The Climate Change Agreements (Eligible Facilities) Regulations 2012 (as amended) is an important piece of legislation that aims to reduce greenhouse gas emissions from eligible facilities in the UK.

Under the regulations, eligible facilities can enter into a Climate Change Agreement (CCA) with the government. CCAs are voluntary agreements that allow eligible facilities to receive a discount on the Climate Change Levy (CCL) in exchange for meeting certain energy efficiency and emissions reduction targets.

Eligible facilities include those that operate in energy-intensive industries such as manufacturing, mining, and quarrying. Facilities must be classified as energy-intensive and meet certain energy consumption thresholds to be eligible for a CCA.

The regulations require eligible facilities to submit an application to the Department for Business, Energy and Industrial Strategy (BEIS) to enter into a CCA. Facilities must also provide annual reports on their energy consumption and emissions data to demonstrate that they are meeting their targets.

Facilities that do not meet their targets may be subject to penalties and may lose their CCA discount. However, facilities that exceed their targets may be eligible for a higher discount on the CCL.

The regulations have been amended several times since they were first introduced in 2012. The most recent amendment, made in 2019, extended the eligibility criteria for CCAs to include additional sectors such as data centres and water recycling.

The regulations are an important tool in the UK’s efforts to reduce greenhouse gas emissions. By incentivising eligible facilities to reduce their energy consumption and emissions, the regulations contribute to the UK’s overall climate change goals.

In conclusion, the Climate Change Agreements (Eligible Facilities) Regulations 2012 (as amended) are an important piece of legislation that aims to reduce greenhouse gas emissions from eligible facilities in the UK. The regulations provide incentives for eligible facilities to improve their energy efficiency and reduce their emissions, contributing to the UK’s overall climate change goals.