£12m carrot to encourage biomass switch

£12m of government funding has been made available to help encourage industry, businesses and community organisations to switch to biomass-fuelled heating and combined heat and power projects.

As part of the latest round of the Bio-energy Capital Grants Scheme grants of up to £500,000 are up for grabs to pay for up to 40 per cent of the difference in cost between a biomass boiler and a traditional fossil fuel alternative.

In previous rounds of the Bio-energy Capital Grant Scheme £55 million was allocated to help set up biomass power stations, biomass-fuelled combined heat and power plants and biomass heating systems.

Sustainable development and energy innovation minister, Lord Hunt of Kings Heath, said:

“Nearly half of the UK’s carbon emissions come from heating, so it’s essential to change how we heat businesses, hospitals, schools and community buildings. By using biomass fuel to generate their own energy instead of coal, oil or gas, organisations can reduce their carbon impact and take an active role in the fight against climate change.”

The grants are available to public and private limited companies, from pubs, clubs, shops or farms, to
offices, supermarkets and stately homes right through to large businesses like breweries or airports. Community organisations like schools, colleges, universities, hospitals, local authorities, housing associations and charities can also apply.