Funding to support UK businesses, particularly small and medium-sized enterprises, operating in the green energy sector in order to propose low carbon ideas of the future. The Fund will provide financial assistance to help businesses develop and demonstrate new low carbon technologies, services, and business models.
BEIS has launched Phase 5 of the Energy Entrepreneurs Fund with up to £9 million available. There will be two opportunities to enter:
- Phase 5a – will have up to £4 million available.
- Phase 5b – will have up to £5 million available.
Only one proposal per applicant may be submitted into either Phase 5a or Phase 5b. Proposals that are not successful in the first Phase of competition but meet eligibility criteria will automatically be entered to Phase 5b, unless the applicant withdraws.
Companies can apply for up to £1 million per proposal, depending on State Aid requirements, to develop and demonstrate innovative technologies and processes and get advice from experts on how to bring their products to market.
The total requested grant does not exceed £1 million, or £800,000 if applying as a small innovative start-up.
The Energy Entrepreneurs Fund is funded and administered by the Department for Business, Energy & Industrial Strategy (BEIS).
The Energy Entrepreneurs Fund is designed to support the UK businesses operating in the green energy sector to propose low carbon ideas of the future. The Fund will provide financial assistance to these businesses in order to help them develop and demonstrate new low carbon technologies, services, and business models. Businesses will also be able to access support from experts on how to bring their products to market.
The Fund is designed to be used by companies looking to leverage additional private investment.
Although there are no specific exclusions cited at this stage, those wishing to apply are advised to liaise with the sponsor in the first instance to discuss eligibility.
Environmentally-focused companies in the UK may apply to this Fund. The scheme is particularly aimed at small and medium-sized enterprises (SMEs) as well as individual entrepreneurs; however, any company can apply if they meet the competition criteria
Applicants will need to have private funding in place to cover the balance of the eligible costs. This can come from a company's own resources or external private sector investors.
The Funds will primarily be used towards developing energy efficiency solutions for buildings, including advanced lighting, heat pumps and ventilation technologies. Cleantech ideas around power generation will also benefit.
Eligible costs are defined as the following:
- Personnel costs: researchers, technicians and other supporting staff to the extent employed on the project.
- Costs of instruments and equipment to the extent and for the period used for the project. Where such instruments and equipment are not used for their full life for the project, only the depreciation costs corresponding to the life of the project, as calculated on the basis of generally accepted accounting principles are considered as eligible.
- Costs for of buildings and land, to the extent and for the duration period used for the project. With regard to buildings, only the depreciation costs corresponding to the life of the project, as calculated on the basis of generally accepted accounting principles are considered as eligible. For land, costs of commercial transfer or actually incurred capital costs are eligible.
- Costs of contractual research, knowledge and patents bought or licensed from outside sources at arm's length conditions, as well as costs of consultancy and equivalent services used exclusively for the project.
- Additional overheads and other operating expenses, including costs of materials, supplies and similar products, incurred directly as a result of the project.
An application form is available to download at the Department of Energy and Climate Change website
During the application process, applicants will be expected to demonstrate a robust evidence-based case for funding, that will include but not be limited to:
- the potential impact of the innovation on 2020 and/or 2050 low carbon targets or security of supply;
- the technical viability of their innovation and coherent development plan that will commercially progress the innovation;
- value for money, including any cost reduction potential; and
- the size and nature of the business opportunity.