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Government launches Teesside green fund

A £5m funding package has been launched to help Tees Valley firms improve their energy efficiency.

Regional development agency One North East has ring-fenced the funding to help companies save millions of pounds by helping them reduce energy demand, explore the potential of low carbon technologies and reduce their CO2 emissions.

The energy efficiency capital grants scheme is part of a £65m package of new investment for the UK launched today at an event hosted by Lord Mandelson and Regional Economic Development Minister Rosie Winterton.

The scheme will be targeted at energy intensive businesses in the Tees Valley particularly those in the process industry and their supply chains.

Grants will help businesses invest in technology and energy management systems to provide real energy consumption reductions, make cost savings and make firms less susceptible to energy price volatility.

The package is part of the Tees Valley Industrial Programme (TVIP) – a £60m investment over the next two years from One North East and the Department for Business (BIS) to support the area’s industrial transition to low carbon and advanced manufacturing, which is expected to create an estimated 3,000 new jobs in the short to medium term and over 10,000 jobs in the long term.

The £5m fund follows last week’s announcement by Business Secretary Lord Mandelson that £3.8m will be used to save the careers of apprentices at Corus and businesses in the Tees Valley.

One North East chair Margaret Fay, said: “This funding will ensure the correct package of support is in place for businesses to take advantage of opportunities in low carbon development and help companies reduce energy bills.

“As the Tees Valley has a large number of energy intensive businesses, focusing on helping them to invest in energy efficiency will significantly improve sustainability, particularly for process industry companies and their supply chains, ensuring they remain productive, competitive and keep the area at the forefront of the process industry in the UK.”

Minister for the North East, Nick Brown, said: “In order to drive up the regional economy and employment base, public sector efforts must be focused on helping businesses capitalize on the opportunities in low carbon development. This £5m package can help achieve this, while also addressing the need to boost energy efficiency in the Tees Valley.”

This was posted in Bdaily's Members' News section by Ruth Mitchell .