D2N2 The UK s Most Inspirational Postcode

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1 D2N2 The UK s Most Inspirational Postcode Richard Kirkland European Structural and Investment Funds (ESIF) Co-ordinator for D2N2 on ERDF calls in D2N2 Supported by the European Regional Development Fund as part of the European Structural and Investment Funds Growth Programme

2 Purpose of the Event To give information on the current ERDF calls in D2N2 To give information on the D2N2 priorities for the calls SEP refresh To give information on the current ERDF landscape and call support structures To give information on the application process and support available to potential applicant organisations To explain the governance and partnership arrangements involved in managing and delivering ERDF programmes To explain the route to market for projects To give an opportunity to seek further clarification and network / support delivery partnerships

3 ERDF calls and priorities Final calls for PA1, 2,3,4,5 6 in D2N2 ( 19,902,622) Possible due largely to Forex changes Last call window March 2019 if not successful in this schedule Focus on productivity and inclusion PA1 Research and Innovation ( 2,410,836) Adoption of innovative practices and technologies, Formation of innovative firms, Promotion of graduate retention in D2N2 PA2 ICT ( 950,893) Developing ICT products and services ecommerce and enhancing demand for ICT

4 ERDF calls and priorities PA3 SME Competitiveness ( 5,759,165) Practices / technologies to promote productivity, focus on Leadership and Management, support for export, trade and Foreign Direct Investment, scale up programme to support small, productive firms to grow PA4- Shift towards a low carbon economy ( 8,649,227) Supporting SME growth by becoming more energy efficient Promoting place based approaches to smart low carbon communities Support low carbon technologies in buildings and infrastructure

5 ERDF calls and priorities PA5 Climate change adaptation / risk prevention ( 1,081,399) Preventing exposure to flood risk in priority area of Lower Derwent PA6 Preserving, protecting the environment / resource efficiency ( 1,051,102) Environmental protection and resource efficiency measures which support environmental and business benefits

6 ERDF Landscape Adding Value PA1 - Innovation / Research 3 projects live Universities of Nottingham / Derby / Medilink Building collaborative research between enterprises and universities e.g. graduate placements, grants to innovate, 121 advice, events etc. PA2 - ICT Digital Growth Programme Nottinghamshire County Council Coaching, advice, consultancy, mentoring, seminars, grants for businesses to access new markets, equipment and develop skills

7 ERDF Business Adding Value PA3 SME competitiveness - 11 projects Coaching from start up to survival, business planning, Grants to invest for product, process and service improvements; PA4 Low Carbon Unis of Derby / Nottingham SME s grow by becoming more sustainable, improving resource efficiency and reducing CO2 Technology / knowledge transfer, coaching, consultancy, seminars, grants e.g. for new equipment Midlands Engine Investment Fund to provide equity, debt, small business loans and proof of concept / early stage funds

8 ERDF Business Support activities PA3 SME competitiveness - 11 projects NBV Growing Enterprise ENSCITE University of Derby Invest in D2N2 Marketing Derby Growing the Visitor Economy Visit Peak District Creative / Digital Industries Nottingham City Council FEAST Food and Drink Forum D2N2 SME Growth and Innovation Programme EMB Internationalising SME s EMB Better off in Business Princes Trust Midlands Engine Investment Fund BEIS

9 ERDF Infrastructure PA5 Climate Change Derby City Council Flood defences in Lower Derwent PA6 Environment and Resource efficiency Derby Nottingham Metro Area Biodiversity project

10 ESIF and SEP refresh What are the current and emerging ERDF priorities? Changes to national and local economy require us to look again at D2N2 Strategic Economic Plan and implications for ESIF strategy

11 Why review the SEP? Changes to the D2N2 economy Productivity Inclusivity Changes to the potential future economic trajectory BREXIT Changes to regional and national Government policy Industrial Strategy and Sector deals A Local Industrial Strategy Midlands Engine The Shared Prosperity Fund

12 The D2N2 LEP Area: 4,784 sq. km 12 Population: 2,196,100 5 Working age population: 1,358,100 5 GVA: 45.4bn 9 Exports (goods): 11.7bn 4 Local Authorities: 19 3

13 The Role and Purpose of the Strategic Economic Plan A long term economic strategy for Derby, Derbyshire, Nottingham and Nottinghamshire There is a competition for resource and investment from Government particularly via the Industrial Strategy Focused, clear, distinctive, coherent and ambitious SEP, bring partners together behind set of common goals SEP is prospectus for D2N2 economy, a pitch to Government, inspire local partnership action and inform procurement D2N2 Strategic Economic Plan as Phase One of our Local Industrial Strategy

