Carbon Emission Reduction Target

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The Carbon Emission Reduction Target (CERT) in the United Kingdom (formerly the Energy Efficiency Commitment) is a target imposed on the gas and electricity transporters and suppliers under Section 33BC of the Gas Act 1986 and Section 41A of the Electricity Act 1989, as modified by the Climate Change and Sustainable Energy Act 2006^[1]

The original Energy Efficiency Commitment 1 (2002-2005) program required that all electricity and gas suppliers with 15,000 or more domestic customers must achieve a combined energy saving of 62 TWh by 2005 by assisting their customers to take energy-efficiency measures in their homes: suppliers had to achieve at least half of their energy savings in households on income-related benefits and tax credits.

In the current (2005-2008) Energy Efficiency Commitment 2 scheme, energy saving targets were raised to 130 TWh suppliers, and here suppliers with at least 50,000 domestic customers (including affiliated licenses) are eligible for an obligation.

The third phase of CERT (previously known as Energy Efficiency Commitment 3) will run from 2008 to 2011 and is likely to double the previous targets. A consultation document was published alongside the 2007 Energy White Paper, and responses are invited by August 15, 2007. It is proposed that the new scheme will be regulated a new Order - The Electricity and Gas (Carbon Emissions Reduction) Order 2007.^[2]