Carbon Zone

Carbon Reduction Commitment CRC

Carbon Reduction Commitment (CRC) – CBI consultation response

17 June 2009

crc  Download: Carbon Reduction Commitment (CRC) – CBI consultation response 414kb

British business is committed to playing its part in delivering the UK’s carbon reduction targets.

CBI believes that energy efficient practices must become mainstream in business operations in order to build a low-carbon economy, and therefore we support the overall aims and ambition of the Carbon Reduction Commitment (CRC). Encouraging cost-effective carbon savings in business will deliver widespread environmental and financial benefits.

However, this is a challenging time for UK businesses, and therefore it is imperative that these regulations are as simple as possible, achieving their environmental objectives with minimal administrative costs. For these regulations to prove successful, Government must:

  1. Assess impact on companies’ cash-flow in light of economic conditions ahead of first payment
  2. Allow businesses flexibility in determining CRC administration most relevant to their operations, and therefore allow large subsidiaries to operate in the CRC in their own right
  3. Reward good carbon management irrespective of business change through exploring the use of sector specific metrics and bench-marks in the capped phase
  4. Incentivise companies to invest in renewable energy generation within the CRC
  5. Expand the Early Action metric to include other accredited carbon management schemes and standards
  6. Recognise the burden that the CRC will place on landlords, provide sufficient guidance and permit allowance transfers between landlords and tenants
  7. Ensure consistency between the CRC and carbon reporting requirements to make it easier for companies to administer; and
  8. Minimise the regulatory burden of multiple climate change policies by analysing interaction and overlap


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