With the current Defra consultation on Greenhouse Gas (GHG) emissions reporting soon to close; EEF has discussed our initial thoughts with government on the options put forward within the consultation.
Defra has made it clear that it does not have a preferred option for GHG reporting that it wants to ‘gather views from businesses and other interested parties prior to taking that decision'. It was also made clear that reducing regulation is a ‘key priority for the government'.
It is encouraging to hear that other stakeholders share the same view expressed previously by EEF - that government should look at the bigger picture and consider reporting alongside the crowded suite of climate change policies that are already in place, namely the Carbon Reduction Commitment (CRC) Energy Efficiency Scheme. This is the perfect opportunity to conduct such a review – when government is seeking ways to simplify the CRC Energy Efficiency Scheme, and will be consulting on the future of Climate Change Agreements (CCAs) some time in July.
However, is anyone in government capitalising on this timing? EEF argue this is an opportunity for government to act on its key priority and reduce some regulation, by replacing the CRC Energy Efficiency Scheme with mandatory reporting that follows it previously published reporting guidelines. This option would use the current CRC energy threshold, of targeting organisation that are supplied with more than 6,000 MWh, as its criteria.
Keeping this flexible, by allowing companies to choose the approach that is best for them - and using Defra's already well received guidance for reporting on GHGs - it will tick a number of boxes: reduced regulatory burden; reduced costs (both for companies and government); evolution of best practice through flexibility in approach; increased investor confidence; transparency in measurement; and increased competitiveness.
EEF will continue to lobby this point of view at further meetings with Defra officials over the coming weeks – ahead of the 5th July close of the consultation.