Future Fuels for Flight and Freight Competition (F4C)

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1 Future Fuels for Flight and Freight Competition (F4C) Application form for Stage One (version 8.0) To be read in conjunction with the Guidance Notes SECTION 1 Administrative Details SECTION 2 The Project SECTION 3 - Calculating the Grant SECTION 4 Declarations 4.1 Declaration of Honour 4.2 Declaration from Applicant 4.3 De minimis declaration 4.4 Data Protection SECTION 5 Submitting Your Application THE DEADLINE FOR RECEIPT IS 08 DECEMBER 2017, 1200HRS. Please note only successful Stage One applicants can submit a Stage Two application. For most questions there is a maximum word count. A shorter response may be adequate. Page 1 of 20

2 SECTION 1 Administrative Details 1.1 Project title The title of the project will be used throughout the award process and any subsequent grant. Details of Applicant Registered Name UK company/charity or other registration no. VAT Registration Number Legal status (please refer to the Guidance Notes) Commercial organisation (large enterprise) Commercial organisation (SME) Academic institute Other eg. Consortia, please specify: Establishment date Address of registered office Address line 1 Address line 2 Address line 3 Local authority Postcode Contact details for correspondence Name of contact person Address Phone Please ensure that the address is entered correctly and remains active. Page 2 of 20

3 Alternative contact and address 1.2 The applicant Is your organisation able to reclaim VAT? Yes... No.. Organisations that cannot reclaim VAT on capital equipment through normal channels are allowed to count VAT in their total project costs. Please describe your organisation s aims Give a short description of your aims in one or two sentences. (max 100 words) Please describe how this project will help deliver your aims Please be specific and quantify. (max 250 words) Please describe any experience that you have that will benefit the project Describe any experience you have of similar projects or activities that would support a decision to award a grant. This could be project management of similar projects or other low carbon energy activities that would increase the public profile of the project. (max 250 words) 1.3 Partners (if applicable) Organisation Add additional rows as necessary Page 3 of 20 Legal Status (plc, charity, etc) Registration number

4 1.4 Partner details (if applicable) Please describe partner s business or activities Give a short description of the partner s activities in one or two sentences. (max 100 words) Please describe any experience that the partner has that will benefit the project Describe any experience the partner has of similar projects or activities that would support a decision to award a grant. This could be project management of similar projects or other low carbon energy activities that would increase the public profile of the project. (max 150 words) Please copy table 1.4 as many times as necessary to cover all partners Page 4 of 20

5 2.1 Summary project information SECTION 2 The Project 1. Describe clearly the objectives of the proposed project, describing your vision, its relevance to the competition, and the case for UK deployment and benefits State here the aims of your project and give clear, measurable objectives. Bear in mind that, should your application be successful, this description may be made public, for example in press releases. (max 750 words) 2.1 Eligibility criteria 2. What fuel type will you produce, and where will the fuel be used? (max 300 words) Clearly describe the fuel(s) you will produce. Provide details of the level of blending with fossil fuels expected in the project (if any), and any fuel specifications (if applicable) that will be met. Provide evidence that the fuel(s) is capable of being used in aviation or HGVs either by meeting current fuel specifications (unblended/blended); or by detailing a credible pathway for the fuel to decarbonise aviation or HGVs via required changes in fuel specifications, infrastructure and/or engine designs (a more detailed answer can be provided in response to Question 13). If applicable, provide evidence that the fuel produced will be used in aviation or HGVs by a project partner or off-taker. 3. What is the current TRL of the technology you intend to deploy? Clearly describe the technology and its Technology Readiness Level (TRL). (max 200 words) Page 5 of 20

6 4. What are the predicted GHG emissions savings per unit of fuel at commercial scale? Please enter the total calculated GHG emissions saving at commercial scale from Question 16 below. (max 50 words) 5. What feedstock will be used in the project and what other feedstocks could be applicable to the technology? Describe the feedstock that will be used in the project (and where possible the supply chain) and other potential feedstocks that could be used (including relevant technical justification). If the feedstock to the project is an intermediate fuel, describe the original feedstocks used to derive the intermediate fuel. (max 200 words) 6. When will the proposed plant have completed commissioning? (max 50 words) Provide a month and year for the certified acceptance of commissioning (i.e. the formal acceptance, following an agreed testing programme, that the installation will have adequate performance and output this will normally coincide with the owner s take-over of the installation for commercial operation from the construction contractor). 7. Location of proposed plant (max 100 words) Please provide details about the site/ location for the project, including the grid reference. Please include details of ownership and any lease agreement etc. 8. Total Stage One grant request (max 20 words) 9. Estimated Stage Two grant request (max 50 words) Please enter the total calculated Stage One grant request from Section 3 below. This initial Stage Two grant estimate will be replaced by a much more detailed budget at the point of the Stage Two application. The State Aid maximum grant allowed per project (for Stage One + Stage Two) is 15 million under Article 41, which must be spent by September million Page 6 of 20