14 Large and Growing Economy

15 Creating private sector jobs 800, , , , ,000 D2N2 Private Sector Employees 717, , , , , , , , EMPLOYMENT RATE (RESIDENTS AGED 16-64), % D2N2 England , , Supported by the European Regional Development Fund as part of the European Structural and Investment Funds Growth Programme

16 A Growing Economy GVA Growth rates in D2N2 and England Private Sector Job creation 7.0% 5.0% 3.0% 4.3% 5.1% England 3.5% D2N2 5.2% 3.8% 3.5% 3.6% 3.0% 1.0% 2.6% 2.6% 2.5% 2.2% -1.0% -1.9% -3.0% -5.0% -4.0%

17 Productivity and Incomes Gap 0.9 GVA per hour worked 87.0% GDHI in D2N2 as a % of England 86.8% % % 86.0% 86.1% % % 85.1% 84.9% 84.8% 84.7% 84.7% % 84.9% % of the UK 84.0% 83.5% Supported by the European Regional Development Fund as part of the European Structural and Investment Funds Growth Programme

18 Productivity Gap Deep Dive Supported by the European Regional Development Fund as part of the European Structural and Investment Funds Growth Programme Comparing the productivity of firms shows that: The gap is not at the bottom or the top There are more firms in D2N2 with productivity a little below the average and too few with productivity just above Those are follower firms imitators not innovators It is not industries or place

19 Skills & Employment ESA IB+SDA England ESA+ID+SDA trend 120,000 2,160,000 2,140,000 England 100,000 2,120,000 80,000 94,380 81,980 75,260 65,860 38,740 13,870 8,280 4,720 1,680 2,100,000 2,080,000 60,000 2,060,000 2,040,000 D2N2 D2N2 40,000 2,020,000 2,000,000 20,000 1,980, ,860 14,810 19,540 28,400 50,940 74,220 80,380 85,900 90, ,960,000 1,940,000 Supported by the European Regional Development Fund as part of the European Structural and Investment Funds Growth Programme

20 Skills and Healthy Life Expectancy 65.0 Healthy life expectancy Male Female Male Female Male Female D2N2 England

21 SEP refresh Key issues Out of 38 LEPs D2N2 4th largest population and 5th largest workforce outside London. However 9th largest economy raising business productivity is the challenge D2N2 has earnings deficit. Too many people in lower paid jobs (some 30% of people earn less than the Living Wage) and not enough in higher paid jobs Little growth in working-age population by (D2N2 working age population will rise by 1% between now and 2039). To be internationally-competitive economy, maintain high levels of employment need to find ways to produce much more output with the existing workforce Need to enable our workers at all levels to move up the skills escalator into more productive, better-paid jobs and future proof the skills they need for the jobs of tomorrow.

22 SEP refresh Key issues inclusion Future success depends on how effective we are at managing the transition to a higher-value economy. Engaging businesses and communities will be critical, by providing opportunities and raising skills levels and recognising that local economies are starting from different positions. Some parts of D2N2 particularly disadvantaged - workplace earnings range from 118% of the England average in Derby, to 65% in Mansfield. Marked gap between the most prosperous parts of the D2N2 area and those facing the biggest economic challenges (ranging from GVA per head of 27.6k in Nottingham, 27.3k in Derbyshire Dales to 14.4k in Gedling and 16k in Erewash).

23 Diverse Performance

24 Vision and Targets Targets - by 2030, we will; Now? By 2030, D2N2 will have a transformed highvalue economy, 1 2 Be in top quarter of productive local economies in Europe Increase the overall value of economy to 70bn with 9bn being added as a result of plan 137 / 236 Now 45.4bn Trend 61bn prosperous, healthy and inclusive, and one of the most productive in Europe. The spark in the 3 4 Enjoy prosperity levels in the top quarter of all LEP areas Raise real wages and narrow inequality through a rise in median weekly earnings of at least 40% across D2N2 with wage disparities within D2N2 narrowed 27 / 38 Median 408 Earnings range: Mansfield 301, Derby 500 engine that powers UK growth. 5 Maintain a high and stable employment rate maintained with a workforce of some 1 million people Workforce of 931,000 6 Reduce the gap in economic activity levels between places in D2N2 Nottm 60.9% Broxtowe 83.5% 7 Eliminate the gap in workforce qualifications between the UK and D2N2 D2N2 32% UK 37.9%

