A new opportunity has opened for organisations developing capital transition projects in the Outer Hebrides with up to £2.86 million available for local proposals.

ICNZ Outer Hebrides (ICNZ OH), part of the Islands Centre for Net Zero (ICNZ) and funded by the UK and Scottish Government via the Islands Growth Deal, is inviting businesses, academic institutions, local community organisations and public sector bodies to come forward with capital project ideas which will support decarbonisation in the Outer Hebrides. 

The ICNZ Outer Hebrides Transition Fund aims to support transformational projects, creating significant and lasting change with added benefit to people and communities throughout the Outer Hebrides, while helping achieve the following ICNZ objectives:

• Support the islands to become one of the first regions in the UK to reach net zero.
• Create new ‘green’ jobs within the islands.
• Generate new enterprise and revenue streams, stimulating growth across the supply chain.
• Ensure decarbonisation has an impact across all the activities in the Islands Deal.
• As a globally linked and recognised innovation centre, produce results of international significance that can be replicated beyond the Outer Hebrides, Orkney and Shetland.

Applicants may be based within or out with the islands but must ensure that projects are delivered within, and bring impact primarily to, the Outer Hebrides.

Project proposals will be assessed by the ICNZ Outer Hebrides Project Board and successful proposals will be taken forward to form part of a wider proposal to be assessed and approved by the UK and Scottish Governments as funders of the Island Growth Deal.

Funding will be available from 2026 to 2030; proposed projects must be confident that they will be able to deliver within this timescale.

Further information about the fund and guidance documentation for applicants can be found on the ICNZ website.

Those considering applying are encouraged to contact ICNZ Project Manager, Matthew Logan by emailing matthew.logan@communityenergyscotland.org.uk  at an early stage to discuss project ideas and ensure eligibility, however this is not essential for proposals to be considered. 

There will be an online information event about the fund held on the 14th of January, a link to book this event can be found on the ICNZ website. 

The Transition Fund will close for submissions on the 21st of March 2025.

ICNZ Outer Hebrides is being delivered in partnership with Comhairle nan Eilean Siar, Community Energy Scotland and UHI North, West and Hebrides. This project forms part of the wider investment in the Islands Centre for Net Zero with an overall total of £16.5 million from UK and Scottish Government funding as part of the Islands Growth Deal. This ten-year investment programme jointly funded by the UK and Scottish governments. Comhairle nan Eilean Siar, Orkney and Shetland Island Councils and their partners from the public, academic, community and business sectors will seek to drive economic growth and the creation of sustainable jobs across all three islands regions.

Matthew Logan, the ICNZ OH Project Manager commented

“We are excited to be launching this opportunity as part of the Islands Centre for Net Zero. There is a lot of potential for impactful capital projects that will support decarbonisation and sustainability across the Outer Hebrides, and we are looking forward to hearing ideas from a wide range of organisations. 

“The ongoing development of the Creed hydrogen Skills and Innovation Centre, which has been supported with funds from the ICNZ OH, is a great example of a capital project that will enable decarbonisation through the production of green hydrogen alongside creating training and education pathways. We hope to receive more proposals of this nature, with the scope to bring long term benefits to communities and address both local priorities and major sources of emissions.”