SP Energy Networks (SPEN) has awarded £10 million to 21 innovative green projects in Scotland from its £20m Green Economy Fund, which is intended to help the Scottish government to meet its zero-emissions targets.

The largest recipient of the fund, Stagecoach’s Western Buses Limited, has been awarded a £2m share to help it introduce a fleet of zero-emission single decker buses, which will run between Kilmarnock and Priestland in Ayrshire.

Glasgow City Council has also been awarded £420,000 to enable it to provide social transport by investing in two electric buses. While Dumfries and Galloway Council has been awarded £1,150,000 to replace outdated diesel bin lorries with two electric rubbish collection vehicles.

This fresh funding follows on from SP Energy Network’s £1.5m award to help establish Glasgow’s first permanent electric bus routes, the M3 Glasgow service last year.

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Warmworks, which delivers the Scottish Government’s nationwide energy efficiency scheme, will receive £1,250,000 from the fund. The cash will be used to support the organisation’s plan to create a ‘virtual power plant’ in Dumfries and Galloway, by installing battery storage technology in 150 off-gas homes.

A number of e-bike schemes were also awarded funding. Transport for Edinburgh has been awarded almost £500,000 to provide more docking points for the Edinburgh Cycle Hire scheme across the country’s capital city.

Forth Environment link will use the £483,000 it has been awarded to expand its e-bike sharing scheme across the region with the installation of over 40 new electric bikes and four charging stations in Falkirk, Stirling, and Clackmannanshire.

Pollockshields-based cycling charity, SoulRiders, plans to use its £140,000 award to launch a fleet of e-cargo bikes, which will establish the country’s first integrated cargo bike delivery and waste service.

Chief executive Rashid Khaliq said: “At SoulRiders, our aim has always been to create stronger communities through cycling. Thanks to funding from the Green Economy Fund, we are now able to launch our new e–cargo bike service.

“We believe our project will reduce the number of vans and lorries on our streets and provides a solution to many issues including traffic and pollution in cities.”

Frank Mitchell, chief executive of SPEN, said: “Scotland has always been a nation of innovators and today we are recognising 21 incredibly innovative projects.

“We believe in supporting our communities by investing directly in projects that deliver low carbon solutions and also create the economic benefits locally that can come from driving to zero carbon.”

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