The Climate Change Levy (CCL) is a tax for businesses that use high energy to encourage them to be more environmentally conscious. It is set by the government every year. The charge CCL for business electricity for April 2024 is 0.775p per kWh.
Not all businesses need to pay CCL - there are exemptions, including the following:
- Businesses where a domestic contract supplies energy
- Charitable organisations
- Businesses that use less than 1000 kWh of electricity in an average month
- Businesses that have registered a Climate Change Agreement (CCA)
- Businesses involved in specific construction, manufacturing or metal production may also be exempt.
Read more about CCL exemptions on the Gov. uk website.