• Auditel Consultant:
  •  Nigel Collins

Carbon Reduction Commitment (CRC)

20 Jul 2009 | Filed under: Energy, legislation

The Carbon Reduction Commitment is a new carbon emissions trading scheme that will affect large organisations in the UK. It wil, start in April 2010. However, there are legal obligations placed on smaller organisations and preparation work to be done which can and should be started now.

From April 2010, any organisation who had at least one half hourly electricity meter in 2008, settled on the half hourly market will be required to make an information disclosure. Organisations consuming over 6,000MWh per annum qualify for CRC and must register as a participant.

So how do I know if I have a half hourly meter?

You should be receiving a letter from the Environment Agency about the ‘Carbon Reduction Commitment’. Information packs are being sent out in September 2009. The type of meter can be determined from your electricity bill but if you would like help with this process, please contact Auditel.

What do I need to do now?

Assuming that you fall beneath the 6,000Mwh threshold, for your information disclosure, you will need to have a record of electricity consumption in the 2008 calendar year. Above 3,000Mwh/annum, you will need to have a list of half hourly meter reference numbers as well as electricity consumption. Auditel are currently assisting clients with this as they gather electricity data as part of their bill checking process.

If your organisation is above the 6,000Mwh threshold, you must register as a full participant.

What happens next?

The Environment Agency will be writing to organisations from September 2009 with further guidance. The registration window is from April 2010 to September 2010.

Our advice is not to leave it until 2010 before starting to gather 2008 consumption data as it will be  easier to obtain now than later.The Environment Agency are recommending that “If you are the highest parent organisation or primary member (the organisation taking responsibility for CRC compliance for your group), you should be thinking about your organisational structure and arranging for electricity consumption data to be forwarded to you from all your UK undertakings.”

Industry Tags: , , , ,

Leave a Reply

AUDITEL NEWS

Sign-up to get the latest cost-saving news and ideas straight from the Auditel Network

AUDITEL WEBSITE

Our main site for more information on our cost and purchase management service.
Total Cost of Purchase Total Cost of Purchase® is a cost and purchase management solution that takes into account all the costs – both direct and indirect – of business overheads.
© 2012 Auditel (UK) Ltd. Registered in England No. 2957303.