VCSE Energy Efficiency Scheme – Next round opens early July 2024

Article date
22 February 2024
Primary interest
Voluntary sector
Introduction

The Department for Culture, Media and Sport has launched a £25.5million funding package to help frontline delivery organisations  or those managing a community hub with frontline services, with the increased cost of living.

This scheme offers voluntary, community and social enterprise organisations (VCSE)  the opportunity to apply for a free Independent Energy Assessment (IEA), a comprehensive evaluation of their building’s energy usage, efficiency and potential for energy savings.

In addition, those who qualify may apply for a Capital grant which can be used to install capital energy efficiency measures, identified in the applicant’s IEA, to reduce their building’s energy costs and support the delivery of their frontline services.

Who is eligible to apply?

Applicant organisations must be a VCSE based in England and delivering frontline services. They must be able to demonstrate that they are financially sustainable, require support around energy and are not suitable for blended finance or loan support through other schemes.

What are the funder priorities?

Funding will be prioritised for:

Organisations directly supporting individuals and communities with critical needs, particularly those related to the rising cost of living. Examples include:

  • Services that address poverty, including by providing food, warmth, emergency supplies or personal grants
  • Shelter, accommodation and housing for those most in need
  • Advice services for people experiencing financial, housing or legal challenges
  • Services that address specific physical and mental health issues (such as disability, addiction and dementia)
  • Education, training and employment services that improve employability
  • Community hubs or centres, out of which a number of these services operate

Organisations for whom energy is the biggest concern, as evidenced by:

  • Having the highest proportion of total expenditure spent on energy (at least 5%)
  • Delivering frontline services that are particularly reliant on energy, with specific examples provided

Micro, small and medium-sized organisations. Although larger organisations are welcome to apply,  priority will be given to organisations whose income is less than £1 million per year.

[For capital grants only] Projects that have the best value for money, as evidenced by:

  • Capital measures that will make the largest cost savings [proportionate to an organisation’s overall expenditure and grant amount requested]
  • Capital measures with the shortest payback period
  • Description of the impact the savings will have on the organisation and its delivery of services 
How much can organisations apply for?

If successful, the Independent Energy Assessment will be provided for free by a qualified and experienced Independent Energy Assessor. You can also apply for a  capital grant of between £2,000 and £150,000

What the funding can be used for

If you go on to apply for the capital grants, this can be used for:

  • Building fabric enhancements – wall, roof or floor insulation/draft-proofing, and windows and doors (efficient glazing and thermal doors), green or cool roofs, dynamic glass and phase-change materials, lowering of ceilings (especially if in conjunction with installing PCM/lighting upgrades) 
  • Space & water heating measures – efficient boiler/heating (HVAC improvements), heating controls, point of use water heaters, smart building management systems, heated water low-flow fixtures, Heat Recovery Ventilation systems, Ductless Mini-Split Systems, Combined Heat and Power (CHP) Systems, Voltage optimisation, Radiant heat emitters, passive or low-energy cooling
  • Lighting – LED lighting systems, light fittings, lighting controls and occupancy sensors, daylight harvesting systems
  • Renewable energy measures – heat pumps, solar panels, wind turbines, Micro-Hydro Systems, battery storage
  • Fossil fuel measures by exception and only in the event that they have been particularly recommended for the premises as part of the IEA, with limited other options available.
  • Other capital measures by exception and recognised as proven to make significant reductions in energy 
  • Minor capital works required to support the installation of energy efficiency measures may also be covered, but will be assessed on a case-by-case basis
Is there a deadline?

The current round is closed and future rounds will open:

  • Mid April 2024
  • Early July 2024
Find out more/how to apply

The guidance notes, frequently asked questions and eligibility checker can be found on the Groundwork UK website.

For further support from RVA with preparing your application or your policies and procedures required for this funding, contact Herjeet Randhawa at herjeet.randhawa@rva.org.uk