More communities to benefit from renewable energy

Lottery funding worth millions to power community energy projects across Scotland

Community groups across Scotland are to receive further help to cut their energy bills and reduce carbon emissions, thanks to a £10 million investment over five years from the largest community funder in the UK.

The National Lottery Community Fund investment will help to fund the installation of renewable technologies like heat pumps and solar panels, as well as energy efficiency measures through the Scottish Government’s Community and Renewable Energy Scheme (CARES) Community Buildings Fund.

CARES provides advice and funding to communities looking to develop renewable energy, heat decarbonisation and energy efficiency projects. It is administered by Local Energy Scotland on behalf of the Scottish Government.

The investment was announced by Energy Minister Stephen Gethins during a visit to Shetland, where he saw how CARES funding helped Scalloway Youth and Community Project install a heat pump, solar panels and a battery.

The Minister said: “Scotland’s communities are at the heart of our transition to more affordable energy, and this £10 million investment over five years from The National Lottery Community Fund will help even more of them benefit from it.

“By supporting the installation of renewable technologies and energy efficiency measures, we can cut costs for organisations serving some of our most vulnerable people, reduce emissions from community buildings, and strengthen local supply chains.

“CARES has already delivered over £83 million to communities across Scotland, supporting more than 1,200 projects and 75MW of renewable energy capacity.

“This new funding will enable more communities to build on that progress in the places that matter to them, and I would encourage any organisations who have not already applied to speak with Local Energy Scotland to see what help they may be eligible for.”

Kate Still, Chair or The National Lottery Community Fund Scotland, said: “We’re delighted to have established this partnership with the Scottish Government and Local Energy Scotland.

“Supporting communities to be environmentally sustainable is one of our key missions at The National Lottery Community Fund. That’s why we are investing £10 million in the CARES Community Buildings Fund. It significantly increases CARES funding while keeping access to support and funding straightforward for community groups.

“Community buildings are often at the heart of local communities across Scotland, bringing people together to connect and support one another.

“Thanks to National Lottery players, this funding will help organisations invest in renewable and carbon-saving technologies, making these valued local spaces greener, more sustainable and more resilient.

“We know communities want to play a leading role in responding to climate change, and this investment will enable organisations of all sizes to take meaningful action while creating lasting benefits for both people and the environment.”

Laura McGadie, Operations Director at the Energy Saving Trust, said: ““We’re incredibly proud of everything CARES has achieved so far in supporting communities across Scotland.

This funding from The National Lottery Community Fund will help us build on that success, enabling us to reach even more communities and support them on their journey towards a more sustainable future.”

Cash for Community Energy Projects

Communities across Scotland, including groups in the Hebrides, Shetland and two projects in Edinburgh are to benefit from a share of £1.5 million Scottish Government funding aimed at supporting community renewable energy generation projects.

A total of 19 community groups from across Scotland, including groups in Eigg, Bressay, Tiree, Fair Isle, Barra and Arran, will share funding from the Community Energy Generation Growth Fund. This will  support them to develop their own renewable energy projects, including installing wind turbines and solar panels to meet local needs.

The organisations will also be able to earn money from their projects by, for example, selling the excess energy generated back to the grid.

The fund forms part of the Scottish Government’s Community and Renewable Energy Scheme (CARES), which to date, has awarded more than £65 million in funding to over 900 renewable projects across the country.

The pilot scheme will inform longer-term support for community-owned energy generation projects through CARES. 

Acting Minister for Climate Action, Alasdair Allan said: “I am pleased the fund has provided support to so many locally owned energy generation projects – particularly those in our island communities.

We are fully committed to ensuring that all areas of Scotland are able to thrive and contribute to a growing sustainable economy and renewable projects like these will  help reduce energy costs, generate revenue and help drive Scotland’s transition to net zero.

“It is crucial that communities are at the heart of Scotland’s ambition to become a renewable energy powerhouse – and this fund helps to ensure that they can lead and benefit from this era defining transition.”

Director of Eigg Electric Labhaoise McKenna said: “Eigg Electric is delighted to be a recipient of the Community Energy Generation fund. As a pioneer of community energy generation, we value this support to help us to plan for and further develop our renewable system.

“This fund will help us build a more resilient island community and help us on our journey to 2030 carbon net zero.”

