Sectoral agreements are formal cooperation agreements between the SA government and certain companies, industries, community groups and regions to contribute to the fight against climate change. An agreement generally promotes measures to reduce greenhouse gas emissions and adapt to climate change and may include commitments such as the functioning of climate change agreements (ACCs), which are eligible and which inter-professional organizations have a CCA. Climate change agreements are voluntary agreements between UK industry and the Environment Agency to reduce energy consumption and carbon dioxide (CO2) emissions. In return, operators receive a discount on the Climate Change Levy (CCL), a tax that pays on electricity and fuel bills. The Environment Agency manages the CCA scheme on behalf of the uk as a whole. An underlying agreement is made by an operator for a site or group of sites within a given sector. It contains energy efficiency or carbon efficiency targets adapted to their mode of operation under the framework agreement. To meet the challenges posed by climate change and take advantage of opportunities for clean technology development, it is necessary to unite our efforts within government, industry and the community. The creation of voluntary sector agreements is encouraged in accordance with Section 16 of climate change legislation in South Australia. The Department of Energy and Climate Change and industry have negotiated energy efficiency targets for each sector — the sector`s commitment. The objectives were then incorporated into framework agreements between inter-professional organisations and the Environment Agency. Umbrella agreements also list processes that are eligible for a CCA. In 2020, the BEIs negotiated new targets for 2021 and 2022.
It is a voluntary system in which eligible industries that meet ambitious energy efficiency or emission reduction targets receive a 90% rebate on climate change tax for electricity consumption and 65% for other fuels. The CCAs have a two-tiered structure with agreements with economic sectors (umbrella agreements) and individual companies (basic agreements). Each agreement sets objectives, defines the obligations of all parties to the agreements and defines the necessary administrative procedures. The objectives are negotiated between inter-professional organizations and the government, but it is the responsibility of inter-professional organizations to distribute the agreed objective among their members. The current CCA program began on April 1, 2013. Budget 2011 announced that the plan would be maintained until 2023 and that the 51 existing sectors would continue to benefit from the CCA scheme and the climate change tax rebate. It was also announced that the reduction of the climate change tax on electricity for CCA participants would increase to 90% from April 2013. See the contact list of the interprofessional organization and the framework agreements for the different branches. The definition of the sector is not limited, so the government can enter into agreements with an individual, entity or group of companies. There are two types of CCAs: basic agreements and underlying agreements.
Eligible industries can enter into agreements with the Department of Energy and Climate Change (DECC). In order to benefit from these agreements, an industry would either have to carry out activities listed in the Pollution Prevention and Reduction Regulations (PPC) or be considered an energy-intensive industry that meets specific energy intensity criteria. Interprofessional organizations manage the underlying agreements for companies in their sector. An operator wishing to enter into a CCA must first apply to his inter-profession. Agreements may cover part or all of the activity of a company or entity, but may also be specific to a project or program. We provided a link to the BeiS consultation on extending the CCA system for a period of two years. The consultation is over