The Climate Change Levy (Fuel Use and Recycling Processes) Regulations 2005

• Citation: S.I. 2005/1715
• Sections: 42

Section 1 Citation and commencement

These Regulations may be cited as the Climate Change Levy (Fuel Use and Recycling Processes) Regulations 2005 and shall come into force on the day after the day on which they are made.

Section 2 Interpretation

In these Regulations—

“the Act” refers to Schedule 6 to the Finance Act 2000 ;

“ CCL ” refers to climate change levy.

Section 3 Use as fuel or otherwise

For the purposes of paragraph 18(1) of the Act (CCL exemption if commodity supplied for non-fuel use)—

(a) the uses of a taxable commodity that are specified in Schedule 1 to these Regulations are not to be taken as being uses of that commodity as fuel; and

(b) any uses of a taxable commodity that are not specified in Schedule 1 are specified by this paragraph as uses that are to be taken as being uses of that commodity as fuel.

Section 4 Recycling processes

The recycling processes described in Schedule 2 to these Regulations are prescribed for the purposes of paragraph 18A(1) of the Act (CCL exemption if commodity supplied for use in recycling process for which there is a relevant competing process, see paragraph 18A(2) of the Act).

Section 5 Revocations

The Climate Change Levy (Use as Fuel) Regulations 2001 and the Climate Change Levy (Use as Fuel) (Amendment) Regulations 2003 are revoked.

Section 1

Electricity in electrolysis for the production of:

Fluorine

Chloroalkali (chlorine, caustic soda and caustic potash)

Hydrogen peroxide, persulphates, chlorates and peroxyorganic acids by electro-oxidation

Aluminium

Copper

Basic materials directly from an ore or other compound (electrowinning)

Advanced chemicals from other more basic chemicals

Section 2

Electricity in the following types of electrolysis:

Electro-organic synthesis of fine organics and intermediates such as adiponitrile

Gold and silver electrolysis, and the electrolytic dissolution of platinum group metal alloys and alkali earth metals such as sodium, potassium, lithium and calcium

Electrolysis to purify materials (as distinct from electrowinning)

Electrolysis in refining tin or copper from impure metals or ingots

Electrolysis involving sodium chlorate, potassium permanganate, potassium dichromate, managanese dioxide, cuprous oxide, sorbitol, fatty alcohols

Section 3

Electricity in battery formation

Section 4

Natural gas as feedstock to produce hydrogen and for hydrogenation reactions

Section 5

Natural gas in the production of hydrogen and carbon monoxide for the reduction and subsequent purification of nickel

Section 6

Natural gas as a feedstock in producing acetic acid and acetic anhydride by a partial oxidation process

Section 7

Natural gas to provide carbon in producing carbon-carbon composites

Section 8

Natural gas in manufacturing sodium cyanide

Section 9

Natural gas and propane in steam reformers to produce a mixture of hydrogen and carbon monoxide in the production of:

Fertilisers

OXO (Oxonation) chemicals – detergent and plasticiser alcohols

Phosgene

Ammonia

Higher alcohols, synthetic fuels, plastics precursors

Methanol, methyl tertiary butyl ether, formaldehyde, formic acid, acetic acid, methyl amines, single cell proteins

Section 10

Methane as a feedstock in producing higher paraffins and their derivatives

Section 11

Liquefied petroleum gas as a propellant in aerosols

Section 12

Liquefied petroleum gas as feedstock in the cracking process to produce lower olefins

Section 13

Lower olefins as feedstock for conversion by chemical processes

Section 14

Propylene as feedstock in the manufacture of propan-2-ol (iso-propyl alcohol), polypropylene and cumene

Section 15

Petroleum coke in the manufacture of carbon and graphite electrodes

Section 16

Coke as a resistor in electro-thermal furnaces

Section 17

Coke in the manufacture of titanium dioxide by the chloride process

Section 18

Coal, coke and natural gas as chemical reductants for ironmaking, for example, in blast furnaces

Section 19

Coal, coke and natural gas as chemical reductants in the blast furnace production of zinc and other non-ferrous metals

Section 20

Coal and coke in the recarburising of iron and steel

Section 21

Coke breeze in a sinter plant to assist in the agglomeration of iron ore and its subsequent chemical reduction in blast furnaces

Section 22

Coke injected into electric arc furnaces to control the chemistry of the steel and the steelmaking slag

Section 23

Coke charged to electric arc furnaces to control the oxygen activity of the steel melt

Section 24

Coke as a carburiser in iron casting

Section 25

Coke as a source of carbon dioxide in the Ammonia Soda process for producing soda ash

Section 26

Anthracite as a reductant in the smelting of precious metals

Section 27

Gas for vacuum reduction in metal powder production and to maintain carbon content in metal during the sintering process

Section 28

Gas to maintain or increase the carbon content of metals during heat treatment

Section 29

Natural gas as a reductant in emission control systems, for example, in the reduction of oxides of nitrogen

Section 30

Natural gas in the manufacture of methocrylate monomers and polymers including that natural gas used for emission control which is an integral and essential part of the manufacturing process

Section 31

Natural gas as feedstock in the production of carbon black

Section 32

Natural gas as feedstock in a gas generator supplying a reducing atmosphere for the treatment or annealing of metal products

Section 33

Liquid propane in the production of ethylene where heat is provided either by combustion of the waste products or from another source

Section 34

Commodities in reduction furnaces for the production of lead

Section 35

Commodities in the reduction of chlorine

Section 36

Commodities to form reducing atmospheres, for example, in the refining and manipulation of molten copper to control oxygen levels

Section 37

Commodities in ASARCO (American Smelting and Refining Company) shaft furnaces, the deoxidisation of copper swarf and the annealing of copper and copper alloys to provide a reducing atmosphere