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A Guide to the Rural Community Energy Fund (RCEF)

A Guide to the Rural Community Energy Fund (RCEF). September 2019. Rural Community Energy Fun – Eligible Activities. Stage 1 Grant – up to a maximum of £40,000 for Feasibility Work

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A Guide to the Rural Community Energy Fund (RCEF)

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  1. A Guide to the Rural Community Energy Fund (RCEF) September 2019

  2. Rural Community Energy Fun – Eligible Activities • Stage 1 Grant – up to a maximum of £40,000 for Feasibility Work • Stage 1 grants are intended to be used to secure the provision of professional services to undertake a feasibility study, funds can be used for: • Technical or planning consultancy fees • Project management costs • Community engagement activities • The grant is not for the purchase of capital equipment and cannot be used to cover costs incurred prior to the grant offer. • Stage 2 Grant – up to a maximum of £100,000 for Project Development • Stage 2 grants are to be used to support planning applications and develop a robust business case to attract further investment. RCEF Application Forms must be submitted to your relevant Local Energy Hub RCEF Contact point

  3. Rural Community Energy Fun – Eligible Organisations • In order to receive funds applicants must have formed a legal entity. Applicants must be planning a renewable energy project which provides a defined benefit to the community where the installation is based. For the purposes of RCEF, the Local Energy Hubs will accept applications from suitable legal entities, for example: • Community Benefit Societies/Cooperatives • Parish Councils • Registered Social Landlords • Charities • Development Trusts • Faith Groups • Local authorities are not eligible for RCEF however they can support or partner community groups who wish to apply. • The RCEF funds are for community groups and for the benefit of the community. • Applications for joint ventures can be accepted and reviewed on a case-by-case basis, but it is required that the community organisation are the key participants and own at least 50% of the project.

  4. Eligibility – Size of Project • The scale of projects eligible for funding will vary according to technology type. In general terms, projects should: • Require planning permission and significant pre-planning development • Generate energy for multiple buildings (or export the equivalent to the grid).

  5. Eligibility – Technology Applicants must be planning the installation of a renewable or low carbon energy facility. Below are example technologies which may be considered for RCEF: • Anaerobic digestion • AD (biogas) fuelled heat network • Bio liquids/gas/fuels • Biomass heat network • Heat pumps • Hydropower • Solar photovoltaic • Solar thermal • Wind turbines • Multi-technology approaches: Energy efficiency, storage, electric vehicle charging, grid services and demand management can also be considered in bundled approaches.

  6. Case Study – Electricity Generation Riding Sunbeams – overcoming grid constraints by connecting solar farms directly to the railway network – Stage 1 RCEF

  7. Case Study – Rural District Heat Networks Swaffham Prior Community Land Trust (Stage 1 RCEF) and Springbok Woodheat Cooperative.

  8. Swaffham Prior Heat Network Feasibility Study • 240 houses, schools and a few commercial buildings • Modelled on 180 houses • Explored options for: • Straw fired boilers • Ground source heat pumps • Carbon savings of 70 – 80% • Based on the current oil heating costs the investment could achieve a 6 – 7% return • Investment of £2.5 – £3 million

  9. Case Study – Community Wide Retrofits and Smart Grids Energies prong in Nottingham. Enabling whole house energy improvements including insulation, ASHP and solar PV through area based coordination. Electrification of Rural Heating study: “If ASHP is the sole focus only 41% rural homes can be electrified… based on 1 in 20 cold winter temperatures” (DeltaEE, Dec 18)

  10. Application Process • Register your interest via the RCEF website • www.gov.uk/guidance/rural-community-energy-fund • Complete the pre-application questionnaire. • Refine project plan with Energy Hub advisor/Energy Project Managers. • Submit application. • Applications reviewed by funding panel. • First funding approved September.

  11. Useful Documents • Committee on Climate Change – Net Zero Report: https://www.theccc.org.uk/publication/net-zero-theuks-contribution-to-stopping-global-warming/ • LEP Local Energy Strategies * 38 • Electrifying Rural Off-Gas Grid Heating: https://www.delta-ee.com/delta-ee-blog/addressingthe-rural-challenge-electrifying-off-gas-gridheating.html

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