A SCHEME designed to help business start-ups become commercially successful in the energy market has received a £1.5m grant from the North West Regional Development Agency (NWDA).

It will fund the construction of the Capenhurst Energy Innovation Centre, near Chester, which will be home to companies working on products and services for the energy industry.

The centre aims to help companies progress from having a working prototype to a successful commercial launch and it is hoped that the project will create at least 60 jobs and 18 business start-ups in the next five years.

Up to £5m will be invested in the project over the next three years, which is being led by power engineering specialist EA Technology.

Funding is also coming from three electricity network operators, Electricity North West, Scottish Power and CE Electric through an Ofgem-approved scheme called Innovation Funding Incentive. After three years, the centre is expected to be self-financing.

Companies will be able to utilise specialist facilities and gain access to electricity network operators who will also be their prospective customers.

Robert Davis, managing director of EA Technology, said: “This is a whole new way for the private and public sector, working together, to create something unique.

“The Energy Innovation Centre will become a national icon of good practice, helping accelerate new products and services to market and positioning the North West as a region that’s really going places.”

The management of the centre will be overseen by a not-for-profit trust, the Capenhurst Energy Innovation Trust.

Companies will need to demonstrate that its product or service has a high chance of technical and commercial success to be selected.

Mark Hughes, NWDA’s executive director for enterprise and skills, said: “This new centre will provide crucial support and investment for new businesses looking to bring new products and processes to the market, which will help to promote the sector’s continued growth and development.

“Through supporting the development of innovative new energy and environmental technologies, the centre will also help to ensure that the North West remains at the forefront of energy solutions as we work to tackle key issues such as climate change.”

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