A SCHEME that supports the use of renewable energy in the region faces possible closure due to a lack of Government funding.

Renewable Energy at Local Level (Reall) was launched by the Countryside Agency in 2002 to promote the use of environmentally-friendly fuel in rural areas of County Durham and Northumberland.

Funding for the project runs out on Friday. Reall has received an additional three months' money to wind up any ongoing projects or find alternative funding.

Project officer Melanie Greenwood said: "We have just received an official letter from the Countryside Agency saying it will put in place funding for three months to finish off projects or look for other funding.

"It is very frustrating, because we know there is a need for us."

Reall is one of several support teams across the UK helping rural committees, schools and organisations to adopt renewable energy sources in their buildings.

Miss Greenwood said Reall was given £60,000 a year for the first three years and then funding was reduced to £33,000. Since 2002, it has supported more than 180 projects.

"Last year, the funding was reduced as the Countryside Agency looked at whether it should end it altogether or increase it and widen its remit to work with more groups, including small businesses," she said.

"We still have not got an official line on whether that will happen or not."