CCA scheme reopens to new entrants
The Climate Change Agreements (CCA) scheme has briefly reopened to new entrants, until 31st March 2022.
Entrants will be eligible for a significant discount on the Climate Change Levy (CCL), until 31st March 2025.
The CCA scheme had previously stopped accepting applications in November 2020, but the government has reopened it for a short amount of time while it consults on the design of a new scheme, which will be agreed in 2023.
About the CCA scheme
CCAs are voluntary agreements made between UK industry and the Environment Agency to reduce energy use and CO2 emissions. In return, participating organisations receive a discount on the Climate Change Levy (CCL), a tax added to electricity and fuel bills. Government figures show that participating organisations save an estimated £255m a year in total on their CCL bills, so it’s worth applying.
An organisation that has a CCA must measure and report its energy use and carbon emissions against agreed targets over 2-year target periods. If it meets its targets, it continues to be eligible for a discount on the CCL.
CCAs are available for a wide range of industry sectors from major energy-intensive processes such as chemicals and paper to supermarkets and agricultural businesses such as intensive pig and poultry farming.
Deadlines to apply for the CCA scheme
The Environment Agency’s application deadline is 31st March 2022, however applications are made to the relevant industry sector association, and some of these have set earlier deadlines. It is worth checking dates with your industry body.
For advice on the CCA scheme, get in touch.