The GIDI Fund is a partnership between Government and business to accelerate the decarbonisation of industrial process heat and contribute to the COVID-19 recovery by stimulating the domestic economy and supporting employment.
Process heat makes up around a third of New Zealand’s overall energy use, and 60% of process heat is fossil-fuelled, mainly by gas and coal.
EECA (The Energy Efficiency and Conservation Authority) administers the GIDI Fund on behalf of the Government through a contestable process that will see $69 million of capital grants co-investment made available to support good projects. Applications for grants are assessed on the basis of criteria published in the Request For Proposals process. The minimum grant amount is $500,000 and the maximum is $5,000,000. Funding requests cannot normally exceed 50% of the project cost.
The Fund is available to New Zealand-based private sector businesses who have committed to decarbonising their business and industrial processes, where Government co-investment will help remove barriers to accelerating their decarbonisation goals.
As of July 2021, 14 companies received co-funding from the first round of the Government Investment in Decarbonising Industry Fund to help their businesses transition away from fossil fuels.