Pressing for secure and competitive supplies – on power costs we successfully lobbied directly and collaboratively, including through the press, for a scheme to compensate energy intensive businesses for policy impacts and for a freeze in Carbon Price Floor costs (worth £100m p.a.). We are also coordinating with other intensive sectors to influence soaring network costs through Ofgem’s price control process.
On gas, CIA advocacy has averted levies to pay subsidy-hungry energy companies for unnecessary gas storage, and to pay consumers for renewable heat projects with unclear carbon benefits. CIA is actively supporting the market driven development of indigenous shale gas to enhance UK security of supply and invest-ability.
Ensuring climate policies don’t leave businesses internationally exposed - CIA/CIABATA’s management of the Chemical Sector Climate Change Agreement (CCA) has helped member companies to reduce electricity and gas costs by 15% (worth £70m p.a. at sector level). This is in exchange for realistic efficiency gains by 2020 - negotiated by us. When government reviewed the climate policy mix we lobbied to avert energy tax increases which would have nullified CCA participants’ savings. Other work includes lobbying for post-Brexit simplifications such as low cost alternatives to the EU Emissions Trading Scheme. Also to ensure that any future “decarbonisation of gas” by use of hydrogen or renewable gas is done in an affordable and reliable way.
Our public policy issues that relate to the work of chemicals businesses. We give a description of what each issue is, any legislative agenda, what we as an industry are doing about it and what we want others to do. We aim to examine the ways in which these policies can meet the needs of the UK and help chemical businesses.
Energy and Climate Change
EU Emissions Trading Scheme
Industrial Emissions Directive