Businesses that have not yet registered for the Carbon Reduction Commitment Energy Efficiency Scheme (CRC) will not be fined if they get in touch with the scheme’s enforcer before the September 30 deadline.
The
Environment Agency, which is managing the
CRC, a new mandatory
carbon emissions trading scheme affecting larger, non-energy intensive UK businesses and public sector organisations, published new figures today that show almost 1700 organisations have now registered – less than half the total number expected to be participating in the scheme.
Eligible businesses – around 4000 according to the Environment Agency – have only five weeks to register for the CRC and could face fines of up to £45,000 if they fail to do so. A spokesperson for the Environment Agency told
GreenWise that the deadline would not be extended, but said companies that got in touch before the deadline and could show they were making genuine efforts to comply would not face fines.
"There is no change to the deadline, but as long as organisations are making real efforts to register, including contacting us, they don’t need to be concerned about fines," said the spokesperson. "We are here to help businesses. We want this to be a process of cooperation."
The CRC affects many of the UK’s leading retailers, banks, service businesses and large public sector organisations. Those businesses whose annual electricity bill is around £500,000 will need to participate, but around 20,000 other large organisations need to register or make an information disclosure under the CRC with the Environment Agency by September 30.
Participation in the introductory phase is determined using 2008 electricity consumption – organisations with at least one half-hourly settled meter and consumption of 6,000 megawatt hours or more through all half-hourly meters during this time, are required to participate in full.
Under the scheme, participants will need to purchase an allowance for each tonne of CO2 they emit, priced at £12 per tonne of CO2.
Awareness of CRC "very high"Despite less than half of participants having yet registered for the CRC, the Environment Agency maintains awareness of the scheme is "very high" and companies know they need to register.
"We are taking a large number of enquiries and there is a lot of evidence to suggest that a large number of those calling know what they need to do," said the spokesperson.
Companies hoping for CRC deadline extension
However, it would appear that some businesses are still hoping the Environment Agency will extend the deadline.
Energy company npower, which is helping businesses monitor and manage their energy consumption, said today it had anecdotal evidence that showed many businesses are still compiling data and are hoping the Environment Agency will extend the deadline to give them more time to complete their submission.
"Businesses are working hard to get the necessary data together, but many are facing challenges in compiling all the information required," said Dave Lewis, head of business energy services at npower. "It’s likely that some will miss the deadline and secretly, many are hoping the Environment Agency will extend the registration period.
npower said it believes part of the problem is that many have failed to appreciate the full scale of the task.
"The CRC is aimed at large organisations, many of which have complex estates and metering requirements, and it’s proving challenging to compile the historic billing data required, and taking longer than many anticipated," added Lewis.
But both npower and the Environment Agency today were urging companies to stay focused on the September 30 deadline and complete submissions as quickly as possible.
"We would urge the remaining organisations to register as soon as possible. Our helpdesk is here to help organisations get it right first time, and organisations that have made genuine efforts to register with us should not be concerned about facing fines," said Tony Grayling, head of climate change and sustainable development at the Environment Agency.
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