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Point to note

If you are using this scheme to provide awards of subsidy, you must inform the Subsidy Control Unit – email: scu@gov.wales.

1. Region

All-Wales

2. Title of subsidy scheme

Ynni Cymru Capital Grant 2025-2026

3. Legal basis

‘Section 60(1) of the Government of Wales Act 2006’ or ‘Section 1(2), 1(3)d and 1(7)f of the Welsh Development Agency Act 1975’

4. Specific policy objectives of the scheme

Year 2 of the Ynni Cymru capital grant programme is centred around the following core activities:

  • Optimising existing locally owned renewable energy use and generation projects.
  • Growing locally owned renewable energy use and generation projects.
  • Increasing local ownership in renewable energy projects.
  • Aggregating locally owned renewable energy projects to enable access to wider energy markets.
  • Developing local energy markets where supply and demand can be balanced and to enable mutual benefit for consumers and generators.
  • Delivering Smart Local Energy Systems (SLES) across Wales, where renewable energy supply is expanded to meet increased demand and supply is better balanced with demand.

5. Purpose of the scheme

In line with the Ynni Cymru SLES principles the technologies eligible for funding will include a combination of following:

  • Smart systems such as building management systems, smart lighting, smart grid monitoring and smart meters.
  • Renewable energy generation technologies such as:
    • Anaerobic digestion
    • Hydro
    • Solar Photovoltaics (PV) and solar thermal
    • Wind
  • Technology relating to low carbon heating, cooling, and hot water, such as heat pumps (any type), solar thermal and heat networks.
  • Ultra-low emission transportation infrastructure, such as Electric Vehicle Charging Infrastructure (EVCI).
  • Energy storage technologies such as battery storage, thermal storage and storage heating.

6. Public authority(ies) authorised to implement the scheme

Welsh Government.

7. Category(ies) of eligible enterprise

  • SMEs
  • Public Sector
  • Community Organisations and Social Enterprises

8. Sector(s) to be supported

Electricity, gas, steam and air conditioning supply

9. Duration of the scheme

From 8 September 2025 until 31 March 2026.

10. Budget for aid under the scheme

£12,906,707

11. Form of support

Direct grant

12. Eligibility terms and conditions

Where a project achieved a pass score and scored more than the minimum pass threshold mark of 60%, and is located in the 20% most deprived areas (according to the Welsh Index of Multiple Deprivation), a score uplift of 5% was applied to support Welsh Government and Ynni Cymru objectives around just transition.

13. Basis for calculating subsidies

Pathway 1 for applications up to £150,000 in value and designed to be more appropriate for smaller-scale projects with reduced application requirements for applicants.

Pathway 2 for applications between £150,000 and £1 million in value and designed for more complex projects with some additional requirements and evidence required by applicants.

14. Maximum subsidy allowable under the scheme

£999,999

15. Contact information

For more information about this scheme, please contact the Energy Policy Team at energypolicymailbox@gov.wales

For more information about this scheme’s compliance with the Subsidy Control Act 2022, please contact:

Subsidy Control Unit

Welsh Government
Cathays Park
Cardiff CF10 3NQ
United Kingdom

Rydym yn croesawu galwadau a gohebiaeth yn Gymraeg / We welcome calls and correspondence in Welsh.

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