The UK Government’s Climate Change Agreement (CCA) scheme will reopen from 1st May 2025, offering the chance for energy-intensive businesses to benefit from discounts on Climate Change Levy (CCL) in exchange for meeting energy efficiency targets.

Importantly, this applies to both new and existing participants – facilities already in the scheme will not automatically transfer and must reapply to remain eligible.

 

 

What is a Climate Change Agreement (CCA)?

  • A voluntary agreement between businesses and the UK Government, administered by the Environmental Agency.
  • Designed for energy-intensive industries to reduce energy use and carbon emissions.
  • In exchange, businesses receive a discount on the Climate Change Levy (CCL).

 

Why Apply (or reapply) for a CCA?

  • Up to 92% discount on electricity CCL.
  • Up to 83% discount on gas CCL.
  • Financial savings on energy bills.
  • Supports your Net Zero and sustainability goals.
  • Drives operational efficiency and continuous improvement.

Scheme Administration

  • Administered by the Environment Agency.
  • Sector-specific trade associations (umbrella bodies) manage CCAs on behalf of members.
  • Each sector has its own eligibility rules and reporting obligations.
  • CCA Sector contact list: Sector_contact_list_climate_change_agreements.ods

Eligibility Requirements

  • Must be part of a listed sector
  • Must undertake a qualifying process
  • Site specific, non-client specific application
  • Energy use threshold assessment
  • Provide historic and projected energy data
  • Ready to implement energy efficiency improvements

Additional Information

  • Existing Participants: Existing participating facilities will NOT automatically transfer to the new scheme. All facilities must confirm they meet the current eligibility criteria before the new scheme starts.
  • New Entrants: Facilities in existing sectors can join from 1 January 2026. Those in newly eligible sectors will be able to join from Target Period 2 (1 January 2027).

New Scheme Application Window

  • All companies – including existing participants – must apply/reapply during the new application window: 01 May 2025 – 31 August 2025
  • As part of this process, companies must:
  • Confirm their eligibility still meets the sector criteria
  • Provide updated evidence pack (e.g. energy use data, site info)
  • Re-sign agreements with their sector association

Ongoing Obligations

  • Regular energy data submissions – required every two years to assess progress against energy efficiency targets.
  • Maintain accurate records and supporting data to demonstrate compliance and ensure readiness for audits or verification reviews.
  • Report performance outcomes to your sector association in line with CCA scheme rules.

Important Dates & Next Steps

Navigating the updated CCA scheme can be complex, but the right partner makes all the difference. Boxfish offers end-to-end support – from managing compliance and submissions to identifying practical solutions that improve efficiency, enhance monitoring, and integrate on-site generation.

We’ll help ensure you stay eligible for your CCL discount while working towards your long-term energy and sustainability goals.

GET STARTED FOR FREE

Fill in the form or call us on 0141 226 8525 to get your free, no-obligation review.