UK Industry Agree to Stretch Energy Efficiency Improvement

UK Energy Intensive Industries have agreed to commit to stretching energy efficiency improvement targets to 2020 as part of the voluntary Climate Change Agreements (CCA) scheme.

The agreement, which started yesterday, will deliver an overall 11 percent energy efficiency improvement across all industry sectors by 2020 against agreed baselines and provide an extension to the Climate Change Levy rebate for energy intensive industries until 2023 in return for meeting energy efficiency improvement targets. The UK’s Environment Agency will administer the new scheme, providing a simplified and streamlined approach to administration for both Government and Industry.

A total of 51 industrial sectors including steel, aerospace and farming have signed up across 9,000 sites.

UK Minister for Climate Change, Gregory Barker, said: “I am really impressed by the commitment shown by the UK Energy Intensive Industry to improving their competitiveness and energy efficiency. This partnership with Government demonstrates our commitment to growth”

These savings will be delivered through the implementation of cost-effective measures such as variable speed drivers, improved energy management systems and process optimization amongst other measures.

If all the sectors meet their targets from 2013 to 2020 against agreed baselines, this would:

  • Reduce emissions of carbon dioxide by 19 million tonnes;
  • Reduce primary energy consumption by approximately 100TWh;
  • Deliver an estimated saving to participants on the Climate Change Levy of £300 million each year.

Picture of Rolls Royce engine by User:Kolossos (Own work) [GFDL, CC-BY-SA-3.0 or CC-BY-SA-2.5-2.0-1.0], via Wikimedia Commons

Thursday 4th April 2013

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