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Posts Tagged ‘CRC league table’
Organisations looking to maintain their CRC league table ranking by retaining Carbon Trust Standard (CTS) certification will need to increase their reported footprint scope, advises energy and carbon solutions provider Envido.
A number of major organisations affected by the Government’s mandatory CRC Energy Efficiency scheme achieved the Carbon Trust’s certification standard to boost their position in the CRC scheme’s performance league table. However, after an initial two-year ‘grace’ period, they need to re-apply, and are obliged to report an increased range of emissions sources.
Historic business travel, fugitive and, process emissions need to be reported as part of the re-application, explains Envido’s principal carbon analyst, Karimi Gitonga .
“Environmental managers haven’t taken the steps to monitor these additional emissions sources may find it difficult to retain the standard which in turn will impact in their league table performance.”
Here Envido provides some information to support for energy managers who need to manage their organisations Carbon Trust Standard recertification and advice where no action has been made to reduce these emissions sources or if they haven’t been monitored at all:
Consider your options
The UK has been one of the most proactive countries in tackling business emissions and climate change and the CRC Energy Efficiency Scheme is one of the latest innovative policy developments. The CRC widens the scope of businesses that are directly covered by emissions trading regulation and targets demand side efficiency in large non-energy intensive businesses. Not only does the CRC put a price on carbon, it also aims to drive change through increasing public scrutiny of corporate emissions through the league table.
However, the CRC league table, published for the first time in November, has been criticised by some as inaccurate, with arguments that the table is unrepresentative as it only takes into account advanced metering and early action certification. In addition some have complained that disclosure of ‘early action’ is voluntary, leading to misleading rankings. Others have objected to the level of administrative burden. So what was the purpose of the league table and how will it affect UK businesses going forward?
The Carbon Trust regards the first CRC Performance League Table as an important initial snapshot of corporate performance, which provides useful insight on baseline emissions levels and on the actions taken by business to manage their emissions in advance of the CRC scheme. While the first table may only include basic emissions and early action data, subsequent ranking will become more insightful as it will provide an effective measure of emissions reduction progress through comparisons with previous results. These year on year comparisons will reward those companies with long term emissions reduction programmes that are fully embedded within their strategy and operations.
Asda is the lowest-carbon supermarket, according to the first league table for the government’s Carbon Reduction Commitment scheme.
The supermarket was ranked 37th in the inaugural Performance League Table, using a weighted score based on its reported carbon emissions from half-hourly metered sites.
But because the league table gives credit for metering actions, a company’s total carbon output does not necessarily match its league position.
Asda reported 794,000 tonnes of CO2e at a rate of 40.03 tonnes per million pounds of turnover.
Second retailer was Morrisons, in 56th place, with 837,000 tonnes CO2e, achieved at 50.79 tonnes per £m of turnover
John Lewis Partnership took third place, with a group ranking of 75th in the table. Its 345,000 tonnes CO2e were achieved at 42.08 tonnes per £m of turnover.
The Environment Agency published the long-awaited CRC Energy Efficiency Scheme performance league table last week, ranking qualifying organisations based on their early action.
Since it was introduced, the league table has been met with mixed reactions by the organisations that the scheme covers. For the more PR conscious, the CRC league table is an official way of showcasing their progress on energy management. However, others argue that the league table provides irrelevant and misleading information. Since revenue recycling has been scrapped, many participants see the league table as an unnecessary distraction to the main aim of the CRC – becoming more energy efficient.
Despite these arguments, and multiple changes to the scheme’s rules, over 2,000 organisations, ranging from councils to high street brands, diligently submitted their reports at the end of July and are now reviewing where they rank. What their performance shows may not be immediately obvious given the complexity of the rules and the range of organisations participating.
But one thing’s for sure, performance in this first league table draws a line in the sand – do better next year or face considerable public scrutiny. Although we’re already half way through the second year, it’s not too late to take action to avoid a place at the bottom.
Councils have an opportunity to take some quick steps to reduce their tax obligations under the Carbon Reduction Commitment, writes Matt Fulford
Buried in section 2.108 of the Comprehensive Spending Review (CSR) was a fundamental change to the Carbon Reduction Commitment (CRC), turning what was an incentive into a tax and leaving local authorities with something to think about.
