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October 2009

Carbon Reduction Commitment

On Wednesday 7 October, 2009 the UK Government published its response to the draft Carbon Reduction Commitment Order which will be formerly known as the CRC Energy Efficiency Scheme. 

The key points to note are:- 

Early action metric - Instead of being purely based on achievement of Carbon Trust Standard and the percentage of electricity and gas supplies covered by volunarily installed automatic meters, there are now Carbon Trust Standard equivalents and these are are a management system, or scheme, which meets the following criteria:

• Requires absolute emissions reductions, or relative emissions reductions of at least 2.5%, year on year for at least two consecutive years without any geographical, sector or offsetting allowances
• Purchased electricity must be treated in the same way as the CRC
• Measures reductions in terms of emissions rather than energy consumption
• Have a high quality energy or carbon management approach focusing on measurement, management and reduction
• Applies the same assessment criteria to all sectors captured under the CRC
• Available to all CRC participants
• Verification can only be achieved on the basis of proven emissions reductions rather than wider environmental impact management actions
• A high standard of data and evidence is required as part of the assessment process

• Verification is undertaken by independent, accredited third party or parties against a Standard that is managed by an independent and competent authority

In practical terms, this is likely to mean that certification against a standard such as BS EN 16000 will be required rather than an internal standard.

Automatic metering - This covers all meters that have been installed voluntarily, and not as part of a legal requirement, up to 31 March 2011 and comprise part of the early action metric.

Specific definitions have been developed and the key points are:

• All meters need to be read remotely by the customer
• Automatic Meter Reading sub-meters do not qualify
• Sub-metering does not qualify

The full suite of documentation containing the details of the above can be found at www.environment-agency.gov.uk/crc

or through 

http://www.viaticusltd.co.uk/pdf/Automatic_Meter_Reading.pdf 

http://www.viaticusltd.co.uk/pdf/Early_Action_Metric.pdf

http://www.viaticusltd.co.uk/pdf/1490-Stakeholder Mailout_Oct 09[1].pdf

http://www.viaticusltd.co.uk/pdf/Making_An_Information_Disclosure.pdf