What is the CRC energy efficiency scheme?

Previously known as the Carbon Reduction Commitment, CRC is a mandatory government scheme which encourages high energy users to increase efficiency and lower carbon emissions.

The CRC scheme applies to all organisations (excluding state-funded schools in England) consuming more than 6,000 MWh (megawatt hours) of electricity per year; this is because these sectors are responsible for more than 10% of Britain’s total CO2 emissions. The scheme aims to reduce non-traded carbon emissions by 17 million tonnes by 2027.

Participating organisations must measure, record and report their electricity and gas-related carbon emissions on an annual basis. To cover their reported emissions, participants must purchase allowances from the government for every tonne of carbon emitted, so companies that cut emissions will therefore lower their costs.

There are two sales of allowances for each compliance year, with the first based on predicted emissions and the second on a ‘buy to comply’ basis at the end of the period. Non-compliant companies will face cumulative financial penalties.

If you’d like to reduce carbon emissions from your plant or process, get in touch with Gibbons. 

We provide energy-efficient electric motors, pumps, variable-speed drives and more to businesses within all sectors and our team of expert engineers are on hand to help you satisfy the latest legislation, save money and reduce your carbon footprint. Call 01621 868138 or email info@gibbonsgroup.co.uk for more information.