Businesses impacted by rising energy prices have been asked to provide data that will shape a £250m government scheme aimed at alleviating their electricity bills.
The government issued the call for evidence in support of the Energy Intensive Industries (EII) Package, which aims to reduce the impact of energy and climate change policies on the cost of electricity for energy intensive industries whose international competitiveness is most affected by them.
Estimates predict that energy and climate change policies may add up to 28% on average electricity prices paid by large energy intensive users by 2020.
Business Secretary Vince Cable said: “The Government is committed to ensuring that manufacturing is able to remain competitive during the shift to a low carbon economy. The measures proposed in our EII Package will offer crucial support to energy intensive industries.”
Energy and Climate Change Secretary Edward Davey commented: “As we manage the transition to a cleaner energy mix, it’s important that we are alive to adverse impacts felt by energy intensive industries which face tough competition overseas.”
Through the EII Package, £250m of direct financial assistance will be targeted to the most energy-intensive businesses whose competitiveness may be affected.
The call for evidence asks companies and trade bodies to share information and data about their energy-intensity in order to help Government target compensation effectively.
Once sufficient data is gathered, the Government will formulate policy, consulting in September 2012, for implementation in Spring 2013.