Key Features
The Red Diesel Replacement (RDR) programme is an innovation funding programme to support the development and demonstration of low carbon alternatives to red diesel for the construction, mining & quarrying sectors.
Programme: BEIS
Award: Share of up to £40 million
Opens: 19th Jan 2023
Closes: 23rd Mar 2023
The Red Diesel Replacement (RDR) programme is an innovation funding programme to support the development and demonstration of low carbon alternatives to red diesel for the construction, mining & quarrying sectors. The RDR programme will provide up to £40 million as part of the £1 billion Net Zero Innovation Portfolio (NZIP), funded by the Department for Business, Energy and Industrial Strategy (BEIS). NZIP aims to accelerate the commercialisation of innovative clean energy technologies and processes through the 2020s and 2030s. Switching industry to lower carbon fuels will be critical for meeting the UK’s legally binding commitment to achieve Net Zero by 2050.
The purpose of Phase 2 is to support the physical demonstration of an end-to-end system / solution replacing existing red diesel-using technologies on construction and mining or quarrying sites, including engineering design, build, trial, decommissioning, market assessment, and knowledge dissemination.
Phase 2 is open to all applicants, whether or not they have taken part in Phase 1. The total budget allocated for Phase 2 will be up to £32.5 million.
For further information on the competition, see guidance notes here
To be eligible for funding under the RDR Phase 2 competition, proposed projects must meet the eligibility criteria. These will be listed in the online application form as the Yes/No questions. BEIS will consider all information on the application form when reviewing project eligibility.
For further information on the eligibility questions, please see here
Match funding must be provided for Phase 2 projects. Confirmation that match funding will be available must be provided at application stage, for example a Letter of Intent from the funder/investor specifying their intent/agreement to provide an amount of funding and any conditions on that funding.
The total budget available for the Competition is £32.5 million, with up to £12 million available for each project. BEIS will award no more than £10 million to a single organisation, which may be for one project or across multiple projects. The competition funding will be awarded via grants.
Projects which meet the minimum assessment threshold will be ranked by total score and allocated funding in order of merit until the available funding is utilised or there are no more suitable projects (whichever comes first). BEIS may also, at its discretion, choose not to make an award or allocate an award that is less than the total budget depending on the quality of applications.
BEIS reserves the right to allocate more or less than the total budget depending on the number and quality of applications received and budget availability. In the event of securing additional budget, BEIS can award funding to additional projects at any point. Bidders should not rely on there being further funding available for the competition in excess of the allocated budget. BEIS may also, at its discretion, choose not to make an award or allocate an award that is less than the total budget depending on the quality of applications.
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