7 2.2 The technical concept 10. What is innovative about the project and what TRL will be achieved by the Stage Two project? Describe what is innovative about the project. Describe how the project will lead to a technology system prototype demonstration in a relevant or operational environment at TRL level 6 or above. Describe envisaged progress in key technology performance indicators. (max 800 words) 11. What technical challenges will be addressed and how? What makes your approach / technology the best suited to address the challenge? (max 800 words) Describe the technical approach to addressing the challenges, and provide evidence that the approach / technology you have chosen is credible and that the project has been correctly designed. This can be in the form of supporting evidence such as feasibility reports. Give details that support this project as an ideal candidate for the competition. Please submit outline technical specifications and project schematics as Appendix 1 to this application form. These should include clearly labelled values for all inputs (feedstocks, energy, materials) and outputs (fuels, coproducts, and wastes), in terms of mass and energy flows. The specifications will be reviewed by the Evaluation Panel as part of the assessment of your application. 2.3 Making the case: Commercial 12. What commercial advances will the Stage Two project lead to? Describe and quantify the specific commercial advances that this project will lead to (for example, plant designs, scale of production, reliability and performance levels, reduced production costs, improved feedstock availability, technology competitiveness). (max 1,000 words) Page 7 of 20

8 13. What is the future commercial potential of the technology, and how scalable is it? (max 1,000 words) i) Assuming the project is successful, describe your plans for future plants in the UK and abroad, giving scales and timings. ii) Describe factors that affect deployment, such as competing technologies, feedstock availability, fuel standards, fuel infrastructure, vehicle compatibility, etc. Unique technologies that can demonstrate high UK availability of suitable feedstocks, production of high quality fuel, with minimal changes to fuel supply chains and engines, will be scored highest. iii) Describe your plans for integrating your fuel into the fuel market. Estimate the potential maximum displacement of fossil fuel or jet in the transport market that could be achieved by the fuel. Those fuels that have the most credible integration plans and the largest potential displacement of fossil fuels will score highest. 14. Why is grant support required for the project to continue? What funding has already been secured? (max 1,000 words) Support is aimed at projects that require additional financial assistance, i.e. would not be able to progress without grant funding. Explain clearly the need and role for grant funding in the commercial development of the technology (both at Stage One and Stage Two). Explain what engagement with financiers has already been undertaken, and what potential types and sources of co-funding are being considered, or if there is an engagement strategy to target different sources. Are all sources of finance (if required) for carrying out Stage One expected to be finalised by the start of Stage One activities (April 2018)? 2.4 Making the case: Economic impacts (VfM) 15. What is the potential economic impact of the project to the UK? (max 1,000 words) Describe the benefits to the UK in terms of: i) Involvement of UK SMEs ii) iii) Development of IP Total jobs generated (plus skills required and developed) during the construction phase and at steady state operations iv) Equipment manufactured/fabricated in the UK Page 8 of 20

9 2.5 Environmental and feedstock aspects 16. What are the predicted GHG emissions savings per unit of fuel at commercial scale? (max 800 words) Provide an estimate and justification of the predicted GHG emissions savings per unit of fuel, versus a fossil fuel counterfactual of 94 gco2e/mj. E.g. based on research studies and empirical evidence. This should be for a commercial scale plant, assuming reasonable levels of process integration and optimisation, with assumptions given. Emissions should be estimated for feedstock collection, transport, conversion, fuel distribution, storage and refuelling (and given for the chain total). For biofuels, the GHG methodology given in the RTFO guidance and carbon calculator (derived from the RED Annex V) should be followed. For any renewable fuels of non-biological origin (RFNBOs) or any wastebased fossil fuels, the GHG methodology proposed in the RTFO consultation 1 should be followed. 17. How sustainable is the feedstock? (max 500 words) Describe the feedstock sustainability (including likelihood of meeting relevant policy sustainability requirements e.g. land criteria), and any key risks (e.g. potential knock-on impacts to other industries of using the feedstock for fuel production). Describe how the use of the feedstock for fuel production helps the UK meet the waste hierarchy. This requires consideration of how the material could not have been prevented, re-used or recycled, and hence the only alternatives available are energy recovery or disposal (unless evidence is provided giving a better environmental outcome when departing from this hierarchy). Provide evidence regarding the likely alternative destination of the feedstock (e.g. venting to atmosphere, incineration, remaining in landfill, decomposing in landfill, etc). If the feedstock is claimed to be a waste, assurances should also be given that this is a material which the holder discards, intends to discard, or is required to discard, and has not been purposefully mixed with other materials in order to become a waste. 1 Page 9 of 20

