INFORMATION SHEET 17

COMPLETING SUPPLIER CERTIFICATES

Introduction

In order to get Climate Change Levy discount, an eligible site must:

1. Become part of the MPMA Umbrella Agreement (you will be informed by MPMA as soon as this occurs);

2. Then, you must complete and return "Supplier Certificates" to each of your energy suppliers and to Customs and Excise.

Enclosed with this Information Sheet are the 2 forms that you must complete and return (labeled PP10 and PP11) and a set of Customs and Excise explanatory notes (PP12).

We suggest you read this Information Sheet first – for most sites it will provide sufficient information to help you complete PP10 and PP11. Then you can refer to the Customs and Excise explanatory notes (PP12) if you require more detailed information. You should be aware that the forms allow for a number of Climate Change Levy exemptions in addition to the CCL Agreement discount for which you are eligible – hence many bits of the forms are not relevant to the majority of sites.

How many forms must be completed?

You must fill in a copy of PP10 and PP11 for each taxable energy supply. A taxable supply in this context is one that will be charged the Climate Change Levy. This includes all the following energy supplies: electricity, gas, coal and LPG. Note, it does NOT include oil supplies.

For example, if you own a site with a supply of electricity, gas and heavy fuel oil you will need to complete 2 sets of forms – one for electricity and one for gas. If you have more than one supply from one utility company that are billed separately (e.g. you have 2 electricity supplies) you must complete a set of forms for each supply.

Please photocopy as many sets of forms as you require.

Who should the forms be sent to?

Copies of PP10 for each energy supply must be sent to Customs and excise, and copies of PP11 for each energy supply must be sent to both Customs and Excise and your Utility Suppliers.

We recommend you telephone your utility supplier and check the exact address that Climate Change Levy Supplier Certificates should be sent to. We recommend you send the forms by recorded delivery.

Customs and Excise are at the following address:

Completing PP10 "Supporting Analysis"

You should complete PP10 first. Some data from PP10 will then be transferred to PP11. The form has been designed for completion on an annual basis. As this is the first year you can ignore the "adjustments" in box 16 – they only become relevant next year.

The following paragraphs give a brief explanation of what is required in each box in PP10. For more details you are advised to read the Customs and Excise explanatory notes (PP12).

Name is the name of the site (use the same name as used in the MPMA Umbrella Agreement).

Customer Identifier (Account number, electricity supply no(s). gas meter point no(s).) will be found on your current energy bills. Enter as appropriate.

Commodity on which relief is claimed is the taxable energy type (i.e. electricity or gas or coal or LPG). Don’t forget – one form must be completed for each energy type.

Sample Period should be a recent 12 month period representative of typical energy consumption.

Box 1 Total Units is the number of units of energy from this supplier consumed during the Sample Period (excluding domestic use and renewables).

Boxes 2 – 11. For most sites in the MPMA Agreement these boxes can be left blank. If you have CHP you may need to fill in boxes 6 and 8. Please check each of these boxes – if you think any might be relevant please look at the detailed Customs and Excise guidance (PP12).

Box 12 Eligible for reduced rate. This is a critical box for sites that have obtained a CCL Discount. Enter the amount of energy from this supplier that is eligible for a discount. For those sites that pass the "90/10 rule" (i.e. more than 90% of primary energy usage is eligible) you can simply enter the same value as you have put in Box 1. If you fail the 90/10 rule, you should enter an estimate of the number of units of energy that are eligible for a discount (e.g. if 50% of your energy supply is eligible, you should enter half the value used in Box 1).

Box 13 Total claimable for reduced rate. This is the value in Box 12 multiplied by 0.8.

Box 14 Total units claimable. This is the sum of values in Boxes 2, 8, 9, 11 and 13.

Box 15 Percentage relief. This is (box 14 divided by box 1) multiplied by 100. Enter a value to 2 decimal places.

Box 16 Adjustments. Do not enter anything into this box. This will be used next year to make adjustments to Levy claimed in the previous year, but as this is the first year of the Levy there will be no adjustments to make.

Box 17 Total percentage relief. As adjustments (box 16) are zero, simply enter the value in box 15. Please round to the nearest whole number (e.g. round 70.81% to 71%).

Completing PP11 "Supplier Certificate"

After you have completed PP10 you are then able to complete the actual Supplier Certificate, PP11.

The following paragraphs give a brief explanation of what is required in each box in PP11. For more details you are advised to read the Customs and Excise explanatory notes (PP12).

Name and Address of Qualifying Premises. This is the name and address of the site as referred to in the MPMA Umbrella Agreement.

Horticultural Claimant? Under normal circumstances leave this box blank.

VAT Registration Number. Enter the appropriate VAT number if the site is registered for VAT.

Unique Facility Number. This is the reference number of the site used in the MPMA Umbrella Agreement – see the Schedule of Sites sent with this Information Sheet.

CHPQA number. This need only be filled in if your site has CHP and the CHP system has been registered with the CHPQA Scheme.

Supplier Name is the name of the utility company to which this Supplier Certificate applies.

Customer Identifier (Account number, electricity supply no(s). gas meter point no(s).) should be the same as those entered in PP10.

Commodity on which relief is claimed is the taxable energy type (i.e. electricity or gas or coal or LPG). This should be the same as entered on PP10.

Percentage of supply eligible for relief from CCL. This is the number shown in box 17 of PP10. For many sites in the MPMA Agreement this figure will be 80% (i.e. those sites that pass the "90/10 rule" and have not entered anything into Boxes 3 to 11 of PP10. In some circumstances the figure can be higher than 80% (e.g. you have 100% exemption for a CHP supply). In other circumstances the number will be less than 80% (particularly if your site fails the 90/10 rule).

Please ensure you also fill in and sign the declaration at the bottom of PP11.

Return a copy of each completed PP10 and PP11 to BOTH the energy supplier and Customs and Excise (see the address on Page 1 of this Information Sheet).

You should retain originals of PP10 and PP11 and any working papers to show an audit trail of calculations for possible verification by Customs.