Future fuels for flight and freight (F4C)

Key Features

The Department for Transport (DfT) are promoting the development of an advanced low carbon fuels industry within the UK through the new Future Fuels for Flight and Freight Competition (F4C). Through the F4C DfT aim to increase domestic production of advanced low carbon fuels capable of tackling emissions from the hard-to-decarbonise aviation and HGV sectors in pursuit of long-term UK decarbonisation targets. In addition, the F4C is designed to stimulate investment and create jobs through the development of a prosperous domestic industry.

 

The F4C will provide up to £22 million in capital grant funding until 2021. The Competition will be run in two stages with Stage One (Project Development) now open for applications until December 2017 (please note, the exact application deadline date will be announced on the 21st September).

Programme:     F4C

Award:     A share of £22m

Opens: 29th Aug 2017

Closes: 8th Dec 2017

! This scheme is now closed

The  key objectives of the competition are:

  • To increase domestic production of advanced low carbon fuels capable of tackling emissions from the hard-to-decarbonise aviation and HGV sectors in pursuit of long-term UK decarbonisation targets.
  • To stimulate investment and create jobs through the development of a prosperous domestic industry.

The DfT’s objectives for projects within the competition are:

  • Technology demonstration: deliver meaningful technical, route to market, and/or supply chain innovation
  • Fuel production: produce a sufficient quantity of fuel for testing or sale at a scale appropriate for the fuel type
  • Commercial potential: have a clear strategy for commercialising the technology and the products, demonstrating the potential for significant value to the UK
  • Emissions reduction: demonstration of significant greenhouse gas reduction vs fossil fuel, and the highest standards of sustainability.
  • Project execution: bring together a team with the necessary expertise and experience to deliver the project according to its objectives

 

Competition stages 

 

During Stage One, the F4C will provide up to £2 million of Project Development Funding until September 2018 to support the development of proposals for Stage Two.

Only organisations that have successfully completed Stage One will be able to apply for Stage Two funding.

Stage Two of the F4C will provide up to £20 million in capital grant funding over three years (summer 2018 to March 2021) for major demonstration projects providing transformative and innovative solutions. The F4C will support the development of new technologies, testing of novel feedstocks and the construction of new facilities for the commercial production of low carbon fuels.

 

Eligibility Criteria

In order to be eligible to apply to Stage One of the F4C, a project must comply with the following minimum requirements:

Technology scope

  • The main output(s) from the project must be fuel that is capable of being used in aviation or HGVs.
    • Ideally, this would involve fuel that can be used immediately without engine modifications, meeting the relevant diesel or jet fuel specifications whether unblended or blended with fossil fuels.
    • However, bids involving fuels that do not meet current fuel specifications will also be considered, provided that there is clear evidence of the fuel’s future commercial potential and a credible pathway to decarbonising aviation or HGVs sectors.
  • The technology involved must be at the appropriate Technology Readiness Level5 (TRL):
    • The technology must already be at least TRL 5 (pilot plant), and must successfully attain at least TRL 6 (small demonstration scale) by the end of the project.
    • The technology must not already be at TRL 8 or 9, i.e. already commercialised.

Feedstocks and sustainability

  • Feedstocks used must be wastes or residues, or intermediate fuels derived from wastes and residues, and have a regard to the waste hierarchy, i.e. not taking feedstock supplies from existing more environmentally beneficial uses.
  • The advanced low carbon fuel supply chain (from feedstock to vehicle) must have a clear path to achieving a GHG reduction of at least 70% in comparison to a reference fossil fuel, once the technology is scaled-up and commercialised.
    • It is not a requirement that the demonstration plants (TRL 6-7) funded under F4C achieve >70% GHG savings, because of the likely sub-optimal sizing or lack of process integration within such plants.  However, if a first commercial plant (TRL 8) is proposed for F4C funding, this project must satisfy the >70% GHG savings threshold.

Project details

  • The demonstration-scale plant funded under the Competition must have completed commissioning10 no later than March 2021.
  • The demonstration-scale plant funded under the Competition must be located in the UK.
  • Under State Aid Rules, the amount of grant indicated for the Stage Two project must be below the maximum grant limit of EUR 15 million.

All applicants to Stage One should note that Stage Two has an additional set of eligibility criteria that must be met by the time of the Stage Two application.

For more information, click here to read the guidance notes.