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EA focus on non-compliance with the CRC Energy Efficiency Scheme

Ashleigh Williams
Apr 06, 2016

EA cracks down on non-compliance with the Carbon Reduction Commitment (CRC) Energy Efficiency Scheme 

The Government announced in the summer budget that the Carbon Reduction Commitment Energy Efficiency Scheme (CRC) will be abolished following the July 2019 submission. Some companies may therefore assume that enforcement will nose-dive, but this is not the case.

Who has been penalised and why?

At the end of March, the Environment Agency (EA) released a list of companies that received civil penalties for non-compliance under the scheme between November 2015 and March 2016.

Of the penalties issued, a common theme of inaccurate reporting and failure to submit annual reports has emerged. The fines ranged from £2,850 to £45,000 and featured a variety of companies including Government Departments and Public Sector Bodies.

How to avoid the penalties?

In order to ensure compliance with the CRC, companies should:

  • assess if they are obligated for Phase 2 of the scheme
  • analyse company structure for any changes since registration
  • report any designated changes to the Environment Agency
  • capture a list of all obligated undertakings and associated energy sources
  • contact energy suppliers for statements by 31 March
  • compile data and submit an annual report by the last working day in July
  • purchase and surrender allowances to cover emissions
  • maintain an evidence pack

How can affected businesses reduce the burden?

Valpak has helped companies affected by the CRC since the scheme first came into force in 2010 and we are currently helping companies to comply for year two of the second phase of the CRC. Our dedicated team can offer tailored support to suit companies within any sector.

Our full compliance service helps affected companies with data collation, submissions and maintenance of evidence packs. All our current CRC customers are confident that they are fully compliant and can prove that they are in the case of an EA audit.

Get involved

If you have identified that your company is affected by the CRC, if you are new to the CRC or would just like to know more about energy legislation and management why not come along to one of our Energy Seminars where we will discuss energy compliance and outline how your business can make energy savings.

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Disclaimer: The opinions expressed in this weblog represent those of the individual authors and not those of Valpak Limited or any other organisation.