Scottish Government creates £20 million fund to decarbonise public sector

The Scottish Government has created a £20 million fund aimed at helping the public sector decarbonise its buildings.

The public sector heat decarbonisation fund will replace another scheme which offered zero-interest loans and will provide cash to local authorities, universities and other arm’s-length organisations.

Patrick Harvie, the heat in buildings minister, said the move to a grant scheme was a “very significant commitment” from Government.

“Scotland’s buildings account for approximately a fifth of all our emissions and our aim is to ensure that, by 2045, our buildings no longer contribute to climate change,” the Scottish Greens co-leader said.

“This means that our schools, offices, hospitals, libraries and homes will all need to improve their energy efficiency and install zero-emissions heating.

“Public sector bodies have already achieved a lot, but we need to go further.

“The design of the new scheme reflects the changing needs of the sector, allowing public sector organisations to invest in projects with higher capital costs and which cannot always be invested in on a spend to save basis.

“Moving from a loan scheme to direct grant awards for the first time represents a very significant commitment from the Scottish Government to support the delivery of these challenging targets.”

The fund will be available to public bodies with borrowing powers and will require a commitment of 20% match funding.