What is CRC?

The CRC is a mandatory cap and trade scheme developed to reduce carbon emissions from non-energy intensive industries. It is aimed to include organisations whose activities are not covered by the EU Emissions Trading Scheme (ETS) or Climate Change Agreements (CCA).

 

Who qualifies?

The mandatory cap and trade scheme will impact large companies and local authorities in the UK e.g. supermarket chains, hotel chains, office-based corporations, government departments and large local authorities. An organisation is required by law to participate in CRC if:

• It has at least one half-hourly meter (HHM) settled on the half hourly (HH) market AND

• It consumed more than 6,000 megawatt hours (MWh) of electricity in 2008-calendar year-through these meters (equivalent to an annual electricity bill of ~ £500,000).

 

Why is it needed?

It is designed to meet the Government’s Climate Change Act 2008 targets of at least 80% cut in greenhouse gas emissions by 2050 and reductions in CO2 emissions of at least 26% by 2020, against a 1990 baseline.

 

When does it start?

September 2009 – Qualification Packs will be sent to the billing addresses of each half-hourly meter settled on the half-hourly market.

April 2010-September 2010 – Registration Period

Organisations with total 2008 HH electricity consumption above 6,000MWh:

Legally required to register

·  Register through a web based tool ·  Disclose info on organisational structure and subsidiaries ·  Provide contact info of the person(s) responsible for the organisation's participation ·  Submit a list of all HHM settled on half hourly market ·  Disclose total half hourly electricity consumption

Organisations with total 2008 HH electricity consumption less than 6,000MWh:

Legally required to submit an information disclosure

·  Access the same web based tool ·  Follow guidance and complete info disclosure

What are the implications for CRC participants?

NEGATIVE: Non-compliance is a criminal offence and penalties are wide ranging:

×      Failure to register (£5,000)

×      Failure to disclose information (£1,000)

×      Failure to provide footprint report (£5,000)

×      Failure to provide annual report (£5,000)

×      Incorrect reporting (£40 per tCO2)

×      Failure to hold/cancel sufficient allowances (£40/tCO2)

×      Failure to keep adequate records (£5 per tCO2)

 

POSITIVES Save energy, save carbon, save money

Enhanced reputation: from ranking higher than competitors in league table

Forward thinking: short term actions provide long term benefits

 

How can ABS help you prepare?

1. Scheme registration – get started

• We guide you through the process and help you acquire and process energy figures for data management to avoid registration penalties.

• We assist in the processing and submission of ‘information disclosure’ or registration for organisations that have at least one HHM settled on the half-hourly market. This includes collating electricity consumed from all HHMs.

2.Early Action measures –get rewarded for early action

• Installation of AMRs by 21 March 2011. We install data management systems and energy monitoring processes, this allows you to gather annual energy usage data by individual offices/stores or as entire estates.

• Mentoring programme to gain the Carbon Trust Standard - To gain accreditation three years of data is required. The organisation must show footprint reduction over the three years and achieve a 60%  pass at the Carbon Management assessment which looks at carbon governance, management and accounting.

3. Reporting – know where you stand at any time

• Annual report: annual emissions must be reported by the last working day of July after the end of each compliance year (29 July 2011 for first year).

• Footprint report: details total footprint emissions,  CRC included emissions, any exemptions and sources and values of electricity credits. (For the introductory phase it is due by 29 July 2011).

4. Advice – save energy, save carbon, save money

• We help collect data and establish a process to monitor energy consumption

• We help forecast and budget for purchasing allowances and for potential penalties and bonuses

• We help you set carbon reduction targets and strategies

• We create awareness from carbon and energy motivational and technical workshops

• We set up strategic operational processes for continuous improvements
  

 

Carbon Reduction Commitment Brochure
Regulation Compliance Brochure
Why use Low Carbon Energy Assessors info sheet