Levy targets agreed

Look for the Red Tractor brand, says CLA pork champion Alastair Butler

Look for the Red Tractor brand, says CLA pork champion Alastair Butler

The Farm Energy Centre, working on behalf of the National Pig Association, has agreed New Climate Change Levy targets with the Government which will save the pig industry an estimated £18.5million over the next 10 years, it says.

It has been working closely with the Department for Energy and Climate Change 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 the levy of 90% on electricity and 65% on other eligible fuels.

The department originally proposed a target of 31%.

But the Farm Energy Centre (FEC) and the National Pig Association (NPA) presented evidence which showed that a lower target of 22.7% was more realistic of what producers could achieve by 2020.

This means the scheme will cost scheme members £200,000 less to participate and will generate over £2.75m in tax rebates. The reduced energy use by the sector will lead to a collective reduction in energy bills of mroe than £15.5m

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.”

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“We have worked closely with the industry to properly understand where savings can be made in the future,” said FEC Commercial Director Chris Plackett.

“Our evidence convinced DECC that industry can continue it’s previous record of energy saving over the next 10 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.”