Bio-Energy Capital Grant Scheme - Round 5

The Department of Energy on Climate Change (DECC) has announced a fifth round of grant application period which ends 30th April 2009 to fund biomass combined heat and power (CHP) development projects.

The total grant funding for Round 5 is £12 million for the period 2009 to March 2011. An additional window for applications will be announced in the Summer of this year with a further Autumn deadline.

The grant is available to support the installation of complete biomass fuelled boilers with CHP equipment including anaerobic digestion plants. It is open to the industrial, commercial and community sector which includes farmers. The scheme is not open to householders or individuals.

A consortium proposing to operate through a collaborative agreement or joint venture may apply which may typically involve say a group of farms or other local businesses. Applications can only be submitted by the ultimate owner of the installation for which grant aid is requested.

The grant scheme will only be paid towards CHP projects fuelled by biomass where at least 90% of the energy is derived from:-

Animal matter or substances derived directly or indirectly including:-

• Purpose grown energy crops, e.g. coppice, willow, poplar, myscanthus, etc
• Clean wood fuel
• Green waste or residues
• Agricultural residues such as straw, manure, slurry and vegetable matter
• Food industry wastes and residues not covered by the Waste Incineration Directive.

The grant is paid towards the installation, construction and commissioning of the project. The maximum ceiling grant is £500,000 per installation and currently there is no minimum threshold.

Denton Clark has considerable experience within the renewables sector and are able to advise on the setting up and commissioning of schemes.

For further information please contact:-

DDL: 01244 409669
E: r.williams@dentonclark.co.uk