Energy Redress Scheme offers £22m in latest funding round

A total of £22 million has been offered to charities and other consumer organisations in the latest funding round of Ofgem’s Energy Redress Scheme.

The scheme, which administered by the Energy Savings Trusts, disperses voluntary redress payments made by energy suppliers following enforcement action taken by the regulator.

Since 2018, the scheme has awarded almost £56 million to more than 400 projects supporting vulnerable households or carbon emissions reduction across England, Scotland and Wales.

The second funding round of phase two of the scheme will be made available through four different funding streams.

These include the Main Fund and the Small Project Fund of £14.4 million and £1 million respectively. The larger pot is aimed at projects seeking grants between £50,000 and £2 million, while the Small Project Fund is aimed at projects seeking grants between £20,000 to £49,999.

There is also an Innovation Fund of £3.3 million, which will help to develop innovative products or services to benefit households, as well as a £3.3 million Carbon Emissions Reduction Fund aimed at projects to help households reduce carbon emissions and engage positively with the transition to net zero.

Both these funds award grants of between £50,000 to £1 million.

Energy Saving Trust said almost 1,000 organisations are already registered with the redress scheme and are eligible to apply for funding. The deadline for applications is 5pm on 6 October.

Graham Ayling, senior project manager for the Energy Redress Scheme, said: “These funds come at a crucial time and will help charities in local communities to scale up activities to support those most at risk from unprecedented energy costs this winter.

“As a result, more people will have someone to turn to who can help them through this exceptionally difficult time.

“The funds will also help towards projects which will explore new ways to ensure that everyone benefits from the transition to a net zero future.”