DECC grants £1.5 million for biomass projects

Foresters, farmers and local authorities from the UK can now apply for £1.5 million fund through the Bioenergy Infrastructure Scheme to help expand the supply of biomass.

The Department of Energy and Climate Change (DECC) on Monday extended the bioenergy programme, which was initially introduced in 2003 and had a second round of funding last year. The scheme aims to reduce carbon gas emissions, to increase renewable energy generation and to contribute to sustainable land management. In 2008, the DECC programme provided funds for 75 projects.

Biomass projects in England operated by SMEs and charities can also avail grants of up to £200 thousand. The funds will help develop the supply chain needed to harvest, process, store and supply biomass for electricity consumers. However, the funding only applies to certain energy crops. In addition, the programme rules out any wood that has been chemically treated or painted.

DECC informed that the funding will only be offered to projects that can be completed by the end of March 2011. The deadline for grant applications would be by 26 February next year, although DECC said that it may extend the cut-off date based on the number of feedbacks.

To be launched next month, DECC also revealed that it is now preparing for another round of the Bio-Energy Capital Grants Scheme (BECGS) which will provide financial support for energy firms to install biomass facilities.

Lord Hunt, Minister of Energy and Climate Change, said that the new schemes are very important as the Copenhagen Climate Change Conference is looming. Hunt said that the UK aims to get 15 per cent of its energy from renewable supplies by 2020. He added that the biomass could make a major contribution.