Carbon Reduction Commitment

Is your business affected?

The CRC Legislation is intended to reduce all carbon emissions from major users. In the majority of businesses, a massive reduction in CO2 emissions can be made by consuming less energy. Gener8Now can help you do this, and along with other carbon reduction policies, your company could actually benefit from the legislation. The reverse is true if large users continue as they are.

Do you spend more than £ 500,000 a year on electricity?

Saving your business money

Your business will be affected by the CRC if it consumes more than 6,000mwh of electricity per year or 6,000,000 kwh per year. This is equivalent to a spend of more than £1/2m per year. It could be that the 6,000mwh is taken as the total amount of electricity used across many locations if you are part of a large group. So one independently owned site using 5,000mwh a year will not be affected whereas another business with 100 small sites each using only 70mwh (roughly £70k a year), will be.

Your forward plan

Businesses affected, or "members", will be required to buy allowances in April 2012 which will permit them to emit a fixed amount of CO2. By reducing your business carbon emissions you can lower the allowance you need to buy, to satisfy the new legislation.

  • The organisations affected will have to buy allowances costing £12 per tonne of CO2 to cover their predicted annual emissions.
  • If their actual emissions are greater at the end of the period, they will have to buy more allowances at a higher price.
  • If their actual emissions are fewer at the end of the period they can sell the excess allowances at whatever the market price is.

The number of allowances in circulation will be reduced in future years, so it is vital to start to reduce your business energy consumption right now and have a forward energy reduction plan.

Contact us now to find out how Gener8Now can help.