Carbon Reduction and Renewable Energy

Obligation

Carbon reduction and carbon offsetting contribution (allowable solutions contribution)

Criteria

R1. To ensure development comply with Policy BE01 part (1), the Council will consider the use of planning conditions that refer to the current version of Part L Building Regulations at the time of construction commencement.

R2. A financial contribution will be required where renewable technologies provision target and carbon dioxide emissions reduction targets are not achieved on-site. A rate of £378 per tonne of carbon dioxide each year for a period of over 30 years will be applied as the basis of calculating the financial contribution. This price is index linked to inflation; and the Council will review the recommended carbon offset price and adjust this rate as necessary. This rate is aimed at encouraging developers to provide renewable energy on-site where possible instead of offsetting. This price will be kept under review and may change to reflect the most up to date carbon prices from a nationally recognised carbon pricing mechanism particularly at points where the Building Regulations or the SAP (Standard Assessment Procedure) regime (and therefore standard carbon factors) change.

R3. With the exception of sites where cash-flows are demonstrated to be a challenge, and very large sites where it is reasonable to phase contributions in parallel with the build programme, payment should be made prior to the commencement of development.

R4. The Council will consider including within planning conditions a requirement for as-built SAP measurements to be submitted, to ensure predicted performance standards are achieved. SAP is the government's recommended method system for measuring the energy rating of residential dwellings.

R5. When drafting the S106 agreement, the Council will consider claw back additional carbon offset contributions where the predicted energy performance standards are not achieved. The requirement for a carbon offsetting payment will be informed by an assessment of the completed development.

Justification

The Local Plan's approach to reducing carbon dioxide emissions in the built environment can be summarised in three step:

• the first step is to focus development in sustainable locations to reduce greenhouse gas emission;
• the second step is to require carbon emission reduction on-site and energy efficiency via construction standards; and
• the third step is to require renewable energy provision on-site.

Policy BE01 requires to major development to achieve at least a 10% reduction in carbon dioxide emissions above the requirements of Part L Building Regulations as well as 10% of the predicted energy needs of the development from renewable energy. Policy BE01 is clear that where on-site provision of renewable technologies is not appropriate, or where it is clearly demonstrated that the policy target cannot be fully achieved on-site, 'allowable solutions contributions' via S106 or CIL will be required.

Every effort should be made to comply with policy requirements regarding reductions in emissions, and provision of renewables through on-site measures. Only when this is not achievable would the Council accept carbon offsetting contribution.

Planning obligations will be used to fund projects where offsetting benefits are retained locally including local community energy projects. This is to ensure that proposals still deliver and contribute towards the Local Plan strategic objectives.

Policy background

Strategic Policy BE01: Carbon Reduction and Renewable Energy