About 100 data centers have been approved to be exempt almost entirely from paying an extra tax on energy use under one of the government’s climate change initiatives in exchange for commitments from the operators to increase energy efficiency of the facilities.
Called Climate Change Agreement, the exemption is for energy intensive industries, created by the government to help them remain competitive with foreign players after the levy was introduced. It slashes the levy on companies in these industries by 90 percent if they commit to making measurable energy efficiency improvements.
The levy was introduced in 2010, and the CCAs have been around since 2001, but data centers were not among the 50 or so industries that were considered energy intensive and that would qualify for CCAs.
To learn more about Climate Change Agreements please contact Envantage Ltdtoday.