The government has announced funding for industrial sectors, such construction, mining and quarrying, to reduce their reliance on fossil fuels.

The £32.5 million funding package to support plans to develop greener technologies and low carbon fuels.

The funding is intended to help the industries move away from red diesel, which is also known as gas oil. Red diesel is often used for off-road, heavy duty vehicles and machinery like bulldozer and cranes.

The funding is the second phase of the Diesel Replacement Competition and will support three to give demonstration projects that participated in phase 1.

Those who received funding in Phase 1 include CATAGEN Ltd, Belfast who received £787,700 for two projects, an e-fuel generator to develop e-diesel, and a novel hydrogen compressor and Steamology Motion Ltd, Salisbury who received £364,717 to build a prototype demonstrator of their high power, zero-emission steam turbine drivetrain, proving a viable red diesel engine replacement technology.

Minister for Energy and Climate Change Graham Stuart said: “These industrial sectors, and the jobs they create, are crucial to our economy, and they also have an important role to play in our shift towards a greener, more secure future.

“This latest round of funding will help to speed up industrial decarbonisation, providing industry and consumers with effective low-carbon alternatives to red diesel while boosting green investment to future-proof the resilience of British industry.”