Phase 3b Public Sector Decarbonisation Scheme

Invoices dated after the grant end date must include a description with a clear breakdown demonstrating that works were completed by 31 March 24. If this cannot be provided you are required to provide a breakdown of costs and works to evidence these completed within the grant period. 

Vesting certificates that prove equipment has been retained by the public sector body on site within the grant period can be submitted as evidence to claim Public Sector Decarbonisation Scheme funds for items not installed by the grant end date. 

The annual carbon report is required to be submitted three years after the practical completion of your project. The reports are expected to be submitted in Q1 of the subsequent financial year – we will be in touch when this is due.  

Retention costs are eligible to be claimed from the grant allocation. These costs may only be claimed as part of the final payments process. Grant recipients are required to provide evidence in the form of contractual documents and/or invoices that clearly show the amount of retention and under what conditions it will be paid.

You must inform Salix of the retention period and when retention will be released to third parties and provide supporting invoices to your relationship manager once these payments have been made.

No. Grant recipients are not required to evidence retention payments if this has not been claimed using grant funding. 

The criteria for Phase 3b of the Public Sector Decarbonisation Scheme requires all grant recipients to contribute funding equivalent to the like-for-like costs of replacing their fossil fuel heating system. This cost is set at a minimum of 12% of total project costs. Invoices covering the like-for-like costs must be submitted to Salix. If the like-for-like costs are less than 12% of the total project value, you will be expected to provide evidence demonstrating this minimum 12% has been paid using your client contribution. 

We do not require payment evidence to demonstrate any additional client contribution above and beyond the 12% minimum, but we do require evidence that installation of all measures included in the approved project scope has been completed. 

If your project will not complete by 31 March 2024 (for Phase 3b single year projects or Phase 3a multi-year projects), you are required to inform your Salix relationship manager at the earliest opportunity for Salix review and approval. These projects will follow the Delayed completion process. 

You are expected to submit evidence of like-for-like costs within 30 days of practical completion of your project. The final statement of expenditure will need to be resubmitted with part 2 (like-for-like costs) and part 3 (client contribution) completed. This is a requirement of the grant scheme and if this is not provided, Salix reserves the right to reclaim any funds that have not been evidenced. 

Claims for any 2023-24 spend must be submitted by 18 April 2024. Your Grant Offer Letter or Grant Amendment Letter specifies the amount awarded for each financial year. Any unspent funds cannot be transferred between financial years. Any grant funding allocated for financial year 2023-24 not claimed by 18 April 2024 will be marked as project underspend and cannot be claimed at a later date.   

No. The accruals forecast statement form needs to be submitted if you plan to make a payment claim after period 12 (22 February 2024) to receive Public Sector Decarbonisation Scheme funds in April or May 2024. 

No. The level of funding awarded in each financial year for each project cannot be increased. Where there is underspend available, this may be made available for successful Phase 3c Public Sector Decarbonisation Scheme applicants able to start their projects immediately after receiving their Grant Offer Letter and incur spend this financial year, but we are unable to increase the level of funding awarded to previous grant recipients.

Warranty certificates should be provided for measures of significant spend, where the value of the technical measure is over £100,000 or if it constitutes 25% or more of the grant value. However, if they are not available for each Public Sector Decarbonisation Scheme funded measure, please provide an Operation and Maintenance manual. This document can be submitted in the absence of warranty certificates since it covers the details of the project, in addition to the instructions of the operation and maintenance of the equipment installed. 

Grant recipients must declare their intention to retain end-of-life boilers on site early in their project programme. Salix will require a decommissioning plan outlining the steps to remove the boilers and to ensure that works comply with all statutory health and safety requirements. For more guidance please see here.

Salix require submission of monitoring reports on a quarterly basis for all projects completing after 31 March 2024 (delayed completion or commissioning), until the project is reported as ‘Completed on site’. 

Completing a report each quarter helps us to understand how your project is progressing and ensures we are aware of any risks or issues which we may be able to support with. This report is a requirement of the grant as per Schedule 4 of the Grant Offer Letter, and is key for our reporting to the Department for Energy Security and Net Zero.

A final monitoring report will be required on full project completion as part of the project closure process.