CCL
Climate Change Levy
Network ChargesA government environmental tax on business energy use designed to incentivise energy efficiency - domestic customers are exempt, and some businesses qualify for significant discounts.
The Climate Change Levy is an environmental tax charged by HM Revenue & Customs on electricity (and gas) used by businesses. It's designed to encourage energy efficiency and reduce carbon emissions.
Key CCL facts:
- Charged in pence per kilowatt-hour (p/kWh)
- Set annually by HMRC in the Budget
- Domestic customers are exempt (Profile Classes 01-02)
- Standard rate approximately 0.775 p/kWh (2024-25)
- Applies to all business electricity consumption
CCL Exemptions and discounts:
- Domestic exempt - Profile Classes 01-02 pay no CCL
- CCA discount (92%) - Businesses with Climate Change Agreements with HMRC
- Renewable exemptions - Some renewable electricity may be exempt with Levy Exemption Certificates (LECs)
Why EnergyCode doesn't validate CCL: While CCL has published rates, exemptions depend on customer-specific agreements (Climate Change Agreements with HMRC, renewable contracts). We can verify the standard rate is applied correctly, but exemption eligibility requires information beyond the MPAN.
Historical rates: The CCL rate has been relatively stable in recent years at around 0.775 p/kWh, though it adjusts periodically based on government policy.
Example
CCL: 50,000 kWh x 0.775 p/kWh = £387.50Related terms
Put this into practice
Explore EnergyCode's charge tools to model DUoS, TNUoS, gas transportation and policy costs against your own sites.
Explore the charge tools