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Energy Bills Discount Scheme: Energy and Trade Intensive Industries support

The Energy Bills Discount Scheme also offers support to:

Eligibility for ETII support

You must have a non-domestic contract with a licensed energy supplier and be:

  • on existing fixed price contracts that were agreed on or after 1 December 2021
  • signing new fixed price contracts
  • on deemed/out of contract or variable tariffs
  • on flexible purchase (or similar) contracts
  • on variable ‘Day Ahead Index’ (DAI) tariffs (Northern Ireland scheme only)

Your UK business or organisation should also be able to prove that at least 50% of its revenue is being generated from UK-based activity within eligible SIC code sectors.

For Local Authorities, eligibility will be determined at a premise level. Where there are no relevant accounts, the Local Authority will be required to declare that at least 50% of the space is taken up by operations within eligible sectors.

If you are an ETII that receives eligible energy from a license exempt energy provider through the Non-Standard Cases scheme, you will need to apply for support in the same way.

The support you will be eligible to receive

Organisations will receive a discount reflecting the difference between the price threshold and the relevant wholesale price. The thresholds are:

  • Electricity – £185 per MWh
  • Gas – £99 per MWh

This discount will only apply to 70% of energy volumes and will be subject to a ‘maximum discount’ of £40.0/MWh for gas and £89/MWh for electricity. The baseline level of support will apply for the remaining 30% of energy volumes where the customers wholesale price meets the baseline eligibility criteria. The discount is likely to show up as one line on your bill as suppliers will do one calculation for the overall discount you are owed.

Example discount calculation for a ETII customer

A customer uses c.4 MWh of electricity a month. They signed a fixed price contract on 9 October 2022, giving them a current electricity unit rate of 61.2p/kWh (illustrative example)

How the discount is calculated April May June
Electricity consumed (kWh) 4,130 3,929 4,041
Fixed Electricity contracted unit prices p/kWh 61.2 61.2 61.2
Electricity Base Discount p/kWh 1.961 1.961 1.961
Electricity ETII Discount p/kWh 8.9 8.9 8.9
Weighted discount (70% ETII discount + 30% base discount) p/kWh 6.82 6.82 6.82
Electricity Bill £2,527.56 £2,404.55 £2,473.09
Price Adjustment from EBDS £281.67 £267.96 £275.60
Net Customer Bill £2,245.89 £2,136.59 £2,197.50

Getting ready to register for support

Applications will open in April 2023.

Eligible organisations will have 90 days from the scheme introduction date of 26 April to apply for the higher support.

New organisations, or newly eligible organisations will have 90 days to apply from the date at which they become eligible.

Applicants will need to provide information about their organisation or business including:

  • contact details
  • registered name and address
  • company registration number (if you have one)
  • up to 4 ETII eligible SIC codes
  • whether you pay bills directly to an energy supplier and details of any intermediaries involved (such as a landlord)
  • the names of gas and/or electricity suppliers
  • the gas or electricity meter point numbers (MPRN or MPAN) associated with the property, found on your bill from your energy supplier
  • the name of your organisation as it appears on your bill from your energy supplier(s)
  • a declaration letter signed by a named director or equivalent of your organisation or business (a template will be provided)

A template has been provided to record your meter point numbers. This can also be used when applying if you have more than 10 meter point numbers per supplier.

list of eligible sectors is available.

Evidence for your application

You may also need to provide financial evidence to determine your eligibility, such as:

  • your most recent full set of end-of-year accounts – if you do not have these, upload evidence of your most recent company accounts, covering a minimum period of the most recent 6 months
  • an Income Statement referring to the same time period as the accounts
  • a sample of 20 sales invoices, no older than 12 months from the date of the signed declaration, which demonstrates activity that falls within an eligible sector
  • license or trade body membership details for regulated industries (if applicable)
  • any additional evidence you want to support your application

To help with the processing of your application, you could also upload a letter signed by an external auditor or chartered accountant. This should confirm that you are in an eligible sector, and that 50% or more of your revenue generated from Great Britain and Northern Ireland are in an eligible sector. Further guidance will be published in due course.

Sole traders

Sole traders who cannot provide all the other financial evidence should upload a sample of 20 sales and purchase invoices for the eligible activities.

Local authorities (including libraries)

Local authority applicants who cannot provide the financial evidence should upload floor plans of the relevant property, with accompanying measurements in square metres. This should show that 50% or more of your activities are in an eligible sector.

Next steps

The government will determine eligibility based on the details provided when applying. In some instances, further validation of eligibility may be required, meaning that the organisation will be asked for additional information. The government will use a range of data sources, including Companies House data and eligibility for other support schemes to make the initial determination.

Energy suppliers will not be able to apply the discount rate until eligibility has been confirmed by the Department for Energy Security and Net Zero.

There may be cases where a single meter serves an office block or industrial estate where not all of the non-domestic customers operating from that site are eligible. In these cases, where there is one or more intermediary provider between the supplier and the ETII customer, then the ETII customer will be required to provide details of their ETII eligibility certificate to their energy providers. The provider with responsibility for the contract will be required to notify DESNZ, using the contact information below. They will be required to provide details of the specific meter points and proportion of consumption that are eligible for ETII support.

EBDS customer support

If you cannot apply online when applications open, contact the EBDS customer support team:

Email: support@ebds.beis.gov.uk
Telephone: 030 0400 5251
Monday to Friday, 9am to 5pm Find out about call charges