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Renewable Energy - Agriculture

This funding option is designed to encourage Scottish agricultural businesses to install small scale renewable energy capacity, mainly for own consumption, as a way to help to combat climate change and improve business viability.

WHAT CAN I GET SUPPORT FOR?
Under this funding option applicants can apply for support to install small scale renewable energy capacity, up to 250kw, such as biogas, biomass and microrenewables providing the project will contribute to:

  • Improved business efficiency
  • Reduction in carbon emissions
  • Help to develop a local sustainable energy supply

WHO CAN APPLY?
Only agricultural businesses registered with SGRPID can apply to this option. In addition, micro renewable energy systems (defined as up to 50kW or 45kW for heat) must be installed by a registered installer on the Microgeneration Accreditation list.  All Combined Heat and Power installations must meet the criteria set for Good Quality for the purposes of the Enhanced Capital Allowances (ECA) scheme, as set out in the CHP Quality Assurance (CHOQA) Programme.  If you are located in a Smoke Control Area you must install an exempt appliance.

WHAT SUPPORT CAN I GET?
Under this option applicants can be awarded up to 50% of eligible cost in Less Favoured Areas (LFA) (60% for young farmers over 16 but under 40 years old) and up to 40% in non-LFAs (50% for young farmers over 16 but under 40 years old).  Applicants should remember that the application process is competitive and the level of award is variable, depending on the financial support required to ensure the project proceeds.

Eligible expenditure includes the purchase and installation of equipment and the construction, upgrading or development of infrastructure.  The Scottish Government have specified that the technologies supported under this option are:

  • Small scale wind turbines
  • Hydro-electric turbines
  • Bio-diesel treatment and storage equipment
  • Solar panels
  • Automated woodfuel boilers
  • Heat pumps
  • Solar water heating
  • Anaerobic digestion equipment using slurry and other agricultural by-products in the production of energy
  • Specialist equipment for harvesting, pre-use processing (e.g. dryers, chippers, pelletisers), quality assurance (e.g. for checking moisture content, chip size, etc) and handling
  • Supply chain equipment

REGIONAL PRIORITIES?
Applicants are reminded that they must demonstrate how their proposal will help deliver the desired outcomes set out at local level as expressed in the Regional Priorities (clickable map).  As such it is recommended that applicants discuss their proposal with their local consultant at an early stage.