Envantage understands the pressures that energy intensive businesses are facing in the year ahead.
Powering your business operations represents such a significant financial burden, and Envantage’s expert team is on hand to ensure you secure every opportunity for cost savings.
We join the dots between all your energy and carbon challenges to deliver the best outcomes for your business.
Our big picture approach means that we help to unlock all the opportunities for you to save, as well as accelerate your progress on decarbonisation.
Six ways to save in 2026
1. Maximise the benefits of a Climate Change Agreement
Effective management of a CCA is vital to realise the full financial benefits and avoid any penalties for failing to meet targets. In the past 12 months alone, we’ve saved our clients over £8.4 million through the CCA scheme.
With tougher CCA targets now in place for the current period and a higher Climate Change Levy expected from April 2026, we understand that existing CCA holders may be concerned about the implications.
Envantage’s CCA Target Management Plan enables businesses to structure the right approach for them, stay on track and avoid necessary buyout costs.
Key dates for CCAs
- Existing CCA holders have until May to ‘correct’ their fixed and variable 2022 base year energy allocations to the Environment Agency, through their sector administrator.
- If you don’t have a CCA and are in an eligible sector, the window for applications is open between January and August 2026.
- Applications for new entrants in the new sectors: mechanical plastics recycling, alcoholic spirits packaging, and EV battery manufacturing, will open in 2027. While this is 12 months away, now is the time to prepare.
2. Take action on ESOS 4
Like CCAs, there’s also an optimal approach to ESOS. The increased rigour that has been introduced into Phase 4 means that early action is vital to get the most out of this scheme.
At Envantage, we’ve supported clients through every phase of ESOS since the scheme began 10 years ago. What we’ve learned is simple. ESOS isn’t just compliance, it’s an opportunity to unlock financial and operational benefits. Starting early means more time to uncover savings, secure supplier capacity, and embed energy efficiency into your strategy.
3. Get up to speed on BICS
Manufacturers in the UK’s key growth sectors could see major electricity cost reductions from 2027 under the government’s new BICS scheme, but only if they meet the final eligibility rules. Those rules are still being shaped. The scheme is under consultation right now, and the outcome may determine who qualifies and how the exemptions will work.
Join Envantage’s BICS Forum to stay informed, where you can access updates from the consultation, clarity on eligibility, and how BICS may interact with other support schemes relevant to your industry.
4. Check your eligibility for EII
With the financial benefits of the Energy Intensive Industries Scheme (EII) set to increase this year, it’s even more important to ensure you are receiving the valuable discounts it offers.
Too many manufacturing businesses are still missing out on the savings offered by this scheme due to the complexity in determining eligibility. Seeking expert help with this can pay dividends. The Envantage team has helped many companies to reduce their energy bills through EII – even those who have tried and failed in the past.
5. Ensure you are buying energy in the best way possible
Is your current procurement strategy shielding you from the shocks of the global energy markets? Does it have the flexibility to enable you to seize opportunities to save when market prices drop? Is it helping to secure your eligibility for valuable compensation schemes that can reduce energy bills further? Talk to our specialist team today for a free desk-top audit to identify the best possible way to buy energy for your business.
Our in-house trading desk has direct access to the wholesale markets, and we can provide the best possible price whether you choose a flexible, fixed, or basket approach to purchasing energy.
6. Get up to speed on changing carbon regulatory and reporting standards
There are several significant regulatory and reporting changes in the works. The UK Government is set to finalise the publication of the UK Sustainability Reporting Standards (UK SRS) in early 2026, ahead of another round of consultations to update the mandatory reporting requirements for companies. The GHG Protocol is also making revisions to strengthen its Accounting Standards, and the Science-Based Targets initiative is in the process of updating its framework.
While these are still in consultation, the direction of travel is set, and the obligations for affected businesses are set to get tougher. Now is the time to review your approach. Speaking with Envantage can help you understand these changes and their potential impact on your business. We offer guidance and can work with you wherever you are on your carbon journey.
Our comprehensive approach to energy and carbon means that we know all the routes to achieving cost savings and driving efficiency within your business.
Talk to our expert team today to start saving in 2026.
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