The Department for Business, Energy and Industrial Strategy (BEIS) is to provide £28 million of new funding for low carbon innovation projects.
Nick Hurd, the Minister of State for Climate Change and Industry, announced the new round of investment at the Rushlight Show today.
He told the audience the money would be used to finance a range of clean energy technologies, including smart data, energy storage, demand side response and efficiency projects.
The Minister said the figure would be “a small piece of a much bigger pie” compared to the total energy and innovation funding portfolio across government, which he said was in the region of £2 billion.
Mr Hurd said the Department’s upcoming industrial strategy will deal with the UK’s rapidly transitioning energy sector and plan how to stay on track to meet long term decarbonisation goals in the face of Brexit.
He added spending on research will double as part of the Emissions Reduction Plan.
“The UK has not been sufficiently invested in research, development and innovation in the past – it will be now. Innovation is key to driving down the cost of decarbonisation.”
He said going forward, more money and co-ordination is needed in the energy sector to ensure the UK can progress and prosper without taking environmental risks.
Theresa May recently unveiled a new Modern Industrial Strategy today, with plans for the biggest investment in industries including transport and energy.