Climate Change Levy (CCL)
Taking energy efficiency seriously
We take energy efficiency seriously for two very good reasons. To minimise the environmental impact of our business activities and to help reducing energy costs for our customers.
Tax on commercial energy use
The Climate Change Levy (CCL) is an environmental energy tax which was introduced in the UK in April 2001. It is charged on the business use of energy and is designed to encourage businesses to become more energy efficient and thereby reduce greenhouse gas emissions. By working with you to improve energy efficiency, we can help reduce the impact of the CCL on your bottom line.
What is CCL charged on?
CCL is charged on "taxable commodities" supplied for lighting, heating and power purposes to business customers in the industrial, commercial, agricultural and public service sectors.
"Taxable commodities" include natural gas, electricity, petroleum and hydrocarbon gas in a liquid state, coal, lignite and coke.
CCL isn't charged on road fuel and other oils which are already subject to excise duty. It's also not charged on certain other supplies of energy, including supplies to:
- Domestic customers.
- Charities when put to a non-business use.
- Business customers who consume very small quantities of energy.
There are some other exemptions and reductions from the levy.
Who charges CCL and how is it charged?
CCL is charged by suppliers of taxable commodities and is generally shown as a separate line item on energy bills. Suppliers collect the CCL charged to customers and pay this over to HM Revenue & Customs. For further details, visit Understanding your bill.
How much is the CCL?
The rates of CCL for natural gas and electricity for the relevant time period are shown in the table below.
|1 April 2014 to 31 March 2015||0.188p||0.541p
|1 April 2013 to 31 March 2014||0.182p||0.524p|
All rates shown in per kilowatt hour (kWh).
Can I reduce my CCL charges?
Complete an Energy Savers Report and understand the energy performance of your business. Find out how you could cut energy usage and reduce your CCL.
Other ways we can help you reduce your environmental impact
Through optimisation we can help you make significant energy savings.
*Some exemptions and exclusions apply.
At a glance
The CCL is an environmental energy tax for businesses.
How does it affect me?
Being energy efficient can help you cut costs, as well as reducing emissions.
How can British Gas help?
We can work with you to lower your environmental impact and cut costs.
Where can I find out more?
You can find out more about the CCL on the HM Revenue & Customs website.