Lumenstream is committed to helping the world say yes to a sustainable future. That’s why, biweekly, we like to share the positive steps other businesses and countries are taking to have less of a footprint on the planet.
We think that’s news worth spreading.
Luckily, a lot of people are fighting the good fight so there’s never a lack of stories to cover.
This week we focus on the announcement (on 13.02.23) about further funding for energy intensive industries from the UK government. It comes from the Department for Energy Security and Net Zero and The Rt Hon Graham Stuart MP.
£12.4 Million to Help Businesses Cut Emissions and Costs
Coming from the Industrial Energy Transformation Fund (IETF), a further £12.4 million has been awarded to UK businesses in some of the top polluting industries. This money will help improve their energy efficiency and industrial processes, ultimately lowering their carbon emissions and energy bills.
Car manufacturing, steel production, food and drink production, and pharmaceuticals are all receiving this boost. Collectively industry amounts to 16% of carbon emissions in the UK. With the ever-talked about net zero target to be reached, this needs to be cut by two thirds by 2035.
The fund is for businesses across England, Wales and Northern Ireland. Scotland launched its own Scottish IETF in December 2020 and is administering £34 million (£26 million from the IETF) for investment.
It is not just seen as a way for businesses to cut emissions, but also to future-proof them, protecting them from rising costs and safeguarding jobs.
The IETF has been running for almost 3 years and has administered a total of £34.8 million so far.
Who is receiving the funds?
This particular round is the total from IETF Phase 1 and Phase 2 from Spring and Autumn 2021. The 22 winners are from both the Phase 1 Energy Efficiency Deployment competition and Studies competition. The £22.4 million will go towards projects totalling £38.7 million, subject to contracts being signed.
Graham Stuart, Minister at the Department for Energy Security and Net Zero said:
Boosting the energy efficiency of industrial processes is a critical step not only in our transition to a lower-carbon economy, but also by helping businesses to cut their energy costs and protect valuable British jobs.
That’s why the government has stepped in once again to support energy intensive industries, with a fresh funding round to unleash the next generation of green innovators who are re-shaping the way technology can reduce carbon emissions.
How exactly will that money be used?
Here’s a quick look at some of the businesses that have been awarded funds in this round:
Location: Carmarthenshire, Wales
Industry: Food production
What the fund is for? Upgrading the heating system from gas oil fired steam boiler to air source heat pump (powered by renewably sourced electricity)
Company: Harsco Environmental’s SteelPhalt plant
Location: Rotherham, England
Industry: Develops and manufactures high performance tarmac products
What is the fund for? Investigating ways to capture waste heat to transform it into electrical power.
Company: Autotech Engineering/Gestamp
Location: Newton Atcliffe, England
Industry: Designs, develops and manufactures metals for vehicles
What is the fund for? The SERPENT project- capturing and reusing energy lost in the pressing of metal sheets.
Company: Long Clawson Dairy
Location: Leicestershire, Nottinghamshire, Derbyshire, England
Industry: Cheese production
What is the fund for? A new thermal storage system with the ambition to be 100% electrically powered in the future.
What else is the government doing?
Since 2013, the government has provided over £800 million of support to the industrial sectors as well as the Energy Bill Relief Scheme to help with the rising energy costs. The funds are competitive but support those successful in ‘going green, cutting emissions and becoming more energy efficient’.
There are 6 Funds highlighted in this latest press release:
1.Industrial Energy Transformation Fund
Total: £289 million
For? High energy use businesses
To? Cut bills and emissions
2. CCUS Infrastructure Fund
Total: £1 billion
For? the Carbon Capture and Storage sector
To? Support capital expenditure on the transport and storage networks and specific projects
3. Net Zero Hydrogen Fund
Total: £240 million
For? the Hydrogen sector
To? Support commercial deployment of hydrogen projects
4. Industrial Fuel Switching Fund
Total: £55 million
For? High energy use businesses
To? Promote switching to lower carbon fuel sources
5. Industrial Decarbonisation Research and Innovation Centre (IDIRC)
Total: £20 million
For? Companies with industrial sites
To? Provide capital funding to switch to hydrogen
6. Industrial Strategy Challenge Fund
Total: £66 million
For? Key foundation industries, such as steel
To? Develop new technology to reduce usage of energy and resources
With all of these funds available, your business may be eligible to get some much needed help to become more energy efficient, secure your future in industry, and help the UK reach Net Zero. This journey doesn’t have to be costly, in fact, it should help you save money in the long run.
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For the full press release go to the government’s website here.