The Government has updated its guidance on the Enhanced Capital Allowance Scheme for energy-saving technologies.
The aim of the scheme is to help organisations to invest in energy-saving equipment with the incentive of tax efficiencies.
The scheme aims to make it easier to identify energy efficient products and remove confusion around energy performance and sustainability information provided by their suppliers. The ETL is a simple, free-to-use and straightforward way to identify higher performance energy efficient equipment.
All ETL listed equipment has been verified by an independent assessor. The ETL is periodically reviewed and ETL equipment that no longer meets these higher standards is removed from the list.
The ECA scheme provides a financial incentive for businesses to invest in products that meet the standards for high energy efficiency performance set by the ETL. Companies that buy an ETL qualifying product are currently able to receive accelerated tax relief on the purchase of that equipment, by claiming a 100% capital allowance in the year of purchase. Please note that ECA accelerated tax relief for the ETL ends for new product purchases from April 2020.
To be listed on the ETL, products must have been reviewed by the ETL team as meeting the energy efficient criteria of the scheme. This means that typically products fall within the top 25% of energy efficient equipment for that technology category in the UK market
Listed ETL categories comprise:
- Air-to-air energy recovery
- Boiler equipment
- Compressed air equipment
- Heat pumps
- Heating, ventilation and air conditioning (HVAC) equipment
- High speed hand air dryers
- Lighting: white LED modules for backlit illuminated signs
- Motors and drives
- Portable energy monitoring equipment
- Radiant and warm air heaters
- Refrigeration equipment
- Solar thermal systems and collectors
- Uninterruptible power supplies
- Warm air and radiant heaters
- Waste heat to electricity conversion equipment
Read more about the ECA scheme.