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5.3.1.2.5 Infrastructure related to the development and adaptation of agriculture and forestry
SUPPORT FOR RENEWABLE ENERGY (Tier 3)
Article 20 (b)(v)
Measure code (125)
Rationale for Intervention
Scottish Ministers have set a target that 40% of Scotland's electricity should be generated from renewable sources by 2020. Support for investment in renewable energy provision by land managers will contribute to achieving this target. This support will assist in minimising emissions of greenhouse gases in support of the Scottish Climate Change Programme. It will also encourage the development of sustainable agriculture and forestry businesses in Scotland, which are competitive and contribute to local economies.
The cost of the initial capital investment in the infrastructure required to establish renewable energy capacity is the main barrier to businesses choosing to install renewable energy systems. By contributing to these costs, we can ensure that a planned approach to energy supply is taken, that longer term viability is considered and that additional benefits are optimised.
Objectives
Supporting capital investments in renewable energy to help achieve our renewable targets and as part of a wider programme of improving business viability will pump-prime individual businesses to improve their income stream from their agricultural or forestry activities and encourage reductions in carbon emissions.
Scope and actions
Support will be available to provide a contribution towards the eligible costs of purchase and installation, construction, upgrading or development of infrastructure and/or equipment to enable agricultural or forestry businesses to develop small scale renewable energy capacity.
Definition of beneficiaries
Land managers.
Description of the type of operations
- Small scale wind turbines
- Hydro-electric turbines
- Bio-diesel treatment and storage equipment
- Oil extraction equipment
- Solar panels
- Woodfuel boilers
- Heat pumps
- Solar water heating
- Anaerobic digestion equipment using slurry and other agricultural by-products
- Specialist equipment for harvesting, pre-use processing ( e.g. dryers, chippers, pelletisers), quality assurance ( e.g. for checking moisture content, chip size etc) and handling.
Type of support
Contribution to capital cost will be a one off payment in arrears. Before payment is received beneficiaries must:
Produce the necessary documentation to demonstrate that the renewable energy system was installed by a registered installer and that technology is on a Department of Trade and Industry accredited list; and
Produce a receipted invoice
Aid intensity
Up to 50% of eligible costs in Less Favoured Areas (60% for young farmers)
Up to 40% in non-Less Favoured Areas (50% for young farmers)
Financing
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