25 Themes and Priorities THEME PRODUCTIVE & GROWING SKILLS & KNOWLEDGE FOR THE QUALITY OF PLACE BUSINESSES FUTURE Investment Priorities (1) Business Productivity (5) Future Workforce: (9) Infrastructure (2) Business Growth (6) Inclusive Workforce (10) High Speed 2 Growth Innovation Investment Priorities (3) Business Support (7) Planning for future skills needs (4) Support innovation led sector (8) Skilled and Productive growth and productivity Workforce (11) Place Making & Marketing (12) Connectivity INCLUSIVE GROWTH

26 Key Actions 1: Stronger LEP & effective Local Industrial Strategy 2: Productivity Focus for the Growth Hub 3: Productivity and Growth in our Core Science and Innovation Sectors 4: Careers Inspiration for our Future Workforce 5: Inclusion & Progression in the Labour Market 6: Skills and Leadership for Productivity Growth 7: World Class Infrastructure and Connectivity 8: HS2 Connectivity, Supply Chain, Skills and People

27 SEP consultation Events Tuesday November 6 th at the New Art Exchange, 39 Gregory Boulevard, Nottingham (NG7 6BE). Time, 8.30am to 10.30am. Wednesday November 7 th The Proact Chesterfield FC Stadium, Sheffield Road, Chesterfield, (S41 8NZ). Time, 1.15pm to 3.15pm. Tuesday November 13 th The Oakham Suite, 155 Nottingham Road, Mansfield, (NG18 4AE). Time, 8.30am to 10.30am. Wednesday November 14 th University of Derby Enterprise Centre, Bridge Street, Derby, (DE1 3LD). Time, 8.30am to 10.30am. Details are at Read and respond

28 Core Delivery Principles What good looks like Impact and Scale: Delivery Readiness: Added Value Local Value Quality, Performance and Efficiency:. Strategic Partnerships and Co-ordination of Market Engagement Flexibility and Responsiveness

29 ERDF / ESF Operational Programmes Applicant Managing Authority ESIF Strategies (set out local strategic priorities) Publish Call Outline Application against Call Specification European Structural & Investment Fund Open Route Inception to Funding Agreement (excluding Opt-Ins, Fis, SUDS) Assess Outline (Gateway & Core Selection Criteria) Full Application Full Technical Appraisal (Core Selection Criteria) Funding Agreement Selection into Programm e Local Implementat ion Plan (Scope and Timing of Calls LEP ESIF Programme Board Call Specificatio n Promote and Publicise Call Assess Application against ESIF, call specification and Prioritise Assess Full application and review technical appraisal against ESIF and prioritise Discuss and endorse selection

30 Basics for PA1 call Research and Innovation Total ERDF available - 2,410,836 Minimum project value 1 million - 500k ERDF Call closes Friday 23 November 2018 Investment Priority 1a and 1b Applications need to clearly demonstrate how activity meets PA requirements contributes to delivery outputs Meets local need as set out in the D2N2 SEP / ESIF strategy

31 PA1 D2N2 Challenges Business productivity in D2N2 below national average 5 th largest workforce outside London and 9 th largest economy Shift from job creation to driving up levels of productivity higher value, better paid jobs SME s need to adopt and adapt to innovation focus on product innovation Increase proportion of innovation active firms supporting business to adopt new technologies and new to firm innovations Support businesses and employees to adapt new technologies, processes and working practices

32 D2N2 Innovation Sectors Refined sector focus 3 innovation led sectors with high specialism, high GVA, high growth prospects, good connections to D2N2 knowledge base and able to exploit Industrial Strategy sector deals Transport Equipment and Manufacturing Food and Drink Manufacture Life Sciences 4 areas of cross sector expertise, with specialisms in knowledge base( research centres) Advanced Manufacturing and Engineering Digital Technologies and Data Energy and low carbon technologies Systems integration

33 PA1 Innovation Sectors How will projects support firms in the key 7 sectors and add value to existing and planned provision Also consider how activities will address 4 Grand Challenges in Industrial strategy Artificial Intelligence and data ageing society clean growth future of mobility

34 PA1 Time to Innovate 3 key areas of innovation activity Business support for Innovation Infrastructure for Innovation Exploiting the knowledge base 4 C s of Smart specialisation TEM and Life Sciences have exceptional strengths in international context Matching research and innovation capacities with business needs and entrepreneurial activity Develop world class clusters and provide for cross sector links HE institutions, innovation and incubation facilities, technology parks, EZ Collaborative leadership

