Some of the UK’s most polluting industries will benefit from £40m funding to help them cut their carbon emissions, while reducing their energy bills, the government have announced.
Businesses in energy-intensive sectors, including pharmaceuticals, steel, paper and food and drink, will be able to apply for grants worth up to £14m through the government’s Industrial Energy Transformation Fund – totalling £289m in funding up until 2024.
In this second competition window, the minimum grant has been lowered to £100,000 for deployment projects, offering more flexibility for small businesses to receive funding so they can speed up getting their ideas to market.
With potential projects taking place across the East and West Midlands, North East, North West, and Yorkshire and the Humber as well as Wales and Northern Ireland, the government grants will enable businesses to use new technology to improve the efficiency of industrial processes and reduce energy demand.
They will drive them towards a cleaner, more sustainable future as part of our green industrial revolution by 2030 and mission to eliminate our contribution to climate change by 2050.
This includes factories installing electric motors and heat pumps to replace their natural gas-fired boilers and steam turbines, manufacturers using heat recovery technology to recycle waste heat and generate renewable electricity, and industries such as the food and drink sector carrying out studies to replace natural gas with hydrogen as their primary fuel.
Doing so will create and support thousands of British jobs, cut carbon emissions and lead to cleaner air for the people of the UK.
Energy Minister Anne-Marie Trevelyan said: “We can only achieve our ambitious plans to tackle climate change if everyone plays their part, including businesses large and small. That’s why our £40m investment will not only help some of the highest polluting industries like steel, paper and pharmaceuticals build back greener by finding innovative ways to reduce their carbon emissions but will also create more opportunities for growth and jobs by levelling up and making industry fit for the future.”