The Green Gas Levy (GGL) applies to licensed fossil fuel gas
suppliers in Great Britain from 30 November 2021, and will fund
the Green Gas Support Scheme (GGSS).
From:
Department for Business,
Energy & Industrial Strategy
Published
29 November 2021
Applies to England, Scotland and Wales
Documents
Green Gas Levy (GGL):
rates, underlying variables, mutualisation threshold
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Green Gas Levy (GGL):
maximum collection amount
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Exemptions from the Green
Gas Levy (GGL): approved biomethane certification
schemes
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Details
The Green Gas Levy (GGL) applies to licensed fossil fuel gas
suppliers in Great Britain from 30 November 2021 and will fund
the Green Gas Support Scheme
(GGSS).
Levy rates
As required by the Green Gas
Support Scheme Regulations 2021, we have published:
For subsequent scheme years - 2023/2024 onwards - we will
announce the levy rate by 31 December in the preceding year.
The first levy collection will be in the first quarter of the
2022/2023 financial year (April to June 2022).
Exemptions
Exemptions are available to suppliers whose total gas supply for
the duration of a scheme year comprises at least 95% certified
biomethane. Suppliers seeking this exemption must prove their
biomethane supply levels using retired green gas certificates
from a scheme on the approved biomethane
certification scheme list.
Administration
Ofgem is the scheme administrator. Their website provides further
details on the administration of the GGL.
Next steps
The government has committed to transition the GGL from its
current meter point design to a volumetric levy as soon as
possible, so that costs better align with gas consumption. A
volumetric levy must be simple to administer and deliver,
minimise costs on consumers and take into account the impact on
Energy Intensive Industries and other important UK industries. We
will consult on any new levy proposals.
Background
The GGSS will help decarbonise our gas supplies by increasing the
proportion of green gas in the grid, through support for
biomethane injection. This is part of the government’s wider
strategy to decarbonise heat in buildings, as set out in the
October 2021 Heat and buildings
strategy.
Related links
