New grants for farming, forestry and low carbon businesses

We are pleased to see the arrival of two new grant schemes that are available to the forestry sector in Kent.

The FFIS and Low Carbon Plus grants can support existing businesses with machinery and other capital and business development costs.

It is possible that there is some overlap in these grants so applicant may need to decide which is best for their business.  As far as we can tell there is no restriction on applying to both.

The FFIS is a £10M 'pot' available in England.  The Low Carbon Plus pot is £1M and available to Kent-based businesses only.

FFIS

First up is the re-opening of the FFIS (Farming and Forestry Improvement  Scheme).  Round 3 of this scheme will provide grants of up to £35,000.  The grant rate in lowland areas is 40%.  Previous beneficiaries of FFIS can re-apply.

Eligible items for the forestry sector include timber processors, harvesters and tractor-mounted forestry grabs.  Deadline for applications is April 4th.  This scheme is funded by RDPE (Pillar 2 if the CAP).

Low Carbon Plus

The next grant is an entirely new grant that is being delivered by Kent County Council's Low Carbon Business Network.

The Low Carbon Plus scheme will provide £1M worth of grants to existing businesses that are involved in 'low carbon' goods and services.

Grants of up to £20,000 may be used for: 

• Development finance: funding required to expand the business (for example, marketing costs)
• Plant and machinery: costs of re-tooling and installation of machinery  and hardware and training required to operate it
• Intangible assets: including costs of purchasing patents, IT, software and licences
• Consultancy costs (e.g. marketing, business planning)

Applicants must be based in Kent. The grant rate is 50%.

The scheme is currently at the pre-launch stage.  Businesses are invited to complete an expression of interested which can be found here.  This scheme is funded by the EU-ERDF.

Farming and Forestry Improvement Scheme (FFIS)

The FFIS is part of the Rural Development Programme forEngland (RDPE) and is a scheme of support, developed to help farming, forestry and horticultural businesses in England to become more efficient at using resources.

This scheme aims to help make your business more profitable and resilient whilst reducing the impact of farming on the environment.

There is £20m available under FFIS until December 2013. The grants are for capital items and the grant rate available is up to 40% in non upland areas, and up to 50% in upland areas and the maximum grant allowable per project is £25 000. The minimum grant is £2,500.

What can be funded under FFIS?

To be eligible for funding under FFIS the project must fall within one of the following key areas of activity:

• Forestry: Projects which improve the economic value of forests through the efficiencies of improved processing and adding value. Eligible items include timber processors, forwarders, forestry trailers, tractor mounted forestry grabs. 
• Nutrient Management: Improvements in use of farm manures and slurries so as to improve soil quality and reduce reliance on artificial fertiliser.  Eligible items include slurry injectors, mechanical slurry separation systems and Global Positioning Systems.
• Energy Efficiency: Projects to reduce or recover energy use on farm resulting in a reduction of farm energy bills and carbon dioxide emissions.  Eligible items include heat exchangers, gel coolers and ice builders.
• Water Resource Management: Rainwater harvesting, recycling and reuse systems to reduce reliance on mains water.  Eligible items include pipework specifically to intercept and divert roof water to a storage facility, rainwater harvesting equipment.
• Animal Health and Welfare: Projects which bring about significant improvements in farm animal health and welfare.

Who can Apply?

Farmers, foresters, contractors and horticulturalists across England are eligible to apply

How to apply

The application form will go live on the 16th November when the first round opens. In the meantime you are strongly advised to read the guidance in the handbook as there is some preparatory work you will need to do before you can apply.

If you wish to discuss your proposal before completing the forms or if the item you are applying for is not listed in the guidance then please contact your local Defra RDPE Delivery Team. (0300 numbers are charged at a local rate)

Completed application forms will only be accepted if submitted during an open round. The 1st round of the scheme is open from 16 November 2011 until 17 January 2012.