35 PA1 Business support Integrate D2N2 innovation ecosystem into wider business support ecosystem focussed on productivity and growth Addressing productivity gap is key challenge for this call Link between productivity and wages makes raising productivity a key component of promoting inclusive growth Activity should promote inclusive approach to growth Activity should not duplicate existing PA1 funded provision Activity should show how business supporting activities will relate to the D2N2 Growth Hub Focus of call is provision of advice and support to firms. Small grants need to be seen as integral part of the offer

36 1a Enhancing Research and Innovation infrastructure Increase investment in research and innovation infrastructure that catalyses collaboration with the research community Specialist infrastructure/facilities/centres linked to smart specialisation including enhancements to science parks and to improve access to these facilities through digital / physical links; Investment in the development and upgrading of innovation space, with capability to host innovative relationships; Improved incubation space to enable R&D / innovation; Shared use research laboratories and facilities Development of enterprise, innovation and technology hubs and centres of excellence, Development and upgrading of appropriate test facilities and deployment infrastructure.

37 PA1a Outputs C25 Number of researchers working in improved research facilities P2 Public or commercial buildings built or renovated

38 1b Promoting business investment in R&I Increase investment in research and innovation by SME s in sectors and technologies identified through smart specialisation. Increase number of SME s engaged in collaborative R&I with research institutions, large enterprises to develop new products / processes Support for smart specialisation collaborative and contract R&D to stimulate / facilitate productive innovation partnerships; Support for commercialisation of new products, processes, initiatives, Collaborative and contract R&D programmes; Applied research programmes, particularly targeted at sectors and technologies set out in smart specialisation in England Innovation vouchers for SME s Schemes providing practical, financial, material support for the innovation process within businesses;

39 1b Promoting business investment in R&I Schemes stimulating / enabling graduate start-up and spin out from universities, colleges and research institutions; Technology support programmes and demonstrator projects and programmes for current and future technologies Support to engage more businesses in knowledge transfer and innovation, develop links to wider Higher Education institutions and research institutions and demonstrate the benefits of working with knowledge base partners; Grants, loans and equity stakes to promote the use of social innovation to bring new products and processes to the market

40 PA1b Outputs C1 Number of enterprises receiving support C2 Number of enterprises receiving grants C3 - Number of enterprises receiving financial support other than grants C4 Number of enterprises receiving non financial support C5 Number of enterprises supported C6 Private investment matching public support to enterprises (grants) C7 - Private investment matching public support to enterprises (non- grants) C8 Employment increase in supported enterprises C26 Number of enterprises cooperating with research entities C28 Number of enterprises supported to introduce new to the market products C29 - Number of enterprises supported to introduce new to the firm products P2 Public or commercial buildings built or renovated

41 Basics for PA2 call ICT Total ERDF available - 950,893 Minimum project value 1 million - 500k ERDF Call closes Friday 23 November 2018 Investment Priority 2b Applications need to clearly demonstrate how activity meets PA requirements contributes to delivery outputs Meets local need as set out in the D2N2 SEP refresh / ESIF strategy

42 PA2 D2N2 Challenges Business productivity in D2N2 below national average 5 th largest workforce outside London and 9 th largest economy Shift from job creation to driving up levels of productivity higher value, better paid jobs Develop support programme to firms to adopt new ICT building upon existing PA2 provision ICT linked to higher productivity and competitiveness Digital skills important factor in success of local economies Utilisation of digital enabling technologies and data revolution will influence product design, processes and business models All businesses supported to become digital businesses

43 PA2 D2N2 Challenges Made Smarter review identified poor levels of digitalisation adoption as one of key constraints on companies productivity Enabling firms to exploit digital opportunities is a key component of this call Supporting firms to make use of big data and open data initiatives Supporting firms in rural areas to overcome digital exclusion issues Support to firms to develop knowledge and skills to maximise benefits of enhanced digital connectivity like superfast broadband Comprehensive programme of support for firms to translate ICT developments into commercial opportunities and different ways of working

44 PA2 D2N2 Challenges Integrate D2N2 ICT support into wider business support ecosystem focussed on productivity and growth Addressing productivity gap is key challenge for this call Link between productivity and wages makes raising productivity a key component of promoting inclusive growth Activity should promote inclusive approach to growth Activity should not duplicate existing PA2 funded provision Activity should show how business supporting activities will relate to the D2N2 Growth Hub Focus of call is provision of advice and support to firms. Small grants need to be seen as integral part of the offer

