Latest round of PSDS funding open for bids

Public sector organisations can bid for a cut of £230 million of Public Sector Decarbonisation Scheme (PSDS) Phase 3C funding to support significant low-carbon energy upgrades to their buildings.

The scheme has so far allocated more than £2 billion to almost 1,000 public sector organisations across England, helping them reduce energy bills and carbon emissions.

Decarbonising the public sector with low carbon heating and energy efficiency measures is expected to save the public sector an estimated £650 million per year on average to 2037.

Lord Callanan, Minister for Energy Efficiency and Green Finance, said:

We are a world-leader when it comes to reducing carbon emissions – and for us to reach our goal of net zero by 2050, we want to help public bodies like schools and hospitals to do their bit.

We’ve made fantastic progress so far, helping more than 1,000 schools, hospitals and leisure centres. Today’s funding will now help even more organisations across England bring their bills down, while also cutting their emissions.

The funding is available through Phase 3c of the scheme, with organisations able to spend the money allocated in the 2024 to 2025 financial year – on top of further funding for 2025 to 2026.

Organisations that have benefited from a share of more than £2 billion under the scheme over the past three years include:

•  University Hospitals Coventry and Warwickshire NHS Trust have saved £54,500 on their annual energy bill thanks to a new air source heat pump at the Hospital of St Cross in Rugby and new solar panels and pipework insulation
• Staffordshire County Council have installed air source heat pumps and solar panels at the new Kingston Centre in Stafford. The school will also receive new energy efficiency measures, including a building energy management system, LED lighting, double glazing, roof insulation, cavity wall insulation, and pipework insulation. This is due to save them £79,700 on their annual energy bill
• Upper Norwood Library and the Waterloo Action community centre in the London Borough of Lambeth will see their energy efficiency improved – saving the council £5,200 on their annual energy bill. Air source heat pumps were installed at both sites, alongside LED lighting, double glazing, insulation and building energy management systems. Solar panels have also been installed at the Waterloo Action community centre

To apply for funding visit: Public Sector Decarbonisation Scheme: Phase 3.