Carbon reduction commitment

The Carbon Reduction Commitment (CRC) is scheduled to come into effect in April 2010. CRC is a cap and trade scheme which seeks to reduce carbon dioxide emissions from large non-energy intensive organisations in both the public and the private sector. It is designed to create a shift in awareness, behaviour and infrastructure. The scheme will involve approximately 5,000 organisations and will deliver at least 4Mt CO2 savings by 2020 through improvements in energy efficiency.

Contact:
Amanda Brandon, amanda@bvrla.co.uk
01494 545701

Am I affected?

The CRC will capture large public and private sector organisations across the UK. Likely participants will include supermarkets, water companies, banks, local authorities (including state funded schools) and all central government departments. Organisations will qualify as a CRC participant based on their half hourly electricity usage.

If you are a subsidiary of an organisation, or part of a group, for example a bank owned leasing company, the group must act together as one entity in the scheme.

What are the qualification standards?

Qualification for the scheme is based solely on half hourly metered electricity usage. Your organisation will qualify as a participant if during the 2008 calendar year;

You had at least one half hourly electricity meter (HHM) settled on the half hourly market across your whole organisation
Your organisation had a total half hourly electricity consumption of at least 6,000 megawatt-hours (MWh)

How are rental and leased vehicles treated under the scheme?

CRC excludes energy consumed by transport where it is used to move people or goods, this would cover most of the vehicles used by members and their customers.

However, energy used to transport people within premises where the businesss is involved in: entertainment, recreation or amusement, cultural, scientific and historical or similar interest are included in the CRC scheme.

Energy used to power conveyor belts, lifts, escalators, and any other similar fixed mechanism or device which is used to move goods or people from one part of a premises to another are included as well.