Climate Change Levy (CCL)

What is the Climate Change Levy?

The Climate Change Levy (CCL), introduced in April 2001, is an energy tax for businesses using 33kWh of electricity or 145kWh of gas a day. It aims to encourage business users to become more energy efficient, and to reduce their carbon emissions.

Exemptions from CCL

Opting to use energy from a low CO2 source – such as wind, solar, geothermal, landfill gas or good quality CHP (Combined Heat and Power) – gives you exemption from the levy.

If you are a larger organisation and part of a Climate Change Agreement through a trade body, you can get CCL relief.

Find out more about CCL exemption from Ofgem

How is CCL paid?

The main rates for CCL will be displayed on your energy bill.

Your energy supplier will collect the tax through your energy bill and pay this to HRMC on your behalf.

Find the latest CCL rates on the HMRC website.

Who needs to pay?

If your business is in the Industrial, Commercial, Agricultural or Public service sector, you’ll need to pay the main rates of CCL. 

You don’t need to pay the main rates of CCL if you’re a domestic energy user, a charity engaged in non-commercial activities or a business that uses less than 33kWh of electricity or 145kWh of gas a day.

Cut your CCL costs and become more energy efficient

From energy saving technology to onsite generation, we have a range of energy efficiency solutions for your business that can help you decrease your carbon footprint and cut costs.

See our business solutions
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