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Next Generation Community Energy programme

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Presentation on theme: "Next Generation Community Energy programme"— Presentation transcript:

1 Next Generation Community Energy programme
Energy Transition Conference 2018 Intro Key messages Thank organisers? The Arnolfini, Bristol 19 October 2018

2 Our aim? Better places through community business
PTC is an independent Charitable Trust with £150m endowment from National Lottery to support community businesses in England PTC’s mission is to ‘create better places through community business’… What is ‘community business’?: accountable to local community and profits generated delivering positive local impact. 4 key features: Rooted in, and respond to, the needs of a specific local place Have a business model built around trading Engage with, and are accountable to, local people Benefit their local community, not just specific interest groups or individuals What we mean by ‘better places’: Reviving local assets, protecting services, and addressing local needs. Seven long-term outcomes: Reduced social isolation Improved health and wellbeing Increased employability Better access to services Improved local environment Greater community cohesion Greater community pride and empowerment PTC is more than a funder - our ambition is to: To grow the sector – greater number of sustainable CBs after we have gone Transforming places – demonstrate that CBs can have positive economic and social impact in places Making the case – to inform and influence [The images are of Westmill and notsure? – need to change the energy one for one of our grantees and find out what the other is of and/or replace]

3 Why community energy and why now?
A key contributor to ‘better places’ Total energy system change 45% CO2 reduction by 2030 / ‘Net zero’ by 2050 – there is much to do! Why community energy? PTC sees community energy as key contributor to our ‘better places’ goal – Both through the direct benefits that flow from ownership of energy assets and delivery of energy services at a local level, such as addressing energy inequality, reducing fuel poverty and ring-fencing profits for community use But also the longer term outcomes that we are interested in – regenerating local economies, jobs, better health and wellbeing and greater community pride and empowerment Why now? Community energy is at a pivotal moment, needing to transition in a rapidly changing and post-subsidy energy market Ref to IPCC report: 12 years to avert climate catastrophe

4 How do we support community energy?
CORE Partners Next Generation Community Energy Open programmes: Community Shares Booster Community Business Fund Bright Ideas Sandbox PTC has made a significant commitment – over £45m - of its endowment and programme spend to support community energy and is committed to community energy being a priority sector for its activity over the next five years   We are aiming to provide deep intervention into the community energy market Investment and asset transfer Capacity and capability building Innovation in new business models Impact, learning and legacy CORE Partners: We buy solar farms, optimise and transfer them into community hands through our CORE investment partnership with Big Society Capital. Next Generation: We help CORE communities to develop their capacity and capability to manage the solar farms as a community business; We are supporting the next generation of projects and business models; We are developing a peer mentoring and sector learning scheme; We all offer funding and support to energy projects through our Open Programmes: Community Shares Booster: We provide development grants of up to £10k to support the preparation of share offers and equity match of up to £100k to fund energy schemes through our Community Shares Booster programme. This programme is currently open for applications. Community Business Fund: We award grants of £50-£300k to community businesses who are looking to grow their trading income and become more financially sustainable through our Community Business Fund. Energy projects funded so far have focused on improving energy efficiency to increase financial viability . The next round will open for applications in Spring 2019. Bright Ideas: We award small grants to community groups who want to start community energy projects and/or businesses through our Bright Ideas Fund Sandbox: We also fund innovative ideas to support the advancement of the sector - with two fantastic local examples just awarded to Ambition Lawrence Weston CE and Bath and West Community Energy

