Eligible organisations can apply for grant funding for projects which meet the compliance criteria below:

  1. Applicants must have and be using a fossil-fuelled heating system.
  2. The heating system in question should be coming to the end of its useful life. See the definition in Section 6.10 of the Guidance Notes.
  3. Applications must include a measure to contribute to decarbonise the heating with a low carbon heating system.
  4. Applicants can include energy efficiency measures and other enabling works, such as smart metering, where they support a ‘whole building’ approach to decarbonisation.
  5. The funding provided to save a tonne of direct carbon (tCO2e) over the lifetime of the project must be no more than £325 (the Carbon Cost Threshold (CCT)), which is automatically calculated by the Support Tool in the Grant Application Form. 
  6. Phase 3 PSDS is primarily for capital works, however, external consultancy and management fees may be included.  Existing employee costs or any costs previously incurred may not be included.
  7. Reasonable enabling and ancillary works may be included in the application, provided they are directly linked to the core technologies being installed, and these will be reviewed for value for money.
  8. Individual applications can be to any value and there is not an upper cap.  However, as previously referenced applicants must demonstrate that they can deliver within the funding timescales. 
  9. Eligible bodies must either own the building that the funding is being used to upgrade or have a long-term lease arrangement where the tenancy agreement places the responsibility for operation and maintenance of the building services on the eligible body.
  10. Single year projects must be in a position to complete by Friday 31st March 2023. Multi-year projects must be in a position to complete by Sunday 31st March 2024 or Monday 31st March 2025.  Funding is not available for projects that cannot deliver to this timeframe.