Your Question
Can you explain how my Climate Change Levy and VAT is calculated ?
ScottishPower collect Climate Change Levy or CCL together with VAT from businesses on behalf of the government.
Climate Change Levy or VAT is charged depending on your average daily consumption. If you are an electricity customer, and you consume more than 33 units per day, then you will be charged CCL or VAT at the full rate.
If your average daily consumption is below 33 units per day, then CCL will not be charged in this period. However, VAT will be charged but at the lower rate.
Remember - although CCL is charged on the basis of kWh consumed per day, this is averaged over the period of the bill. A business can be charged CCL for one bill and not for the next, should your consumption change.
For further details, why not ask your Accountant for more information.
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