2018 was a fundamental year in the growth of renewable energy. It saw the largest annual increase in global renewable generation capacity ever, so much so that new solar photovoltaic capacity grew at a greater rate than coal, nuclear and natural gas combined.
Climate change is a hot topic in world affairs currently, and it’s somewhat pleasing to see evidence of the Cleantech sector rising to the challenge of reducing the significant issue of global warming. Last year, the UK set new records for wind generation, and there are now plans for the UK’s largest solar farm to provide the cheapest electricity available on the grid, thanks to battery backup. Furthermore, `Tesla installed the world’s largest lithium battery in Australia, and it is forecast to return a third of its cost within just a 12-month period.
According to BP, renewable energy sources will be the world’s main source of power by 2040. They have said that wind, solar and other renewable energy sources will account for circa 30% of the world’s energy supplies by 2040. In fact, in Europe, the projections are even higher – BP are forecasting this to be upwards of 50%.
Climate change is being taken very seriously by the British Government. Climate Change Levy (CCL) rates are increasing year-on-year – with electricity CCL rates raising from 0.00583 to 0.00847 £/KWh, and natural gas CCL rates rising from 0.00203 to 0.00339 £/KWh. These are hefty rises, and represent by far the biggest increases since the scheme was introduced in 2001.
CCL rises are being introduced to recoup revenue lost from the abolition of the Carbon Reduction Commitment (CRC) Energy Efficiency Scheme. Furthermore, and to the benefit of a greener Britain, they also provide a financial incentive to those businesses who reduce gas use, saving carbon in the non-traded sector and delivering on national climate change targets.
Businesses will be required to submit their last CRC report by July 2019, and to surrender allowances for the final time in October 2019. As such, the switch towards renewable energy is moving evermore towards becoming a necessity, as opposed to a benefit.
Utility Trade Group can help your business to not only contribute to a greener Britain, but also to be financially affluent with reduced energy bills and levies. Get in touch with one of our experts today.
