A string of innovative low carbon technologies that have the potential to tackle the UK’s energy security and help meet its carbon emissions reduction targets, are vying to win a share of nearly £4 billion of European funding.
Up to 12 applications from the Government were submitted for
EU funding last week. They cover projects dealing in
carbon capture and storage (CCS) and
renewable energy, including wind, wave and tidal. Among them are Marine Current Turbines’ tidal device,
Seagen, which is already operating commercially in Ireland’s Strangfor Lough, and which will be deployed in the first tidal farm, an eight megawatt array off the coast of Scotland. ScottishPower’s carbon capture and storage (CCS) technology at its
Longannet plant in Scotland, which is set to benefit from £1 billion of Government backing, is also in the running for the EU funding. The one wind project is
Clipper Wind Power’s 10 megawatt offshore wind turbine, set to be deployed at Blyth in Northumberland.
Around €4.5 billion (£3.97 billion) is being made available through this round of the EU’s New Entrant Reserve (NER) scheme, which will support green projects across the European Union.
"I am very encouraged by the strength and breadth of the UK applications for this round of NER funding," Energy Minister Charles Hendry said. "They demonstrate that the UK is at the cutting edge of low carbon energy development, ranging from CCS to wave, tidal and offshore wind."
Up to three projects may be supported per EU member state. Of the 12 UK applications, seven are for CCS and five are for innovative
renewable energy.
Funding process
According to the Department of Energy and Climate Change (DECC), the European Investment Bank (EIB), which received the applications, will spend the next nine months checking the financial and technical deliverability of the potential projects. After this the European Commission will verify the eligibility criteria assessment and re-confirm with member states the public
funding contribution for 'recommended projects’. The EIB will then make its award decisions.
Chosen projects will be provided with up to 50 per cent of their relevant costs for 10 years for CCS projects and over five years for innovative renewable projects.
The costs associated with NER projects are collected from the sale of 300 million emission allowances that have been set aside by the EU Emissions Trading System.
Hendry said the UK submissions to the EIB were an important step in bringing forward the sort of technologies that will be "crucial" to UK’s move to a low carbon economy.
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