10 18. What are the air quality impacts of using your fuel? (max 500 words) Describe the likely air quality impacts of using the fuel in aviation or HGVs. If available, provide evidence from any lab or real-world testing that has already been conducted using your fuel at similar blend levels. Other testing results from similar fuels can also be referenced (e.g. a fossil fuel), provided it can be justified why this other evidence is relevant. Impacts should only be considered at the tail-pipe and litre level, not involving locational or macro-modelling/population aspects of air quality. The likely impact on the emissions of particle matter, nitrogen dioxide or engine efficiency should be highlighted, being clear whether the fuel is beneficial or detrimental. The risk of trace contaminants in certain feedstocks should also be discussed if their combustion products have likely health impacts. The risk of uncombusted fuel slip should also be discussed, particularly for gaseous fuels. Estimated changes should be quantified if possible, or else likely changes should be described qualitatively. 2.6 Project credibility 19. Does the project team have the appropriate skills, experience and capacity to deliver the Stage One project? Explain how the project team has the appropriate skills, experience and available capacity to deliver the Stage One activities, with a clearly defined project structure detailing roles and responsibilities and time committed to the project. (max 500 words) 20. Please describe the current status of the Stage Two project (max 1,000 words) Give details of progress to date, rather than actions that still need to be completed. Please provide details regarding engagement with financiers, project partners, planning permission, permits, fuel off-take agreements, feedstock supply agreements, engineering contractors, engagement with key equipment suppliers Page 10 of 20

11 21. Please provide details of any feasibility work completed or any other evidence you would like to highlight to DfT If there are existing feasibility studies or there is evidence you want to reference in support of your application please summarise below. At Stage One DfT will only review your application and not any supporting information other than the identified Appendices. (max 500 words) 22. What activities will be covered with Stage One funding? How will these activities support Stage Two of the project? Show how the Stage One funding will support the development of the project, and how the outputs will be used to deliver a successful Stage Two project by the end of September (max 500 words) 23. Describe the work plan. (max 500 words) Provide a detailed work plan for Stage One. Provide an outline work plan for Stage Two, including the technical tasks and milestones. Attach work plans as Appendix 2, summarise key points below. 24. Understanding of the project risks and their management (max 1,000 words) Provide a detailed risk register for Stage One with mitigation measures (including alternative plans for meeting project objectives). Please consider technical and non-technical risks. Provide an outline of the main risks for the Stage Two project. Note that a full risk assessment will be required for Stage Two applications. 25. Compliance with reporting requirements Please confirm that you have read and understood the reporting requirements for Stage One outlined in the Guidance Document 26. Compliance with outline grant terms and conditions Please confirm that you have read and understood the outline grant terms and conditions for Stage One (available to download from the competition website), are willing to enter into an agreement of this nature if you are successfully awarded a Stage One grant, and recognise that DfT reserve the right to specify conditions that are specific to your individual project if necessary Page 11 of 20

12 SECTION 3 - Calculating the Stage One Grant 3.1 Stage One Project Development funding request Activities to be covered by Stage One funding (please list) 3.2 Calculate the cost of the activities that are eligible for support under the scheme Costs must be shown in pounds sterling and exclusive of Value Added Tax (VAT). This does not apply to organisations that are not registered for VAT - in these cases the VAT should be included and identified separately. Add the figures together to give total A. Task Description Completed by (Organisation) Time to complete (days) Cost to complete ( ) Total Eligible Costs (A) A = If you wish to apply for Stage One funding as de minimis aid, please complete box 3.3. If you wish to apply for Stage One funding as Article 41 aid, or you intend to fund some of your Stage One activities from other sources, please complete box 3.4. If you wish to apply for Stage One funding as a combination of de minimis aid and Article 41 aid, please complete both tables and provide confirmation of the exact amount of each type of aid you are applying for in box Calculate existing State Aid that would count as de minimis aid This grant counts as de minimis State Aid under EU regulations and we therefore need to know what other de minimis State Aid your organisation has received. Please list all other de minimis State Aid received over the three year financial period that would overlap with this project. Add the figures together to give total B. If no other de minimis State Aid has been received within the last two year financial period, please state none. Page 12 of 20

