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Levy 'will fund renewable schemes'

The government has announced that funds for renewable energy generation schemes in local areas can be taken from the Community Infrastructure Levy (CIL).

A commitment to ensure that new homes are built to be zero carbon by 2016 was also made.

CIL is a new local levy that can be introduced by local authorities to help fund infrastructure in their area. The government progressed the tax last month, which was first proposed by the previous government.

“If we’re going to be successful in reducing our carbon emissions, we need to ensure the councils and developers who are actually going to deliver these changes are on board,” housing minister Grant Shapps said.

“That’s why we’re also giving the people at the sharp end of delivering zero carbon further options to invest in local renewable energy schemes, which will provide councils and developers the flexibility they need to meet these standards.”

Pressure groups have argued that a Community Energy Fund would be a better alternative. Contributions would be put into a specific fund, which would then be used to meet the zero carbon costs.

The Zero Carbon Hub, a non-profit company that is responsible for the delivery of low and zero carbon new homes, has also released its results on how new developments can reduce carbon emissions.

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