Climate change levy - plastics and laundries sectors
The measure
It has been announced that the plastics and laundries sectors have joined the climate change agreement scheme. The scheme allows energy intensive businesses to benefit from an 80% reduction (or 65% reduction from 1 April 2011) in their climate change levy costs.
Who will be affected?
Businesses in the plastics and laundries sectors which successfully negotiate a climate change agreement, in accordance with the terms of the sector umbrella agreements (which will need to be agreed by the relevant industry bodies).
When?
Whilst the measure is effective now, the businesses concerned will need to negotiate individual agreements with the Department for Energy & Climate Change.
The measure will allow both sectors to reduce their effective energy costs. However, the benefit of the scheme will, as noted above, be significantly reduced after 1 April 2011.
