Renewable Energy News

Why should businesses invest in renewable energy?

The government introduce the enhanced capital allowances scheme in 2001 to encourage businesses to invest in low carbon technologies.

In essence the scheme means that companies who invest in certain energy saving technologies can claim 100% of the cost against your profit for that year.

Capital allowance for plant and machinery is normally only 20% each year. So if you were considering buying a conventional boiler and choose to buy an energy efficient heat pump instead you would save a considerably amount in tax. This could equate to over 30% of the value of the heat pump.

If this sounds interesting you should talk to your accountant for further advice.

Labels: Renewable-Energy