Agency issues £5m consultancy tender for CCAs

The Environment Agency is looking for consultants to help it develop new framework agreements which will govern streamlined Climate change Agreements starting in 2013

The Environment Agency has issued a £5 million call for tenders from consultancies to develop framework agreements for new, streamlined carbon-cutting climate change agreements (CCAs) coming into effect from April 2013.

The notice, issued on 3 October, calls for establishment of a four-year framework agreement for new CCAs. These will provide manufacturers with 90% relief from the climate change levy from 1 April 2013 in exchange for meeting carbon reduction targets agreed with the energy and climate department (DECC).

The new CCA agreements, subject to EU approval, will run from 2013 until 2023. They follow input from a series of consultations by the energy and climate department (DECC).

DECC  is now finalising its plans for new, more standardised agreements and reporting periods, cutting compliance costs and overlaps with the mandatory EU emissions trading scheme and the CRC energy efficiency scheme (ENDS Report, August 2012). There are currently 54 sectors involved in CCAs.

The CCAs are governed at sectoral level by ‘umbrella agreements’ and more specific ‘underlying agreements’ covering individual facilities. The agency is to be the regulator.

The contracts are to be awarded in two lots, each lasting 48 months. The first will cover technical advice and guidance on operating the new CCA scheme to the customers – industry sector associations, their consultants, and the scheme administrator. This will include creating and maintaining umbrella agreements and underlying agreements for the sectors’ operators and dealing with related technical issues.

The second lot covers technical auditing of CCA compliance for sectors and operators. This will require an audit of the sector associations and the operators’ facilities. These will be selected by the agency, and will be planned annually “on a risk and random basis”. Audit methodologies will be linked to the regular use of the CCA register and the related documentation will be provided as templates by the agency.

The agency adds the consultant responsible for audit is also to be involved in the selection review. Audits will include both desk-based and more detailed site visits for more complex cases “such as testing precedents or greenfield assumptions”.

Information on the tendering process is available from: Christian.moore@environment-agency.gov.uk. The deadline for tenders is 8 November, 2012.

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