Ten companies have been awarded a total of £9.4m to help Scottish industries reduce carbon emissions through decarbonisation and energy efficiency projects.
The recipients from the second round of the Scottish Industrial Energy Transformation Fund (SIETF) are predominantly involved in the manufacturing and food and drink sectors.
The projects include a more energy efficient dryer at a seaweed processing facility, while several brewers and whisky distilleries will also receive funding for projects that aim to reduce the emissions that are created during energy-intensive manufacturing processes.
The projects awarded funding have the potential to reduce emissions by 40,482 tonnes of CO2 a year, the equivalent of the annual emissions from 17,000 households.
A further £160,000 has also been made available to conduct up to four engineering or feasibility studies into future projects that will aim to reduce emissions and increase efficiency within the sector by creating a pipeline of future projects.
First Minister Nicola Sturgeon announced the funding while visiting Graham’s Family Dairy, where previous SIETF funding allowed them to upgrade steam production and heat distribution infrastructure.
She said: “Reducing emissions in our manufacturing sector will be a crucial step in ensuring Scotland reaches its net zero target by 2045.
“I am pleased that the Scottish Industrial Energy Transformation Fund continues to support companies across the sector to embrace decarbonisation, improve efficiency and reduce their impact on the environment.
“This week is Scotland’s Climate Week, which puts a renewed focus upon the ongoing climate emergency and our efforts to tackle it - and as households and businesses struggle with rising energy costs, it has never been more important to support industry to become more energy efficient.”
Up to £34m of Scottish Government funding will be made available through the lifetime of the five-year SIETF, which runs until 2026.
The third round of applications is now live and will remain open until 18 November.
Robert B Graham, managing director at Graham’s, said: “SIETF funding support has meant we have been able to deliver a number of process decarbonisation projects in parallel, to achieve scalable impact across our supply chain and share results to support Scottish industry & businesses with their journey to net zero.”
The fund was launched on 11 December 2020, with its first recipients announced the following October.
The second round of recipients of funding are:
Name |
Competition |
Sector |
Location |
Technology |
Grant offered: over £2m |
||||
DSM Nutritional Products |
Deployment |
Food and drink |
East Ayrshire |
Mechanical Vapour Recompression (MVR) technology |
Whyte & Mackay |
Deployment |
Food and drink |
Argyle and Bute |
Steam boiler with biomass fuel burner and flue gas purification |
Grant offered: £1m - £2m |
||||
Pauls Malt |
Deployment |
Food and drink |
Angus |
The installation of a hot water network and CHP |
Grant offered: £500k - £1m |
||||
BrewDog |
Deployment |
Food and drink |
Aberdeenshire |
Food grade (green) CO2 production via CO2 capture |
Carbon Capture Scotland |
Deployment |
Dry Ice Production |
Dumfries and Galloway |
CO2 Feedstock Recycling |
Uist Asco |
Deployment |
Manufacturing |
Western Isles |
Installation of a more efficient dryer with heat recovery |
UPM |
Deployment |
Manufacturing |
East Ayrshire |
Replace existing pumps with three energy efficient turbo blowers |
Grant offered: £250,000 – £500,000 |
||||
Diageo |
Deployment |
Food and Drink |
Aberdeenshire |
Installation of High Temperature Heat Pump |
Macphie |
Deployment |
Food and Drink |
Aberdeenshire |
Conversion of oil fired steam plant to natural gas |
Tennent’s |
Deployment |
Food and Drink |
Glasgow City |
Air compressor and spent grain transfer and smart air injection and spent grain removal technology |
Grant offered: £100,000 - 250,000 |
||||
DSM Nutritional Products |
Deployment |
Food and drink |
East Ayrshire |
Heat recovery DCM evaporator and preheat feed effluent columns |
Grant offered: under £125,000 (study only) |
||||
Diageo |
Study |
Food and drink |
Fife |
Natural gas to electricity transition |
GlenAllachie Distillery |
Study |
Food and drink |
Moray |
Mechanical Vapour Recompression (MVR) technology |
Ineos |
Study |
Petrochemicals |
Falkirk |
Energy efficiency of pyrolysis furnaces |
Tennents |
Study |
Food and drink |
Glasgow City |
Investigation of low carbon heat pump technology |
Whyte & Mackay's project will take place at its distillery site at the island community of Craighouse on the Isle of Jura.
A steam boiler with biomass fuel burner and flue gas purification will be installed, with wood pellets sourced from its second site in Invergordon.
The site does not have access to mains gas and the distillery is currently fuelled by Class D oil, which is transported to the site by road, requiring two ferry crossings.
The project will enable the oil fired boilers to be replaced with a 5MW biomass boiler within the Jura distillery.
Peter Davison and Kieran Healey-Ryder from the sustainability leadership team at Whyte & Mackay, said: “As whisky makers we believe in a sustainable future for what we do here on Jura.
“This Scottish Government programme is a galvanising platform for industry to come together and solve for a green future right across these islands.
“This grant will accelerate our journey towards a sustainable future for whisky making here on Jura.”
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