CRC Energy Efficiency Scheme: evidence, audits and penalties
How to create a CRC evidence pack, how regulators audit to check compliance and penalties for non-compliance.
The CRC Energy Efficiency scheme will close once the current compliance year has ended on 31 March 2019. Participants in CRC must carry out their compliance actions for the current year. They will also need to meet certain record keeping requirements until March 2025. See the CRC closure guidance for more information.
CRC evidence packs
You must keep records to validate any information you have submitted about your organisation, energy supplies and use. You should keep this in an evidence pack that the regulators can examine during an audit.
You also need to carry out your own internal audit of your records at least once a year. Your evidence pack must include an audit certificate signed by a senior officer.
There is no prescribed format for an evidence pack but you can use the tools the Environment Agency has provided to develop yours. These include workbook calculators, tables, checklists and templates.
Appendix K of ‘CRC guidance for participants in phase 2’ will help you develop your evidence pack.
You will need to keep your evidence packs for CRC phase 2 until 31 March 2025.
CRC: enforcement and penalties for non-compliance
Our approach to CRC enforcement is explained in annex 2, section C of our Enforcement and Sanctions policy.
The Environment Agency can issue civil penalties to organisations that do not comply with the CRC obligations by the deadlines set. It can also publish the name of the organisation receiving the civil penalty, details of the failure and the penalty amount.
You could incur civil penalties if you do not:
- register
- disclose information on registration
- submit an annual report on time
- provide accurate information or notifications (in relation to registration or designated change)
- provide an accurate annual report
- surrender allowances
- maintain an evidence pack
CRC non-compliance: details of civil penalties issued
Details of penalties are usually published for one year, or longer if justified by the seriousness of the failure.
CRC audits
Your regulator may carry out an audit to check you are keeping sufficient records in your evidence pack and reporting your emissions accurately.
Although the CRC scheme will close on 31 March 2019, regulators will continue to carry out compliance audits after this date.
The regulator will either carry out the audit itself or use trained and approved contractors.
Organisations are selected for audit based on:
- risk of non-compliance
- complexity of organisational structure
- compliance history
If you are selected for audit, your primary and secondary contact will receive an email requesting to arrange a mutually convenient time to hold a teleconference or meeting with you.
You may be asked to provide information prior to this, including:
- a summary of your evidence pack
- details of your energy usage
- a copy of your most recent audit report
CRC: help and guidance
‘CRC guidance for participants in phase 2’ provides more information about creating an evidence pack and audits.
If you are selected for a compliance audit the Environment Agency will send you information about:
- how to prepare
- what to expect during the audit
If you would like a copy of this information please email the Environment Agency CRC helpdesk.
Contact
Email the Environment Agency CRC helpdesk - CRCHelp@environment-agency.gov.uk
Call 03708 506 506 (call charges)
Last updated 12 March 2019 + show all updates
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Updated to include information about the closure of the CRC Energy Efficiency scheme.
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Section: CRC non-compliance: details of civil penalties issued are now published on data.gov.uk.
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Removal of information regarding Criterion Capital Limited and their civil penalty - this penalty has now been spent. Publication dates added (15 May 2014) for Harbour Exchange Management Company and Aptuit (Glasgow) Limited.
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First published.