MPA welcomes news on possible climate change levy exemption

The UK's Mineral Products Association (MPA) has welcomed the Chancellor of the Exchequer’s announcement that the government will introduce exemptions from the climate change levy for energy used in metallurgical and mineralogical process from 1 April 2014.

While the Chancellor did not state which industries would benefit from the exemption, the MPA said in a statement that the cement and lime industries have set out their case to the Treasury and will actively participate in the consultation process that the government will now undertake, before publishing draft legislation later this year for the Finance Bill 2014.

Pal Chana, Executive Director MPA Cement, said the statement that: “This is welcome news to the cement and lime industries who have been struggling under the weight of a cumulative cost burden of regulation and environmental taxes.  If these essential industries are to remain competitive and attract investment they have to be able to compete on a level playing with others, such as France and Germany, who already exempt their metallurgical and mineralogical process from energy taxes.  I am delighted that the Chancellor has listened to MPA’s arguments and look forward to working with the Treasury to secure this much needed exemption for cement and lime.”