45 D2N2 ICT sectors 3 innovation led sectors with high specialism, high GVA, high growth prospects, good connections to D2N2 knowledge base and able to exploit Industrial Strategy sector deals Transport Equipment and Manufacturing Food and Drink Manufacture Life Sciences 4 areas of cross sector expertise, with specialisms in knowledge base( research centres) Advanced Manufacturing and Engineering Digital Technologies and Data Energy and low carbon technologies Systems integration

46 2b Developing ICT products and Services Increase the number of SME s making productive use of digital technologies Support for SME s to update or introduce new ICT business models which will drive business performance; Provision of coaching, advice, consultancy, mentoring and support for SME s to access new markets through improved ICT connections; Provision of coaching, advice, consultancy, mentoring and support to develop ICT skills strategies; Provision of coaching, advice, consultancy, mentoring and support to implement productivity improvements from use of ICT Demonstration and pilot projects, showcasing how SME s can stimulate innovation through the smart use of ICT Support for diffusion of results from demonstration and pilot projects; and Support for the integration of SME s in digital supply chains through the smart use of ICT

47 PA2 Outputs C1 Number of enterprises receiving support C5 Number of enterprises supported C29 Number of enterprises supported to introduce new to firm products P4 Additional businesses taking up broadband with speeds of at least 30Mbps

48 Basics for PA3 call SME competitiveness Total ERDF available - 5,759,165 Minimum project value 1 million - 500k ERDF Call closes Friday 23 November 2018 Investment Priority 3a, 3c and 3d Applications need to clearly demonstrate how activity meets PA requirements contributes to delivery outputs Meets local need as set out in the D2N2 SEP refresh / ESIF strategy

49 PA3 D2N2 Challenges Business productivity in D2N2 below national average 5 th largest workforce outside London and 9 th largest economy D2N2 has earnings deficit too many in low paid jobs, not enough in high paid jobs Diverse performance across LADS Shift from job creation to driving up levels of productivity higher value, better paid jobs

50 PA3 D2N2 Challenges 4 key aims to drive up productivity Business productivity drive up productivity across all sectors Business Growth focus on firms with high growth potential and grow stock through start ups, spin outs and inward investment Sector specialisms enhance our significant sectors TEM, F&D, LS) to accelerate growth Business support ensure business support ecosystem is fit for purpose and offers coherent service driven by needs of business

51 PA3 D2N2 Challenges Large number of firms around average turn middle band into being more productive and strive for exceptional Universal service - needs to happen across all D2N2 sectors not just high value growth sectors. Productivity gains will in low value sectors will increase wage levels and living standards Links to inclusive growth productivity challenge linked to ESA claimants and falling healthy life expectancy

52 PA3 D2N2 Challenges D2N2 exposed to Brexit. - goods exported to EU 9% of GVA 86,000 jobs exposed to tariff increases Supporting firms to adapt to opportunities and challenges of Brexit will be a priority for this call and add value to DIT Focus of call to support firms to be more productive and contribute to inclusive economic growth

53 PA3 D2N2 Challenges Applications welcomed that support Leadership and Management and links to productivity Adoption of innovative, productive processes for average SME Support for start up and early stage mentoring Support for export, FDI to promote employment and productivity adding value to DIT model Scale up programme to support productive SME s to grow Enhanced working with D2N2 Growth Hub to provide coherent service

54 PA3 D2N2 Challenges Integrate provision into wider business support ecosystem focussed on productivity and growth Addressing productivity gap is key challenge for this call Link between productivity and wages makes raising productivity a key component of promoting inclusive growth Activity should promote inclusive approach to growth Activity should not duplicate existing PA3 funded provision Activity should show how business supporting activities will relate to the D2N2 Growth Hub Focus of call is provision of advice and support to firms. Small grants need to be seen as integral part of the offer

55 PA3a Promoting Entrepreneurship Increase entrepreneurship, particularly in areas with low levels of enterprise activity and amongst under-represented groups Targeted engagement, outreach and mentoring to strengthen entrepreneurial and enterprise culture Provision of advice/ support for self-employment in particular amongst under-represented groups with a focus on increasing the number of business start-ups; Provision of advice and support for new business start-ups to survive and grow; Support to address market failures in the provision of start-up finance, e.g. seed finance, start-up loans; Outreach, coaching, mentoring, networking and consultancy support to promote business start-up, survival and growth;

