Chorley Climate Change Business Grants Guidance Notes

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1 Chorley Climate Change Business Grants Guidance Notes What is the Chorley Climate Change Business Grants scheme? In 2008, Chorley Council pledged to play a key part in reducing the Carbon Footprint of the borough. The council understands that local businesses are key partners in achieving this goal. This grant scheme provides financial support to businesses to facilitate investment in energy efficiency measures and/or renewable technologies. This fund is managed by Chorley Council. What can the grant be used for? The grant can be used for implement the recommendations of an energy efficiency audit. Purchase and installation of renewable technologies o Photovoltaics (solar electricity) o Solar water heating o Biomass o Ground-source heat pumps o Air-source heat pumps o Small scale hydro-electric power Investment in energy efficiency measures o replacement or upgrading equipment to more energy efficient models o energy efficiency improvements (e.g. wall/loft insulation, heating and lighting controls, gas condensing boiler systems etc)

2 Am I eligible for support? The fund will support small and medium businesses located within the Chorley Borough Boundaries. An SME is a company which employers fewer than 250 persons (full time equivilant), and has a turnover of less than 50million Euros and/or has an annual balance sheet of less than 27 million Euros. No more than 25% of the company s capital or voting rights may be held by a parent company which is not itself an SME. In order to comply with EU state aid regulations Chorley Council is unable to provide energy grant assistance to companies in the transport sector, or those involved in the production of agricultural equipment. Is this state aid? Yes. This grant scheme is public money, and is therefore a state aid. It will be given to SMEs under the EU de minimus rules. This means that an SME can receive up to 200,000 Euro of state aid over a three year period. Duration of the scheme The scheme is open from November Funds will be allocated on a first come first served basis. How much can I apply for? Companies may apply for up to 50% of the total eligible project costs, up to a maximum of 10,000. All grants are paid on defrayed expenditure i.e. grant payments are claimed once the money has been spent. Are they other sources of match funding? Yes. You may use any of the sources below as match funding. Lancashire County Council s Small Scale Renewables Scheme ( Carbon Trust SME loans ( 5, ,000). These are interest free and unsecured for up to four years. The loans can be used to replace or upgrade equipment for a more energy efficient models install renewable technologies visit

3 Are there any tax benefits attached to energy efficiency investments? Yes. The Carbon Trust is operating an enhanced capital allowance scheme. 100% tax relief is available on all eligible investments (there are 13,000 products listed in this scheme). E.g. if your company spends 10,000 on energy efficiency measures, and pays tax at 30%, your tax bill will be reduced by 3,000 in the first year of the investment. How do I apply? In the first instance, please contact our Economic Development Manager for an initial discussion. Economic Development Manager Chorley Council Union Street Offices Chorley, Lancashire PR7 2AL You will be asked if your company has undertaken an environmental diagnostic review within the last 18 months. If not, the economic development manager can assist you in making suitable arrangements. Once the project work has been identified, you will be asked to formally request a grant using the attached application form. In addition you will be asked to send: 3 written quotes a copy of your accounts from the previous financial year a cashflow forcast for three years planning permission (if required) a copy of your currently environmental policy (if applicable) A decision will be made within eight weeks of submitting the application form. Grants will be paid within 30 days of presenting the council with evidence of expenditure.

4 How long will I have to complete the work? Work with a value of less than 20,000 must be completed within 12 weeks of a formal grant offer. Work with a value of more than 20,000 must be completed within 20 weeks of a formal grant offer being made.

5 Chorley Climate Change Business Grants Application for Grant Funding Application Form Please refer to the Guidance Notes when completing this form ALL APPLICATIONS WILL BE TREATED AS RESTRICTED-COMMERCIAL Project Title Company Name Company Registration N o Postal Address Telephone N o Fax No. Website Has your company undertaken an environmental diagnostic review within the last 18 months? Yes No

6 Project Details Project Details Project Address (If different from Postal address given above) Project Description Describe briefly what the project will do and the benefits it will provide. Please include type(s) of renewable energy that will be installed, and their capacity (kwh/annum) and for the carbon savings (tonnes of carbon saved per annum). Project duration When do you propose to commence and complete the project? Start Date: End Date: Future Strategy Describe how the funded project will assist your organisation with its future environmental strategy.

7 Project Funding Project Funding Profile Project Funding Amount Applied For Secured Date when funds will be received Chorley Climate Change Grants Lancashire Small Scale Renewables Other Public (e.g. Carbon Trust) (specify) Private (e.g. Bank loan) (specify) Own funds Other (specify) Total What would happen without a "Chorley Climate Change" business grant? Would the project 'proceed in a reduced form', 'at a reduced pace' or 'not proceed at all'. If it would not proceed, what would be the impact on your business?

8 Project Expenditure Profile (Purchase and Installation costs) Items Cost Total Outputs Project Output Profile (As applicable) Outputs Carbon Savings per annum (tonnes) Quantity Date to be achieved (Month & Year) Energy Cost Savings per annum ( ) Electricity Generated from Renewable Sources per annum (kwh) How calculated? Explain how the outputs have been calculated

9 Environmental and Economic Impact on your Business? Describe the environmental and economic impact on your business as a result of this project. Environmental Impact Economic Impact (cost savings, jobs safeguarded/ created) Measuring Impact How will the environmental and economic impact of the project be monitored?

10 Project Monitoring Project Milestones Please give a date when the main project milestones shown below will take place. Milestones Date (Month & Year) Undertake energy review Identify actions to be taken / costs Installation complete Estimate energy cost savings over a 12 month period Estimate CO2 savings over a 12 month period Estimate electricity generated from renewable sources over a 12 month period Follow up visit, 6 months after installation Management and financial monitoring Describe the accounts system that you use, how the project s costs will be easily identifiable in your accounts, and how you will monitor the project s progress.

11 Deliverability Applicant s track record and credibility Provide information on your ability to successfully undertake the project proposals. What other projects have you been involved in? Risk Assessment What are the risks involved in setting up and delivering this project and what mechanisms are in place to minimise these risks?

12 State Aid I confirm that this grant will not result in this SME receiving more than 200,000 Euro of state aid over the last 36 months. Signature Please sign and date this application. If you have completed the form electronically you will need to print a hard copy to sign. Signature Name (Block Capitals) Position in Organisation Date Application Checklist Please check that you have included the following with your application: Evidence of Match Funding (e.g. letter from Bank, or Bank statement) Accounts from last financial year Cashflow Forecast (3 years) Planning Permission and copies of plans (if applicable) Three written quotes Copy of current Environmental Policy Evidence energy audit recommendations PLEASE RETURN THE COMPLETED SIGNED APPLICATION FORM TO: External Funding Officer Chorley Council Town Hall Market Street Chorley PR7 1DP Tel:

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