Community groups across Scotland will gain access to increased support to develop renewable energy projects and decarbonise local buildings after the Scottish Government announced a major funding increase for its Community and Renewable Energy Scheme (CARES).
The Scottish Government has increased annual funding for CARES to £15 million, giving more community organisations the opportunity to invest in renewable technologies, including onshore wind, solar power, heat pumps and battery storage systems.
The additional investment is designed to help communities take greater ownership of Scotland's net zero transition while reducing energy costs and increasing long-term resilience.
Since its launch, CARES has provided more than £83 million in funding, supporting over 1,200 projects and helping deliver 75MW of renewable energy capacity across Scotland.
The funding increase was announced by First Minister John Swinney during a visit to Scalpay Community Centre in the Western Isles. The centre previously received CARES support to install a heat pump, solar PV system and battery storage technology, reducing both emissions and operating costs.
Speaking about the expansion of the fund, Mr Swinney said:
“We are moving beyond the idea of communities as passive hosts of energy infrastructure. Our approach supports them to become active partners by helping them to invest in, own and benefit from the clean energy future.
“That is why we are increasing the funding available from CARES to £15 million each year. More than 1,000 groups have already benefitted, empowering them to generate their own clean energy through local solutions, not only cutting emissions but also reducing costs and creating resilient communities.
“I would encourage organisations who have not already applied to check what support they may be eligible for.”
The enhanced funding aligns with Scotland's wider ambitions to accelerate community ownership of renewable energy assets and support progress towards net zero targets. Community organisations will be able to access grants, loans and expert advice through CARES to help develop projects that deliver both environmental and economic benefits.
Renewable energy experts have highlighted the growing role of community-led initiatives in reducing carbon emissions while creating local revenue streams, cutting energy bills and strengthening energy security. By increasing the funding available, the Scottish Government aims to encourage more communities to participate directly in the clean energy transition rather than simply hosting renewable infrastructure.
With energy costs continuing to put pressure on community organisations and public buildings, the expanded scheme is expected to open the door for a new wave of locally owned renewable energy projects across Scotland.
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