1. POLICY DEVELOPMENT CRC Energy Efficiency Scheme STEPHEN KERR AFBI, HILLSBOROUGH 26th June 2013

2. Climate Change Unit Presentation Structure Introduction Recent Policy Developments Northern Ireland Context Important simplifications for NI Benefits of 2013 simplifications Conclusions

3. Climate Change Unit Introduction What is the CRC Energy Efficiency Scheme ? Why was it created ? Target sector large Public and Private sector organisations. 49 NI participants within the CRC scheme

4. Climate Change Unit Recent Policy Developments CRC Scheme was introduced in March 2010 October 2010 spending review April 2011 Amendment Order In 2011 the UK Government and DAs started out on the simplification process Formal consultation took place from 27/3/12 to 18/6/12 of 2012 Autumn Statement of December 2012 2016 Review

5. NI decision on the CRC Scheme Definitive legal advice was key to a decision Executive/Environment Committee agreement/ March 2013 Laying of 2013 CRC Order in the Assembly on 1 st March 2013 NI Assembly debate on 16 th April 2013 2013 CRC Order - 20 th May 2013 Climate Change Unit Northern Ireland Context

6. Climate Change Unit Important simplifications for NI. –Qualification change –Reduction of reporting fuels from 29 to 2 –Removal of Performance League tables (PLTs) –2% de minimis threshold for gas –The above changes will take effect in the last 2 years of Phase1

7. / Climate Change Unit Benefits of 2013 simplifications –55% reduction in administrative savings for NI participants –Circa 12% reduction in purchasing of allowances from 2011/2012 to 2012/2013 –A reduced reporting burden –Greater organisational flexibility E

8. / Climate Change Unit Conclusions –A bit of background to the CRC scheme –The recent policy developments – The NI context – The main NI simplifications – The benefits of the simplifications E

9. Thanks for listening Stephen Kerr Tel no (028) 90254887 E mail: stephen.kerr@doeni.gov.uk Climate Change Unit THE END