Climate change bill sets ambitious targets to tackle climate change

The UK climate change bill will see mid-sized companies face mandatory reporting of their carbon emissions from 2012, and commits Britain to slash all six of the main greenhouse gas emissions by 80% by 2050.

The bill does not define exactly how big a company has to be to fall within the rules, but new responsibilities are placed on large and medium-sized companies to disclose their carbon emissions and sets out a process for establishing more rigorous common reporting standards.

Under the bill, carbon reporting will be mandated from 2012. Prior to this, ministers plan to review how it should be implemented and will retain power to introduce a voluntary scheme if that is considered to be more effective. There will also be a consultation on whether smaller businesses should face the same reporting requirements.

Either under existing regulations or voluntarily, many companies already disclose their carbon dioxide output. Heavy industry covered by the EU’s emissions trading scheme must monitor their discharges, while under government regulations called the "carbon reduction commitment", thousands of retail outlets, banks and other commercial premises will have to begin emissions trading from 2010.