Extra £20 million for clean energy tech
The clean energy technologies of the future will have access to an extra £20 million in government-backed venture capital support, Ed Miliband announced.
New advances in technologies such as wave, tidal, fuel cells, solar and energy efficiency are dependent on a mixture of R&D grant support and venture capital, but the flow of private money for early stage development has fallen back since the downturn started in 2008.
The allocation announced today is the latest instalment of £405 million announced in the Budget for low carbon.
Energy and Climate Change Secretary Ed Miliband said: "It is essential we meet our long term climate change goals. That’s why we’re intervening with support for tomorrow’s green energy technologies.
"Where market capital isn’t coming forward, we’re stepping in to plug the gap as speedily as possible."
Simon Walker, Chief Executive of the British Venture Capital Association, said:
"Low carbon energy technologies backed by venture capitalists will play an important role in creating a sustainable energy future for the UK. In 2009 we have seen a dramatic fall in the amount invested into clean energy companies in the UK. We welcome any initiative which boosts the supply of capital into this crucial sector."
Penny Shepherd MBE, Chief Executive of the UK Sustainable Investment and Finance said:
"Government support now is vital to develop the UK low carbon technology businesses that we need for lasting prosperity. This commitment shows that the Government is serious about promoting a low carbon economy and sustainable investment in the UK."