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Grants Available for Renewable Energy

There are several grant schemes available today to encourage the use of natural resources. Called renewable energy grants, they are available to both the community and domestic sectors, for applications that harness energy from the sun, wind, water and the earth.

Grants for renewable energy applications are funded by the government’s Low Carbon Buildings Program (LCBP), previously called the Clear Skies funding program. This new program is handled by Energy Saving Trust who as well as provide renewable energy grants to the community and domestic sectors, also manages larger scale renewable energy installations in various regions across the UK.

According to a report published in March 2006, the LCBP stated it would provide extensive funding -worth up to £50m - for the renewable energy grants programme. A significant amount, brought about by the government’s need to address drastic climate changes and soaring energy costs..

Today, renewable energy grants are an integral part of the government’s long term initiatives to lower carbon dioxide emission by up to 60 percent by the year 2050. Furthermore, government also intends to utilize energy from natural sources by up to 10 percent by 2010. Surveys have already revealed that in 2006 around 4.55% of total the energy supply in the UK came from renewable energy sources, surpassing the figure for 2005by 0.32 percent. .

The LCBP provides renewable energy grants at several levels, from individual households to small and medium sized enterprises, with grants ranging from £1,000 per kW installed to £5,000 pounds (about 30 percentof the installation cost excluding VAT). Grants for community applications are sanctioned up to 50 percent of the installation cost, with a current grant ceiling set at £50,000.