UKFT has extended the dates for its Climate Change Levy (CCL) rebate scheme till September 2020. The scheme can save textile companies an average of £30,000 a year. The CCL rebate scheme has been running very successfully since 2002.

The CCL scheme was introduced as an energy tax payable by all business in 2001. However, some industrial sectors were offered a rebate in the levy in return for agreeing to specific energy reduction targets. For the textile industry, there are two separate schemes one covering the wet processing sector (dyeing, printing coating and associated drying and finishing activities) and the other covering spinning, weaving and knitting (and other similar processes), according to a press release by UKFT.

Companies joining the UKFT CCL scheme will be eligible for a rebate of some 92 per cent on the CCL on electricity and 81 per cent on the levy on electricity. On average companies are currently saving over £30,000 a year, but for large companies the savings can be over £100,000 a year. In order to maintain the discount, companies must meet set energy reduction targets. New entrants to the scheme will need to demonstrate that by 2022 they will have reduced the amount of energy used by 7 per cent compared to 2018.

The CCL rebate scheme for the textile industry is administered by UKFT. UKFT will help companies complete all the necessary paperwork, will submit all necessary registration details to the Environment Agency. UKFT collects and monitors company’s performance every three months and helps companies develop strategies to meet their energy reduction targets.