High Efficiency Combined Heat and Power cogeneration (HE CHP)
New provisions in force from 1 January 2017
Under the Finance Act 2016, amendments relating to High Efficiency Combined Heat and Power cogeneration (HE CHP) were introduced.
Legislation was amended to change a partial relief to a full relief in respect of:
A HE CHP relief is also available from the carbon charge component of Mineral Oil Tax (MOT). The HE CHP relief is not applicable to the non-carbon component of MOT.
The relief is granted by way of repayment of the tax on completion of a valid claim by the consumer concerned.
The amendments to the legislation provide that from 1 January 2017 a full relief will apply:
This means that the operators concerned must base their claims for relief on actual fuel used as certified by the CRU (that is, based on historic data).
Next: Identification of quantity of fuel to which relief applies