The Scotland Recycling Fund

Open for applications

Hydro Ness in Inverness

Sector eligibility

Open for applications:



We are currently accepting applications to set up new Recycling Funds with Scottish local authorities and universities, dedicated to estate-wide energy efficiency retrofits, in support of Scottish Government’s carbon reduction target. 

Salix Energy Reporting System (SERS) login

About this scheme

The Scotland Recycling Fund, as part of the Scottish Public Sector Loan Scheme, is a ring-fenced fund held by the eligible public sector body. It is created with capital provided by Scottish Government through Salix, and equally matched by the public sector body.

The scheme aims to increase long-term investment in energy efficient technologies across the public sector. 

Our contribution is a long-term 100% interest-free repayable grant. Scottish local authorities can use their former Central Energy Efficiency Fund or their own capital as their match contribution. The financial savings achieved by the projects are reinvested in further eligible projects year on year, hence the term ‘Recycling Fund’. 

Our teams are passionate about working with organisations on their fund management and project delivery in Scotland.

Scheme benefits

  • Securing long-term finance for energy efficiency investment.
  • We offer the option of a management charge, where up to 15% of project costs can be used to support project identification and delivery.
  • Up to 25% of annual energy savings can be kept as immediate savings, with 75% ring fenced in the fund.
  • More than 100 energy efficiency technologies are eligible including lighting, heating, and insulation. 
  • Project compliance criteria of up to a 12-year payback at a cost of £305 per tonne of carbon dioxide saved.
  • Ongoing client and technical support from our team on fund management and project delivery.
  • Networking and knowledge sharing with other public sector peers.
  • This scheme can also be used to finance retrofit programmes from the Non Domestic Energy Efficiency framework (NDEE).

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