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District Heating Loan Fund

Support provided by Energy Saving Trust

What does this involve?

This fund will close for applications on Wednesday 24 April 2024.

The District Heating Loan Fund is managed by the Energy Saving Trust on behalf of the Scottish Government. It provides capital loan funding of more than £1 million to organisations in Scotland that use renewables technologies to build out heat networks.

Loans are typically repaid over 15 years.

Am I eligible?

The fund is available to medium to low-risk Scottish companies (or Scottish subsidiary companies) that have been trading for at least 3 years.

The loan can sometimes be provided under a suitable company guarantor agreement if the business does not have a long enough trading history.

What does this cost?

The loan has no arrangement or administration fee. It is normally repaid over 15 years and can be repaid earlier with no additional charge.  The interest rate depends on the risk status of the applicant.

The loan can fund up to 100% of eligible costs but can also be match-funded with capital grants where applicable.

Who is this for?

Scottish businesses or organisations based in Scotland, or with Scottish subsidiary companies.

How long does this take?

Once you apply, you will normally get a decision in around 6 weeks, but this depends on the level of due diligence required and can vary from project to project.

This fund will close for applications on Wednesday 24 April 2024. Applications for the fund will be accepted up until this date.

Important information

Once you apply, you will normally get a decision in around 6 weeks, but this depends on the level of due diligence required and can vary from project to project.

This fund will close for applications on Wednesday 24 April 2024. Applications for the fund will be accepted up until this date. New loans will be subject to budget availability.

Next steps

Visit the Energy Saving Trust website for more information on eligibility criteria and to download an expression of interest form.

Support provided by Energy Saving Trust