Companies with Part A activities under the PPC Regulations can apply for Climate Change Agreements (CCA) to get an 80% Climate Change Levy (CCL) discount at any time, but CCL reductions cannot be claimed retrospectively. The CCL is a tax on the use of energy by non-domestic sectors which applies to electricity, gas, LPG and solid fuels. The CCAs also remove participants from the obligation under the PPC Regulations to produce an energy improvement plan. Under the agreement participants commit to biennial energy or carbon targets up to 2010 and to implementing qualitative requirements relating to their energy management. Prospective participants need to complete the following steps to join the agreement and secure their CCL reductions:

1. Establish eligibility.

2. Apply to join CIA or CIABATA (if not already a CIA member).

3. Determine base year data*, generally for 1998, and targets to 2010.

4. Complete the agreement documents in the participation pack and submit them to CIABATA for forwarding to DEFRA.

5. On acceptance into the agreement by DEFRA, advise energy suppliers of the level of CCL relief to apply to bills.

*For sites with no base data eg. where there is new plant, it is possible to enter an interim agreement prior to specifying targets.

Information on each of these steps is given below and additional references are carried at the Information on each of these steps is given below. For more background information on the CCL/agreements see also the attached DEFRA paper and the DEFRA CCL website. For further guidance please contact CIABATA.