The Midlands and South Wales are to become leaders in low carbon technologies after the Government announced new funding to create  the UK’s latest Low Carbon Economic Areas (LCEAs).

The Midlands has been designated  a Low Carbon Economic Area (LCEA) for Automotive Engineering. It will receive £19m in Government funding to focus on the research and development of low carbon vehicles.

South Wales was named as leading centre in the UK for hydrogen energy with South West as a key partner and with £6.3m of funding through the University of Glamorgan.

The successful bidders for £7.2m in funding to commercialise hydrogen technologies were also announced.

Lord Mandelson visited the International Manufacturing Centre at the University of Warwick to launch the Midlands LCEA. He said:

“I want to see the Midlands help the UK to lead the global automotive industry in the transition from conventional to low carbon vehicle technologies. The LCEA will send a clear signal to the global market about the Midlands’ strengths in advanced automotive engineering.

“The move towards a low carbon economy presents huge opportunities. This new funding will help secure the Midlands’ 10,000 existing car industry jobs, by helping transform them into the green car jobs of the future.”

Speaking at Johnson Matthey in Swindon, Energy Minister Lord Hunt highlighted how the South Wales LCEA will build on the expertise in the area to develop hydrogen on a commercial basis. It would also be closely linked to end users based on the M4 corridor.

“Cleaning up our energy supply and the fuel we use for transport will give the UK the opportunity to develop the low carbon industries of the future. Fuel cells and hydrogen can play a key role in cutting CO2 emissions and reducing reliance on fossil fuels.

“Through this boost for hydrogen, innovative businesses like Johnson Matthey are well placed to benefit from the move to low carbon. I congratulate them on their funding award and thank them for this contribution to tackling climate change.”

LCEAs aim to accelerate the development of low carbon technologies by focusing on areas of the UK where there is existing expertise and infrastructure.

The Government has already announced four previous LCEAs. These are:

• South West: wave and tidal energy
• North East: ultra-low carbon vehicles
• North West and Yorkshire: civil nuclear energy
• Greater Manchester: built environment.

Press notice
Read the Midlands LCEA press notice here.

Read the South Wales LCEA press notice here.

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