The diagram below indicates the maximum proportion of funding available; Should your initial application be successful you will be able to discuss the funding options further with the Carbon Trust prior to submitting your full proposal.

The obligation to ensure compliance with the State Aid Legislation lies with the applicant.
Funding IntensityThere is no automatic entitlement to the maximum funding level for which you may be eligible; preference will be given to those who ask for the minimum required to make their project viable. Funding is dependent on:
- The type of organisation or collaboration undertaking the project: public or private
- The type of technology the project addresses (if the technology does not fall within the scope of the Seventh EU Framework programmes as outlined in 1986/2006/EC maximum funding levels may have to be reduced)
- How close the project is to commercial viability
- The percentage of the total project funded by other public bodies
Collaborative projects involving technology providers and exploiters (end-users) are particularly encouraged where this is likely to lead the more effective commercialisation of the technology. The Carbon Trust also requires:
- That your project demonstrates value for money
- That you meet the objectives outlined in the project plan
- That you have leveraged a high proportion of non-Carbon Trust funds. There is an expectation that those who stand to directly benefit from the work will contribute, in part, to the cost of undertaking it.
Project costs that are eligible for match funding:
- Personnel costs: researchers, technicians and other supporting staff employed solely on the research activity
- Instruments, equipment, land and premises used solely and on a continual basis (except where transferred commercially) for research activity
- Services: cost of consultancy and equivalent services used exclusively for the research activity, including the research, technical knowledge and patents, etc. bought from outside sources
- Additional overheads incurred directly as a result of the research activity
- Other operating expenses: materials, supplies and similar products incurred directly as a result of the research activity
- Patenting costs – The costs of filing, prosecuting and maintaining all IP generated as part of the project are considered business expenses and are therefore not eligible costs.
- The cost of generating the information required for the application of a patent is an eligible cost where the IP is developed as part of the project.
- Obtaining licenses to use relevant background IP for the project is an eligible cost.
Project costs that are not eligible for support:
- Profit
- Bonuses
- Interest payments of any kind
- Dividend payments
- Loss of salaries, revenue or consultancy income
- Production and sales costs
- Recoverable VAT
- Direct sales and marketing costs.
When is the Carbon Trust’s grant repayable?If capital equipment is purchased as part of the project, when the project ends the residual value of the capital equipment must not be used for commercial purposes. If the equipment is sold a proportion of the sale proceeds must be used to repay the grant received. This requirement is necessary to comply with EU State Aid legislation. See our standard contract (211 KB pdf) for further information.
Funding AppealFunding is awarded at the sole discretion of the Carbon Trust; its decisions are final and are not subject to appeal.
Non-Exclusivity and Confidentiality Policy
The Carbon Trust may award grants to businesses that compete with each other; however we are always careful to ensure that information disclosed to it in confidence is treated in accordance with its funding contracts.
EU Framework for State Aid for Research & Development & Innovation
The funding made available under this scheme has been cleared as compatible with the common market under this EU framework. All grant funding awarded to Private Sector organisations must be compliant with this EU framework. Applications that do not comply with this framework cannot be funded.
This framework was replaced from 1 January 2007 by the EU Framework for State Aid for Research & Development & Innovation (2006/C323/01). The EC’s clearance of this scheme was conditional, in particular, on amendments being made to the scheme to take into account the provisions of the new framework including ceasing regional bonuses (which are not available under the new framework). Applicants are also referred to the new framework, and applications should also comply with this.
Non-Compliance of EU State Aid LegislationIt is the responsibility of the recipient to ensure that the application for funding is compliant; in the event of non-compliance the European Commission could demand that the recipient repay the grant in full with interest:
- Satisfy yourselves that your application is compliant
- Seek qualified professional advice if unsure (the Carbon Trust does not supply legal advice)
- The Carbon Trust endeavours to check all applications for compliance but it does not accept liability for any breach
All queries and completed application forms should be sent to marinenews@carbontrust.co.uk.
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