This is a presentation on challenges and strategies for adapting to the UK cap-and-trade scheme: the Carbon Reduction Commitment (CRC) Scheme. It was delivered at the 2009 Ethical Corporation

1. Business responses to the CRC CR Reporting & Communications Summit 25 November 2009 Why regulate How simple Challenges Case studies What to watch for Pam Muckosy Ethical Corp 04 11 2009 Pam Muckosy, Ethical Corporation Co-presenter on the CRC: Jane Dennet-Thorpe, DECC

2. Why regulate? Why regulate How simple Challenges Case studies What to watch for Pam Muckosy Ethical Corp 04 11 2009 1/3 of UK’s total emissions Emissions from non-energy intensive companies expected to increase 11% between 2010-2030 Encourage attention on an item representing as little as 1% of operating cost 1/3 in the UK do nothing & 1/5 say climate change is not on the agenda

3. How simple to implement… Why regulate How simple Challenges Case studies What to watch for Pam Muckosy Ethical Corp 04 11 2009 An incentive-based design A light touch, light penalties Facilitates gradual progress Easy reporting – if you have measured Self disclosure

10. Costs Why regulate How simple Challenges Case studies What to watch for Pam Muckosy Ethical Corp 04 11 2009

11. What to watch for Why regulate How simple Challenges Case studies What to watch for Pam Muckosy Ethical Corp 04 11 2009 Rise in current carbon cost from £30/tonne Companies doing more in-depth measurement April deadline; September deadline and fines Companies aiming to reach the top of the league table in year one

12. WWW.ETHICALCORP.COM/CRC Thank you If you would like internal training, or to be added to our research mailing list, please email me at Pam.Muckosy@ethicalcorp.com or visit www.ethicalcorp.com/training