Country:United Kingdom
Policy status:In Force
Date Effective:2002
Policy Type:Economic Instruments>Fiscal/financial incentives>Grants and subsidies
Policy Target:
Agency:Department of Energy and Climate Change (DECC)
Funding:GBP 71 million have been made available since 2002

The Bio-energy Capital Grants Scheme promotes the efficient use of biomass for energy, and in particular the use of energy crops by stimulating the early deployment of biomass-fuelled heat and electricity generation projects.

The Scheme awards capital grants towards the cost of installing equipment in complete biomass-fuelled projects in the industrial, commercial and community sectors.

The main policy aims of the Scheme are to:

  • - Deliver capacity on the ground to create an initial market for biomass fuel, installation equipment and services;
  • - To stimulate the UK renewables industry;
  • - Provide learning benefits that will accelerate the industry and achieve more efficient and cost effective use of biomass for heat and electricity; and
  • - Contribute to the UKs targets for reducing greenhouse gas emissions and increasing renewable energy.

Five rounds of funding have been provided since the Scheme was launched in 2002. Earlier rounds focused support on large scale biomass power stations. The emphasis in later rounds has been to support small and medium sized projects. The current 5th round of the Scheme was launched on 10 December 2008.

To date, the Scheme has installed around 450 biomass, CHP or anaerobic digestion units.

Related policies:Offshore Wind Capital Grants Scheme
Related Documents:

Guidance notes for round 5 of the Bio-energy Capital Grants Scheme (December 2008)

Last modified: Mon, 19 May 2014 17:37:32 CEST