Calorific Value (CV)
Amount of heat given by the specified quantity of gas. This is used to calculate the energy consumed based on the volume of gas used. It is measured in joules per kilogram.
Cap and Trade Scheme
A scheme, e.g. covering CO2 or greenhouse gas emissions, in which the quantity of pollutant is fixed and participants trade emission allowances to meet the cap at lowest cost.
A set charge by the local Distribution Network Operator (DNO) for investment and maintenance of the electricity network, based on the Agreed Capacity of a property. This can also be called the Availability Charge.
Capacity Margin Instruments (CMI)
A mechanism such as a capacity obligation that requires electricity industry participants to provide a defined level of generating capacity.
Carbon Capture / Storage (CCS)
A technological solution for capturing carbon dioxide as it is released into the atmosphere from fossil fuels either before or after combustion.
Sometimes called ‘carbon sequestration’, this is the long-term storage of carbon or CO2 in the forests, soil, ocean, or underground in depleted oil and gas reservoirs, coal seams and saline aquifers. Carbon Capture and Storage can be referred to as CCS.
A credit or permit arising from a greenhouse gas emissions reduction scheme, such as emissions trading, JI or CDM. Emissions are controlled by setting a cap on total emissions and allowing the market sector(s) to reach an economically balanced response via trading of emissions allowances.
An inert non-toxic gas produced from decaying materials, respiration of plant and animal life and combustion of organic matter, including fossil fuels.
Carbon Dioxide Equivalent (CO2e)
There are six main greenhouse gases which cause climate change and are limited by the Kyoto Protocol. Each gas has a different global warming potential. For simplicity of reporting, the mass of each gas emitted is commonly translated into a carbon dioxide equivalent (CO2e) amount so that the total impact from all sources can be summed to one figure.
Carbon Dioxide Tonnage
In relation to carbon emissions, CO2 is measured in tonnes. A typical household has around 10.9 tonnes of CO2 emissions per year.
Carbon Emissions Reduction Target (CERT)
The CERT, previously the energy efficiency commitment (EEC2), is the government’s main policy instrument for reducing carbon emissions from existing households. CERT is due to run from 2008-2011, Defra will be responsible for setting the CER target for suppliers and OFGEM is responsible for administrating the programme.
A measure of the amount of carbon dioxide or CO2 emitted through the combustion of fossil fuels; can be measured on a personal or national level, or according to a specific activity, such as taking a flight to go on holiday.
The amount of CO2 emitted for a given volume of electricity. It allows the emissions from different amounts of electricity to be compared. For example, a coal power station produces around 890 grams of CO2 for every kilowatt hour of electricity, whereas a gas-fired power station produces around 370 grams of CO2 for each kilowatt hour of electricity.
An activity or process that doesn’t add to the net amount of CO2 in the atmosphere. As the organisation or product will typically have caused some greenhouse gas emissions, it is usually necessary to use carbon offsets to achieve neutrality.
A carbon offset negates the overall amount of carbon released into the atmosphere by avoiding the release or removing it elsewhere – e.g. through a renewable energy or energy conservation project. Voluntary carbon offsetting schemes can help people reduce their carbon footprint, but should only be used as a last resort. It is also important that a credible scheme is used.
Carbon Reduction Commitment (CRC)
The CRC is a UK government emissions trading scheme for large organisations which are not eligible for EU Emissions Trading. This includes banks, large offices, universities, large hospitals, large local authorities and central government departments. The scheme is mandatory. The CRC is expected to deliver emissions reductions totalling 0.5m tonnes of carbon (Mtc) per year by 2015.
A tax levied on fossil fuel usage usually based on the carbon content – generally designed to curb use rather than just raise revenue.
The trading of personal, corporate or national credits to maintain and gradually reduce carbon emissions. Companies, nations or individuals who beat the targets can sell the balance as credits to those that exceed their limits.
An independent non profit company set up by the Government with support from businesses to encourage and promote the development of low carbon technologies. Key to this aim is its support for UK businesses in reducing carbon emissions through funding, supporting technological innovation and by encouraging more efficient working practices.
In order to encourage individuals to reduce carbon dioxide emissions a value has been placed on carbon. The more you produce the more you pay. Within the EU, the Emissions Trading Scheme provides a mechanism for capping total C02 emissions and generates a carbon value, as market participants and given are given ‘allocation’ of CO2 they are permitted to produce, and can buy from or sell to each other to balance their allocations with their requirements. To give investors the confidence to invest in low carbon solutions and thereby help to reduce emissions it is necessary to have certainty that there will be a long-term value of carbon.
A joined up series of electrical conductors, wires and components that allow an electrical current to flow.
A device that protects a circuit from power surges by stopping the power flowing.
Clean Coal Technologies (CCTs)
There are significantly higher greenhouse gas emissions for each unit of electricity produced by coal-fired generation than there are for alternative methods of generation. CCT makes using coal as a power source more environmentally friendly.
