Big Fines for late CRC reports
9 May 2011
The deadline is fast approaching for those companies obligated under the Carbon Reduction Commitment to submit greenhouse gas emissions footprint reports and their first annual emissions data report. Those who are late doing so will face heavy fines.
The management consultancy company Pricewaterhouse Cooper, have warned that companies could face fines equivalent to between 5 and 11% of their energy bills.This is an enormous amount considering some companies spend over £20m on their energy bills. Companies face an initial fine of £5,000 and a further £500 for each day the report is not submitted. Finally, any discrepancies found within the report can trigger fines of £40 a tonne. For the company who spends £20m on their energy bills, they are looking at fines of over £80,000. (endsreport.com).
Pricewaterhouse Cooper warns that despite the risk of fines and the looming deadlines, many companies are not prepared for the July cut-off date. Furthermore, Henry Le Fleming, carbon reporting specialist, warns last year’s registration phase was the easy part, “Many companies won’t have stressed their processes, systems and controls for gathering data”.