IETF deployment of energy efficiency technologies in industry

Overview

This Industrial Energy Transformation Fund (IETF) competition is offering up to £30 million, split across 2 strands, to fund feasibility, engineering studies and deployment. In this strand projects must deploy technologies to improve the energy efficiency of industrial processes.

In this strand, industrial businesses of any size can apply, either on their own or in collaboration with other organisations.

Scope

This strand of the competition will provide grants to improve the energy efficiency of industrial processes.

Your project must focus on deployment of technology that has been proven to work through successful operations and/or is qualified through test and demonstration. The technology must improve the energy efficiency of an industrial process or processes. Your project must only be possible because of this funding.

Example technologies include:

• improved process control
• more efficient heat exchange
• more efficient drying
• energy recovery from waste heat
• energy recovery from waste pressure
• resource process optimisation

You must follow the specific technical requirements.

Eligibility

To lead a project or work alone your organisation:

• must be a business of any size registered in England, Wales or Northern Ireland
• must operate at the manufacturing site or data centre in England, Wales or Northern Ireland where the project is carried out
• can collaborate with other businesses, research organisations, research and technology organisations (RTO), academic institution or public sector organisations which must all be registered in England, Wales or Northern Ireland
• must carry out its project work in England, Wales or Northern Ireland
• cannot be an undertaking in difficulty (see section on state aid)

Academic institutions cannot lead or work alone.

This competition is aimed at specific types of business. These are determined by a code allocated at the time of registering at Companies House, called a standard industrial classification (SIC) code.
You will need to check your business SIC code to make sure you are eligible. For this competition your business must be one of these:

• manufacturing 10 to 33
• data centres 63110

To collaborate with the lead your organisation must:

• be a business of any size, a research organisation, a research and technology organisation (RTO), an academic institution or a public sector organisation
• be registered in England, Wales or Northern Ireland
• carry out its project work in England, Wales or Northern Ireland

The lead must claim funding by entering their costs during the application. If the lead is collaborating with other organisations then the lead and at least one other partner must claim grant funding and enter their costs into the Innovation Funding Service.

Your Project

Your project must:

• start by 1 April 2022
• end by 31 March 2024
• have a minimum total grant funding of £250,000

At the end of your project you must have installed and begun to operate (or be ready to operate) the energy efficiency technology.

Funding Costs

Up to £30 million has been allocated to fund projects in this competition across 2 competition strands:

• IETF deployment of energy efficiency technologies (this strand)
• IETF industrial energy efficiency and decarbonisation studies

The majority of the funding will be used in this strand.

Under state aid rules the government can, in certain circumstances, offer additional financial support to organisations acting economically, if they are conducting projects located in specific geographical areas. These are known as ‘assisted 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

Exclusions

This competition is not funding:

• technologies that are not proven to work through successful operations and/or are not qualified through test and demonstration
• repair and maintenance projects that would be undertaken in the normal course of business
• plant closure projects
• energy efficiency measures in transport, lighting, or building heating and cooling
• electricity generation, such as solar, wind, combined heat and power