Legislative compliance
cca
CLIMATE CHANGE AGREEMENT
CCAs allow certain eligible manufacturing sectors to benefit from a reduction in Climate Change Levy (CCL) charges on energy bills, translating into tens to hundreds of thousands of pounds a year for eligible sites. With the CCL rates rising significantly April 2019 and the CCL discount also increasing for CCA holders, this scheme is becoming more valuable and should be correctly maintained. The scheme is now closed to new applicants until 2023.
In return for this valuable discount, participants are expected to meet energy and carbon reduction targets which can result in costly carbon trading if targets are not met. If a CCA is not correctly managed and regularly tracked, status against such targets and potential carbon costs can come as a shock at the end of the 24-month long assessment period. When making a decision on paying this fine it is important to track both obtained CCL savings during the target period, and also future savings remaining in the scheme will bring.
In addition to targets, participants are also mandated to meet compliance activities, and maintain a full evidence pack ready in the event of an audit from HMRC or the Environment Agency. Many CCA holders are not audit ready and would not meet the strict compliance requirements imposed by the scheme administrators. Failure to meet requirements can result in fines or loss of CCL discount.
It is a common misconception that the sector associations maintain scheme compliance on behalf of CCA holders due to fees paid. This is incorrect and many sites have fallen foul to this when they have been called to audit.
UKGP has partnered with a specialised energy and carbon consultancy who manage a large number of CCAs on behalf of participants delivering the following services:
Manage and maintain full scheme eligibility documentation and compliance
Provide full audit support
Obtain CCL discount via suppliers and HMRC
Manage all administrational and compliance obligations
Provide regular target performance tracking and cost tracking reports
Provide energy and carbon reduction advice to help reduce carbon costs
NEXT STEPS:
Check if you are correctly managing your agreement and maintaining this discount. If you are facing a large carbon bill now we have reached the end of target period three, or you aren’t sure if you would stand up to an audit or what should be in an evidence pack, then please contact to discuss how we can help.
If you don’t have a CCA at present, then please get in touch and we can discuss how we can help you great ready for the next round of agreements in 2023.
secr
streamlined energy and carbon reporting
The new Streamlined Energy and Carbon Reporting (SECR) legislation will apply throughout the UK from April 2019 for large companies…
esos
ENERGY SAVINGS OPPORTUNITY SCHEME
ESOS is a mandatory energy auditing scheme affecting large undertakings and their corporate groups…
min.-met.
mineralogical and metallurgical ccl exemption
Climate Change Levy (CCL) charges are applied to energy used per unit and are directly applied to energy bills…
eii
ENERGY INTENSIVE INDUSTRIES (EII): RO, FIT, & CFD EXEMPTION
Energy costs are increasing due to rising green levies and taxations that are driven by government policy to meet low carbon targets…
crc
carbon reduction commitment
The Carbon Reduction Commitment (CRC) Energy Efficiency Scheme is moving into its final phase in 2019…
dec & epc
Display Energy Certificate & Energy Performance Certificate
Energy Certificates, be they DEC or EPC are required by a large proportion of public and non-domestic buildings in the UK…
iso 50001
International Organization for Standardization (ISO) 50001 is Energy Management
Achieving the ISO 50001 standard demonstrates that an organisation uses energy efficiently and in doing so saves money…
GHG
green house gas reporting
The UK government has announced that quoted companies are required to report their annual greenhouse gas (GHG) emissions within their…