Government Incentives for Energy-Efficient Manufacturing

Transforming Costs with Government Support

Manufacturers are having more difficulty controlling their budgets as a result of the continued high energy cost. Due to manufacturing being an energy-intensive industry, even a slight increase might have a big impact, but there is good news. Incentives from the government are assisting manufacturers in becoming more cost-effective, energy-efficient and environmentally conscious in ways that benefit their operations. Let’s explore the key support available now and how Switch365 can help maximize these opportunities.

Industrial Energy Transformation Fund (IETF)

Manufacturers can apply for new funding under the Industrial Energy Transformation Fund beginning in January 2024. This fund provides a rare chance for businesses to get support for energy-efficient initiatives, such as waste heat recovery or advanced motor systems, with up to £185 million available. Manufacturers may lower their energy costs and invest in more sustainable and efficient operations by taking advantage of this money.

Climate Change Levy (CCL) Discounts

Manufacturers who pledge to meet energy-saving goals can also benefit from Climate Change Levy savings. Energy tax breaks for electricity might be as high as 92% in 2024–2025. This implies that increasing energy efficiency benefits firms' budgets and environmental objectives by lowering energy costs and lowering their tax burden.

R&D Tax Credits for Green Innovation

Manufacturers engaged in creative energy-saving measures will be eligible for a 20% tax credit beginning in April 2024. This incentive is intended to assist manufacturers offset the financial burden of becoming more sustainable by rewarding companies who invest in greener technology. These credits provide financial assistance and foster future growth for firms investigating novel energy-efficient techniques.

How Staying Informed Can Boost Savings

Keeping up with government incentives may have a significant impact for firms seeking to reduce expenses and implement sustainable practices as we move towards 2025. Funding periods and requirements vary, so working with a partner like Switch365 guarantees you don't pass on any possibilities.

Beyond Government Programs

While government support is valuable, sometimes it’s not enough to cover all energy expenses. This is where Switch365 can have a significant influence in this situation. Switch365 goes above and above by assisting you in obtaining the greatest energy prices and providing tailored energy-saving techniques. Switch365 helps manufacturers save expenses even further by offering services like competitive rate sourcing and thorough energy audits, which maximizes the efficiency of your energy management.

Why Switch365 is a Smart Choice for Manufacturers

Finding energy contracts is only one aspect of Switch365; another is comprehending the particular energy requirements of your company. Switch365 helps factories achieve long-term energy savings by finding areas for savings and managing energy consumption, combining cost reduction with sustainable practices. It's about preparing your company for expansion, increased productivity, and a more environmentally friendly future.

Conclusion

Government subsidies are an excellent means for manufacturers to encourage energy-efficient improvements that lower expenses and create a sustainable base.

But for a full approach to energy savings, Switch365 is here to guide you every step of the way. Switch365 can assist firms in developing an economical and environmentally friendly energy plan that benefits the company and the environment by offering professional guidance and customised solutions.