Clean Development Mechanism (CDM)
One of the three market mechanisms established by the Kyoto Protocol. The CDM is designed to promote sustainable development in developing countries and assist Annex I Parties in meeting their greenhouse gas emission reduction commitments. It enables industrialized countries to invest in emission reduction projects in developing countries and to receive credits for reductions achieved.
The variation in the Earth’s global climate over time. Man-made climate change is a variation directly attributable to human behaviour.
Climate Change Agreement
An agreement between the Government and a business user, whereby a reduced rate of Climate Change Levy is payable in return for a commitment by the user to achieve certain pre-determined targets for energy usage or carbon emissions.
Climate Change Levy (CCL)
CCL is a government-imposed tax to encourage reduction in gas emissions and greater efficiency of energy used for business or non domestic purposes. CCL is chargeable only on units/kWh used and not on any other component of the bill, e.g. standing charge. The rate of CCL is now index-linked and therefore likely to increase on 1 April each year.
Under current legislation:
- where VAT is charged at the standard rate, CCL (plus VAT on CCL) will usually be added to the bill
- where VAT is charged at the reduced rate, the supply is automatically excluded from CCL
- green energy (i.e. from renewable sources) is automatically exempt from CCL.
Where VAT is charged at the standard rate but sites are entitled to full or partial relief from CCL, you will need to submit a PP11 Supplier Certificate for each site to advise us what percentage of relief is applicable. PP11s are only available from HM Revenue & Customs (HMRC) and can be downloaded from their website www.hmrc.gov.uk. Please note that PP11 Supplier Certificates are not transferable between suppliers.
Climate Change Programme
Published in 2000, sets out the Government and Devolved Administration strategic approach to tackling Climate Change and meeting the UK’s Kyoto target of a 12.5% reduction in greenhouse gas emissions from 1990 levels by 2008-2012 and the domestic goal of reducing CO2 emissions by 20% by 2010.
Coal Bed Methane
Natural gas generated and trapped in coal seams.Coal Bed Methane (CBM) involves directly drilling into unworked coal and coal measures strata to release the methane locked within it rather than utilising methane released as a result of mining activities.
Coal is ground to fine powder and then burned in huge boilers to heat water. The steam produced passes through a turbine, making it rotate and generating electricity which is then fed into the national grid. Coal powered plants have been the mainstay of the industry for decades and account for around a third of Britain’s electricity generation output.
Coal Mine Methane
Methane continues to emit from the coal mine after closure, and recently the concept of collecting the gas from abandoned mines to provide an energy source which would otherwise be waste has been developed.
Also know as Combined Heat and Power
Sector Skills Council for the oil and gas extraction and chemical manufacturing sector.
Combined Cooling Heat and Power (CCHP)
A system in which fuel is used to simultaneously produce electrical (or mechanical) power plus recovere useful thermal energy for use in cooling & heating.
Combined Cycle Gas Turbine (CCGT)
A gas fired electricity generation plant which uses waste heat to power a steam turbine.
Combined Half Hourly (HH) Data Charge
Costs associated with collecting and handling metering data from half hourly (HH) read meters.
Combined Heat and Power (CHP) generation
When electricity is generated up to 60% of the energy can be wasted as lost heat. Combined Heat and Power schemes are designed to recover most of this waste heat and use it to power a turbine and generate more electricity. In well designed installations these can contribute to lowering carbon dioxide emissions.
Combined Heat and Power Quality Assurance (CHPQA)
CHPQA provides the means to assess and monitor Good Quality CHP Capacity.
A fee levied by National Grid on the quantity of gas transported through the system.
In some electricity contracts there is a competition clause. This normally occurs after 12 months of an 18 month contract. What it means is that the client is free to renegotiate the contract after 12 months and the supplier will either match the lowest price or release the client from the contract to take up the lowest offer.
A substance that allows an electric current to pass through it easily.
A unique number assigned by National Grid to a customer.
A document which states the Agreed Capacity for a property with the local Distribution Network Operator (DNO).
An agreement made between the customer and Shipper defining the rules of the trading relationship. There are three types: 1. Firm - the customer agrees to take a pre-determined quantity of gas at a pre-determined price negotiated as part of the contractual agreement (used by the Commercial Gas Business).2. Tariff - the customer buys gas at a standard rate and is billed according to the consumption indicated on the meter (used by Residential Business).
Price of a unit of gas or electricity which the shipper charges the customer.
Contract Price Structure
This indicates a supply offer, which has all delivery charges (DUoS & TUoS) built into the unit rates for the supply of electricity.
For sites using large amounts of gas it is often deemed necessary to measure the temperature and pressure variations more accurately rather than just applying a fixed conversion factor. In these cases an additional “corrector” meter is attached to the meter.
Cost To Serve
These are the costs that are incurred as an electricity supplier. These include the costs of maintaining IT systems, paying staff to manage customer accounts.
Metering that is 100 amp and above.