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New grants to help support low carbon transport

11th August 2005 (Source: Energy Saving Trust )

The Energy Saving Trust will today start administering a new grant programme to support the development of refuelling and recharging stations for alternatively powered vehicles in the UK.

The grants are funded by the Department for Transport, with support from the Scottish Executive, with a grant budget of £690,000.

The provision of improved infrastructure for alternative fuels is intended to encourage the uptake of the cleanest, lowest carbon vehicles. The new grants aim to help increase the market for alternative fuels such as hydrogen and biofuels, bioethanol and biogas, which will provide both businesses and consumers with more options for choosing cleaner, low carbon vehicles.

Transport Minister, Derek Twigg said: "The Government is committed to helping reduce the environmental impacts of road transport. Alternative fuels can offer significantly reduced carbon emissions compared to traditional fuels.

"This investment will help develop new infrastructure to support both consumers and businesses using cleaner, low carbon vehicles."

Richard Tarboton, Head of Transport Business Unit at the Energy Saving Trust, said: “By supporting the alternative fuels market the Energy Saving Trust hopes to offer yet another option for reducing the UK’s total CO2 emissions from road transport and improve air quality. The programme should encourage manufacturers to produce more diverse vehicles that will ultimately lead to more business and consumer choice”.

Alternative fuels eligible for grant funding under the new programme include natural gas, bio gas, bio ethanol, hydrogen and electric recharging points. Other non traditional fuels, where limited networks exist, will also be considered if a case can be made for them.

A requirement of the programme will be that vehicles should be available which run on the fuel intended and that these vehicles have demonstrated emissions savings over equivalent petrol and/or diesel fuelled vehicles.

The new grants support the UK Climate Change Programme and the UK Air Quality Strategy for England, Scotland, Northern Ireland and Wales.

-ends-
Notes to editors
Under European Commission State Aid guidelines the Energy Saving Trust’s transport refuelling and recharging infrastructure programme will offer grants of between 30 and 60 percent of eligible costs for the installation of new infrastructure within the UK. The Energy Saving Trust will administer the programme on behalf of the UK Government. For this financial year (up to March 2006) a budget of up to £690,000 will be available.

The programme will not however fund refuelling sites for bio diesel, which is already available at over 100 filling stations in the UK, including a number of major supermarket sites. The decision not to include bio diesel is based on the fact that it can be delivered using the current refuelling infrastructure at no extra cost.

About the Energy Saving Trust
The Energy Saving Trust was set up by the UK Government after the 1992 Earth Summit in Rio de Janeiro and is one of the UK’s leading organisations addressing the damaging affects of climate change. It aims to cut carbon dioxide emissions by promoting the sustainable and efficient use of energy. The Energy Saving Trust is a non-profit organisation funded by government and the private sector.

The Energy Saving Trust’s transport unit is working on behalf of governments to improve the quality of our environment. Funded mainly by the Department for Transport, the Scottish Executive and the Welsh Assembly Government, it works in partnership with the transport industry, corporate fleet sector and the public sector to help make the UK a cleaner and healthier place to live and work. For more information please visit www.est.org.uk/fleet

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