Energy supplier obligation: Carbon Emissions Reduction Target (CERT)
The Carbon Emissions Reduction Target (CERT) (2008 – 2011) is the third three-year phase of the energy supplier obligation. CERT is significantly more ambitious than previous phases of the obligation, doubling the level of activity seen under EEC 2005 - 2008. It also sees a shift in emphasis, with the target set in terms of carbon savings rather than terawatt hours.
Under CERT, energy suppliers must, by 2011, deliver measures that will provide overall lifetime carbon dioxide savings of 154 MtCO2 – equivalent to the emissions from 700,000 homes each year. It is expected to lead to energy supplier investment of some £2.8bn.
Suppliers must focus 40 per cent of their activity on a ‘Priority Group’ of vulnerable and low-income households, including those in receipt of certain income/disability benefits and pensioners over 70. By increasing the energy efficiency of GB households, CERT will not only help households from falling into fuel poverty but is also expected to help alleviate fuel poverty.
CERT allows suppliers to meet up to 5 per cent of their obligation through a ‘flexibility mechanism’, which aims to target hard to treat homes i.e. those off grid or solid walled homes, in the Priority Group.
Proposed changes to CERT
On 11 September 2008, the Prime Minister announced proposals to amend CERT as a key element of his £1 billion Home Energy Saving Programme. The central proposal is a 20 per cent uplift to the target, which is expected to boost supplier household energy efficiency investment by some £560m by 2011 and increase the scheme’s lifetime carbon savings to 185MtCO2 (31MtCO2 more than under the original CERT target) thereby making a significant contribution to Governments environmental and social ambitions. The Department of Energy and Climate Change is currently undertaking a public consultation to seek views on the proposed amendments.
Suppliers progress
1 September 2008 - Ofgem's second quarterly report on suppliers progress against CERT targets - on the Ofgem website
Documents related to CERT
- Electricity and Gas (Carbon Emissions Reduction) Order 2008, S.I. 2008/188 (on OPSI website: the underlying regulations for the scheme)
- CERT Impact Assessment and Explanatory Memoranda (PDF - on OPSI website)
Page last modified: 10 February 2009

