Low Emission Zone Retrofit Fund
Last Updated: 04 Jul 2024
Contents
Support provided by Energy Saving Trust
What does this involve?
The Low Emission Zone (LEZ) Retrofit Fund can help you improve your vehicles and avoid LEZ penalties. If you operate non-compliant vehicles that have retrofit solutions available in a planned LEZ, you could receive funding to cover up to 70% of the costs to make these changes to your vehicle.
By retrofitting vehicles with solutions approved by the Clean Vehicle Retrofit Accreditation Scheme (CVRAS), you can reduce your vehicle emissions and help improve local air quality. By becoming LEZ compliant, you can also avoid penalties.
Am I eligible?
This fund is aimed at Scottish microbusinesses and sole traders that operate within 20 kilometres of the Glasgow, Edinburgh, Aberdeen or Dundee low emission zones (LEZs).
To be eligible for the Low Emission Zone Retrofit Fund, your business must:
- be an active micro business or a sole trader, which means it:
- employs no more than 9 full-time equivalent employees
- had a turnover of £632,000 or less, or a balance sheet of up to £316,000 in the preceding and current financial year
- is not VAT-registered
- own a vehicle that does not meet the minimum emissions standards of low emission zones, such as:
- Euro 3 or older petrol vehicles – this generally applies to those registered before 2006
- Euro 5 or older diesel vehicles – this generally applies to those registered before September 2015
- regularly operate this vehicle within one of the planned low emission zones
The vehicle must be one of the following:
- wheelchair-accessible taxi
- light commercial vehicle – a vehicle designed to carry goods that weigh less than 3.5 tonnes
- heavy goods vehicle – a vehicle designed to carry goods that weigh 3.5 tonnes or more
- refuse collection vehicle – a vehicle specially designed to collect and transport solid waste
There must also be an approved Clean Vehicle Retrofit Accreditation Scheme (CVRAS) retrofit solution available for the exact make and model.
You can check vehicle compatibility and installer details, external link which will open in a new windowopens in a new window before you apply.
To see the full eligibility criteria, visit the Energy Saving Trust website.
What does this cost?
Energy Saving Trust offers funding to cover up to 70% of the cost of retrofit solutions, with the maximum depending on the vehicle and solution chosen. You'll need to cover the remaining cost from other sources.
Who is this for?
Scottish microbusinesses and sole traders that operate within 20 kilometres of the Glasgow, Edinburgh, Aberdeen or Dundee low emission zones (LEZs), with vehicles that do not meet the LEZ emissions standards.
How long does this take?
Once a grant is offered, you have 3 months to book with your chosen solution installer to have the work on your vehicle completed. You will also have to submit your claim paperwork to Energy Saving Trust within this period.
Once your claim has been processed, Energy Saving Trust will make a payment directly to your chosen installer to cover 70% of the cost. You will then have to pay any remaining balance to the installer.
Important information
You should not install retrofit solutions until you receive a grant offer letter.
Applicants who opt for SCR exhaust after-treatment solutions must agree to the installation of telematics. This information will be reviewed by Energy Saving Trust to monitor the success of improving air quality within the planned low emission zones. The cost of telematics will be covered by Energy Saving Trust.
Next steps
Visit the Energy Saving Trust's website for more information and to register your interest in future funding.
Support provided by Energy Saving Trust