Third round of the Scottish Industrial Energy Transformation Fund

The Scottish Industrial Energy Transformation Fund (SIETF) was launched in 2020 as part of a £400m support package for companies to embrace decarbonisation, improve efficiency and reduce their impact on the environment.

The SIETF has already completed two rounds with First Minister, Nicola Sturgeon, having announced that the successful bids in round two will fund projects that will potentially reduce emissions by 40,482 tonnes of carbon dioxide a year. Examples of successful bids to date include:

• a manufacturing company who secured between £500k – £1m to install a more efficient dryer with heat recovery
• a food & drink company who secured between £250k – £500k to convert oil-fired steam plant to natural gas

Applications for the third round of funding is now open. There are two competitions within this round:

• Competition 1 (open until 30 November 2022): Deployment to improve/benefit industrial process energy; and/or support decarbonisation of industrial processes, for example through fuel switching.
• Competition 2 (open until 18 November 2022): Studies (feasibility and engineering studies) into energy efficiency or deeper decarbonisation technologies.
• Competition 2a (open until 18 November 2022): Options appraisals.

To be eligible, your project must meet the minimum grant threshold:

Funding is available through a competitive process and applications are accepted from Scottish businesses in industries where energy usage makes up a significant part of production costs. These are determined using the following Standard Industrial Classification (SIC) code:

• Manufacturing (100000 to 33200)
• Data Centres (63110)
• Mining and quarrying (05101 to 05200; 07100 to 08900 and 09900)
• Recovery and recycling of materials (38320)

The deadline for applications is 5pm on the deadline days. You can find more information on the third round of the SIETF, including details on feasibility, studies and options appraisals are in the eligibility section, here.

To discuss your own circumstances or if you need support submitting an application form with the correct financial evidence, please contact our EQ Engineering & Manufacturing team on engineering@eqaccountants.co.uk or contact one of our offices.