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Cuts to the Energy Company Obligation (Eco) have been confirmed by the Department of Energy and Climate Change (Decc) despite strong opposition to them.
The Carbon Emissions Reduction Obligation (Cero) target has been reduced by 33 per cent, despite the fact that 68 per cent of the 266 consultation responses opposed them.
The department stated the decision to cut the March 2015 Cero target by a third because “at this time, it is right that the impact of environmental programmes on consumer energy bills should be reduced” by up to £35.
However, it added: “We recognise that this will inevitably lead to a reduction in Eco delivery for the remaining obligation period.”
The move comes after Prime Minister David Cameron promised to “roll back green levies” on energy bills in October last year.
The cut also comes despite claims from the Insulated Render and Cladding Association (Inca) that the cuts would result in the energy suppliers benefitting from a £1.8 billion windfall.
The other elements of Eco, the Carbon Saving Community Obligation (CSCO) and Affordable Warmth will remain the same.
Decc added that this was because it “remained committed to maintaining support for the fuel poverty objectives through ECO”.
Subject to Parliamentary approval, it is expected the amendments to come into force this autumn.
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