CRC and the spending review

As a result of the Government's October Spending Review, there are a couple of changes to the way CRC will be implemented moving forward.

The two main changes are:

The revenue raised from the CRC Energy Efficiency Scheme will now be used to support public finances rather than being recycled to participants who demonstrate efficiency improvements.
The first purchase of allowances will now take place at year-end - meaning the need for a secondary market is no longer there.

The CRC Energy Efficiency Order is now under consultation and closed for responses.

The key amendments to the CRC Energy Efficiency scheme include:

extending the introductory phase by 12 months, so that it runs until March 2014
postponing the start of phase two until April 2013
removing the requirement of organisations with less then 6,000MWh usage to register an information disclosure about their energy use in future phases.

The delay of the start of phase two would allow time to make further amendments to help simplify the CRC.

Further updates will be provided as they become available.