FAQ - Climate Change

What is Climate Change Levy?

Climate change is a huge environmental challenge facing the world today. To contribute to its reduction the UK Government has introduced the Climate Change Levy (CCL), an energy tax which is applied to all UK businesses. Its purpose is to encourage businesses to be more energy efficient in order to reduce greenhouse gas emissions. It is expected to cut annual carbon emissions by 2.5 million tonnes a year.

Supplies excluded from the levy are:

• All supplies for domestic use (including de minimis supplies)
• Non business use by charities

From April 2009 a rate for gas consumption of 0.00164p/kWh has been applied. The levy is collected by energy suppliers and is paid directly to the Government - no extra cost is added by Opus Energy.

What are Climate Change Levy Exemptions?

Some businesses may not have to pay Climate Change Levy (CCL):

• If the gas supply is less than the de-minis limit 4,397 KWh per month of gas
• If the business is a charity with non business use then there is no CCL to pay
• If the property is classified as for mixed use: partly domestic or charity and partly business. If less than 60% of the property is for business use then that portion is charged CCL. A customer is required to provide an exemption certificate declaring their percentage if 60% or more is CCL exempt

To apply for CCL exemption, Opus Energy requires that you provide appropriate evidence or a completed exemption certificate.

For further information on CCL exceptions please visit the HM Revenue and Customs website