Archive for November, 2009

The carbon trading market

The Carbon Reduction Commitment Energy Efficiency Scheme is due to commence in April 2010.  It aims to improve “large” organisations’ energy efficiency and to reduce carbon dioxide (CO2) emissions.  It is estimated that aound 20,000 public and private sector organisations will be required to participate to some degree or another.  Some will simply be required to disclose their electricity usage. Others (thought to be about 5,000 in number) must record and monitor their CO2 emissions and purchase equivalent allowances from the Government initially at a fixed price of £12 per tonne of CO2. Participating organisations can buy and sell allowances on the secondary market.

Participating organisations will include central Government departments, local authorities, water companies, retailers and banks.  Company groups will be treated as one entity.  An organisation qualifies for full participation if it has at least one half hourly meter (i.e. its total consumption is recorded by the energy supplier every half hour) and  its annual electricity consumption through all of its half hourly meters amounts to at least 6,000 MWh.  (An organisation with one or more half hourly meters but with total consumption of less than 6,000 MWh simply has to disclose its consumption.)  Any organisation which does not comply with its legal obligations will be subject to financial penalties.

The Government will issue an annual performance league table ranking organisations according to their energy efficiency. There is information about energy efficiency available to participating organisations from many sources including, for instance, the British Property Federation and the Department of Energy and Climate Change webside.   Or learn more from Hatherleigh Training.