56 PA3c Increase Growth Capacity of SME s Increase the growth capacity of SME s Provision of advice to develop new business models / higher quality products, processes / services/ resource efficiencies Advice and support for firms to implement productivity improvements including through the provision of resource efficiency advice Advice too business processes and workforce development Advice and support for supply chain interventions to strengthen and grow the domestic supplier base; Attracting new FDI into England through eg promotion of business collaborations (SME to Prime/OEM, SME to SME), supply chain initiatives, sectoral and research and innovation propositions linked to smart specialisation Ensuring SMEs have access to sufficient levels of finance to implement growth plans, including appropriate capital investment for premises / equipment to help build capacity

57 PA3d Increase markets Increase the growth capacity of SME s Provision of local referral routes to ensure that SMEs are able to identify / access tailored support for growth Support SMEs to develop focused growth strategies, revise business models which will drive business performance Attracting new business investments to England, including sector initiatives, collaborations with trade associations /inward missions; Advice and support for SMEs to enter, establish and expand in new domestic and international markets; Leadership and management coaching where connected to the development and implementation of a business growth plan; Support events, trade fairs and missions to enable SMEs to enter, establish and expand in new domestic and international markets;

58 PA3 Common outputs C1 Number of enterprises receiving support C2 Number of enterprises receiving grants C3 - Number of enterprises receiving financial support other than grants C4 Number of enterprises receiving non financial support C5 Number of enterprises supported C6 Private investment matching public support to enterprises (grants) C7 - Private investment matching public support to enterprises (nongrants) C8 Employment increase in supported enterprises P2 Public or commercial buildings built or renovated

59 PA3 Specific Outputs 3a C28 Number of enterprises supported to introduce new to the market products P11 Number of potential entrepreneurs assisted to be enterprise ready 3c and 3d C29 - Number of enterprises supported to introduce new to the firm products P13 - Number of enterprises receiving Information, Diagnostic and Brokerage support

60 Basics for PA4 call Low Carbon Total ERDF available - 8,649,227 Minimum project value 1 million - 500k ERDF Call closes Friday 23 November 2018 Investment Priority 4a, 4b, 4c, 4e and 4f Applications need to clearly demonstrate how activity meets PA requirements contributes to delivery outputs Meets local need as set out in the D2N2 SEP refresh / ESIF strategy

61 PA4 D2N2 Challenges CO2 emissions higher in D2N2 than in England reflecting energy intensive sector profile of economy Reduction in emission intensity is slower in D2N2 than nationally Need to build on strengths in area adaptation of low carbon technologies, energy demonstrators, heat networks Need to utilise local expertise across business and HE by use of heat pumps, off grid homes, off site manufacturing, installation of vehicle charging points, district heating etc Industry reduction of carbon consumption linked to productivity

62 PA4 D2N2 Challenges Maximise opportunities associated with transition to green economy development of low carbon goods and services or through efficiencies Low carbon buildings construction Carbon capture and storage Low carbon vehicles and fuels Focus of call is on Supporting firms to grow by becoming more energy efficient, accessing research and adaption of new technologies Promoting place based approaches to smart low carbon communities Supporting application of low carbon technologies in buildings and infrastructure

63 D2N2 Innovation Sectors 3 innovation led sectors with high specialism, high GVA, high growth prospects, good connections to D2N2 knowledge base and able to exploit Industrial Strategy sector deals Transport Equipment and Manufacturing Food and Drink Manufacture Life Sciences 4 areas of cross sector expertise, with specialisms in knowledge base( research centres) Advanced Manufacturing and Engineering Digital Technologies and Data Energy and low carbon technologies Systems integration

64 PA4 D2N2 Challenges Opportunity to work in other sectors linked to productivity and growth e.g. creative and digital, visitor economy, logistics and ecommerce, energy and low carbon, construction, mineral extraction, health and social care, professional and business services Integrate provision into wider business support ecosystem focussed on productivity and growth Activity should not duplicate existing PA4 funded provision Activity should show how business supporting activities will relate to the D2N2 Growth Hub

65 PA4a Renewable sources Increase the number of small scale renewable energy schemes in England Measures to support increased production of renewable fuels and energy, in particular wind energy, solar and biomass; Support to build capability and capacity for supply chains in renewable energy; Demonstration and deployment of renewable energy technologies; Measures to support the wider deployment of renewable heat, including micro-generation, geothermal, renewable heat networks or district heating, ground source and air source heat pumps. Also biomass systems with associated heat off-take and heat distribution networks along with recycling processing reprocessing and remanufacturing facilities; and Anaerobic digestion plants and other biomass or landfill gas schemes.

