UK Industrial Energy Transformation Fund extended

The UK Department for Energy Security and Net Zero (DESNZ) has announced an extension to Phase 3 of the fund up until early 2024.

The Industrial Energy Transformation Fund (IETF) is part of the Powering up Britain package, which supports the commercial roll-out and permanent installation of energy efficiency and deep decarbonisation technologies at industrial sites. The total of the grant funding for UK businesses will be increased by £185mln.

Phase 1 of the IETF opened in 2020, and the final window of Phase 2 closed at the beginning of 2023. These phases included six competitions with close to 500 applications.

Building on previous stakeholder feedback and information gathered from earlier application rounds, DESNZ has launched a consultation to seek views from UK industry and other key stakeholders on the design of Phase 3 and the longer-term role of government support.

The consultation is in two parts and will take place from Monday 26 June to Friday 21 July 2023.

Part 1 of the consultation includes: Development of Phase 3, seeks views on IETF Objectives; Eligibility and Scope; Technologies; Project Assessment Criteria; and Monitoring and Evaluation.

Part 2 asks for views on the long-term role of government support post-2025, which will help inform the development of future industrial policies.