DTI Low Carbon buildings programme

For stream 2 eligible projects, the programme aimed to fund on-site LZC which are embedded into the built environment and where generating heat, were sized appropriately to meet the thermal demands of the building/development. Technologies for which a grant was requested should be on the current BERR certification scheme. The following generation technologies are certified under the current scheme and were eligible for grant support:

• Solar Photovoltaics
• Wind turbines
• Small hydro
• Solar thermal hot water
• Ground/water/air source heat pumps
• Biomass (principally biomass fired boilers with or without CHP but not including biomass fuelled by municipal solid waste or CHP fired using natural gas).

Where products fell outside the scope of the certification scheme in terms of size, they were considered on a case by case basis by BERR and the independent selection panel and assessed on their appropriateness for the building/development and the application in question.

Where an applicant wished to apply for a grant for a LZC not listed above or not certified by BERR certification scheme, they were asked to apply for a bespoke due diligence test to be undertaken by the certification scheme and were required to fund some or all of this cost. This due diligence was be done through the Microgeneration Certification Scheme and carried out under robust criteria. This process would not duplicate any due diligence exercise where one is already being carried out.

Installations had to be designed and installed by certified installers. If a non-certified installer carries out the installation then the Grant will not be paid in respect of this part of the installation unless a certified installer confirms the installation has been satisfactorily installed by signing the completion certificates.

• Large commercial organisations including developers could apply for up to 40% of the total installation costs (excl. VAT). Large commercial undertakings could not receive any more than 40% of the total installation costs in Government Aid. Where an organisation had already received government aid towards the costs, this had to be declared to ensure compliance with State Aid requirements.
  
• Large public sector organisations could apply for up to 40% of the total installation costs (excl. VAT) from the programme, but could seek to match-fund the remainder of the project costs from other sources of public funds or government aid.
  
• Small to medium sized enterprises (SMEs) were entitled to an extra 10% uplift and could apply for up to 50% of the total installation costs (excl. VAT).

E.) How did the application process work?

Stream 2A was a one-stage application process through competitive bidding rounds held every quarter

The application process for stream 2A was as follows:

1)    Applicants completed and returned the pre-registration form. An application form was then sent within 10 working days. Please note that the pre-registration form was not checked against the eligibility criteria of the grant scheme and therefore, receipt of an application form did not guarantee that the application was eligible for funding.

2)    Applicants completed the Stream 2A application form and sent it to the Energy Saving Trust by the appropriate deadline. The final round of Stream 2A closed on 28 September 2007. 

3)   The Energy Saving Trust checked applications to make sure they complied with eligibility criteria and they included all the necessary documents.

4)   An independent selection panel assessed the applications, usually 4-6 weeks after application deadline.

5)   The Energy Saving Trust sent a grant offer letter detailing the terms and conditions to successful applications.

Stream 2A projects are expected to complete within quicker timescales than stream 2B projects. The receipt of a grant offer letter is confirmation that the project can begin.

Stream 2B was a two-stage application process. The first stage involved a building assessment. Once a building assessment had been completed the applicant could then apply for grant funding. Applications were made through a competitive bidding process. Deadlines for applications were held each quarter.

The application process for stream 2B was as follows:

1)     Applicants completed and returned the pre-registration form. An application form was sent within 10 working days. Please note that the pre-registration form was not checked against the eligibility criteria of the grant scheme and therefore, receipt of an application form did not guarantee that the applicant was eligible for funding. Pre-regisatration for Stream 2B is now closed.

2)     Applicants completed a building assessment form and submitted it to the Energy Saving Trust by the deadline. This form was intended to test how far the applicants would go to reduce their carbon emissions from a given building or development. Stream 2B is no longer open to new building applicants at Building Assessment stage.

3)    The independent selection panel assessed the applications and recommended which projects receive support from Carbon Trust.

4)    If successful at the building assessment stage the applicants were allocated a Carbon Trust technical support consultant to support them at the initial stages of the project before applying for a grant.

5)     Applicants completed a stream 2B application form and sent it to the Energy Saving Trust by the appropriate deadline. Previously successful applicants at Building Assessment stage must have submitted a full grant application in time for the final deadline of 14 September 2007.

6)    An independent panel of experts assessed the application. The independent panel then recommended to BERR which projects should be funded.

7)    The Energy Saving Trust sent a grant offer letter detailing the terms and conditions to successful applications.

8)    Applicants signed and returned the grant offer letter.

The main criteria for Stream 2 applications were:

1)       Registration to the programme had to be carried out in order to receive an application pack.

2)       Applicants had to be the freehold owner of the property or owner of a long leasehold interest in the property in England, Scotland, Wales or Northern Ireland.

3)       The named applicant contact had to be an eligible party - i.e. the ultimate owner, developer or someone in a position commensurate with signing off the necessary investment in the project.

4)       Systems had to supply a permanent building (mobile homes, caravans, house boats etc. were not eligible).

5)       You could NOT apply for a system that had already commenced installation or which has previously received funding from any other government grant scheme (including without limitation Clear Skies, Major PV Demonstration programme or the Scottish Community and Householder Renewables Initiative).

6)       Grants were only given to projects that demonstrated holistic delivery of low carbon buildings.

G.) Could applicants apply more than once for the same project for different technologies

Applicants could apply for several technologies on one application form. However, only one grant was available per installation location (including groups of buildings - e.g. a new-build housing development), so only one application was allowed per installation location.

H.) My organisation is in Scotland / Northern Ireland, can I also get a grant from the schemes operating there?

You will not be allowed to receive a grant from the Low Carbon Buildings Programme along with a grant from the Scottish Community and Household Renewables Initiative (SCHRI) or the Northern Ireland scheme being developed for the same project or installation; i.e. double funding for projects will not be allowed.

I.) Will my organisation be able to obtain funding from other sources in conjunction with a grant from LCBP?

Where commercial organisations (including SMEs) have already received government aid towards the costs, this will had to be declared to ensure compliance with State Aid requirements.

Other sources of funding (e.g. debt finance) should be declared where secured.

Large public sector organisations could seek to match-fund the remainder of the project costs from other sources of public funds or government aid.

J.) What is the deadline for the completion of projects?

Applicants approved for funding will have either 18 months (for Stream 2A) or 24 months (for Stream 2B) to complete their projects, have had it inspected (where relevant) and have claimed their grant. Applicants that do not claim their grant by the due date stated on their contract will lose their grant award.

K.) I could not find an installer for fuel cells, renewable CHP or micro CHP

The Microgeneration Certification Scheme will cover these technologies after appropriate standards for these technologies have been developed.

L.) How long must the microgeneration system operate to be eligible for grant?

The technology must remain in place and operational for at least 5 years, i.e. grant recipients are not allowed to de-commission the microgeneration systems and sell any materials.