The Department of Energy and Climate Change (DECC) has launched a £10 million fund to help British entrepreneurs bring innovative energy products to market.

The department is inviting SMEs within the energy efficiency, building technologies, power generation and energy storage sectors to bid for funding of up to £2 million under the new Energy Entrepreneurs Fund.

Funding will be awarded to those technologies that are capable of bringing down the cost of consumer bills as well as reducing carbon emissions. In addition to securing funding, successful companies will also receive advice from commercial experts on how to attract investment to bring their products to the market.

Energy and climate change minister, Greg Barker said: “This investment will give SMEs a vital boost to drive forward the development of a range of innovative low carbon designs, helping cut costs and bringing new technologies to market in this sector.

“Innovation is vital for the move towards a low carbon economy and an essential part of our long term economic plan. I look forward to seeing our great entrepreneurs rising to the challenge.”

The £10 million fund represents the third phase of the Energy Entrepreneurs Fund. The two previous phases resulted in grants of £25 million being awarded to over 50 companies.