66 PA4b Renewable efficiency in enterprises Increase energy efficiency in SME s, including through the implementation of low carbon technologies Enhanced advice, support, information and action to promote innovation in SME s to deliver best practice in energy management including innovation in energy efficiency and energy cost reduction to improve businesses competitiveness and resilience; Support to SME s to undertake green audits of energy efficiency and potential for renewable generation and energy use, followed by provision of energy efficiency information and guidance, tailored energy action plans and support Investing in energy efficiency measures, processes and renewable generation capacity to improve a business or building s environmental performance or its resilience to the impacts of climate change; Supporting an increase in energy efficiency in SME s including an emphasis on whole place especially through improving industrial processes, designing out waste, recovery of waste heat energy and combined heat and power;

67 PA4b Renewable efficiency in enterprises Increase energy efficiency in SME s, including through the implementation of low carbon technologies Supporting increased SME access to national and local government procured contracts for energy efficient goods and services; Developing low carbon innovation in relation to energy efficiency within enterprises, including through technologies and engagement practices; Building retrofit and energy efficiency measures, especially whole building solutions to exemplify, and support the commercialisation of next phase technologies which are near to market, and low carbon construction techniques to improve the energy efficiency of buildings.

68 PA4c Energy efficiency of homes and public buildings Increase the energy efficiency of homes and public buildings, through the implementation of low carbon technologies. Provision of advice and support to increase the take up of low carbon technologies, energy efficiency measures, renewable energy technologies and smart energy systems in housing stock and public buildings; Supporting low carbon innovation in relation to the integrated whole place energy management approach including energy waste and re-use; Investing in building retrofit, energy efficiency measures, renewable and smart energy systems deployment, especially whole building or place solutions exemplifying next phase technologies which are near to market; Investing in domestic energy efficiency, renewable energy and smart construction techniques; and Investment in the development and wider use of Energy Performance Contracting in the public buildings and housing sectors.

69 PA4e Whole place solutions Increase implementation of whole place low carbon solutions and decentralised energy measures. Investments in local/regional smart grid demonstration projects, including validation and solving system integration issues; Sustainable energy action plans for urban areas, including public lighting systems, smart metering and distribution through smart grids; Investments in combined heat and power from renewable sources; and Investments to encourage the adoption of renewable technologies. Investments in actions aimed at improving the capacity at local level to implement integrated and sustainable transport strategies and plans to reduce transport related air pollution, in particular retrofit or replacement programmes for bus fleets, incentive schemes for cleaner transport, improved public transport infrastructure and alternative forms of transport;

70 PA4e Whole place solutions Increase implementation of whole place low carbon solutions and decentralised energy measures. Investments in actions aimed at introducing innovative low-carbon technologies (e.g. alternative fuel stations / charging points); Investments in actions aimed at developing innovative and multi-modal transport services (e.g. intelligent transport systems for travel information and planning, traffic and demand management, smart ticketing, multimodal integrated datasets or cooperative systems), although transport cannot be looked at in isolation; Innovative transport pricing and user charging systems; Cycle paths, walkways and waterways only where part of an integrated approach to greenhouse gas reductions.

71 PA4f Adaption of low carbon technologies Increase innovation in and adaption of low carbon technologies R&D, innovation and supply chain work for low carbon technologies and materials, including; wind energy, smart grids, distributed generation, solar and PV, heat networks, heat pumps and heat for energy intensive industries; Technology centres of excellence including relevant catapult centres; Renewable technologies in UK renewable energy roadmap; Research, development, demonstration and adoption of technologies and systems that support low-energy transport and accelerate new technologies such as low emissions vehicles (electric, hybrid and hydrogen); Knowledge transfer with HE/FE institutions and businesses; Low carbon tech start-ups and commercialisation of products processes;

72 PA4 Common outputs C34 Estimated annual decrease of greenhouse gases C1 Number of enterprises receiving support C5 Number of enterprises supported C26 Number of enterprises cooperating with research entities C29 - Number of enterprises supported to introduce new to the firm products C30 - Additional capacity for renewable energy production C31 - Number of household with improved energy consumption C32 - Decrease of annual primary energy consumption of public buildings

73 Basics for PA5 call Climate Change Total ERDF available - 1,081,399 Minimum project value 1 million - 500k ERDF Call closes Friday 23 November 2018 Investment Priority 5b Applications need to clearly demonstrate how activity meets PA requirements contributes to delivery outputs Meets local need as set out in the D2N2 SEP refresh / ESIF strategy