All organisations using more than 6,000MWh per year of electricity will be paying 8-9% of their energy costs in a ‘carbon tax’ to the government by 2012, and contrary to original plans, not getting any of this back. Local authorities will need to take practical measures immediately to reduce carbon emissions, and in particular consider those from their schools.
Our initial calculations suggest that councils will have to find between £150,000 and £300,000 per year from 2012 to pay for this change, with 50-60% of this cost arising from schools’ emissions. However under the new system the cost of carbon can be directly passed on to schools, which was impossible under the complex original scheme. If local authorities were to do this we estimate the cost would be an average of £1,500 for a primary school and £4,500 for a secondary school.
Other changes following the CSR will remove the financial links to the CRC league table and achieving the Carbon Trust Standard, making them solely measures for improving reputations.
Budget spending cuts have turned CRC environmental carrots into financial sticks, claims on365
Loughborough, October 26, 2010 – Following the government’s Comprehensive Spending Review last week, several cuts and reductions are being put into place and the effects are already being felt across the UK. on365, a specialist in the planning, installing, management and optimisation of physical IT infrastructure and utility services calls for a review of the proposed restructuring of the Carbon Reduction Commitment (CRC).
When the CRC was initially introduced, it was positioned to the market as an initiative to ensure greener data centre operation and to significantly reduce UK carbon emissions. Originally, from April 2011 results would be published in the CRC league table and these would influence the organisations’ future energy costs and financial reimbursements or fines which would be determined by performance.
The restructured CRC means that the scheme has now become a stealth carbon tax due to government’s decision to direct CRC funds back to the Treasury, instead of being redistributed, as originally planned, to the top performing businesses. It is estimated that revenues from allowance sales totalling £1 billion p.a. by 2014-15 will be used to support public finances rather than going back to scheme participants. However, under the restructuring the burden on businesses will, in the first instance, be slightly reduced by the fact that the first allowance sales for 2011-12 emissions will be pushed to 2012 instead of 2011, giving businesses a deferral of cash flow.
Chris Smith, sales and marketing director at on365, comments that: “I think that CRC now reads ‘Corporate Restraining Charge’. In effect this is now a tax and not an incentive to reduce carbon emissions. Corporate environmental responsibility is now measured in pounds sterling with the carrot to encourage businesses to participate being replaced by a stick.”
About on365
on365.co.uk is a specialist in the planning, installing, management and optimisation of physical IT infrastructure and utility services, from the desktop to server rooms to data centres. Its comprehensive IT support capabilities encompass installation, system testing, network integration, on-site maintenance and audit/review services. It has clients across the UK and EMEA in the financial, telecommunications, utility, transport and leisure sectors.
CRC News is the online voice for the CRC Scheme (Carbon Reduction Commitment) and Energy Efficiency in Buildings. The site covers information about the CRC EES , CRC Case Studies , CRC Guidance , CRC News, Energy Efficiency Consultants News, Energy Management & Energy Savings , Energy Measurement and Monitoring , Energy Recording and Reporting , Events , Fines and Penalties. For more information, subscribe to the CRC News RSS feed or subscribe to CRC News by Email. You can also follow us on Twitter@CRC_News_
With yesterdays deadline for the Carbon reduction Commitment (CRC) Energy Efficiency Scheme now behind us, organisations who did register will be looking forward, aiming for the top spot on the league table and demonstrating just how sustainable they are comapared to their competitors.
However, with the Environment Agency already declaring that they will not embark upon a ‘naming and shaming’ excercise, instead continuing to work with organisations to ensure the CRC Scheme is implemented as effectively as possible, there are likely to be a few false starts on the way to the first round of annualy results.
However, some organisations have embraced the legistlation and are already looking forward to the financial and reputational rewards that the scheme aims to deliver.
But survey finds large numbers of firms are still failing to measure their carbon footprint
Firms looking to boost their standing in the government’s Carbon Reduction Commitment (CRC) league table will have a wider range of options to choose from after the Environment Agency yesterday extended the list of standards that qualify as so-called Early Action Metrics under the scheme.
Early Action Metrics are designed to recognise those organisations that have already taken measures to improve their energy efficiency and, as a result, might find it harder to deliver continued percentage cuts in their energy use. Under the rules of the CRC, the Environment Agency takes compliance with Early Action Metrics into account when compiling the league tables detailing participants’ energy performance, giving a higher rating to organisations that have already taken measures to enhance their efficiency.