Government are seeking views on how a new fund can help industry improve energy efficiency while reducing energy bills and moving to low carbon processes.

March 28, 2019

Government has launched an “information consultation” on the design of the £315 million Industrial Energy Transformation Fund (IETF) – which is aimed at supporting businesses with high energy use, such as energy intensive industries, to transition to a low carbon future.

It will help companies cut their energy bills and carbon emissions through investing in energy efficiency and low-carbon technologies.

Industrial sectors are of vital importance for the UK economy. Energy intensive industries employ approximately 1.7 million people, contribute £160 billion in gross value added and export goods and services worth around £320 billion.

They often act as the economic engine of regions in which they are situated. Cutting energy use is a key issue for these industries – both because reducing energy use helps to cut carbon emissions, and because it can help to lower energy bills.

The Government has provided a range of support to businesses in reducing their energy costs, including a package of relief for energy intensive industries worth over £855 million since 2013.

This informal consultation seeks views and supporting evidence to help government design the fund. Its focus is particularly on the benefits and barriers to industrial decarbonisation as government has a good understanding of these issues for energy efficiency.

It is inviting responses until 31st May 2019.

 

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