Climate Change Levy - UK
After the Kyoto summit of 1997, Britain made a commitment to reduce
green house gas emissions by 12% before 2010. To achieve this the
UK Government introduced the Climate Change Levy (CCL), which will
add an average of 12% to business energy costs.
The CCL came into effect in April 2001, and as a result all commercial
users of electricity, gas and LPG will see an increase in their
energy costs. The impact on the profits of big energy users is likely
to be greatest, especially those with relatively few employees.
How much will the CCL affect you, and what do you have to do
about it?
This is yet another tax that has to be paid, but it also incurs
extra costs, such as more staff time for administration, understanding
and keeping up with the legislation.
Here's How MBA Can Help
- Review your current energy usage and requirements.
- Identify tax discounts and exemptions.
You may be exempt if your company is small enough to be charged
for fuel on a domestic basis.
If you comply with the Pollution Prevention and Control Regulations
2000 Act you may be eligible for an 80% discount on the CCL,
by agreeing to meet certain energy reduction targets.
- Reduce energy consumption.
Most companies can increase their energy efficiency and reduce
overall energy requirements by 20% without impacting profits.
- Advise on investment in other energy sources - such as Combined
Heat and Power, Green Energy.
- Provide Project Management
We will carry out benchmarking to establish baseline figures,
and monitor against future performance and best practice data.
We will ensure compliance with all legislation and handle all
administration.
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