DESNZ, Industrial Energy Transformation Fund Phase 3

• The value of the grant is up to £30 million. The purpose of the subsidy is to help industrial sites overcome barriers to investment in low carbon, energy efficient technologies and it is a Subsidy Scheme of Particular Interest.
• Our key takeaways from the Subsidy Advice Unit (SAU) report are:
  • If the subsidy is linked to a wider project which is already operational, use experience and evidence (which could be in the form of case studies) from the other phases of the project to inform your conclusions.
  • Ensure to clearly reference the evidence that has been provided in your assessment.
  • Where funding is only open to certain specified sectors (e.g. where there is eligibility criteria), ensure to provide an explanation of why the industrial sectors eligible to participate have been chosen.
  • When analysing the effects on competition, ensure you give a proportionate explanation and evidence of the markets that may face competitive distortions, the likelihood of occurrence and the extent of the distortion.
  • Always attempt to quantify the impact on international trade and investment, even if you believe the impact will be small.
  • If giving a subsidy related to energy and the environment, ensure to analyse each of the relevant energy and environment principles (see here) and ensure your subsidy is consistent with it.

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