NFU negotiates extension to Climate Change Agreement scheme
© Tim Scrivener A two-year extension for government energy efficiency targets affecting horticulture and poultry businesses has been negotiated by the NFU and NFU Energy.
The Department for Energy, Security and Net Zero (DESNZ) had proposed an energy efficiency improvement target for horticultural and poultry businesses of 40.9% and 12%, respectively.
However, after a DESNZ consultation earlier this year and negotiations with industry bodies this has been reduced to 13% and 10% and has been pushed back until March 2027.
See also: UK needs independent food security committee, AIC says
The Climate Change Agreement (CCA) voluntary scheme is designed to encourage high-energy and intensive businesses to invest in improving energy efficiency in return for lower climate change levy rates.
News of the extension was welcomed by NFU Energy, with managing director Tim Crocker saying this was a significant victory for horticultural and poultry businesses involved in the scheme.
NFU deputy president Tom Bradshaw said the revised targets are now fair and realistic for the participating horticulture and poultry businesses.
Mr Bradshaw added: “The CCA is one of the few government incentive schemes that has consistently encouraged energy users to do the right thing and make positive changes to boost their efficiency and productivity, and reduce their environmental impact.
“While we want to see this scheme continued long term, we also believe any future replacement schemes should be more inclusive, reaching farmers and growers outside the current target sectors.”