DESNZ Drives Green Initiatives with £185M IETF Phase 3

The Department for Energy Security and Net Zero (DESNZ) has initiated Phase 3 of the Industrial Energy Transformation Fund (IETF), saving £185 million to support industrial sites in England, Wales, and Northern Ireland in slashing energy costs and decarbonising processes. This capital investment encourages the implementation of energy-efficient technologies and deep decarbonisation initiatives.

The competition, running from January 29 to April 19, 2024, welcomes applications from various industrial sectors, including a potential opportunity for the UK shipbuilding sector. The funding will be allocated across two competition windows, prioritising high-quality applications in the initial phase.

Eligible businesses of any size operating in England, Wales, or Northern Ireland can apply for IETF Phase 3. Notable changes include an expanded sector scope encompassing controlled environment horticulture, industrial laundries, and textile renting facilities. However, coal mining activities are no longer eligible, and the minimum grant threshold for small and medium enterprises (SMEs) has been reduced to £75,000.

Lead applicants must adhere to specific Standard Industrial Classification (SIC) codes, ensuring their site falls within the designated categories. The IETF Phase 3 introduces adjustments to enhance accessibility and streamline the application process for SMEs.

To provide further insight, DESNZ, in collaboration with Innovate UK, will host an online briefing event on February 6, 2024. This event will elaborate on the scope, eligibility criteria, and application process, offering prospective applicants valuable information.

Detailed guidance and application forms can be found here

This initiative underscores the government's commitment to fostering sustainable industrial practices and reducing carbon emissions across diverse sectors, promoting a greener and more energy-efficient future.