Schemes to help contractors adjust to red-diesel ban gain funding

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A task helping Skanska to make hydrogen-fuelled operation instrumentality has been awarded much than £400,000 done a authorities strategy to assistance the assemblage accommodate to the red-diesel ban.

Technology steadfast ULEMCo Ltd, which is moving alongside Skanska and the Buildings Research Establishment (BRE), was fixed £418,613 to make and deploy a combustion motor for on-site operation equipment, which volition let piling machines to tally connected hydrogen fuel.

A full of 17 projects were awarded backing done the red-diesel replacement contention aft the Department for Business, Energy & Industrial Strategy provided £6.7m during signifier one. The strategy was brought successful to assistance the operation assemblage and others set to beingness without the substance aft it was banned successful April.

Other palmy bids saw £357,000 fixed to a task involving Motive Fuels and BAM Nuttall, which is processing a “hydrogen refuelling station” to decarbonise BAM’s fleet and supply net-zero c substance to operation sites successful the eastbound of England.

Bramble Energy’s Gen-ZE: substance compartment generator was awarded the astir backing (£460,000), portion tech institution Punch Flybrid received the apical assistance magnitude for its flywheel vigor retention system.

Worth £40m, the strategy aims to enactment the improvement and objection of low-carbon substance and strategy alternatives to reddish diesel for the construction, and mining and quarrying sectors.

The contention is portion of the £1bn Net Zero Innovation Portfolio (NZIP) and is being delivered successful 2 stages. A full of £32.5m volition beryllium disposable successful assistance backing for signifier two, which volition unfastened successful aboriginal 2023, with up to £15m per project.

In contrast, projects were capable to bid for a maximum of £460,000 during signifier one. Projects tin instrumentality portion successful some exertion rounds.

Through the scheme, the authorities aims to assistance the decarbonisation of high-impact sectors, specified arsenic construction, which person been affected by the partial removal of the entitlement to usage reddish diesel and rebated fuels since April.

What is reddish diesel?

Red diesel tin presently beryllium utilized by operation companies to powerfulness their works machinery. It is cheaper than roadworthy fuel, acknowledgment to a rebate of 46.81p per litre, which is taken disconnected the afloat terms of roadworthy fuel. The diesel is dyed reddish truthful that it cannot beryllium utilized successful a modular roadworthy vehicle, which would beryllium illegal.

This statement changed connected 1 April, aft the authorities decided successful the Budget 2020 to region the quality of immoderate sectors, including construction, to usage reddish fuel. It tin inactive beryllium utilized by sectors specified arsenic rail, agriculture and forestry.

Earlier this year, contractors sounded the alarm of “crippling” red-diesel changes, with firms forced to prime betwixt paying to upgrade machinery to much environmentally-friendly alternatives oregon utilizing their existent instrumentality with modular achromatic diesel, which is much expensive.

Construction News precocious published an nonfiction exploring which technologies and fuels contractors are turning to since the scrapping of reddish diesel successful April.