Great British Energy has launched a £30 million fund to kick start a change in community energy.
This is the first downpayment of up to £1 billion, with the aim to support over 1000 local and community-led clean energy projects across the UK.
Communities across Wales are set to receive a funding boost to build and control their own clean energy supply that will help to cut bills, grow local wealth and tackle the climate crisis.
Building on Wales’ existing commitment to community energy through the Welsh Government Energy Service, the new funding will enable more community energy groups to accelerate plans for locally owned clean power projects.
This could include solar panels on local buildings to village-owned wind farms and hydro schemes in nearby rivers. It is hoped these projects will help to put money back in the pockets of communities and allow them join in UK-wide climate action.
Energy Secretary Miatta Fahnbulleh said: "All of us felt deep concern for our climate during the record-breaking temperatures we experienced this summer.
"Ahead of New York Climate week, we are putting power in the hands of people and places, so more communities can take action.
"Everyone deserves a stake in our energy future and through these local power projects, communities can reap the full benefits of clean energy – reducing emissions, cutting bills and reinvesting profits to benefit local areas, instead of big energy companies."
Secretary of State for Wales Stephen Kinnock said: "Communities across Wales will be able to build more of their own clean energy projects with grants from the UK Government.
"This project puts decision-making into the hands of local people, giving them the power to bring down household bills and be part of our national effort to tackle climate change."