Webinar FAQs for PSDS Phase 1 and 2

Webinar FAQs for PSDS Phase 1 and 2

Last updated 01/03/22

(These FAQs are based on questions discussed during our PSDS Phase 1 and 2 webinars, February 3 and February 10. They have been posted on February 18)

Q1. Are Salix Finance not offering extensions for projects, like in PSDS Phase 1. We have issues with planning and the supply chain, which means we now won’t complete by March. We’ve been informed our Air Source Heat Pumps won’t be delivered until April.  Will we lose this funding?

The final deadline for Section 98 grant recipients remains the 31 March, as the scheme has a non-negotiable amount of funding to provide in each financial year. This means that no funding can be drawn down for Phase 1 or Phase 2 projects (whether funded under Section 31 of the Local Government Act 2003 or Section 98 of the Natural Environment and Rural Communities Act 2006) in the 2022/23 financial year. An extension is possible for Section 31 grant recipients because Section 31 grant recipients received their grant directly from BEIS at the start of delivery.

If you have placed orders for ASHPs or any other materials that won’t arrive by the 31 March, you can ask your contractor if they can provide vesting certificates for these items.  This is proof of ownership of the equipment, and these can be used to make payment arrangements with your supplier(s) to bring forward as much as the spend as possible into the grant funding window. We will, however, be unable to cover are any costs that incurred after March such as the installation of that piece of kit. 

Q2. We were successful in the first application window for PSDS Phase 3 of the scheme. Does that prevent us from making further applications to future PSDS Phase 3 application windows?

There is no limit to the number of applications an applicant can submit to PSDS Phase 3. Being granted funding through one PSDS Phase 3 application window doesn’t prevent an organisation from applying for further funding through other PSDS Phase 3 application windows. 

Q3. What is the deadline date for sending data sheets? 

To close projects, all outstanding conditions must be fulfilled, including providing data sheets for the equipment installed. Salix Finance would like to get projects closed out as soon as possible, and at the latest, by the end of April.

We appreciate that completing the projects and fulfilling all the outstanding conditions will take time due to the amount of information to collate. It is advised that clients make a start on submitting information for outstanding conditions now, and to start making requests to your contractors as soon as possible. If clients are struggling to assemble all the required information and think this will take beyond the end of April, please speak to your Salix Finance relationship manager.

Q4. We have multiple sites under one application – does Salix Finance want a photograph for each site?

We will be practical and will not require images from all individual sites where there are many sites under one application. However, please do aim to provide photographic evidence of the highest value items where practical. If unsure of how large a sample of photographs are required, please speak to your Salix Finance relationship manager to be sure. The key requirement is to provide reasonable and sufficient evidence. You should make sure to cover the highest value measures in your project, and where possible tag it geographically and with the date of when it was installed. 

Q5. What happens if a building is sold, and we can no longer monitor it?

When a client submits an application to Salix Finance, we check that the buildings are expected to be in public ownership or be leased by the public for the lifetime of the technology. However, we understand that portfolios change, and circumstances change as part of the project. If this does happen, we ask clients to contact Salix Finance and to inform us by writing. We also ask that, where possible, when you are doing a review of your estate, consideration is taken, to keep any carbon savings, as a result of a PSDS project, within the public sector. 

Q6. Is there definitely no wiggle room on the deadline date for projects funded through Section 98? We are aware of the possibility of extensions for Section 31 grant recipients. 

The final deadline for Section 98 grant recipients remains the 31 March, as the scheme has a non-negotiable amount of funding to provide in each financial year. This means that no funding can be drawn down for Phase 1 or Phase 2 projects (whether funded under Section 31 of the Local Government Act 2003 or Section 98 of the Natural Environment and Rural Communities Act 2006) in the 2022/23 financial year. An extension is possible for Section 31 grant recipients because Section 31 grant recipients received their grant directly from BEIS at the start of delivery.

Q7. What happens with retention costs? Are they drawn down with the final payment request? 

Yes, they will be included within the final payment request. Regarding your final payment, please ensure that if you are including any retention costs, they included are in the statement of expenditure and in any invoices, you receive from contractor/s.