CLIMATE CHANGE LEVY

Understand the levy.
Take control of energy.

A clearer view of Climate Change Levy, what it means for your business and where to start with reducing energy use.

Aerial view of solar panels on a commercial roof

CCL EXPLAINED

A small charge.
A reason to use less.

Climate Change Levy (CCL) is a UK environmental tax on energy supplied to businesses and public-sector organisations. It encourages more efficient energy use and appears as a separate charge on business energy bills.

It generally applies to electricity, gas and certain other fuels used by commercial, industrial and agricultural businesses. Your energy supplier collects the charge.

KNOW YOUR BILL

The current main rates.

For electricity and gas supplied from 1 April 2026 to 31 March 2027, before any eligible relief.

ELECTRICITY

0.801p per kWh

Equivalent to £0.00801 per kWh.

NATURAL GAS

0.801p per kWh

Equivalent to £0.00801 per kWh.

For illustration, 100,000 kWh charged at the full rate produces £801 of CCL, before VAT. Rates for other fuels differ. Check HMRC’s published rates ↗

ELIGIBILITY MATTERS

Could a relief apply?

The way your energy is used matters. Exemptions and discounts have specific conditions.

01 / SMALL SUPPLIES

Lower energy use

Certain small supplies fall outside the main levy. Ask your supplier to check whether the rules apply to your supply.

02 / QUALIFYING USE

Domestic and charitable use

Domestic supplies and qualifying non-commercial activities of charities can be excluded. A charity’s business activities are not automatically exempt.

03 / ENERGY-INTENSIVE BUSINESS

Climate Change Agreements

Eligible agreement holders can receive a 92% electricity discount and an 89% gas discount during this rate period. Eligibility and agreement requirements apply.

Other specialist reliefs may apply to particular industrial processes. Confirm your position and any evidence required with your supplier or tax adviser before making a claim.

A PRACTICAL START

Understand. Review.
Use less.

Bring a recent energy bill and a picture of how your site operates. Enerbee can help you explore commercial solar and storage options suited to your demand.

  1. Check your bill

    Find the CCL line and check the consumption, rate and billing dates.

  2. Review your eligibility

    Ask your supplier whether any relief applies to your organisation and what supporting information they need.

  3. Explore lower energy demand

    Reducing energy use can reduce charges linked to consumption. Assess efficiency improvements alongside suitable solar and storage options.

YOUR QUESTIONS

CCL, made clearer.

Is CCL the same as VAT?

No. CCL is a separate environmental levy. Check the CCL and VAT lines on your supplier’s bill.

Does every business qualify for a discount?

No. Relief depends on the supply, its use and the applicable scheme. A Climate Change Agreement is for eligible energy-intensive activities, with conditions to meet.

Does buying renewable electricity remove CCL?

No. Renewable electricity supplied to businesses is not automatically exempt from CCL. Your supplier can confirm the treatment of your supply.

Can Enerbee help us use less grid electricity?

We can assess whether commercial solar and storage suit your premises and operating pattern. Any CCL implications need to be checked for your specific supply and generation arrangement.

What if I think my bill is wrong?

Contact your supplier with the relevant bills and details of how the energy is used. Ask them to review the charge and explain any evidence needed for a correction or relief.

LET’S TALK ENERGY

Your site. Your energy.
Your next opportunity.

Let’s explore what solar and battery storage could do for your business.

Request an assessment