The Scottish Government’s Community and Renewable Energy Scheme (CARES) provides funding, advice and practical support to help communities turn low-carbon and renewable energy ambitions into successful projects. Whether your community is developing a renewable energy project, improving a community building, or exploring shared ownership opportunities, you can access the support and funding needed to take the next step.

Funding you can apply for

In addition to the general guidance below, choose the funding guidance that matches your project:

Not sure where to start? Get support from our Community Energy Launchpad. The team can help you explore your ideas, understand your options, check your eligibility and identify the support that’s right for your project.

Apply for funding

Already know what support you need? Read the guidance for the fund you’re interested in and check that your organisation and project are eligible before applying. If you need help at any stage, your Local Development Officer can answer questions, discuss your project and provide support with the application process.

If you decide to apply, you’ll need to complete the following three steps:

Step 1:  Expression of interest

Submit an expression of interest through the CARES project portal.

Step 2: Complete eligibility checks

Complete the organisation fund eligibility check and upload the documents requested through the Project Portal. You’ll also need to complete identity verification and anti-money laundering checks.

Step 3: Submit your application

Once your eligibility has been confirmed, you can complete and submit your funding application. Information provided as part of your expression of interest will be pre-populated, so you won’t need to enter the same details again.

We’ll assess your application in line with the fund guidance. If your application is approved, you’ll receive a grant or loan offer, as applicable.

CARES funds – general guidance

Subsidy control

The funds come from public funds and an assessment needs to be made by Local Energy Scotland as to whether it’s a subsidy. Find out more about subsidy control and how this applies to CARES funding.

Match funding

You cannot use the following as match funding:

  • Grants provided from other Scottish Government funds.
  • In-kind contributions.
  • National Lottery Community funding programmes, including Small Eco Awards, can’t be used as match funding for National Lottery-funded CARES awards.

Common sources of match funding include:

  • Community reserves or fundraising.
  • Community benefit funds – for example, from local wind farms or power utilities (search our map of community benefits for potential funding sources).
  • Grants – for example, from trusts, lottery funders, local authorities or enterprise agencies.. Funding Scotland can be a useful resource. Please note National Lottery Community funding programmes can’t be used as match funding for National Lottery-funded CARES awards.
  • The Scottish Government’s SME Loan Scheme available from Business Energy Scotland for an interest-free loan, provided you do not claim the cashback on this loan. Please note that although you can apply for this interest-free loan, you cannot receive a grant (the cashback element) if you are already receiving a grant from CARES.
  • Bank loans.

Claiming the grant

CARES grants are claimed in stages as the project progresses, and claims must be submitted as contractor invoice(s) are received. Each claim should be submitted at the CARES funding percentage stated in your grant offer letter, so you must have match funding in place before contracting and drawing down the funding.

VAT

When working out your project costs and funding request, you must not use costs inclusive of VAT if you are able to reclaim VAT from HMRC, or if VAT is not chargeable. Generally, if you are VAT registered you will be able to reclaim the VAT and should therefore use costs exclusive of VAT when working out project costs and your funding request.

Most installations of energy saving materials and heating equipment in buildings used solely for charitable purposes are zero-rated for VAT purposes. Further information is available here: Energy-saving materials and heating equipment (VAT Notice 708/6) – GOV.UK. If in doubt you should speak to your installer, accountant or financial adviser.

Acknowledging CARES support and promoting your project

Successful CARES applicants must acknowledge the support that their project has received from CARES, both in promotional activity and in on-site signage.

We’ve put together a useful guide to help you do this. The guide also has hints and tips on how to promote your project.

Other help and support available from CARES

As well as funding, CARES provides free and impartial advice and support in other ways too. For example:

  • We can help you progress your enquiry from expression of interest stage through to funding application submission, helping you to plan your project in the process.
  • For complex projects, or where a more technical assessment is required, we can fund one of our technical consultants to support you.
  • Our website is packed with resources including reports and downloadable guides, and case studies.

Need help?

If you need help, this is available from your local development officer.

If you need help with an application for a shared ownership project, please contact Mark Brennan, for projects north of the central belt and Christina Hinds, for projects in the central belt and south.

We usually recommend that you discuss your project first with your local development officer – this is particularly important with shared ownership projects for example. For other projects such as installing renewables in community buildings, we’d encourage you to follow the provided guidance and use our example application form to complete your application.

If you have any questions, please don’t hesitate to contact your local development officer who will be happy to help.