The UK government has begun consultations with major companies in critical industries to determine a support scheme, the UK government press office said. These energy-intensive industries include steel, paper, glass, ceramics, and cement. The Cabinet has prepared targeted proposals, including a significant discount on factory electricity bills.
The decision follows the government’s previous promises in April this year that the energy-intensive industries compensation scheme was extended for another three years and its budget more than doubled.
Businesses with high electricity consumption, such as steel and paper mills, may be eligible for electricity subsidies.
The UK Government is consulting on exemptions from certain environmental costs and policies from 85% to 100%. These surcharges are responsible for the high prices of products and the competitiveness of British enterprises, which causes the transfer of production to other countries with more favorable conditions.
The new proposal is said to help around 300 businesses create 60,000 jobs in the UK’s industrial heartlands. Finding ways to lower the cost of doing business in key industries will help secure the future of domestic manufacturing and maintain a competitive business environment in the UK, driving economic growth and saving thousands of jobs across the country.
The Energy Intensive Industries Benefit Scheme will provide businesses with exemptions from the cost of renewable energy fees, including contracts for difference, renewable energy obligations, and feed-in tariffs, on their electricity bills, the government said.