Innovate UK have allocated up to £40million to fund projects across two competition strands:
- IETF deployment of energy efficiency technologies, spring 2021 (this strand)
- IETF industrial energy efficiency and decarbonisation studies, spring 2021
The majority of the funding will be allocated in this deployment strand.
Grant funding thresholds
The minimum threshold for grant awards is £100,000 towards the total eligible costs of the project. The maximum grant funding that an individual project can claim is £14million.
Your application can be made up of multiple projects and there is no minimum cost per project. You must make sure that:
- The total grant funding for each application is at least £100,000
- The total grant funding for individual projects does not exceed £14million
You should consider whether your application falls within these thresholds by estimating how much of the total project cost you can claim based on the rules outlined in the funding section of this competition.
Innovate UK will assess your application in terms of its value for money. You must only apply for the minimum amount of grant to enable the project to go ahead.
IETF will award grant funding to cover eligible costs of deploying technologies if you can show that these costs are additional and necessary to achieving the energy efficiency saving. The extra investment costs necessary to achieve the higher level of energy efficiency will be determined as follows:
- Where the costs of investing in energy efficiency can be identified in the total investment cost as a separate investment, this energy efficiency-related cost will constitute the eligible costs
- In all other cases, the costs of investing in energy efficiency are identified by reference to a similar, less energy efficient investment that would have been credibly carried out without the grant. The reference investment should be similar in terms of size, capacity, and all other technical characteristics besides those that achieve the energy saving, and meet relevant minimum standards. This is the counterfactual case. The difference between the costs of both investments identifies the energy efficiency-related cost and constitutes the eligible costs
You must include a justification for the costs claimed in your application
Each project partner can claim for their share of the eligible project costs. The maximum grant value that each partner can claim is determined by the rules below. If your organisation’s work on the project is mostly commercial or economic, your funding request must not exceed the limits below. These limits apply even if your organisation normally acts non-economically.
You can apply for funding for multiple projects if you are able to show that each project is a separate investment. If funding has already been granted to an individual project, then the maximum funding that the project can receive is £14million minus the amount already received. The maximum amount of funding a single project can receive is £14million in total. Aggregated applications may exceed this.
You can only claim funding in this competition for projects that take the energy efficiency of your site beyond the relevant legal minimum standards.
The following are costs which are ineligible:
- Costs not directly linked to the achievement of the energy efficiency improvement
- The value of contributions in kind, for example a contribution in goods or services as opposed to money
- Depreciation costs incurred from production down-time
You cannot apply for or obtain, duplicate funding for the same funded activities covered by the grant. Duplicate funding means funding provided by another source for the same activity.
Where you declare any match or pooled funding, IETF will not consider this duplicate funding.
You cannot claim for the costs of operating your installed energy efficiency technology, or for any preparatory work conducted before the grant is awarded.
The government can in certain circumstances, offer additional financial support to organisations acting economically if they are conducting projects located in specific geographical areas.
If your project is located in assisted area A you could receive funding for your eligible project costs of:
- Up to 65% if you are a micro or small organisation
- Up to 55% if you are a medium-sized organisation
- Up to 45% if you are a large organisation
If your project is located in assisted area C you could receive funding for your eligible project costs of:
- Up to 55% if you are a micro or small organisation
- Up to 45% if you are a medium-sized organisation
- Up to 35% if you are a large organisation
If your project is located in another area you could receive funding for your eligible project costs of:
- Up to 50% if you are a micro or small organisation
- Up to 40% if you are a medium-sized organisation
- Up to 30% if you are a large organisation
For further information on assisted areas please see the Supplementary Grant Award Guidance.
Any research organisations in your project team undertaking non-economic activity as part of the project can share up to 30% of the total eligible costs. If your project team contains more than one research organisation undertaking non-economic activity, this maximum is shared between them.
For organisations based in the England and Wales you must refer to the Company accounts guidance for definitions of different organisation sizes.
For projects subject to the European Commission State aid rules, please read the EU definitions of different organisation sizes.
Through this strand of the competition, Innovate UK are not funding:
- Technologies that are not proven to work through successful operations or are not qualified through test and demonstration
- Repair and maintenance projects that would be undertaken in the normal course of business
- Feasibility or engineering studies for energy efficiency solutions
- Plant closure projects
- New build plant or expansions
- Energy efficiency measures that are not integral to the industrial process, including:
– building lighting
– space heating and cooling for buildings where not integral to the industrial process
– on or off-site transport
- Electricity generation, including the installation of new renewable projects like solar panels or wind turbines
- Fuel switching that does not achieve energy efficiency improvements.
- Combined heat and power (CHP) upgrades to existing plants
Cresco Innovation works with companies to develop and implement innovation strategies. We help client companies identify opportunities to develop new products and services, and then create a package of support to ensure that the idea is turned into a commercial reality.
Our services include securing grants (as a team we have raised around £40million over three years), business planning, IP advice, access to finance and funders, project management and IP commercialisation support.
We regularly act as the interface with the funding bodies and help clients ensure that their projects are properly managed to ensure the best outcome for all.