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programme to expire on schedule and to revoke the additional funding based on the assumption that other financing schemes such as the Bio-Energy Capital Grants Scheme would be a more cost-effective means of delivering carbon savings. Carrot. In April 2002 the UK Renewables Obligation required that all electricity generators supply a certain percentage of their electricity generation with renewables. Although designed in support of renewable electricity, biomass heat generation in CHP plants received indirect support. Carrot. The Bio-Energy Capital Grants Scheme, implemented in 2002 promoted the efficient use of biomass, particularly energy crops, by awarding capital grants for the cost of biomass-fuelled heat equipment. This scheme is only open to industrial, community, and commercial sectors in England (DEFRA, 2006a). Of the €99 M allocated, €15 M is for electricity generation, €27 M to demonstrate advanced energy crop technologies and production of energy crops and wood fuel for CHP, €3 M for industrial heat produced by energy crops and forest wood fuels, and €4.5 M for CHP projects using energy crops and biomass (IEA, 2004). Initially, the Bio-Energy Capital Grants Scheme was jointly funded by the Department of Trade and Industry (DTI) and the National Lottery’s Big Opportunities Fund (BIG). The second round of the scheme was funded entirely from BIG, with the third, most recent round sourcing its funds from DEFRA. This round also introduced competition, applicants being required to bid for the minimum percentage of grant aid that will enable their project to succeed. Individual grants can be allocated in amounts between €37 500 and €1.5 M. An additional €3 M was provided in April 2006 for an extension of the scheme focused on biomass heat and CHP (DTI, 2006b). Guidance. The Community Renewables Initiative (CRI) was allocated €3 M over 2002-2006 for providing information and facilitating community based partnerships to promote small-scale renewable energy (Biomass Task Force, 2005). With this DTI funding, 10 local teams were established to provide advice and support for the development of community-based, renewable energy projects. After successful monitoring and evaluation of the process and outcomes, the CRI secured further funding through to April 2007. Carrot and Guidance. The Clear Skies Initiative, launched in 2003, provides grants and information to household and community renewable energy projects including solar thermal and biomass installations. Support for geothermal demonstration projects was also provided through the Clear Skies Initiative (IEA, 2004; EGEC, 2006). From 2003-2008 a total of €18.75 M is to be allocated for all renewable projects (Biomass Task Force, 2005). Households can receive grants in the range of €750-€7 500 and non-profit community organizations can receive up to €150 000 for grants and up to €15 000 for feasibility studies. Guidance. In 2005 the Biomass Heat Acceleration Project was launched by the Carbon Trust. With a budget of €7.5 M for five years, it aims to accelerate the commercial development of biomass heat by addressing supply chain risks and raising awareness. The UK Carbon Trust will partner with new and existing biomass sites and their supply chains to develop case studies on how to best deploy biomass technology. Performance benchmarks are to be established and potential cost reductions will be outlined. Supply models and risk mitigation strategies are analyzed in order to make recommendations on optimal design, installation, and operation options for new biomass heating sites (Carbon Trust, 2007). Carrot. The Bio-Energy Infrastructure Scheme was allocated €5.25 M to help develop supply chain and market infrastructure for wood and straw energy fuels. Under this scheme, up to €300 000 per group or business is available for 100% of training costs; up to 40% for specialist machinery; and a sliding scale established (100% the first year, 80% the second, 60% the third) for administrative set-up costs for producer groups. Administered by DEFRA, the scheme aims specifically to help develop the supply chain required to harvest, store, process and supply biomass for heat, CHP , and electricity end users. Funding is available from 2005-2008 (DEFRA, 2006b). 195PDF Image | RENEWABLES FOR HEATING AND COOLING
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