There are two pieces of legislation that we would like to cover this month. The first is The Climate Change Agreements (Administration) (Amendment and Related Provision) Regulations 2016 that amends the Climate Change Agreements (Administration) Regulation 2012. The changes require companies to pay a ‘buy-out’ fee of £14 (increased from £12) for every tonne of CO2 equivalent that targets have been missed by.
The CCA target period is from 1st January 2017 to 31st December 2019. The second regulation does not come into force until 1st January 2018. The Renewable Heat Incentive Scheme (Amendment) (No. 2) Regulations 2016 decreases the 20% power efficiency requirement to 10% for all new solid biomass-CHP plant accredited after 1st August 2016 to qualify for the full tariff. Less efficient plants will still be eligible for a proportion of the full tariff which would reflect the efficiency achieved.