13 Total (B) B = 3.4 Sources of matched funding If you are applying for Article 41 aid and/or you propose to fund some of the Stage One activities from other sources, please include the indicative amount of money that will come from each source and attach any relevant screenshot explaining the level of engagement to date. Some examples of evidence you may provide could include, (although different solutions may use different financing routes): For projects that will use some of the entities own resources a Board or Steering Committee approval letter or memorandum, For equity investors evidence of engagement with investors and any letters of support, For bank finance evidence of discussions with your financiers For other grants you may be applying for evidence of how far down the process you have got. Indicative amount Evidence (maximum of three screen shots per section) Own resources You should provide evidence that the board or steering committee has approved the expenditure, subject to the grant and final due diligence. This evidence is not necessary for sole traders and partnerships. We may carry out a credit, or other financial check, on your organisation and may request accounts or other information. Equity investors Attach and letters of support from potential equity investors Loans Attach any letters of support from banks (if available) Other Enter any other sources of finance. Donations, grants etc. Attach the letter from the organisation(s) concerned. Total (C) C = Add up the figures above Page 13 of 20

14 3.5 State the grant (G) you feel is the minimum necessary to allow the project to proceed and is not in excess of the maximum grant award The competition is competitive and one of the criteria for selecting projects for support is value for money. You must decide the minimum amount of grant that is necessary to enable your project to succeed. Grant from de minimis aid = Grant from Article 41 aid = Total grant (G) = 3.6 Calculate the grant percentage (P) This is the actual grant percentage of eligible costs for use in comparing projects and, should you be successful, the grant offer. Grant percentage (P) = G divided by [Total (A)] x 100 P = % If you are using a combination of de minimis and Article 41 aid, please calculate each percentage separately. 3.6 Possible grant payment schedule Payment number Estimated payment date Estimated payment amount ( ) Please add additional rows as necessary Page 14 of 20

15 4.1 Declaration of Honour SECTION 4 Declarations I, the undersigned, on behalf of [ ] the Applicant in this application form, declares that the Applicant is not in one of the following situations: a) is bankrupt or being wound up, is having its affairs administered by the courts, has entered into an arrangement with creditors, has suspended business activities, is the subject of proceedings concerning those matters, or is in any analogous situation arising from a similar procedure provided for in national legislation or regulations; b) has been convicted of an offence concerning professional conduct by a judgment of a competent authority of a Member State which has the force of res judicata; c) has been guilty of grave professional misconduct proven by any means which the contracting authorities can justify including by decisions of the European Investment Bank and international organisations; d) is not in compliance with all its obligations relating to the payment of social security contributions and the payment of taxes in accordance with the legal provisions of the country in which it is established, with those of the country of the contracting authority and those of the country where the contract is to be performed; e) has been the subject of a judgement which has the force of res judicata for fraud, corruption, involvement in a criminal organisation, money laundering or any other illegal activity f) is a subject of an administrative penalty for being guilty of misrepresentation in supplying the information required by the contracting authority as a condition of participation in a procurement procedure or failing to supply this information, or having been declared to be in serious breach of its obligations under contracts covered by the DfT's budget. An officer of the relevant organisation possessing the authority to enter into agreements on its behalf should sign the hard copy of this declaration. It must be a different person to the main contact given in Section 1. Signed: Title: First name: Surname: Position in organisation: Page 15 of 20

16 4.2 Declaration from Applicant I declare that: To the best of my knowledge this application requests grant support only for eligible costs and complies with the rules on public funding as described in the Guidance Notes. The information given on this application form and in any other documentation that supports this application is accurate. I understand that, where any materially misleading statements (whether deliberate or accidental) are given at any stage during the application process, or where any material information is knowingly withheld, this could (at the discretion of the Department for Transport) render my grant application invalid and any grant funds received by us may be liable for repayment. The grant scheme falls within my organisation s governing document (e.g. constitution, set of rules, trust deed, or memorandum and articles of association). My organisation has the power to accept a grant subject to conditions, and to repay the grant in the event of the grant conditions not being met (in the opinion of the Department for Transport). The original wording and structure of this application form is as it was originally provided and has not been altered, deleted or added to in any way. My organisation will take all reasonable precautions to ensure that grant funds received will not be misused or misappropriated in any way. In the event of fraud, I understand that the Department for Transport will take legal action to recover any misappropriated funds. My organisation has sufficient funds available to meet the requirement of match funding and to complete the proposal which is the subject of this bid. An officer of the relevant organisation possessing the authority to enter into agreements on its behalf should sign the hard copy of this declaration. It must be a different person to the main contact given in Section 1. Signed: Title: First name: Surname: Position in organisation: Page 16 of 20

