Climate Change Levy (CCL) is a tax on electricity, gas, LPG and coal supplied to business consumers. The tax does not cover oil fuels.
CCL does not apply to fuels for domestic consumers or to charities for non-business use.
Some business groups, including protected horticulture, are eligible for a discount on CCL through what are called Climate Change Agreements (CCA's). CCA's are legal agreements between government and trade associations representing eligible business groups. The CCA specifies a set of energy reduction targets that must be met by participating businesses.
CCL discount is earned by reporting energy use and meeting the energy reduction targets set out in the CCA.
Horticultural business that are likely to benefit from having a CCA include growers of protected salads, high energy use ornamental crop growers, glasshouse soft fruit producers and mushroom growers.
The horticultural CCA is negotiated by the National Farmers Union (NFU) and operated on their behalf by Farm Energy Centre. For more details click here.