The manufacturers surveyed by npower Business Solutions thought that removing the Climate Change Levy (CCL) might penalise companies that invest in green energy. Two-thirds (65%) of respondents said they were concerned or very concerned about the impact of removing the CCL exemption on investment.
Three quarters (74%) of those surveyed felt strongly or very strongly that they were overburdened with bureaucracy. The consultation looks likely to arouse interest; four in five respondents (81%) said they think it is important that British businesses influence changes to the CCL and CRC.
More than half (57%) said existing and planned policies didn’t reflect the needs of British businesses. The businesses surveyed took a keen interest in energy policy, with security of supply (67%) and energy affordability (56%) seen as very important by a majority of respondents.
Wayne Mitchell, director of markets and innovation for npower Business Solutions, said: “Our survey clearly shows that while manufacturers welcome changes to simplify the energy landscape, these cannot be made at the expense of encouraging green energy. The Government must maintain the balance between reducing the regulatory burden on businesses and providing incentives for investment in renewables.”
He added: “Some are speculating that the CRC scheme will be removed, with the CCL being used to address the shortfall in funding. We would support this measure in principle if costs were allocated fairly. However, quick decision making on this is essential to ensure businesses have certainty.”
Richard Warren, Senior Energy & Environment Policy Adviser at the EEF, said: “These survey results very much chime with our own findings and discussions with our members. Manufacturers have grown frustrated with the increasing complexity and ineffectiveness of much of the policy landscape and want reform. The sector welcomes the upcoming Government review and is keen to engage but it is vital that this review goes further than a few administrative tweaks. The Government needs to take a bold approach that can cut costs and bureaucracy for business and better enable them to invest to reduce their own energy consumption.”
