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Proposals for a green gas levy - consultation

"Consultation description:

Heating of homes, businesses and industry is responsible for a third of the UK’s greenhouse gas emissions, making the decarbonisation of heat one of the biggest challenges we face in meeting our climate targets.

The Green Gas Levy, announced in the March 2020 Budget, will fund support for biomethane injection into the gas grid through the new Green Gas Support Scheme. Proposals for this scheme were set out in the April 2020 consultation Future support for low carbon heat.

In this consultation, we are seeking views on policy options for the Green Gas Levy. It covers:

the design of the Green Gas Levy
the budget control and financial management of the Green Gas Levy
an explanation of the anticipated impact on gas bills for domestic and non-domestic customers
the administration, compliance, and enforcement of the scheme
how payments will be made on the Green Gas Support Scheme ahead of the first Green Gas Levy collection
a future transition to a volumetric approach to the design of the Green Gas Levy"

22 September 2020 - consultation opened

2 November 2020 - consultation closed

17 March 2021 - outcome published

Policy milestone details

Start date: 2020-9-22

Milestone source: Link to BEIS website

Milestone type: Consultation/call for evidence

Sector: Finance and investment - Heat and power generation - Policy and governance - Renewables -

Organisation: Department for Business, Energy & Industrial Strategy

Subjects: Space heating, Energy policy, Decarbonisation, Low carbon