The Fossil Fuel Levy (FFL) is a levy paid by suppliers of

electricity Electricity is the set of physical phenomena associated with the presence and motion of matter that has a property of electric charge. Electricity is related to magnetism, both being part of the phenomenon of electromagnetism, as describ ...

from non- renewable energy sources in the

United Kingdom The United Kingdom of Great Britain and Northern Ireland, commonly known as the United Kingdom (UK) or Britain, is a country in Europe, off the north-western coast of the European mainland, continental mainland. It comprises England, Scotlan ...

. The costs are shared by the suppliers and consumers, as a proportion of the cost is passed on to consumers in the cost of the electricity supplied. The Fossil Fuel Levy was imposed to fund the Non-Fossil Fuel Obligation.

Legislation

England England is a country that is part of the United Kingdom. It shares land borders with Wales to its west and Scotland to its north. The Irish Sea lies northwest and the Celtic Sea to the southwest. It is separated from continental Europe b ...

and

Wales Wales ( cy, Cymru ) is a country that is part of the United Kingdom. It is bordered by England to the east, the Irish Sea to the north and west, the Celtic Sea to the south west and the Bristol Channel to the south. It had a population in ...

the Fossil Fuel Levy was introduced under the

Electricity Act 1989 The Electricity Act 1989 (c. 29) provided for the privatisation of the electricity supply industry in Great Britain, by replacing the Central Electricity Generating Board in England and Wales and by restructuring the South of Scotland Electricit ...

. Section 33 of this Act was briefly superseded by the Fossil Fuel Levy Act 1998 until its repeal (by the

Utilities Act 2000 The Utilities Act 2000c 27 is an Act of the Parliament of the United Kingdom that deals with the gas and electrical markets in the UK. It mainly modified the Gas Act 1986, the Gas Act 1995 and Electricity Act 1989. One of the greatest changes w ...

), bringing the FFL back under the Electricity Act. In

Scotland Scotland (, ) is a Countries of the United Kingdom, country that is part of the United Kingdom. Covering the northern third of the island of Great Britain, mainland Scotland has a Anglo-Scottish border, border with England to the southeast ...

, the Fossil Fuel Levy was not imposed until 1996, as support for the nuclear industry in Scotland (the original purpose of the Levy in England and Wales) was provided by the 1990 Scottish 'Nuclear Energy Agreement'.

Rates

The Levy has been applied at various rates, but in recent years has been set at zero as the

Climate Change Levy The Climate Change Levy (CCL) is a tax on energy delivered to non-domestic users in the United Kingdom. Scope and purpose Introduced on 1 April 2001 under the Finance Act 2000, it was forecast to cut annual emissions by 2.5 million tonnes ...

was introduced. Rates are controlled by

Ofgem , type = Non-ministerial government department , nativename = , nativename_a = , nativename_r = , logo = Ofgem logo.svg , logo_width = 124px , logo_caption = , seal = , seal_width = , seal_caption = , picture = , picture_widt ...

External links

Fossil Fuel Levy Act 1998
{{Energy in the United Kingdom, govreg Fossil fuels in the United Kingdom

Legislation

Rates

See also

External links