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Driving the Electric Revolution: Supply Chains for Net Zero UK registered businesses of any size can apply for a share of up to £22 million for innovation projects focused on supply chain development for power electronics, electric machines and drives. Eligibility This competition is open to collaborations only. To lead a project your organisation must be a UK registered business of any size. For more information on company sizes, please refer to the company accounts guidance. This is a change from the EU definition unless you are applying under State aid. Closing soon Opened: 8 March 2021 Closes: 30 June 2021

Programme: Innovate Uk

Award:

Opens: 8 March 2021

Closes: 30 June 2021

Description

ISCF will work with Innovate UK, part of UK Research and Innovation, to invest up to £22 million in innovation projects. These will be to support the government’s green industrial revolution in transport, energy and industrial sectors.

The aim of this competition is to facilitate the UK's niche and volume supply chain and manufacturing capability growth in power electronics, machines and drives (PEMD).

Your proposal must help the UK to achieve the objectives of the Driving the Electric Revolution challenge and have a significant impact on the PEMD supply chain in the UK to support the UK’s drive towards net zero.

In applying to this competition, you are entering into a competitive process. This competition closes at 11am UK time on the deadline stated.

Funding type

Grant

Project size

Your project’s total eligible costs must be between £500,000 and £5 million.

Who can apply

Your project

Your project must:

  • have started by 1 February 2022
  • end by 31 January 2025
  • last between 18 and 36 months
  • have total eligible costs between £500,000 and £5 million

If your project’s duration falls outside of our eligibility criteria, you must provide justification by email to support@innovateuk.ukri.org at least 10 working days before the competition closes. We will decide whether to approve your request.

Lead organisation

To lead a project your organisation must:

  • be a UK registered business of any size
  • collaborate with other UK registered businesses, RTOs, research organisations, public sector organisations or charities
  • carry out its project work in the UK
  • intend to exploit the results from or in the UK

Research organisations cannot lead projects.

The make-up of your project team must include at least 3 layers of an existing or new supply chain. When choosing supply chain partners for the project team, you must make sure that supply side and demand side are both represented.


Project team

To collaborate with the lead, your organisation must:

  • be a UK registered business, academic institution, charity, not-for-profit, public sector organisation or research and technology organisation (RTO)
  • carry out its project work in the UK
  • intend to exploit the results from or in the UK

The lead and at least one other organisation must claim funding by entering their costs during the application.

Each partner organisation must be invited into the Innovation Funding Service by the lead to collaborate on a project. Once accepted, partners will be asked to login or to create an account and enter their own project costs into the Innovation Funding Service.

Your project can include other collaborators that do not receive any of this competition’s funding, for example non-UK businesses. Their costs will count towards the total eligible project costs.

Subcontractors

Subcontractors are allowed in this competition.

Subcontractors can be from anywhere in the UK and you must select them through your usual procurement process.

You can use subcontractors from overseas but must make the case in question 4 for why you could not use suppliers from the UK.

You must also provide a detailed rationale, evidence of the potential UK contractors you approached and the reasons why they were unable to work with you.

We expect all subcontractor costs to be justified and appropriate to the total eligible project costs. We will not accept a cheaper cost as a sufficient reason to use an overseas subcontractor.

Number of applications

A business can only lead on one application but can be included as a collaborator in a further 2 applications.
If a business is not leading any application, it can collaborate in up to 3 applications.

A research organisation cannot lead but can collaborate on any number of applications.

Previous applications

You can use a previously submitted application to apply for this competition.

We will not award you funding if you have:

Subsidy control (and state aid where applicable)

This competition provides funding in line with the UK's obligations and commitments to Subsidy Control. Further information about the UK Subsidy Control requirements can be found within the EU-UK Trade and Cooperation agreement and the subsequent guidance from the department of Business, Energy and Industrial Strategy (BEIS).

Innovate UK is unable to award organisations that are considered to be in financial difficulty. We will conduct financial viability and eligibility tests to confirm this is not the case following the application stage.

European Commission State aid

You must apply under European Commission State aid rules if you are an applicant who is conducting activities that will affect trade of goods and/or electricity between Northern Ireland and the EU as envisaged by Article 10 of the Protocol on Ireland/Northern Ireland in the EU Withdrawal Agreement.

In certain limited circumstances, the European Commission State aid rules may also apply if you are an organisation located in England, Wales, or Scotland and conduct activities that affect the trade of goods and electricity between Northern Ireland and the EU. For further information, please see section 7 of the BEIS technical guidance.

For further information see our general guidance on state aid and BEIS guidance on the Northern Ireland Protocol.

For applicants subject to the European Commission State aid rules, applicants will be required to prove that they were not an “Undertaking in Difficulty” on the date of 31 December 2019 but became a UID between 1 January 2020 and 30 June 2021. We will ask for evidence of this.

Further Information

If you are unsure about your obligations under the UK Subsidy Control regime or the State aid rules, please take independent legal advice.

You must make sure at all times that the funding awarded to you is compliant with all current Subsidy Control legislation applicable in the United Kingdom.
This aims to regulate any advantage granted by a public sector body which threatens to or actually distorts competition in the United Kingdom or any other country or countries.

If there are any changes to the above requirements that mean we need to change the terms of this competition, we will tell you as soon as possible.

Funding

We have allocated up to £22 million to fund innovation projects in this competition.

If your organisation’s work on the project is commercial or economic, your funding request must not exceed the limits below. These limits apply even if your organisation normally acts non-economically.

For industrial research projects, you could get funding for your eligible project costs of:

  • up to 70% if you are a micro or small organisation
  • up to 60% if you are a medium-sized organisation
  • up to 50% if you are a large organisation

For experimental development projects which are nearer to market, you could get funding for your eligible project costs of:

  • up to 45% if you are a micro or small organisation
  • up to 35% if you are a medium-sized organisation
  • up to 25% if you are a large organisation

Research organisations can claim 100% of their total eligible project costs.

The research organisations undertaking non-economic activity as part of the project can share up to 30% of the total eligible project costs. If your consortium contains more than one research organisation undertaking non-economic activity, this maximum is shared between them.

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