it was needed at short notice.

Their story

DESNZ required a digital service to administer the CHMM. Our experience was important. We had recently designed and delivered an award-winning digital service that the Department for Transport use to administer the Renewable Transport Fuel Obligation (RTFO).
A target-based policy

The CHMM applies to manufacturers selling fossil fuel boilers in the United Kingdom. Manufacturers must acquire additional credits if they do not meet annual targets to increase the percentage of heat pump installations.

The CHMM is complex

But the system to measure it needed to be simple and easy to use, with minimal user training.

Stakeholder involvement

Our stakeholders engaged in all design decisions which ensured we built the best possible system for administrators and for manufacturer users.

Administering the UK’s Clean Heat Market Mechanism

The system would facilitate the trade of credits, monitor the manufacturers compliance with CHMM policy and enable better monitoring of progress towards government climate targets.