The United Kingdom, in the Climate Change Act 2008 (CCA 2008), introduced legally binding targets for reducing emissions of carbon dioxide (a key greenhouse gas). CCA 2008 provides an incentive for certain organisations to achieve greater efficiency in energy use. The CRC (Carbon Reduction Commitment) Energy Efficiency Scheme (or CRC Scheme) was established under Part 3 CCA 2008. It is an emissions trading scheme designed to improve energy efficiency and cut emissions in large public and private sector organisations. The scheme targets emissions not already covered by Climate Change Agreements and the EU Emissions Trading System and encourages organisations to develop energy management strategies that promote a better understanding of energy use. Organisations that meet the qualification criteria are required to participate, and must buy allowances for every tonne of carbon dioxide they emit.
The key pieces of legislation relating to this subject can be found under the 'key legislation' tab.