Companies looking to reduce their waste through resource efficient business models can now benefit from a £1 million fund being managed by Government-funded agency the Waste & Resources Action Programme (WRAP).
The
Waste Prevention Loan Fund (WPLF), which opened on Thursday, will support businesses over the next four years that want to introduce
green business models and processes that make more
efficient use of
material resources.
It is initially targeting retail businesses that sell electrical and electronic products, clothing and furniture, but the WPLF will also support other businesses such as manufacturers, social enterprises and local authorities adopting new business models and processes that prevent
waste.
Loan criteria
Businesses of any size will be able to apply for loans that will have a floor of £20,000 and a ceiling of £100,000. One of the key criteria for a successful application will be the ability to demonstrate that new approaches offer "substantial resource savings" and can be scaled-up and replicated at a national level, WRAP said.
"We’re […] really looking forward to seeing innovative and inspiring expressions of interest coming in from the private, public and social enterprises," said Richard Swannell, director of Design and Waste Prevention at WRAP. "We think the WPLF offers a unique opportunity for entrepreneurial thinking to make a real difference in the
design and development of new product."
Phase one
In phase one, funding will cover areas such as product reuse, repair and upgrading services and loans will assist companies with their cashflow when switching from a
sales model to a service delivery model, WRAP said.
"For example, you might be a retailer selling electric drills, but because your customers may only want to use a drill once or twice a year, this
funding will enable you to introduce a leasing model so you can rent out your drills for a weekend instead," explained a WRAP spokesperson.
Because WRAP is trying to shift behaviour change across the whole market and maximise environmental benefits as well as meet its own business plan targets, applications by retail giants such as B&Q will be considered, alongside those from smaller outfits, the spokesperson told GreenWise. B&Q is considering shifting its business model from one that sells products, such as power drills, to one that leases them.
Further phases
WRAP said further phases of the WPLF will be announced later in the year that will be open to a wider range of applicants including businesses, social enterprises and local authorities. These stages will support broader waste prevention and reuse activities, such as product recovery for reuse in a closed-loop economy.
"The fund is open now and we are encouraging businesses to get in touch so that we can have a discussion with them about their project and if they are eligible," said the WRAP spokesperson.
Alongside the WPLF, WRAP is separately inviting tenders from businesses seeking help with planning and monitoring
resource efficient business models, primarily for electrical and electronic products in major categories, such as white goods, televisions and laptops. Clothing and furniture products will also be considered.
Waste policy review
The WPLF is part of the
Review of Waste Policy in England 2011, unveiled last month by the Department of Environment, Food and Rural Affairs (Defra), which sets how the Government aims to become a zero waste economy.
For further information about the WPLF, visit the WRAP site.
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