Friday, 1 October 2010

CRC scheme must continue to focus on carbon reduction and not on fining administration, energy experts warn

An independent energy broker says
the CRC scheme must continue to focus on its goal of national carbon
reduction and not on revenue generation for the Government.

Despite threats of fines, only 2,598 from the expected 5-6,000 large
organisations have registered for the CRC in time to meet today's deadline,
and many smaller companies have been unable to submit information and
complete the registration process on time. Leading energy procurement experts at Bergen Energi UK say the
lower-than-expected registration figures prove the administrative burden and
level of bureaucracy involved of complying with CRC regulations has been too
great and too slow a process.

Bergen Energi UK has urged the Government to be as lenient as possible on
those companies and work with them to help them register successfully as
quickly as possible - without levying potentially crippling penalties.

The Environment Agency is now due to administer fines of £5,000 to
businesses for non-registration and £500 per day for further non-compliance.

Richard Southgate Vice President, Bergen Energi UK said: "There had to be a
cut-off point, and the idea of using fines as a threat to make more
companies take part in the CRC was appropriate up to a point, but hitting
already-struggling companies with fines will have irreversible repercussions
for many firms especially in this economic climate.

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