Companies urged to sign up to CRC scheme
A Midlands-based engineering maintenance company has warned many industrial companies in the region are “burying their heads in the sand” when it comes to the Carbon Reduction Commitment (CRC). Deritend Industries said there is a “distinct lack of motivation and understanding” about the mandatory energy efficiency scheme.
The scheme, run by the Department of Energy and Climate Change, states that business consuming over 6,000 megawatts per hour (MWh) must disclose information about their energy use. However, businesses in the Midlands are “taking it down to the wire”, according to Deritend’s group sales and marketing manager Stuart Hutchinson. He added that businesses could face “crippling financial penalties” as a result.
Just 1,229 of the estimated 4,000 eligible organisations have registered for the scheme so far, according to the Environment Agency.
While the agency is keen to emphasise that the CRC scheme is not designed to prosecute companies, it has the power to impose considerable fines for eligible companies that do not meet the registration deadline of 30 September – firstly with a fixed fine of £5,000, followed by £500 per working day until the company has registered, for a maximum of 80 working days.
“The Midlands is home to some of the country’s largest and most successful manufacturing firms,” said Hutchinson.
“Many of whom use significant amounts of energy during their day-to-day workings – far more than the 6,000 MWh limit set by the Carbon Reduction Commitment.
“Yet we are seeing a distinct lack of motivation, and indeed a lack of understanding, from many of these firms to prepare for the reality of the CRC.
"Unless they do something quickly they risk not only a fine for failing to register in time, but significantly larger sanctions further down the line as well.”
