For businesses within some of the most energy-intensive industries within the UK, it can be challenging to cut down on carbon emissions and keep up with net-zero demands. This is why the government is providing funding to aid its large transition to clean energy consumption and low-carbon emissions.

The investment aims to cut energy cost for high consuming businesses, improve carbon emissions by switching to clean energy and provide job security within the intensive sectors. Businesses within qualified sectors will be able to apply for grants up to £14 million for the first window and then in the second window, the minimum grant will be lowered to £100,000 for allowing smaller businesses to get their green project ideas into the market.

Technologies will be used to streamline and make the industrial market more effective with power consumption, reducing the general demand and cost for businesses. For example, instead of traditional gas-fired boilers used in factories, they can utilise electric motors and heat pumps using heat recovery technology that can recycle their generated heat for electricity.

These projects all support and contribute to the UK targets to make a positive impact on climate change by 2050 as per the Paris Agreement. Along with providing sustainability for the environment, they will also boost the general economy by creating thousands of more jobs within exciting new industries to improve efficiency and clean energy.

Ann-Marie Trevelyan, Energy Minister, said:

“our £40 million investment will not only help some of the highest polluting industries like steel, paper and pharmaceuticals build back greener by finding innovative ways to reduce their carbon emissions but will also create more opportunities for growth and jobs by levelling up and making industry fit for the future.”

The investment is provided from the UK’s Industrial Energy Transformation Fund which totals at £289 million. These funds will be provided through to 2024. This will contribute to projects, such as this funding, to send all industries to a low-carbon status and continue to boost the economy across the UK.