£4.4 million announced for energy efficiency projects across Scotland

Scotland’s Energy Efficiency Programme (SEEP) phase 2 pilots.

Councils will share £4.4 million to improve energy efficiency in homes, businesses, public buildings and community projects.

15 local authorities will use the funding to deliver innovative ways to reduce emissions and tackle fuel poverty.

Minister for Business, Innovation and Energy Paul Wheelhouse was at Saughton Park in Edinburgh to help install two large-scale ground source heat pumps to provide renewable heat to both the Winter Garden and new building developments.

This project is the first of its kind in Scotland, maximising the potential offered by parks and green spaces to provide renewable heat.

The project will create jobs during the construction phase, generate savings for the Council, and will also have a significant focus on community engagement.

Mr Wheelhouse said:

“The SEEP Pilot programme is testing new approaches to improving energy efficiency and new ways of working in the public sector.

“A number of these projects will have a material impact on people’s lives, ensuring they have warm homes, businesses and community centres, while others will help develop essential strategies to support the effective deployment of investment to meet our ambitions to expand renewable heat and address fuel poverty.  

“The Scottish Government funding announced today is helping to unlock a larger package totalling over £12 million covering a wide range of projects across Scotland, and these pilots will ultimately help inform deployment of the overarching SEEP programme that will see an estimated total of up to £10 billion invested in heat and energy efficiency in the period to 2030.”

City of Edinburgh Council Leader Adam McVey was also at Saughton Park to welcome the news. He said:

 “We welcome this funding announcement, which will enable a series of projects improving energy efficiency across the Capital. As we work toward becoming a low-carbon city, we, along with partners, aim to reduce Edinburgh's dependence on fossil fuels while supporting citizens and businesses to reduce their energy costs.

“Initiatives such as the installation of two Ground Source Heat Pump systems at Saughton Park demonstrate the breadth and innovation of projects helping to deliver sustainable energy across Edinburgh. The funding provided through phase two of Scotland’s Energy Efficiency Programme will provide crucial support to the Council in achieving the ambitious targets outlined in Edinburgh’s Sustainable Energy Action Plan.”


  • The new Scotland’s Energy Efficiency Programme (SEEP) will commence in 2018 with substantial annual public funding coupled with new powers for the Scottish Parliament over the regulated energy suppliers. SEEP will be a coordinated programme to improve the energy efficiency of homes and buildings in the commercial, public and industrial sectors.
  • To help inform SEEP we are working with stakeholders to test different approaches to improving the energy efficiency of Scotland’s buildings. The successful Phase 1 pilots were announced in October 2016 with £9.1 million being awarded to 11 local authorities. These Phase 1 pilots are due to finish in December 2017. The Phase 2 pilots will finish by February 2019.
  • SEEP delivers our commitment to make energy efficiency a national infrastructure priority, boosting energy efficiency investment in Scotland and decarbonising heat provision over the long term.
  • The programme has multiple benefits, including:
    • measures to make our homes and places of work warmer, promoting more affordable energy for consumers, helping to tackle poverty and improve the competitiveness of the Scottish economy
    • the opportunity to create a substantial Scottish market and supply chain for energy efficiency services and technologies, with an estimated
    • 4,000 jobs per annum across Scotland, including in remote areas,based on the estimated overall investment of up to £10 billion
    • measurable health and early years improvements through people living in warmer homes
    • regeneration of communities through upgraded building stock
    • substantially reduced greenhouse gas emissions contributing to meeting our ambitious climate

List of recipients for phase two funding:



Aberdeen (lead partner), working with Stirling, Highland, Dundee, Perth & Kinross and Edinburgh

Development of Local Heat and Energy Efficiency Strategies for five Scottish cities


Community centre energy efficiency measures and renewable heat.

Argyll & Bute

District heating system and energy efficiency measures. District Heating element currently being considered for District Heating Loan Fund.  We are funding further community engagement with the potential for additional funding for energy efficiency works if homeowners sign up to the project.


Development of a Local Heat and Energy Efficiency Strategy

Dumfries and Galloway

Development of a Local Heat and Energy Efficiency Strategy (potentially energy efficiency measures in the town centre)

East Ayrshire

Energy efficiency and renewables in off gas grid area working with owner occupiers and able to pay market. Energy efficiency and renewable heat measures in community hall.


Development of a Local Heat and Energy Efficiency Strategy.

Edinburgh World Heritage Trust – Sir Basil Spence Building – Energy retrofit and low carbon heating

Energy demand pilots in public buildings – Assembly Rooms,

Edinburgh Bus Station and Museum of Edinburgh.

Duncan Place – community centre energy efficiency and renewable heat in listed building.

Saughton Park – installation of large scale Ground source Heat Pumps to provide renewable heat.


Extension of district heating network to three tower blocks and private wore network to provide electricity to a further seven tower blocks and a number of council properties.


Development of a Local Heat and Energy Efficiency Strategy.

Wheatley Group – pilot with commercial properties to provide advice and support and loan funding to SMEs.

Wheatley Group – Wheatley House – energy efficiency measures and renewable energy in large traditional corporate building.

Toryglen community Centre – energy efficiency and renewable heat and storage.

Glasgow Life – demand reduction using building energy management systems.

North Lanarkshire

NHS Lanarkshire – energy efficiency measures in two health centres


Energy efficiency measures in school.


Development of a Local Heat and Energy Efficiency Strategy

Scottish Borders

Development of a Local Heat and Energy Efficiency Strategy


LHEES element to be developed

South Ayrshire

Energy efficiency and renewables in off gas grid area working with owner occupiers and able to pay market.

Energy efficiency measures with able to pay market in commercial sector in Ayr High Street.


Media enquiries

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