Community and local generation update

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1 Community and local generation update Chris Morris Local Energy Scotland

2 Energy generation There is over a decade of experience in Scotland of supporting communities to develop their own renewables schemes, resulting in over 400 schemes, with active projects ranging from heat pumps in community buildings to wind farms of up to 6.9 MW. This has built up a wealth of experience in local communities in terms of green aspirations, as well as, of course, local understanding of the role that renewables can play in generating revenue as part of a low carbon economy.

3 Energy storage through CARES Infrastructure and Innovation Fund Grant funding is available for communities to investigate and develop projects that link local energy generation with local energy use, or projects that wish to develop innovative distribution and storage solutions. This fund helps to pilot energy storage and network management through real world, community-based situations. Local Energy Challenge Fund The newest strand of CARES, the Local Energy Challenge Fund, has been created to demonstrate the value and benefit of local low carbon energy economies. The fund will support large-scale local low carbon demonstrator projects which show a local energy economy approach linking local energy generation to local energy use. This could include projects looking to develop innovative distribution and storage solutions, and with an overall aim to create more local value and benefit. The majority of IIF and LECF projects either currently involve energy storage or are likely to investigate this option in the future as the projects develop.

4 Overview of current loan spend CARES loan spend: Over 13m in CARES loans offered to date 133 projects have been offered loans to date 68 community projects 65 rural business projects

5 Overview of current grant spend CARES grant spend: Over 1.3m in grants offered through current programmes. 29 IIF projects 49 Start up grants 9 community buildings grants Good pipeline of projects coming through the grant channel

6 Supporting locally owned renewables Support continues to all levels of community projects through the Scottish Government s Community and Renewable Energy Scheme (CARES) Funding programmes such as the Infrastructure and Innovation Fund and the new Local Energy Challenge Fund direct support to those communities and organisations that have technical challenges to overcome. Supports communities to develop projects through the three tiers of project ownership models.

7 100% community owned There is continued demand for 100% community owned renewable energy projects. Example project: Coigach Community Wind Power has been receiving support from CARES over a number of years. The project gained planning permission in February The Coigach Community Development Trust owns 100 percent of Coigach Wind Power Ltd and 50 percent of a hydro joint venture.

8 Shared ownership There is significant demand for shared ownership projects. This is an area we have seen an increase in activity. Partnership work has helped to realise new opportunities for shared ownership projects The partnership with Forestry Commission Scotland has helped to identify potential sites for new projects

9 Community Benefit Over the past year, 6,199,402 has been paid to communities, with an average of 3,664 per MW installed capacity per year from recent projects. Projects are recorded on the community benefits register Local Energy Scotland provided support to the Scottish Government in developing the Good Practice Principles for onshore and offshore renewables. CARES grants can support communities

10 Developing resources for the sector CARES Toolkit A step-by-step guide for projects from conception to completion. Finance and contracts Framework of contractors to cover legal, financial services & project management. Investment Ready Support Package Developing projects into a format that can be meet the needs of funders and REIF.

11 Contact Us Local Energy Scotland Local Development Officers contact details on our website Local Energy Scotland Energy Saving Trust Ocean Point 1 94 Ocean Drive Edinburgh EH6 6JH localenergyscotland.org

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