Starting a Community Woodfuel Initiative - Biomass Funding 28th November 2009

1. Starting a Community Woodfuel Initiative - Biomass Funding28th November 2009 Ian Cowe Biomass Development Officer Forestry Commission Scotland Aberdeenshire Council Scottish Enterprise

2. Angus Biofuels, Padanaram, Angus Ian Cowe - Biomass Development Officer

3. Cloud House Café, Stow, Galashiels Ian Cowe - Biomass Development Officer

4. Dalfling Farm, Inverurie Ian Cowe - Biomass Development Officer

5. Lakeland Smolts, Cairndow Ian Cowe - Biomass Development Officer

6. Regional Biomass Advice Network Ian Cowe - Biomass Development Officer

7. Why use Biomass? The Benefits • Ongoing Fuel Costs Lower than all Alternatives • Carbon Emission and Pollution Reductions • Fuel Security • Efficiency Equivalent to Alternatives • Rural Benefits - Employment - Economic • Land Management • CNP has abundant wood resource Ian Cowe - Biomass Development Officer

8. Comparative Prices Ian Cowe - Biomass Development Officer

9. Why use Biomass? The Benefits • Ongoing Fuel Costs Lower than all Alternatives • Carbon Emission and Pollution Reductions • Fuel Security • Efficiency Equivalent to Alternatives • Rural Benefits - Employment - Economic • Land Management • CNP has abundant wood resource Ian Cowe - Biomass Development Officer

10. Biomass Funding Options Main Sources of Funding • CaRES - Community and Renewable Energy Scheme formerly Scottish Communities and Householders Renewables Initiative • Scotland Rural Development Programme • LEADER • Loans • Grants from Industry • Tax Relief Ian Cowe - Biomass Development Officer

11. Biomass Funding Options - Aims • Aims of Funding Support: • A reduction in CO2 emissions • A reduction in reliance on imported energy by making communities more self sufficient on meeting their own energy needs • An increase in renewable energy capacity in Scotland • A reduction in energy bills • Added value for communities: increase skills base for local trades, a stronger partnership within communities delivering wider social and economic Ian Cowe - Biomass Development Officer

12. Biomass Funding Options - Community Group Community/Not for Profit Groups, Charity Options • Community and Renewable Energy Scheme (CaRES) • Formerly SCHRI • Communities can apply for Technical grants of up to £15,000. • Capital grants of up to £150,000 for capital expenditure on installing renewable technology. • Funding for: • renewable energy plant for electricity and/or heat (including automated woodfuel systems) • feasibility studies or community consultation • support for an organisation’s staff to develop a proposal • capacity building (renewable energy awareness raising, training and skills development) www.communityenergyscotland.org.uk Ian Cowe - Biomass Development Officer

13. Biomass Funding Options • What is Supported? • Purchase and installation of biomass technology • Automated wood fuel boilers/Gasifiers • Control Unit • Ancillary Equipment - Accumulator tanks etc. • Construction or development of infrastructure • Boiler house/Fuel Store • Access • Commissioning Costs Ian Cowe - Biomass Development Officer

14. Biomass Funding Options Scotland Rural Development Programme - SRDP Rural communities and small scale business* - Non-Land Based • Renewable technology up to 250kw is eligible. • Grant rate up to 50%of costs for biomass technology, i.e boilers, boiler house and control equipment. • *Small businesses must be a rural micro-enterprise. • Less than 10 employees • Less than €2 million turnover • In community of fewer than 3000 people Ian Cowe - Biomass Development Officer

15. Biomass Funding Options - Community Group Community/Not for Profit Groups, Charity Options • LEADER (for community groups) • Through SRDP, LEADER is aimed at promoting economic and community development within rural areas. Funding is available for installation of renewables technology, including biomass. • Community Grants - Private Funding E.ON SOURCE Fund • The SOURCE Fund offers grants of up to £20,000 to community groups and not for profit organisations who wish to consider and implement sustainable energy projects. Scottish Power Green Energy Trust • The Scottish Power Green Energy Trust supports small scale community based environmental and educational renewable energy projects up to £25,000. They generally require that projects meet both these criteria. Ian Cowe - Biomass Development Officer

16. Biomass Funding Options Other Incentives • Interest Free Loans • Energy Saving Scotland – Administered by Energy Saving Trust • Energy Saving Scotland allows businesses to borrow between £1,000 and £100,000 interest-free and repayable up to 8 years and would be used to help your business to reduce its energy consumption, saving both money and CO2. • Very similar to the Carbon Trust Energy Efficiency Loans Scheme. • Business Tax Reductions • Enhanced Capital Allowances • Enhanced Capital Allowances (ECAs) enable a business to claim 100% first-year capital allowances on their spending on qualifying plant and machinery - i.e some boiler equipment and CHP units. • www.eca.gov.uk Ian Cowe - Biomass Development Officer

17. Biomass Funding Options - Community Group www.scotland.gov.uk/Publications/2009/03/20155542/0 Ian Cowe - Biomass Development Officer

18. Biomass Funding Options - Domestic Domestic • Energy Saving Scotland - Home Renewables • 30% of Installation Cost upto £4,000 • 5 Energy Saving Scotland Advice Centres in Scotland • Free Home Energy Advice and Audit • Contact your local Energy Saving Scotland Advice Centre on 0800 512 012 • www.energysavingtrust.org.uk/scotland • **NEW** Interest Free Home Loans £500-£10,000 Repaid over 8 years • Energy Efficiency • Renewables Installations • Replacing Inefficient Boilers • BERR – Low Carbon Building Programme • Householders can apply for grants of up to £2,500 per property towards the cost of installing a certified product, this scheme has been extended for applications until June 2010 or as long as funds are available, which ever is sooner. • www.lowcarbonbuildings.org.uk Ian Cowe - Biomass Development Officer

19. Future Support • Renewable Heat Incentive • ongoing payment for renewable heat production • expected to apply to heat at all scales - households, communities or industry • wide range of technologies • available across GB • expected to be banded e.g size, technology • Initial consultation start of 2010 • Expected to be in place by April 2011 www.decc.gov.uk Ian Cowe - Biomass Development Officer

20. Where to get Advice • Energy Saving Scotland Advice Centres - Energy Saving Trust • Energy Saving Scotland Loans • Energy Saving Scotland - Home Renewables • www.energysavingtrust.org.uk/scotland • Community Energy Scotland • CaRES • www.communityenergyscotland.org.uk • Forestry Commission Scotland • SRDP • SBHS • Leader • www.usewoodfuel.co.uk Ian Cowe - Biomass Development Officer

21. Further Information • Ian Cowe - Ian.Cowe@forestry.gsi.gov.uk • Use Wood Fuel - usewoodfuel.co.uk • Biomass Energy Centre - biomassenergycentre.org.uk • Forestry Commission - forestry.gov.uk • Forest Research - forestresearch.gov.uk • Energy Saving Trust - energysavingtrust.org.uk • SRDP - scotland.gov.uk/Topics/Rural/SRDP • CaRES - communityenergyscotland.org.uk/ Ian Cowe - Biomass Development Officer