Organisations share £9.7m to support people through energy crisis and boost carbon reduction initiatives

Organisations share £9.7m to support people through energy crisis and boost carbon reduction initiatives

The Ofgem Energy Industry Voluntary Redress Scheme has awarded £9.7 million in grants to 33 organisations across England, Scotland and Wales in its latest funding round.

The Energy Redress Scheme includes four types of funds: Main Fund (£8.9m), Small Project Fund (£168,000), Innovation Fund (£188,000) and Carbon Emissions Reduction Fund £435,000).

The latest round of funding will support the delivery of projects that are helping vulnerable households to heat and power their homes, with the aim of preventing a range of health, social and economic problems faced through the energy crisis. The successful projects contribute to the development of the skills, resources and infrastructure necessary to deliver effective support to households most in need.

The scheme also supports the development of innovative energy-related products and services which focus on benefiting households, while helping to reduce the environmental impact of energy use. The Carbon Emissions Reduction Fund supports energy-related activities, such as generation, distribution and energy use, aimed at reducing carbon dioxide emissions.

Now in its fifth year, the Energy Redress Scheme has to date, distributed £78.6m of funding, supporting 472 of projects across England, Scotland and Wales.

The funding is collected through Ofgem’s enforcement and compliance activity. Energy companies that have breached rules agree to make a voluntary payment into the Energy Redress Scheme.

The latest group of successful organisations who applied for funding from the scheme will receive grants ranging from £35,000 to more than £658,000, to deliver projects lasting up to two years. 

These include: 

  • Argyll, Lomond & Isles Energy Agency (ALI Energy) - Argyll Energy Advice Service 2 - £305,306.50
  • Scarf - Moray Energy Advice Programme - £287,800.00
  • Stirling District Citizens Advice Bureau Ltd - Energy Advice Project 2 - £109,226.50
  • Thenue Housing Association - Thenue Energy Advice Project (TEA Project) - £229,857.00

Graham Ayling, senior project manager for the Energy Redress Scheme said: “The funding made available will help charities and community groups to provide immediate support to people struggling to heat and power their homes at this challenging time. These organisations have the direct relationships with communities that enable them to find people who might otherwise be forgotten, listening to their needs and empowering them. The projects will also help move us towards a more just energy system in the longer term, which is a key part of reaching net zero targets.”

Russell Oglivie, head of enforcement at Ofgem, added: “Since the introduction of the Energy Redress Scheme, which is funded by our robust compliance and enforcement activity, millions of pounds of support has been granted to organisations to support consumers in vulnerable circumstances. Helping people to meet the costs of their energy needs has never been more important and we are very happy to be able to provide such significant support to the latest group of projects to receive funding.”

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