More information about Community Energy Generation Growth (CEGG) Fund

OrganisationProject SummaryTotal initial approved capital/ resource
Fort Seafield And Wallacetown Community AssociationInstallation of solar panels on three school buildings in Wallacetown, with power generated sold to the Local Authority. The funding will be used to fund purchase of equipment.£151,512
Arran Community RenewablesA 4 MW solar farm on Arran. Funding will be used for grid connection, a planning application and project management costs.£220,828
Radical Renewable Art and Activism Community Energy Society Limited, GlasgowRooftop solar PV on 7 community buildings and 2 local businesses in Glasgow. Funding will be used for site permissions, detailed design work and consents.£68,850
Fife Communities Climate Action Network CICGround-mounted solar PV across 4-6 sites. Funding is for grid connection, legal agreement, planning costs and technical development.£58,074
Arnish Community Windfarm LtdUp to seven 4-5MW wind turbines. Funding is for a grid connection.£38,000
Sunart Community Renewables Ltd300kw ground mounted solar. Funding is for feasibility work.£17,844
Sunart Community Renewables Ltd800kw wind turbine. Funding is for feasibility work.£20,884
Radio City Association, KilbirnieA 3MW wind turbine project. Funding is to support feasibility work.£10,000
Carluke Development Trust (on behalf of the ONECarluke Community Energy Project up).Rooftop solar and battery storage at four sites. Funding is for equipment and installation costs.£233,260
Tiree Community Enterprise LimitedSolar PV array with battery storage, to support EV storage and resilience. Funding sought for equipment and installation costs.£113,500
Eigg Electric LtdThree 100kwh wind turbines and infrastructure upgrade to support increased capacity, to support decarbonisation of Eigg by 2030. Funding is to support grid infrastructure upgrades.£86,766
Knock and Swordale Community Company Limited3-6MW wind turbine. Funding is for options appraisal and planning work.£20,000
Fair Isle Electricity Company LtdGround mounted solar array to provide power to the Fair Isle Bird Observatory. Funding is for equipment and installation costs.£137,361
Edinburgh Community Solar Ltd (Edinburgh Community Solar Co-op)2.5MW solar array on 16 council sites, including 7 schools and a number of leisure buildings. Funding is for development costs.£84,960
Porty Community EnergySolar bond project, exploring putting solar on 6 community buildings. Funding is for a feasibility study and work on consents and permissions.£44,088
Zero Carbon Daviot1MW ground mounted solar PV. Funding is to support feasibility work.£15,000
   
Barra and Vatersay Community LtdRepowering for Barra community turbine, with learning to be applied to other repowering projects. Funding is to explore an engineering solution to support repowering.£23,000
Huntly Development Trust LimitedA wind generation project on Gartly Moor, forming part of a wider project of up to 20MW of wind, solar and potentially green hydrogen. Funding will be used for grid and planning, including addressing aviation issues.£138,141
Blairgowrie and Rattray Development TrustGround and/or roof mounted solar. Funding is for feasibility work.£10,000
Bressay Development LtdSolar PV and battery storage on a brownfield site. Funding is for feasibility work.£10,000

Community Energy Generation Growth Fund: £1.5 million to support community projects

A fund to help community groups across Scotland set up renewable energy generation projects has opened for applications.

The £1.5 million Community Energy Generation Growth Fund will support local communities installing wind turbines and solar panels or developing other types of renewable energy generation, such as hydro, to meet local needs. 

Community groups will also be able to earn money from their projects by, for example, allowing them to sell excess energy generated.

The fund forms part of the Scottish Government’s Community and Renewable Energy Scheme (CARES), which, to date, has awarded more than £65 million in funding to over 900 renewable energy projects across the country.  

The pilot scheme runs until March 2025 and will inform longer-term support for community-owned energy generation projects through CARES.

Net Zero Secretary Màiri McAllan said: “Scotland is fast becoming a renewable energy powerhouse, with enormous benefits for our people, economy and environment.  

“Scotland’s communities must be at the heart of this journey. I am determined to ensure they can lead and benefit from this era defining transition.

“This fund will support the creation of locally owned energy projects which can reduce energy costs, generate revenue and help drive Scotland’s transition to net zero.”

Chris Morris manager at fund administrator, Local Energy Scotland said: “We are excited to support this fund and we know that there are communities across Scotland who are developing renewable energy projects who can accelerate their projects with this funding. 

“This fund can help communities to realise their ambitions and Local Energy Scotland can help identify the best opportunities and prioritise next steps.”

More information about Community Energy Generation Growth (CEGG) Fund and details on how to apply

CARES funding streams include:

  • Let’s Do Net Zero: Community Buildings Fund – which provides a rolling programme of support to communities, charities, and faith organisations to decarbonise their buildings and reduce energy bills.
  • Community Heat Development Programme – which works with community organisations and groups of householders to help develop ideas for locally generated, low and zero carbon heat projects.