5 Next Generation Community Energy
Next Generation Fund: New business models Community energy asset transfers Impact, learning and legacy for the community energy sector Our new Next Generation Community Energy programme aims to bring community energy into mainstream of energy system change Through the programme, and our aligned investment through CORE, we are providing deep intervention in the community energy market in 3 ways: New business models Existing community energy businesses will be supported to develop into holistic energy businesses that provide benefits across their local community. We will award grants of up to £100,000 to 10 community energy businesses, alongside a support programme of research and analysis. Community asset transfers Aligned with our CORE investment partnership with BSC, Next Generation will provide grants and support to upskill the communities taking ownership of the solar farms These communities will also receive support with further business planning to develop new projects and business models, once they have an anchor asset of their own Impact, learning and legacy for the community energy sector A peer mentoring and sector learning scheme will make sure that all materials and resources emerging from this programme are available to the whole community energy sector, and we’ll be working closely with Community Energy England to ensure this; We are committed to making the case for community energy and will work with industry and policy makers to demonstrate how and why community energy businesses should be central to the energy system transformation; [We are also exploring creating a piece of legacy market infrastructure for the sector – a community owned asset management company]

6 The delivery consortium
Next Generation is being delivered by a consortium of organisations, each with particular strengths and knowledge. Together they have a comprehensive understanding of the technical and economic realities of community energy businesses in the current economic, regulatory and policy environment, and of the financing of CEBs. The consortium is led by the Centre for Sustainable Energy, working in partnership with: Low Carbon Hub, Everoze Partners, Co-operative Futures, Co-ops UK (and the Community Shares Unit), SfW Communications, Social & Sustainable Capital.

7 Support to c.10 existing community energy businesses in England
Next Generation Fund Support to c.10 existing community energy businesses in England Partnership Phase: Expert research and analysis to develop detailed plans Delivery: Grants of up to c.£100k Support to c.10 existing community energy businesses in England We are seeking to work with around 10 established and experienced community energy businesses in England who want to develop innovative business models, building on their past achievements. We will be opening 2 windows for applications – 1) 19 November – 13 January and 2) mid-late Q1 2019 At this stage, applicants will be required to describe their achievements and projects to date and the experience, skills and assets they have at their disposal. They will also be asked to indicate the types of community energy business models they wish to explore. Expert research and analysis partnership phase During the Partnership Phase, the successful groups will be helped to develop a comprehensive energy baseline and local opportunities and constraints map and strategy. From this, they will be supported to finalise their full project proposals. Research during the Partnership Phase is likely to include: Detailed socio-demographic mapping. A review of local authority and LEP policy context. Local network constraints and network operator policy research. An analysis of existing local energy activity, including Ofgem innovation initiatives. A review of transport provision and key transport stakeholders. A housing stock analysis and research on key housing stakeholders. Support with reviewing the technical performance of existing generation assets, and potential for extensions where connections allow. A stakeholder analysis, identifying key local businesses, organisations and people creating an initial 'power map' of potential support for the project. The partnership phase will also provide an opportunity for the group to review their capacity and governance arrangements and identify any areas where the consortium could provide support for this. Development grants of up to c.£100k In addition to the partnership phase support, and once your detailed project plan has been developed and agreed, you will be able to access grants of up to £100,000 for the delivery of your project. [You can use the grant to cover the costs of your own staff time, consultants’ fees, direct costs such as travel and subsistence, a reasonable contribution to running costs such as office rental and IT costs, and any equipment purchases needed for the project.]

8 Next Generation timing and key events
Next Generation Fund: 1st application window 19 Nov - 13 Jan 2019 FAQ Webinar: 20 Nov Partnership Phase: Feb – April 2019 Delivery: May 2019 – June 2021 We will hold two application rounds, the first opening 19 November 2018 and one in mid-late Q1 2019 Please sign up for our webinar on 20 November to explain the aims of the fund, the application process, criteria we’ll be using for selection as well as answering any and all questions there may be

9 Community energy is a strategic priority for Power to Change
In summary… Community energy is a strategic priority for Power to Change First round of applications for our Next Generation Fund are open 19 Nov – 13 Jan For further information: You can find all the information you need on dedicated webpage or linked through from PTC site Key contact details on the next page

10 Thank you https://www.next-generation.org.uk/
Power to Change: Next Generation: CORE Partners:


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