The fund is part of the council’s budget for 2025 to 2026, which was approved on February 26.
The CEF will support local people and organisations in setting up renewable energy projects, such as solar panels and wind turbines.
This initiative aims to reduce carbon emissions and lower energy bills, aligning with the borough’s commitment to becoming carbon neutral.
The funding for the CEF was made possible by savings from “tough but necessary decisions” made last year to counter the impact of 14 years of underfunding by the previous government.
The CEF is part of a broader set of investments aimed at improving services and the quality of life for residents.
The budget includes £1.6 million for road repairs, £1 million for the Greenwich Supports Council Tax Hardship Support Fund, and £820,000 for upgrading adventure play centres.
Other allocations include £680,000 for making streets safer and more sustainable, £200,000 for expanding Emotional Wellbeing Hubs for children and young people, and £1.7 million for opening six new centres for people with special educational needs and disabilities.
The budget also includes £12 million for services for children and young people, £20 million to improve care for older residents and those with complex needs, and over £2 million to adapt homes for residents with disabilities.
Councillor Anthony Okereke, the Leader of the Royal Borough of Greenwich, said: “People in our borough want to see us making a real effort to tackle climate change – and we’re doing just that, while lowering their bills at the same time.
“The Community Energy Fund is more than just an investment, it puts power in the hands of our communities, helping them to create greener, more affordable energy.”
He added: “While we are still feeling the enormous impact of 14 years of underfunding, we refuse to let that hold us back.
“Despite limited resources, we are pushing forward, making bold, people-first decisions that create real change.”
Councillor Denise Hyland, Cabinet Member for Finance, Resources and Social Value, said: “Our communities have told us they want cleaner energy, better park facilities, safer streets, and strong support for children and older people.
“Last year we made tough decisions that placed us on steadier ground this year, allowing us to focus on investments that allow us to deliver on those priorities.”
To fund these services, the council has decided to raise Council Tax by 4.99 per cent.
Support will be available for those who need help paying their bills, including through the Discretionary Hardship Fund.
The council has also set up in-person Advice Hubs at community centres across the borough for those worried about the cost of living crisis.
Residents can visit the council’s website to find out all the support available to them.
The council’s budget report can be read in full on the Royal Borough of Greenwich’s website.