The selection process for FFIS is competitive and applications will be appraised against one another. This means that there is no guarantee of success and not all projects which are eligible will be awarded a grant.

Good turnout at Woodfuel Pathfinder contractors event

The function room at the Dog & Bear in Lenham was packed to the gunwales last Thursday as forestry contractors from Kent and Sussex gathered for a roller coaster update on apprenticeships and training, grants and the evolving market for woodland products.

Around 70 people representing a wide range of businesses with an interest in the forestry and woodland management sectors attended the event.  There was a lot of interest in the new woodfuel grant (WF WIG) from the Forestry Commission, LEADER and the new Farm and Forestry Investment Scheme (FFIS). 

Mike Furness from Ngage Solutions, the company responsible for delivering the WF WIG in the South East said:

"It was great to have a packed room to spread the word to.  We have already had two firm follow-up calls for significant roading schemes as a result of the event and we would encourage anyone with an interest to get in touch."

Feedback since the event also suggests a high level of interest in the LEADER and FFIS schemes, both of which are designed to assist rural businesses invest in green projects and new machinery.

There was a lot of debate on the night about how potential apprentices could be identified and retained in the forestry sector.  Some delegates also raised concerns about the cost of equipment and training for new staff.  However, a quick show of hands revealed that six businesses were considering taking on apprentices.  The training providers in attendance at the event (Plumpton College and Concept Training) also expressed great interest in supporting these businesses with work-based learning for apprentices.

The Forestry Commission provided a summary of how markets for woodland products, and in particular wood fuel, are developing and highlighted several examples of installed biomass heating schemes and local wood chip supply chains.

As the evening progressed a clear message emerged: A good package of support for the land-based sector still exists, and with the recent announcement of two major new grants (with a combined total of £30m funding) now is the time to pick up the phone and find out how your business can take advantage. 

The presentations from the event can be found here:

• Introduction
• Evolving market opportunities
• Woodfuel WIG
• LEADER and FFIS
• Plumpton College
• Apprentices

The imminent opening of the Renewable Heat Incentive (RHI) at the end of November will provide a strong market-based opportunity for the forestry sector over the next few years.  If your business needs support on any of the subjects covered in this article then please do not hesitate to get in touch with the Kent Downs Woodfuel Pathfinder on 01303 815 171 or matthew.morris@kentdowns.org.uk.

£20m for farming, forestry and horticultural businesses

Alan TYERS - Hayrolls, Highdown Farm
http://www.redraggallery.co.uk/

A new £20 million fund to help farming, forestry and horticultural businesses to become more efficient at using resources has been launched. The scheme aims to help businesses to become more competitive and more profitable, whilst reducing the impact of farming on the environment.

This announcement comes only a few days after the launch of the new £10m Woodfuel Woodland Improvement Grant by the Forestry Commission.

Farmers, foresters, woodland owners, agricultural contractors and horticulturalists can apply for grants of up to £25,000 to invest in green projects, new machinery and improvements to animal health and welfare so their businesses can grow in an environmentally friendly way.

The Farming and Forestry Improvement Scheme will fund projects that:

• save energy and reduce carbon emissions
• reduce dependence on artificial fertilizers through better use of manures
• improve soil quality
• improve animal health and welfare
• save and recycle water
• promote woodland management by processing timber more efficiently

In Kent the LEADER programme has been very successful at providing RDPE grants for a wide variety of land-based and rural businesses.  It is understood that the new FFIS scheme may replace LEADER, although there is underspend in some other regions and this may be used to top-up the Kent LEADERs (providing there is enough demand to warrant an extension).

More information on LEADER, the new FFIS scheme and a range of other topics will be provided at our forthcoming contractors event at the Dog & Bear (Lenham) on Thursday, November 17th. 

There are still some places left so please contact us if you would like to come along (matthew.morris@kentdowns.org.uk , 01303 815 171).

For more information go to http://rdpenetwork.defra.gov.uk/funding-sources/farm-and-forestry-improvement-scheme.