The Industrial Energy Transformation Fund (IETF) is a new fund worth up to £315 million to be delivered by 2024. The objective is to support businesses with high energy use to make the transition to low carbon, either through energy efficiency or decarbonisation. It targets larger, capital intensive projects that would not be delivered under normal market conditions. The fund is divided into two parts, one relating to energy efficiency and the other to deep decarbonisation.
The proposed scope is structured in a way that limits the opportunities for its application in the data centre sector. This is our second response. Our initial feedback suggested that government should look at the largest energy saving opportunities which, in a data centre context, relate to consolidation and legacy hardware, but are not accommodated in the proposals which focus on plant and equipment.
The second iteration seems unchanged in approach. The thrust of our response, therefore, is to advise government to keep scope as wide as possible: policy makers will anyway be cherry picking the best candidates so there is no need to limit the field at point of entry. We also provided some basic information on data centre operation, posed a couple of questions and offered to host further dialogue to help policymakers understand where opportunities exist within our sector, and for operators to familiarise themselves with the fund and what it could offer to them.
For our previous response please see: