Government publishes user guide for public and private sector organisations caught by CRC Energy Efficiency Scheme

The Department of Energy & Climate Change has issued a user guide for the CRC Energy Efficiency Scheme designed to help the 20,000 large public and private sector organisations affected meet their commitments.

The user guide covers issues such as which organisations qualify for the scheme, how they can prepare and the “introductory” and “capped” phases of its operation.

The CRC Energy Efficiency Scheme, which starts this April, is a mandatory scheme that aims to improve energy efficiency and reduce the amount of carbon dioxide emitted in the UK, which has committed to reducing greenhouse gas emissions by 2050 by at least 80% compared to the 1990 baseline. Failure to comply could lead to penalties.

The qualification criteria are based on how much electricity an organisation was supplied in 2008. Those organisations covered will have to monitor their emissions and purchase allowances for each tonne of carbon dioxide they emit.

An annual league table is also intended to improve performance – the revenue raised from selling allowance is “recycled” back to participants and their position in the league table affects how much they receive.

Steven Cirell, head of the local government group at Eversheds but currently on secondment at Green Cornwall, recently highlighted the impact the scheme will have on local authority decision-making and resource allocation. He also called on local government lawyers should "step up to the plate and develop the expertise that their authorities now need to cope with the green agenda".

To read the guidance, click here.