Solutia: Learning to live with the climate change levy

An imaginative, low-cost energy efficiency programme at Solutia UK's chemical manufacturing site in Newport, South Wales has helped it to reduce its annual energy bill by £350,000 - cancelling out the impact of the climate change levy. The company has also comfortably exceeded its target under the sector's climate change agreement (CCA), allowing it to profit by selling the over-achievement into the UK emissions trading scheme. Solutia's experience also highlights the importance of changes in product mix and plant output in achieving emission targets.

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