The project, which is part of the Waterfront regeneration project in north-west Edinburgh will see the construction of 75 net-zero carbon homes and three retail units in Granton.

The Granton D1 initiative is the first Edinburgh Home Demonstrator (EHD) pilot and is led by the City of Edinburgh Council with support from construction and academic partners. It is part of the Council’s ambitions to deliver 20,000 affordable homes by 2027.

The project is being undertaken in partnership with CCG (Scotland) Ltd to test this new business model for building affordable, net zero homes. A large proportion of the construction will be carried out off-site in a factory setting, reducing the overall time it takes to build the homes.

The homes will also include zero emissions heating. This will help to reduce their greenhouse gas emissions and support the city’s 2030 net-zero target.

The pilot is also supported by a team from Napier University that will analyse the energy performance to validate and inform the net-zero carbon strategy for future EHD projects. The EHD project aims to deliver 1000 affordable net-zero carbon homes across the six council areas in the City Region Deal.

With Edinburgh’s ambitious target to become a “net-zero” city by 2030, both of these developments, alongside the 444-home Western Villages development, will act as a blueprint for future sustainable development and help Scotland to transition towards a greener economy.

Councillor Kate Campbell, convener for the Housing, Homelessness and Fair Work Committee, said: “Making homes more sustainable will help us to meet our net-zero targets, but the most important thing is that our tenants will benefit.

“With the cost of living rising sharply, making the running costs of homes more affordable will help tenants on low incomes, preventing fuel poverty.

“This pilot, and the learning we hope to take from it, is a really important step for us on our journey to making all of our housing stock more energy efficient, and better for tenants to live in.”

She went on: “We have incredibly ambitious plans which form the bedrock of our housing strategy over the next 10 years.

“There is a critical need for more affordable homes in Edinburgh and we are responding to that through our commitment to deliver 20,000 social and affordable homes by 2027.”

Councillor Mandy Watt, vice-convener for the Housing, Homelessness and Fair Work Committee, said:”The Granton D1 development will provide affordable places to live for everyone with over 60% being for social rent.”

She added: “The development is part of the wider Granton Waterfront regeneration, which includes the creation of one of Europe’ s largest new coastal city parks. We hope to provide residents and visitors with the chance to reconnect with the city’s waterfront.”