Public Sector Decarbonisation Scheme | Pure Thermal

The Public Sector Decarbonisation Scheme is designed to facilitate the reduction in emissions and provides grants for public sector organisations to fund heat decarbonisation and energy efficiency programmes in public buildings.

The Public Sector Decarbonisation Scheme provides support to help reduce emissions from public sector buildings. By 2037, a target of reducing emissions by 75% has been agreed upon compared to the benchmark set in 2017. This was set out in the 2021 Net Zero and Heat and Buildings strategies. This scheme can include a variety of applications such as enhanced insulation, Solar and Commercial High Temperature Heat Pumps.

The Pure High Temperature Heat Pump ranges are the next generation of Heat Pumps, delivering up to 120°C flow temperatures, they are ideal for both retrofit and new build applications. High Temperatures reduce restrictions on applications and widen the scope to deliver carbon and energy savings as outlined in The Public Sector Decarbonisation Scheme.

As part of the funding process, The Public Sector Low Carbon Skills Fund provides grants for public sector organisations to create and implement a heat decarbonisation plan, which provides them with the information they will require to create future applications to the Public Sector Decarbonisation Scheme.

Both the Public Sector Low Carbon Skills Fund and the Public Sector Decarbonisation Scheme are available to public sector organisations in England and areas of reserved public services throughout the UK.

The first phase of the Public Sector Decarbonisation Scheme provided grants of over £1 Billion between 2020 and 2022. This was made available as part of the Chancellor’s Plan for Jobs 2020 commitment which was designed to support the UK’s economic recovery from COVID-19. The overall aim was to support 30,000 jobs in the energy efficiency and low carbon sectors and reduce carbon emissions from the public sector such as the specification and installation of Dual Output Heat pumps which are the next generation of cooling and heating systems, delivering zero-cost, zero carbon hot water utilising recycled waste heat from cooling.

For the financial year 2012 to 2022, phase 2 of the Public Sector Decarbonisation Scheme made £75 million of additional grant funding available.  This second phase had a stronger focus on heat decarbonisation than the initial phase and was created to help deliver more significant carbon emission reductions. Phase 2 supported the public sector by taking a ‘whole building’ approach when decarbonising entire estates.

Phase 3 covers the period (financial years) 2022 through 2025 and this element of the Public Sector Decarbonisation Scheme will provide £1.425 billion of grant funding, via multiple application windows. The first of these “application windows” – phase 3a is now closed to new applications having had a deadline of November 2021.

At the time of writing this content (October 2022), the scheme’s Phase 3b application window is now open. The guidance notes, application form and application portal are available on the Salix Finance website. Phase 3b will provide up to £635 million of funding over the financial years 2023 to 2025.

Contact us to discuss the inclusion of heat pumps in any grant application process and let our experts at Pure Thermal help you through the design, application, and implementation of your carbon reduction scheme.

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