Accessing finance and attracting investment

Energy Investment Fund

Energy Investment Fund (EIF)

We provide flexible investment and debt funding for energy projects in Scotland that will facilitate, catalyse and accelerate Scotland's transition to a low carbon economy.

About the fund

The Energy Investment Fund (‘EIF’) is a Scottish Government Fund managed and delivered by our investment team. It builds on the success of the Renewable Energy Investment Fund, providing commercial investment for renewable and low carbon energy solutions.

EIF will provide flexible investment and debt funding for energy projects in Scotland that will facilitate, catalyse and accelerate Scotland’s transition to a low carbon economy.

Future vision

EIF will focus on:

  • Increasing community ownership of energy projects in Scotland (including community stakes in commercial developments)
  • Accelerating the development of commercial low carbon energy projects in Scotland

EIF is a gap funder, and will only invest where there is a demonstrable funding gap in a project’s funding package.

A total of £20 million has been allocated to EIF for distribution by 31 March 2021.

Community groups and projects in the process of assembling a funding package should contact the EIF team early in the process to register interest.

To be considered for the fund, contact our team as soon as possible.

If you're seeking funding for projects beyond 31 March 2021, we'll be happy to talk you through your funding options directly.

Am I eligible?

Projects must have a demonstrable funding gap, be located in Scotland and have the potential to provide economic benefits to Scotland.

Consideration will be given to both the short and long-term economic impact of projects, and will include a focus on both the fit with the Scottish Government’s Energy Strategy and the impact.

Projects must be able to evidence the expected carbon emission reduction associated with the project and use no more than 20% fossil fuels (including gas) within the primary fuel source for generation projects.

The fund will not fund R&D, feasibility or pre-development costs.

Community energy projects

Our team has significant experience of the complexities of community-owned renewables initiatives, and work closely with the Scottish Government’s Community and Renewable Energy Scheme (“CARES”) and Local Energy Scotland.

Applications are welcome from community groups and/or national or regional organisations which are not profit-distributing (typically charitable bodies such as housing associations).

Commercial energy projects

Applications are welcome from projects developing energy projects that result in significant carbon reductions. Projects must be committed to the principle of community benefit as outlined in the Scottish Government’s good practice guidelines.

Continued support for existing REIF portfolio companies

EIF will consider follow-on commercial investment into companies within the REIF current portfolio. Investment decisions will be made on a fully commercial basis and on the merits of the individual opportunity.

What's involved?

EIF is a discretionary fund, with projects assessed on a case by case basis. If you think your project might fit the bill, talk to the team early. The sooner we know, the more we can help.

What types of finance are available?

The fund can provide flexible loans and equity investments, all on fully commercial terms.

Can the fund support R&D projects?

No, the fund is designed to support projects at the test or commercialisation phase. Scottish Enterprise and Highlands and Islands Enterprise have separate funds for R&D projects.

Is there a deadline for applications?

To be considered for the fund, please fill in your contact details on the form as soon as possible.

Current funding is allocated until 31 March 2021. However, projects which are seeking funding for drawdown after 31 March 2021 are also encouraged to discuss funding options directly with the EIF team.

What if I’m not eligible?

There are other funding schemes that may be alternatives, or complementary, to EIF. We would be happy to discuss these with you. We can work with you to shape your project appropriately.

How to apply

Make an initial enquiry and one of our advisers will then be in touch to talk you through the next steps and how we can help. 

Contact our team to find out more

We're on hand to answer your questions and explain the support we can offer to help your business succeed.

This project is part funded by the European Regional Development Fund (ERDF).