Are you prepared for the Carbon Reduction Commitment?

DEFRA have announced that the consultation on draft regulations for the Carbon Reduction Commitment (CRC) is now expected at the end of 2008. This means that prospective participants will have less time to prepare for the introduction of the scheme which is due to start in 2010. Our guide summaries the potential key requirements to help you prepare.

The Carbon Reduction Commitment aims to cut carbon emissions from large non-energy intensive users in the private and public sectors by 1.1 MtC / year (4 million tonnes of CO2) by 2020 through mandatory emissions trading. Government has estimated that almost 5,000 organisations from the commercial and public sectors will be captured by the scheme.

Your organisation will be captured by the CRC if its total half-hourly metered electricity use is greater than 6,000 megawatt-hours (MWh) between 1 January 2008 and 31 December 2008. This corresponds to annual electricity bills of approximately £500,000. However, to minimise policy overlap, your organisation's emissions covered by a CCA or EU ETS will not be required to be reported in this scheme.

CRC is designed to drive energy efficiency and carbon saving by giving organisations a financial incentive to do so through emissions trading, and combining this with reputational incentives through publishing organisations’ performance in a league table.

The government will be contacting sites with Half Hourly Meters (HHMs)at the beginning of 2009 with an information pack on the CRC and instructions on what to do next.

We recommend that organisations start to monitor energy usage through the HHM’s to estimate whether they are likely to meet the 6,000MWh threshold and collate energy (electricity, gas, oil, coal, LPG etc.) bills from 2008 immediately.

Click here to read our guide to the key requirements

 

Introduction to CRC workshop
October - December 2008

EEF's leading training provider Woodland Grange are teaming up with Future Perfect, to deliver a series of workshops designed to give organisational management (at both “Top Most Entity” and “Local” level) an overview of the requirements, challenges and opportunities presented by the CRC.

For further information click here


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further information:

Amisha Patel
Trainee Environmental Policy Adviser

Gareth Stace
Head of Environmental Affairs

related links
DEFRA CRC
downloads
EEF CRC Guidance

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