Energy Intensive Industries (EII) is a government scheme administered by the Department for Business, Industry, and Industrial Strategy (BEIS). The scheme allows some businesses to apply for relief against part of their non-commodity electricity costs, specifically the Renewables Obligation, Feed in Tariff and Contracts for Difference charges. If eligible, and approved by BEIS, businesses can claim the discount on their supply invoices.
To qualify for EII, businesses must be in an eligible sector and be electrically intensive. BEIS have issued NACE codes for eligible sectors and activities, examples of these are plastic manufacturers, steel makers, mining firms, glass manufacturers, essentially businesses where energy account for a significant proportion of processes.
In order to prove electric intensity businesses must provide evidence to show that electricity costs are more than 20% of your Gross Added Value (GVA) across the previous three financial years.
If a business qualifies for EII, as it currently stands, they can claim a discount of up to 85% against the non-commodity charges, Renewables Obligation, Feed in Tariff and Contracts for Difference.
This rebate will continue year on year, with the requirement for regular reporting, and at current rates it worth around £20,000 per 1 GWh of consumption annually.