Government launches consultation to compensate heavy industry for green energy costs
The Government has launched a 12-week consultation to work out which energy intensive industries (EIIs) will receive compensation to help with the financial costs of renewables policies, writes Edie.net.
The proposals for the Electricity Market Reform (EMR) policy aim to compensate UK industries for the cost of Contracts for Difference, the Renewables Obligation and Feed-in Tariffs, which cumulatively could have a negative effect on the competitiveness of certain EIIs in the UK.
Launched by the Department for Business, Innovation and Skills earlier this week, the consultation proposes to exempt the most electricity intensive businesses from a proportion of the costs to create a level playing field and keep EIIs internationally competitive.
The consultation will establish which sectors will be able to claim support worth up to a proposed 85% of the added clean energy costs. This leaves 15% of costs on the EIIs in order to provide an incentive for energy efficiency measures.