European funding of £830,000 has been made available to help North-East rural businesses improve electricity supplies and install green energy schemes.

The Energy for Enterprise Scheme was launched in October by North-West Durham MP Hilary Armstrong, the Government's Chief Whip, in a ceremony at Cassop primary school, in County Durham.

Energy for Enterprise, part of the North Energy programme to boost the productivity of small to medium enterprises (SMEs), is geared to businesses which are struggling because of poor electricity supplies.

Ms Armstrong said: "This European funding boost to North Energy will have two distinct advantages; not only will it substantially improve energy supplies to businesses, but we are also ensuring that green energy becomes part of business development in rural communities."

There are more than 200 businesses in the region known to be without mains electricity supply or with an inadequate supply for their needs - stonemasons, joinery businesses and bed and breakfast establishments among them.

The scheme will help fund the upgrade of supplies, provide energy efficient systems and connect mains supplies or 24-hour power systems with diesel generators and renewable energy.

Nicola Smith, of North Energy said: "We offer advice on going through the complicated process of securing a new supply and check the feasibility of alternatives.

"Or we can design a system of using wind or solar power to help bring running costs down and reduce the business's impact on the environment."

The grant is the result of a partnership between Durham County Council and North Energy, a rural SME in Morpeth, Northumberland.

Financial backing is also being provided by One NorthEast's Rural Development Programme, Northumberland and Durham county councils, Business Links throughout the region, the County Land and Business Association and Northern Electric.

For more information or advice about funding, businesses should contact North Energy on (01670) 516949.

Published: 04/11/2003