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ARTICLE · 13 MAY 2013

The New CRC Energy Efficiency Scheme Order 2013

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The CRC Energy Efficiency Scheme Order 2013 will soon replace in its entirety the 2010 Order for the operation of the now much criticised CRC Energy Efficiency Scheme.

United KingdomEnergy and Natural Resources
Edward Craft
Edward Craft

The CRC Energy Efficiency Scheme Order 2013  (the 2013 Order) will soon replace in its entirety the 2010 Order for the operation of the now much criticised CRC Energy Efficiency Scheme (the CRC Scheme). When the coalition government announced changes to the CRC Scheme as part of the Spending Review 2010 we were the first to note that the heart had been ripped out of the trading scheme and that it had become little more than a tax to which disproportionate and cumbersome costs to business were attached. The 2013 Order will put in place a slightly simplified, but still conceptually confused scheme.

The CRC Scheme lost its way

Back in 2010 we suggested that the objectives of the CRC Scheme would best be retained by a combination of mandatory greenhouse gas reporting, the replacement of the need to purchase CRC Scheme carbon allowances with a hypothecated carbon tax (through an extension of the climate change levy) and greater obligations to display energy information

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