The Energy Bulletin: Regulations round-up October 2015

Read the latest round-up of energy market and regulatory news, including all the biggest updates for October 2015…

energy-industry-regulations-october-2015

Reforms to the business energy efficiency landscape

Following the announcement of a review of the business energy efficiency tax landscape at the Summer Budget,  HM Treasury and DECC issued a joint consultation on 28 September seeking views on proposals to simplify the business energy efficiency regulation landscape. Key proposals being considered include:

  • A single business energy consumption tax based on the Climate Change Levy (CCL)
  • Abolishment of the Carbon Reduction Commitment Energy Efficiency Scheme (CRC)
  • An incentive to encourage further investment in energy efficiency and low-carbon measures
  • A single reporting framework delivering a net reduction in compliance costs for businesses

These early stage proposals aim to streamline policy and reduce compliance costs by creating a framework whereby a single business faces just one tax and one reporting scheme. The government intends to issue a further consultation with more detailed policy designs and implementation strategies.

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/464304/PU1853_business_energy.pdf

 

Ofgem responds to CMA’s provisional remedies

The Competition and Markets Authority (CMA) recently published Ofgem’s response to its proposed provisional remedies – part of its ongoing energy market investigation work. In their response, Ofgem state that customers’ interests were best delivered through effective competition and, if implemented, the proposed “safeguard tariff” would need to be transitional and accompanied by measures to increase engagement. They also pressed the CMA to explore the opportunities available to improve consumer engagement through price comparison websites.

https://assets.digital.cabinet-office.gov.uk/media/561e1fbaed915d39bc000013/Ofgem__revised_with_additional_material_.pdf

 

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