DECC, CLG and Defra are the departments responsible for deploying the additional funding in England. After applying Barnett consequentials in respect of the devolved Administrations, progress in deploying the additional funding in England is as follows:
£84 million was allocated for 2009-10 and 2010-11 to the Carbon Trust through DECC for loans to small and medium-sized businesses to improve their energy efficiency. As of 8 October 18 per cent of that funding has been committed. A small proportion of funding will be used for administrative costs;
£55 million was allocated for 2009-10 to the Carbon Trust Salix Scheme in England which provides loans for around 3,000 energy saving projects in schools, hospitals and other public sector institutions; to date it has committed 45 per cent. A small proportion of funding will be used for administrative costs;
a further £84 million is being deployed by the Homes and Communities Agency for social housing through the Social Housing Energy Saving Programme. This programme is geared to help social landlords insulate hard-to-treat cavity walls that would not otherwise be filled under the Decent Homes programme. Eighty per cent of the money will be spent this financial year;
£100 million was allocated to CLG for the construction of new homes at higher energy efficiency standards as part of the housing package; and
£8 million was allocated to Defra for new grants to businesses to deliver anaerobic digestion and composting, providing capacity to remove 316,000 tonnes of waste from landfill, reducing local government and business waste disposal costs.
Of the £70 million allocated in the 2009 Budget to support decentralised small-scale and community low-carbon energy schemes, £25 million was made available to fund community heating infrastructure in the UK.
£20.96 million is being administered by the Homes and Communities Agency in support of community heating schemes in England. All available funding has been allocated to 14 schemes. The remainder of the £25 million was made available to devolved Administrations using the Barnett formula. More information on the 14 schemes being supported by the HCA is available at www.homesandcommunities.co.uk/low-carbon-infrastructure.
An additional £45 million has been made available to the Low Carbon Building Programme in the Budget 2009. Funding will be split across the next two years, with £30 million allotted for year 2009-10 and £15 million for year 2010-11. LCBP offers capital funds for small scale onsite energy generation. The scheme is administered by EST and BRE. For further information about this programme go to www.lowcarbonbuildings.org.uk.
Free or subsidized insulation is delivered to UK homes through a variety of schemes; these are the Carbon Emissions Reduction target (CERT), the Community Energy Saving Programme (CESP), the Social Housing Energy Saving Programme (SHESP), Warm Front and Decent Homes. Measures include loft, cavity wall, and solid wall insulation treatments.
Between January and June 2009 insulation was delivered to approximately 900,000 homes under the full range of schemes; in total more than 1.6 million homes will benefit from insulation measures by December 09.
For 2010 we estimate that more than 1.6 million homes will receive insulation treatment through the various schemes.
The Government fund two schemes specifically to help businesses reduce energy use by supporting the replacement of capital stock:
a loan scheme for small and medium-sized businesses, which provides interest-free loans of up to £400,000 to purchase energy-saving equipment. A wide range of technologies are eligible for the scheme; and
the enhanced capital allowance scheme provides tax relief for businesses on their purchase of energy-saving plant and machinery from a designated list of almost 14,000 items spanning 15 technologies.
In addition, the Government fund the Carbon Trust to provide advice to businesses on energy efficiency; and a range of government policies (such as the forthcoming CRC energy efficiency scheme) provide additional incentives for businesses to reduce energy use.