17 4.3 De minimis declaration State Aid de minimis declaration for [organisation name] Stage One funding is a form of state aid, we must know if the applicant received or is receiving State Aid. Please complete and sign one of the following three declarations as appropriate, your application will not be considered without this form being completed. 1. I confirm that the organisation named above has not received de minimis aid during the previous 3 fiscal years (i.e. the current fiscal year and the previous two fiscal years) I acknowledge that I am authorised to sign on behalf of NAME OF UNDERTAKING: and understand the requirements of De Minimis (EC Regulations 1470/2013). By signing below, I confirm that I represent NAME OF UNDERTAKING: and that the information set out above is accurate for the purposes of the De Minimis exemption. SIGNATURE: BUSINESS: NAME: POSITION: OR I confirm that the organisation named above has received the following De Minimis aid during the previous 3 fiscal years (i.e. the current fiscal year and the previous two fiscal years): Organisation providing the assistance/aid Value of assistance Date of assistance Nature of assistance I acknowledge that I am authorised to sign on behalf of NAME OF UNDERTAKING: and understand the requirements of De Minimis (EC Regulations 1470/2013). By signing below, I confirm that I represent NAME OF UNDERTAKING: and that the information set out above is accurate for the purposes of the De Minimis exemption. SIGNATURE: BUSINESS: NAME: POSITION: Page 17 of 20

18 4.4 Data Protection Data Protection Act 1998 Fair Processing Notice The purpose of this Fair Processing Notice is to inform you of the use that will be made of your personal data, as required by the Data Protection Act The Department for Transport is the data controller in respect of any personal data that you provide when you complete the Future Fuels for Flight and Freight Competition application forms for Stage One and Stage Two. Ricardo-AEA are The Department for Transport s appointed agents for the purposes of administering the scheme, and they will process the data on The Department for Transport s behalf. The Department for Transport and its appointed agents will use your personal data for the purposes of administering and analysing applications and grant awards and subsequent monitoring, including site visits, of successful projects under the Future Fuels for Flight and Freight Competition. Some information will be shared with other Government Departments, their agencies and appointed agents to enable the detection of fraudulent applications to the Future Fuels for Flight and Freight Competition and other grant schemes. The Department for Transport may be required to release information, including personal data and commercial information, on request under the Environmental Information Regulations 2004 or the Freedom of Information Act However, the Department for Transport will not permit any unwarranted breach of confidentiality nor will we act in contravention of our obligations under the Data Protection Act The Department for Transport or its appointed agents may use the name, address and other details on your application form to contact you in connection with occasional customer research aimed at improving the services that the Department for Transport provides to you. What non-personal information will the Department for Transport make publicly available? Details of applications During the assessment stage, the number of applications received will be disclosed on request. Details of grant-funded projects It is important to the aims of the scheme that the grant-funded projects should act as encouragement for others. Once the applications have been determined, summary details of the successful Phase 2 projects will be published and disseminated widely, including being published on The Department for Transport s website and in press releases. Summary details may include: The name of the project; The names of the organisations, companies etc who are members of the project; Location of the project; Expected annual biofuel output from the grant-supported installation; Expected carbon saved; Estimated investment cost; Page 18 of 20

19 Grant allocated to the projects under the Future Fuels for Flight and Freight Competition; Total public support from all sources; Proposed commissioning date; Brief description of the project, including any key technical features (as supplied by applicants). Section D of the guidance document explains the progress reports that projects are required to submit during the life of the grant agreement. The final report which describes the benefits and performance of the project, the difficulties encountered and lessons learned, may be published in full. Interim reports may also be published. I confirm that I have read and agree to the above data protection statement. SIGNATURE: NAME: Page 19 of 20

20 SECTION 5 Submitting Your Application Submission: Please send a Microsoft Word electronic version of your application and all necessary appendices to F4C@ricardo.com. An identically signed original should be submitted within 5 working days of the deadline to: F4C Stage One Ricardo Energy & Environment Gemini Building Fermi Avenue Harwell IBC Oxfordshire OX11 0QR THE DEADLINE FOR RECEIPT IS 08 DECEMBER AT 1200 HOURS. Receipt will be acknowledged. Stage One applications will be assessed by the Selection Panel. It is not possible to accept late entries. Page 20 of 20

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