New Eco Incentives To Reduce Energy & Save Money

New Eco Incentives To Reduce Energy & Save Money

The Government announced new eco incentives to reduce energy & save money
today.  The aims to cut fuel
bills by £1 billion and by more than each year by 2020.

Initially, the scheme will apply solely to organisations whose use is over (MWh) – typically those that spend £0.5 million a year on
electricity.

But all individuals and organisations who wish to cut their energy bills –
regardless of their size or whether they are participating in the scheme – can
find assistance through the , which provides practical advice on how to improve energy efficiency
and develop low carbon products and services.

Introductory phase

The three year Introductory Phase of the scheme starts on 1st April
2010. 

Participating organisations will have to register with the who will administer the scheme.  The
registration window will begin in April and last until the 30 September 2010.

During this first year (2010/11), organisations will only have to report
emissions
, and an unlimited number of carbon gas emission
allowances
will be available at a fixed price of .  Participants in the scheme will also receive a
revenue recycling payment
each year.

From the second year (2011/12), scheme participants will have to purchase
annual carbon gas emission allowances
, monitor energy use,
report emissions and also surrender allowances.  But
organisations that take early action to improve energy efficiency,
e.g., by using onsite renewable energy like wind turbines or solar panels, will
receive extra weighting, and .

Second phase

In the Second Phase of the scheme, beginning in 2013, the Government
will cap the number of carbon gas emission allowances available each
year and all allowances will be auctioned.  The cap will be set in 2010
after the Government takes advice from the .

About the Carbon Reduction Commitment

The is a UK environmental law policy
scheme.  The new eco incentives to reduce energy & save money have been
developed by the , in partnership with the devolved , the and the .