The CRC Energy Efficiency Scheme, formerly known as the Carbon
Reduction Commitment, is a mandatory energy efficiency scheme aimed
at improving energy efficiency and cutting emissions in large
public and private sector organisations. It was introduced to help
deliver the UK's commitment to a 20% reduction in CO2 emissions by
2020 compared to 1990 levels.
Under the CRC, large public and private organisations that used
more than 6,000 MWh of electricity per year (roughly equivalent to
an annual electricity bill of £500K) have a mandatory commitment to
purchase and submit sufficient allowances each year to cover their
CO2 emissions.
The first reporting year began on 1st April 2010,
with the first sales of allowances to be held in April 2011. During
the introductory phase, all carbon emission allowances will be sold
at a fixed price of £12 per tonne of carbon dioxide. From April
2013, allowances will be auctioned by the government, with fewer
available each year. Woodfuelled heating systems deliver carbon
emissions reductions, which reduces the allowance need to satisfy
the legislation.
Significant changes to the CRC were announced in the Spending
Review on 20th October 2010. The Scottish Government
is discussing the implications of these changes and further updates
will be announced on the Scottish Government and DECC websites.
Listed below are some useful links.
Scottish
Government CRC Energy Efficiency Scheme
DECC CRC Energy
Efficiency Scheme
Carbon
Trust