74 PA5 D2N2 Challenges Land which could be valuable resource to support economic development cannot be developed through the market alone, as the costs of mitigating the flood risk make such schemes financially unviable for private sector developers. There are locations at risk from flooding, particularly the lower Derwent and Derby city is considered to be a Significant Flood Risk Area Proposals should demonstrate alignment with local development need and priorities including: ERDF Operational Programme specifies investment is targeted on areas where exposure to flood risk, the impacts of climate change and related constraints on economic growth are most significant. Within D2N2 the priority area is the Lower Derwent (Derby). Current and planned flood management investment programmes to allow D2N2 to continue to deliver its economic development aspirations, including the Our City Our River Flood Defence scheme in Derby.

75 PA5b Disaster resilience Enabling and protecting economic development potential through investment in flood management where there is demonstrable market failure. Fluvial risk management Onsite or upstream attenuation and slowing the flow measures Diversion channels Raising strengthening and/or extending river walls and frontages Fixed and temporary barriers and gates Stepped back embankments Resilience measures for business infrastructure, including for example wet or dry flood-proofing River restoration and improved conveyance measures

76 PA5b Outputs C23 Surface of habitats supported to attain better conservation status P6 Businesses and properties with reduced flood risk

77 Basics for PA6 call Environment / Resource efficiency Total ERDF available - 1,051,102 Minimum project value 1 million - 500k ERDF Call closes Friday 23 November 2018 Investment Priority 6d and 6f Applications need to clearly demonstrate how activity meets PA requirements contributes to delivery outputs Meets local need as set out in the D2N2 SEP refresh / ESIF strategy

78 PA6 D2N2 Challenges Significant environmental assets sites of special scientific interest in the area and more than 80 local nature reserves Natural capital presents substantial economic opportunity in terms of the visitor economy, and the wider quality of life offer health and recreation Maintaining and enhancing the quality of natural environment is critical to our plans for growth. Natural capital as an economic asset rather than a constraint, maximise green spaces and consider their inclusion in future developments. Environment protection key priority for D2N2 Peak District worth 135m and visitor economy in Nottinghamshire estimated to be worth 1.38 billion

79 PA6 D2N2 Challenges Resource efficiency measures minimise environmental impact of planned growth in D2N2 by supporting actions to reduce, reuse and recycle more and generates both environmental and business benefits. Supporting businesses to improve resource efficiency can contribute to costs and competitiveness. Market failures impacting on efforts to protect the environment and promote resource efficiency including: Costs of undertaking green infrastructure and the extent to which costs can be included in the price of goods and services. Uncertainty over the commercial benefits of some resource efficiency measures. Lack of understanding of benefits of resource efficiency amongst SME s Lack of awareness of regulation / support to encourage renewable energy use. Lack of capacity in the environmental services sector to undertake major initiatives.

80 PA6d Green blue infrastructure Investments in green and blue infrastructure and actions that support the provision of ecosystem services on which businesses and communities depend to increase local natural capital and support sustainable economic growth investment in green/ blue infrastructure that play a crucial role in providing benefits to people and wildlife. Activity can include site clearance, soil de-sealing, decontamination and land remediation, but only where these directly contribute to an area s green and blue infrastructure / natural capital - the primary objective of the intervention Investment in green and blue infrastructure such as green corridors in urban areas and waterways; and Sustainable drainage to improve water quality and in some cases local air quality.

81 PA6f Innovative Technologies Investment to promote the development and uptake of innovative technologies, in particular in resource efficiency, in order to increase the resilience and environmental and economic performance of businesses and communities To help businesses optimise the use of resources in ways that improve business performance in terms of resilience, profitability and competitiveness while at the same time contributing to the protection and preservation of the environment. Provision of support and advice for businesses in the adoption of innovative technologies and processes for the management and reuse of energy, materials, water and waste (including recycling and recovery); and Provision of support for the piloting and demonstration of innovative technologies to promote resource efficiency in order to encourage their greater take-up.

82 PA6 Outputs 6d C22 Total surface of rehabilitated land C23 Surface area of habitats supported in order to attain a better conservation status Estimated annual decrease of greenhouse gases 6f C1 Number of enterprises receiving support C5 Number of enterprises supported C29 - Number of enterprises supported to introduce new to the firm products

83 Useful resources D2N2 Technical Assistance website ESIF Funder finder Outline application form

84 Questions and Contact details Richard Kirkland ESIF Co-ordinator D2N2 Local Enterprise Partnership Mobile: