Climate Change Agreement (CCA)
A CCA is a voluntary agreement between UK industrial sectors and the Environment Agency to reduce energy use and emissions, in exchange for a significant discount on the Climate Change Levy.
What is Climate Change Agreement (CCA)?
CCAs cover over 50 industrial sectors and approximately 9,000 facilities. Participating companies receive up to 83% discount on electricity CCL and 78% on gas CCL in exchange for meeting sector-specific energy efficiency or carbon reduction targets. CCAs are administered by sector associations and monitored by the Environment Agency in two-year target periods. They have delivered significant energy and emission savings in energy-intensive industries.
Practical Examples
A ceramics manufacturer receives £200,000 annual CCL discount through its sector’s CCA, committing to a 15% improvement in energy intensity over the target period.
A food processing company participates in its sector CCA, implementing combined heat and power (CHP) and process optimisation to meet its target.
How Climatise Helps
Climatise tracks energy consumption and intensity metrics needed for CCA compliance reporting and target monitoring.
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