We recently explored a statement signed by over two hundred business leaders calling for a renewed focus on an economic recovery that aligns with the UK’s climate change agenda.
However, a recent change and extension to the Climate Change Agreement could see a growing number of businesses sign on to this way of thinking.
The climate change agreement is laid out in a way that businesses who reduce energy usage can claim discounts on the climate change levy for their energy bills, but under the current rules, no new businesses have been able to join this scheme since October 2018.
It has now been announced that new targets will be put in place from January 2021, extending the scheme past the current 2023 end date through to March 2025, whilst also providing businesses with an opportunity to join the agreement at a time where savings may be needed most, as we come through the other side of this pandemic. New businesses can begin to submit their CCA application from September of this year, and also seek views for an extension following the March 2025 end date in the future.
This change suggests the scheme can secure up to £300 million in annual savings for companies across the country, but also with wider climate implications as the scheme will prevent an estimated 700,000 tonnes of Co2 – the equivalent of taking 350,000 cars off the road. There have already been concerns that with so many businesses opening all at once following the three month lockdown, all efforts of reducing the climate impact could be reversed in the short term, and that this extension could go a long way in accelerating the countries climate change goals.
With the opportunity now available to be part of this climate change agreement, it may be time to prepare your business to meet these energy efficiency goals – you can explore the options we have available for you, or get in touch with us today to start saving money and be a part of our clean energy future.
