CUB Exemption Service
CUB have been helping some of the largest and most energy intensive companies in the UK to navigate the complex energy industry since 1994. We have helped a number of our customers more recently to achieve significant savings from their energy bill through government backed schemes.
Due to the decline in UK industry and the increasing cost of electricity the government has put in place a number of measures to relieve Energy Intensive Industries of some of the “non-energy” charges which have added a significant cost to all electricity bills.
The schemes are explained in brief below:
EII Exemption/Compensation from RO/CFD and FIT
This scheme is designed to relieve highly intensive energy users from the costs of RO (renewables obligation). CFD (contracts for difference) and FIT (feed in tariff) costs. All of these costs have been passed onto end users by the energy suppliers as they are being charged to the suppliers. These cost elements all derive from a desire to incentivise investment in UK electricity generation for the future however the severity of the impact of these charges now and in the future are having a long and lasting effect on the end user.
The EII exemption scheme is aimed at several energy intensive industries and the qualification criteria initially based on the industry NACE code. There is then an intensity level test which ensures only business that have a particularly high percentage of electricity cost in their end product will qualify.
Exemption from EU ETS and CPS
This scheme has quite a narrow band of qualifying businesses captured within it and is aimed at the more traditional and very energy intensive industries.
The EU ETS (European Union Emissions Trading Scheme) and CPS schemes aim at creating a fair and level market across the European Union for trading carbon with a view of keeping a cap on carbon emissions across all EU member states.
As with the RO/CFD scheme above businesses must pass an intensity level test to ensure full qualification into the scheme.
Mineralogical and Metallurgical exemption from CCL Charges
The cost of CCL (Climate Change Levy) has been increasing since it first appeared on bills in 2001. More recently it has been announced this will increase significantly over the next few years following the cessation of the CRC Energy Efficiency Scheme.
Industries which carry out mineralogical or metallurgical processes are entitled to 100% exemption from CCL charges for the element of their usage which covers this process within their business.
How can CUB help?
CUB are able to assess all required information to ensure that your business is receiving all of the exemptions it may be entitled to. We do this on a no win no fee basis and will agree a cost structure to share any savings that may be achieved prior to undertaking application to any applicable scheme.
To discuss this service with us further please call on 01354 606845 or email [email protected]