UK CRC brings opportunities and new risks for utilities

Under the UK’s CRC Energy Efficiency Scheme (formerly known as the Carbon Reduction Commitment), large public and private companies will be assessed on their energy efficiency and a league table published in October 2011. As part of the initiative, a cap-and-trade scheme will be introduced from 2013, but will be separate from the trading of carbon credits under the European Union Emissions Trading Scheme (EU ETS).

For utilities, the impact of the scheme is twofold. Firstly, many of their