ENVIRONMENTAL CODE OF PRACTICE
Energy & Climate Change
Overview
Climate change is the greatest environmental challenge facing
the world today. Rising global temperatures will bring changes in
weather patterns, rising sea levels and increased frequency and
intensity of extreme weather. The effects will be felt in the UK;
internationally there may be severe problems for people in regions
that are particularly vulnerable.
Climate Change Act 2008
The UK has passed legislation which introduces the world’s first
long-term legally binding framework to tackle the dangers of
climate change.
The Climate Change Bill was introduced into Parliament on 14
November 2007 and became law on 26th November 2008.
The Climate
Change Act creates a new approach to managing and responding to
climate change in the UK, by setting ambitious, legally binding
targets, taking powers to help meet those targets, strengthening
the institutional framework, enhancing the UK’s ability to adapt to
the impact of climate change, and establishing clear and regular
accountability to the UK Parliament and to the devolved
legislatures.
Two Key Aims Underpinning the Act:
- to improve carbon management and help the transition towards a
low-carbon economy in the UK;
- to demonstrate UK leadership internationally, signalling that
we are committed to taking our share of responsibility for reducing
global emissions in the context of developing negotiations on a
post-2012 global agreement at Copenhagen in December 2009.
One of the main provisions within the Act is a legally
binding target of at least an 80% cut in greenhouse gas emissions
by 2050, to be achieved through action in the UK and abroad. Also a
reduction in CO2 emissions of at least 26% by 2020. Both these
targets are against a 1990 baseline. The 2020 target is currently
being reviewed to reflect the move to all greenhouse gases, and the
increase in the 2050 target to 80%.
For mor information visit the
DECC website.
Carbon Reduction Commitment - CRC
DEFRA, the Government’s department for Environment, Food and
Rural Affairs has been developing an initiative to reduce the UK’s
contribution to climate change. Known as the Carbon Reduction
Commitment (CRC), the initiative will set a mandatory emissions
trading scheme for non-energy-intensive organisations. The
scheme will affect organisations that use more than 6000MWh per
year (roughly £500,000 a year energy bill).
Your organisation would be included in CRC if it has at least one
meter settled on the half-hourly market – and its total half-hourly
metered electricity use is greater than 6,000 megawatt-hours (MWh)
between 1 January 2008 and 31 December 2008.
Qualification for the scheme is based solely on half-hourly
electricity usage. However, once the scheme starts, you will have
to monitor and report all your energy use emissions from all
sources (all electricity, gas and other fuels) except for transport
emissions, emissions covered by the EU ETS and emissions covered by
Climate Change Agreements.
For the purpose of determining scheme qualification, DEFRA
propose to define half-hourly metering as:
• Half-Hourly Meters (Code of Practice 5 meters) used for
billing purposes
• Voluntary Automatic Meter Reading (AMR) meters that produce
half-hourly data (irrespective of whether the half-hourly metered
electricity is settled on the half-hourly or non-half hourly
market)
• Pseudo half-hourly meters (commonly used to measuring
electricity consumption of street furniture – e.g. street lights,
traffic lights, etc.)
Your supplier should be able to tell you if you have any half
hourly meters.
The CRC will target UK emission of the highest parent
organisation. If you are the highest parent organisation you will
need to consider the electricity use of your subsidiaries to assess
whether you are included in the scheme. You will also be
responsible for reporting on your total energy use emissions,
including those of your subsidiaries. If you are a subsidiary of an
organisation, you will need to pass on information about your
energy use to your parent for them to report to Government at the
end of each year.
To find out more, whether your company will be affected, and
what you can gain from the scheme visit
http://www.environment-agency.gov.uk/business/topics/pollution/98263.aspx and
register your details.
DEFRA have also produced a
User Guide, providing step-by-step guidance on the trading
scheme, who it applies to and how it will work.