The registration period for the Initial Phase of the CRC Energy Efficiency Scheme opened on 4 November 2013, and those affected have until 31 January 2014 to register with the Environment Agency.
Registration requirements for the Initial Phase - which runs from April 2014 to March 2019 - are different to those for the First Phase of CRC, which began in April 2010 and ends in March 2014.
The changes could mean that some of those that registered for the First Phase of CRC will not be required to register for the Initial Phase of CRC.
Qualification requirements for the Initial Phase
The qualifying amount of electricity remains the same as for the First Phase - 6,000 Mwh (which needs to be consumed by the group between 1 April 2012 and 31 March 2013).
- all of the electricity consumption needs to be via settled half hourly meters. Previously, consumption from both settled and non-settled meters was included provided that there was at least one settled half hourly meter
- there have been changes to the supply rule so that only supplies where you have agreed another party will supply to you and you have received that supply, or a self supply, will count - previously, there was a requirement to have paid for the supply
- a landlord will not be responsible for supply to tenants where a 'construction lease' has been entered into (a lease of 30 years or more where the tenants covenants to carry out certain construction works)
- unconsumed supply can only be deducted from the total supply where it is metered - previously, unconsumed supply could be deducted even if there was no meter
- all electricity consumed for the purpose of operating an EU Emissions Trading System (EUETS) installation is excluded
- all electricity consumed for the purpose of operating a certified climate change agreement (CCA) is excluded
The Environment Agency's Guidance for CRC Energy Scheme: Assessing Qualification and Registering for Phase 2, May 2013 gives more information.
Registering for the Initial Phase
Registration is online via the Environment Agency's CRC Registry. A fee of £950 is payable. After that, there is an annual subsistence charge.
Organisations that registered for the First Phase of CRC will have their organisation details, contact details and meter information automatically populated in the CRC Registry. However, it is important to check that there have been no changes to these details since initial registration.
Details of organisational structure will need to be re-entered.
Penalties for failure to register
The penalty for failing to register by 31 January 2014 is a fine of £5,000, and a further fine of £500 per working day until registration takes place, up to a maximum fine of £45,000.
In addition, the Environment Agency may publish the name of the organisation that has failed to register, details of the failure and the amount of the penalty on the CRC web pages.
If you require advice as to the qualification and registration requirements for the Initial Phase, or have any other queries relating to the CRC Energy Efficiency Scheme, please contact Sophie Wilkinson.