The government is consulting on energy taxes and plans to thin out the policy stew. Inenco is lobbying for change and in this sponsored post urges businesses to have their say.
The new government has wasted no time in addressing changes to energy policy: within the first 100 days we have been given a flavour of how the next five years will pan out in the sector with slashed subsidies but renewed support for business end users.
The renewable industry has been bruised, with onshore wind subsidies cut early and low carbon support reduced to help stem the over flowing Levy Control Framework, predicted to exceed its 2020 budget by more than £1.6bn at a cost to bill payers. One of the most unexpected announcements was the end to Climate Change Levy exemptions for electricity from green energy, impacting the bottom line of both renewable generators and potentially those businesses with green supply contracts who could see additional costs passed through.
There is good news however: a new consultation on business energy efficiency taxes this autumn could bring significant improvements for energy managers who struggle with the ever-increasing administrative burden of overlapping schemes and data duplication.
What’s more, Treasury is working together with Decc and BIS to jointly address the issues in a revenue-neutral process to simplify and streamline reporting and incentivise energy efficiency.
The consultation will look at merging and simplifying schemes, reducing the cost of compliance and ensuring taxes are fairly distributed across large businesses while protecting energy intensives.
They are collecting views before the consultation begins, to be sure it addresses business’ main concerns, and will be keen to hear from all end users during the main process this autumn.
Inenco is collecting views at inenco.com/haveyoursay via online surveys. We will be sharing all feedback with Treasury, BIS and Decc as part of the consultation process over the coming months.
This is the chance for all businesses to have their say on decisions that will shape the energy tax landscape for years to come. A consultation will only be effective if all views are reflected, including the silent majority who are frustrated at the status quo but may not feel they have the channels to feed back: it’s time to make sure your voice is heard.