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The money will be distributed over the next two financial years and will go towards restoring one of Scotland's most important habitats.
The country's peatlands are of international importance due to their biodiversity with many bogs and fens protected by international law. The blanket bogs are one of the world's rarest habitats and are a vital and unique breeding ground for birds.
In addition, intact peatlands provide many other benefits, such as good water quality, carbon storage, a recreational resource and support diverse economic activities.
Speaking about the funding, Environment and Climate Change Minister Paul Wheelhouse said: "Our peatlands cover almost a fifth of Scotland and are key habitats for much of our wildlife. We also know that peatlands play a role in carbon capture helping reduce out greenhouse gas emissions and they can fulfil an important part in natural flood management as a means of slowing the flow of water downstream within a river catchment.
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"If we continue to improve the condition of our peatlands and bogs, then our habitats will undoubtedly experience the benefit, as will our economy.
"This money will go towards vital work to preserve and safeguard Scotland's peatlands. There's already a lot of good work going on to restore them and it is important that we continue this trend.
"The importance of restoring peat-forming habitats which have been drained or damaged cannot be underestimated and the Scottish Government is committed to ensuring Scotland's peatlands are returned to good condition."
Scottish Natural Heritage's Policy and Advice manager Andrew Coupar added: "This new funding is extremely welcome and will build on the success of funds already made available under the Scottish Government's Green Stimulus package.
"A wide range of projects have already been supported across Scotland, ranging from improved access to community peatlands, to drain blocking, scrub removal and erosion control."
(JP/CD)
