Low Carbon Infrastructure Transition Programme (LCITP) 5 th September 2016 DTAS Annual Conference Caoimhe McCarthy Low Carbon Energy Systems Programme Manager, Highlands and Islands Enterprise
Scotland s Low Carbon Project Development Unit
The Basics 2020 Targets SG developing overarching Energy Strategy Contribute to SG s long term target of reducing GHGs by 42% by 2020 Partnership Programme Partnership programme SG, HIE, SE, SFT and other sector specialists (e.g. RES/ZWS) Supported by 2014-2020 ERDF programme (acceleration of projects to develop investment grade business cases) Support Available Range of support mechanisms project development, expert advice, funding to support development of private, public and community led low carbon projects across Scotland 76m over first 3 years - 19m designated for HIE area
Eligibility Criteria Support for: Low carbon/renewable electricity & heat gen Local energy economies Heat recovery (e.g. district heating) Energy storage & distributed energy systems Hydrogen Demand side management & ANM Innovative/local finance solutions & investor readiness for LC projects Energy efficiency (non-domestic building retrofit
Eligibility Criteria (contd.) LCITP will generally not support: Projects which can already access existing support/funding LCITP does not replace/displace other programmes of support, but aims to fill the gap where there is no other appropriate route R&D of technology Marine/OW energy (other support available, timescales) Sustainable transport only projects (Transport Scotland) Domestic EE Capital investment into commercial renewable development (except where there is community focus) Established technologies
Project Stages Working towards investment readiness Catalyst Initial strategy development & feasibility work Development Final business case Investment options & propositions Demonstrator Technology not proven in Scotland capital support may be available to demonstrate its commercial viability
Support Intervention Levels LCITP support is provided on a co-funded basis Project lead to provide/source funding for project Public/private led projects 50/50 (50% LCITP, 50% project) of total project costs Community led projects 80/20 (80% LCITP, 20% project) In-kind support Applications are reviewed at monthly case conferences with LCITP team and feedback provided to project applicants If appropriate LCITP will support, if LCITP is not right fit, the team will signpost to what would be the most appropriate support scheme for that project
State Aid State aid assessments will be carried out on a case by case basis Appropriate cover for this project has been provisioned for under the GBER and a registered scheme has been approved by the Commission For some of these GBER articles there are special uplifts depending on company size, and whether it is located in an assisted area. The remainder of the funding for successful applications must then come from private resources
Funding Calls/Challenge Funds SG developing overarching Energy Strategy increase supply of LC energy & local energy solutions, improving EE & reducing energy demand in heat, power & transport sectors LCITP have and will continue to run a series of funding calls or challenge funds on particular topic/technology areas These challenge funds are decided upon through engagement with the partners and wider sector and through workshop sessions to identify where more support is needed GECF March 2015 WSHP October 2015 SEEP January 2016 SAG Call March 2016 Capital Call - Current
Transformational Low Carbon Infrastructure Demonstrator (Capital Call) Accelerate delivery of large scale transformational low carbon infrastructure projects Projects of significant scale, based in Scotland, total project value of up to 40m Support financial assistance for up to 50% of total capital value of project up to 20m Financial costs associated with the build and installation of an exemplar project Must be innovative in design, incorporating one or more LC technologies
Transformational Funding call contd Information workshops held across Scotland Jul/Aug 14 Sept Successful EOIs Interested projects to submit EOI form for assessment invited to submit full application w/c 3 Oct 24 Nov Deadline for full & final application
Eligibility Criteria for Capital Call EOIs identified location, technology & energy demand/end use Innovative approach to cross sector collaboration and/or partnership to ensure successful project delivery Potential to deliver significant reduction of GHGs & energy consumption Ability to secure other sources of funding/finance that make a min of 50% contribution towards total project costs Potential for positive & significant social & economic impact on Scotland Demonstrates clear community engagement Explores potential for community investment/ownership Sets out clearly the requirement for & value added from LCITP support High level plan for dissemination of learning - replicability Utilises total capital sum available for single project or programme of projects related by technology/location Fully operational by September 2018
HIE LCES Technical Advice Framework Early Stage Project Development Advice to Clients LCES Technical Advice Framework Communities & Businesses Shared Learning Resources - Toolkit
Thank You! Caoimhe McCarthy caoimhe.mccarthy@hient.co.uk More info on LCITP: http://www.gov.scot/topics/business- Industry/Energy/Action/lowcarbon/LCITP