Evidence secures big savings for pig industry

Evidence secures big savings for pig industry

The Farm Energy Centre (FEC) working on behalf of the NPA have agreed New Climate Change Levy (CCL) targets with the Government which will save the pig industry an estimated £18.5 million over the next ten years.

The NPA and FEC have been working closely with the Department for Energy and Climate Change (DECC) to agree a 22.7% energy saving target which will run from next year until 2023.

Pig farmers who meet this target will then be able to claim a discount on CCL of 90% on electricity and 65% on other eligible fuels. DECC had proposed a target of 31% but FEC and the NPA presented evidence which showed that a lower target of 22.7% was more realistic of what producers could achieve by 2020. This change in percentage will mean the scheme will cost scheme members £200,000 less to participate and will generate over £2.75 million in tax rebates. In addition, the reduced energy use by the sector will lead to a collective reduction in energy bills of over £15.5 million.

NPA regions manager Lizzie Press said: “The hard work put in by FEC, as well as the NPA, has secured a fantastic result for our members. We are pleased that the Government has accepted our evidence and this has resulted in a realistic and achievable target that will help to motivate pig farmers to continue saving energy and money.”

“We have worked closely with the industry to properly understand where savings can be made in the future,” commented FEC commercial director Chris Plackett. Our evidence convinced DECC that industry can continue it’s previous record of energy saving over the next ten years, but the previous investments made by farmers meant that the extent of the savings was limited by both the technologies and capital available for investment.

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