Energy Tax Relief

Energy Intensive Industries Scheme

Reduce the policy-related costs included in your business electricity prices.

Bonham & Brook will assess your eligibility and manage your EII Exemption application through to the exemption being applied to the relevant electricity charges.

Energy Intensive Industries

What is the EII Scheme?

The British Industrial CoThe Energy Intensive Industries Exemption Scheme is a government scheme that reduces electricity costs for eligible energy-intensive manufacturers in Great Britain. The EII Exemption scheme helps eligible manufacturers reduce operating costs and remain competitive.

The scheme exempts eligible electricity from charges linked to Contracts for Difference (CfD), the Renewables Obligation (RO), Feed-in Tariffs (FiT) and the Capacity Market (CM).

The exemption applies in full to these charges, but only to the eligible share of the business’s electricity use.

Once an application is approved, the EII certificate specifies the qualifying share of electricity for each included meter, which the supplier uses to apply the exemption to the relevant charges.

The exemption applies in full to these charges, but only to the eligible share of electricity use specified in the EII certificate.

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Industrial Plant
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How is eligibility assessed for EII?

The sector-level test checks whether the product and manufacturing activity are eligible. The business-level test compares representative electricity costs with the business’s Gross Value Added (GVA).

Eligible Sectors and Products under the EII Exemption Scheme

The EII Exemption Scheme covers specific activities within the following industry areas:

  • mining and quarrying
  • food, animal feed and malt production
  • textiles, apparel and leather
  • wood, paper and paper packaging
  • refined petroleum and basic chemicals
  • rubber and plastics
  • glass, ceramics and mineral products
  • iron, steel and non-ferrous metals
  • metal casting and light metal packaging
  • electronic components, batteries, cables and metallurgy machinery

 

At least one product manufactured by the business must fall within an eligible four-digit NACE code. The proportion of electricity used for eligible manufacturing determines the percentage exemption granted.

A confirmed match between the product, manufacturing activity and NACE code satisfies the sector-level test. The business-level test is assessed separately.

 

Mining & Quarrying:

  • 05.10 — Mining of hard coal
  • 08.11 — Quarrying of ornamental and building stone, limestone, gypsum, chalk and slate
  • 08.12 — Operation of gravel and sand pits; mining of clays and kaolin
  • 08.99 — Other mining and quarrying not elsewhere classified

Food & Beverage:

  • 10.12 — Processing and preserving of poultry meat
  • 10.61 — Manufacture of grain mill products
  • 10.91 — Manufacture of prepared feeds for farm animals
  • 11.06 — Manufacture of malt

Textiles:

  • 13.10 — Preparation and spinning of textile fibres
  • 13.20 — Weaving of textiles
  • 13.91 — Manufacture of knitted and crocheted fabrics
  • 13.93 — Manufacture of carpets and rugs
  • 13.95 — Manufacture of non-wovens and articles made from non-wovens, except apparel
  • 13.96 — Manufacture of other technical and industrial textiles
  • 13.99 — Manufacture of other textiles not elsewhere classified
  • 14.19 — Manufacture of other wearing apparel and accessories
  • 14.31 — Manufacture of knitted and crocheted hosiery
  • 14.39 — Manufacture of other knitted and crocheted apparel

Leather:

  • 15.11 — Tanning and dressing of leather; dressing and dyeing of fur

Wood & Paper:

  • 16.10 — Sawmilling and planing of wood
  • 16.21 — Manufacture of veneer sheets and wood-based panels
  • 16.29 — Manufacture of other products of wood; manufacture of articles of cork, straw and plaiting materials
  • 17.12 — Manufacture of paper and paperboard
  • 17.21 — Manufacture of corrugated paper and paperboard and of containers of paper and paperboard
  • 17.22 — Manufacture of household and sanitary goods and of toilet requisites
  • 17.24 — Manufacture of wallpaper

Chemicals, Refining & Plastics:

  • 19.20 — Manufacture of refined petroleum products
  • 20.11 — Manufacture of industrial gases
  • 20.13 — Manufacture of other inorganic basic chemicals
  • 20.14 — Manufacture of other organic basic chemicals
  • 20.15 — Manufacture of fertilisers and nitrogen compounds
  • 20.16 — Manufacture of plastics in primary forms
  • 20.17 — Manufacture of synthetic rubber in primary forms
  • 20.60 — Manufacture of man-made fibres
  • 22.11 — Manufacture of rubber tyres and tubes; retreading and rebuilding of rubber tyres
  • 22.19 — Manufacture of other rubber products
  • 22.21 — Manufacture of plastic plates, sheets, tubes and profiles
  • 22.22 — Manufacture of plastic packing goods
  • 22.29 — Manufacture of other plastic products

Glass & Ceramics:

  • 23.11 — Manufacture of flat glass
  • 23.13 — Manufacture of hollow glass
  • 23.14 — Manufacture of glass fibres
  • 23.19 — Manufacture and processing of other glass, including technical glassware
  • 23.20 — Manufacture of refractory products
  • 23.31 — Manufacture of ceramic tiles and flags
  • 23.32 — Manufacture of bricks, tiles and construction products, in baked clay
  • 23.44 — Manufacture of other technical ceramic products
  • 23.49 — Manufacture of other ceramic products

Building Materials & Minerals:

  • 23.51 — Manufacture of cement
  • 23.52 — Manufacture of lime and plaster
  • 23.62 — Manufacture of plaster products for construction purposes
  • 23.65 — Manufacture of fibre cement
  • 23.99 — Manufacture of other non-metallic mineral products not elsewhere classified

Metals:

  • 24.10 — Manufacture of basic iron and steel and of ferro-alloys
  • 24.20 — Manufacture of tubes, pipes, hollow profiles and related fittings of steel
  • 24.31 — Cold drawing of bars
  • 24.32 — Cold rolling of narrow strip
  • 24.34 — Cold drawing of wire
  • 24.42 — Aluminium production
  • 24.43 — Lead, zinc and tin production
  • 24.44 — Copper production
  • 24.45 — Other non-ferrous metal production
  • 24.51 — Casting of iron
  • 24.52 — Casting of steel
  • 24.53 — Casting of light metals
  • 24.54 — Casting of other non-ferrous metals

Metal Packaging & Electronics:

  • 25.92 — Manufacture of light metal packaging
  • 26.11 — Manufacture of electronic components
  • 27.20 — Manufacture of batteries and accumulators
  • 27.32 — Manufacture of other electronic and electric wires and cables
  • 28.91 — Manufacture of machinery for metallurgy
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Our Services

How we help Manufacturing businesses

An EII exemption application requires more than confirming that your business meets the basic eligibility criteria. It must demonstrate that your manufacturing activities and products match eligible NACE codes. It must also establish your electricity intensity under the business level test, and calculate the eligible electricity share at each meter or supply point. Complex production arrangements, shared supplies and mixed eligible and ineligible products all affect the outcome.

Our compliance guarantee: Our energy specialists establish a clear, defensible basis for your application. We verify your sector and product eligibility, calculate your business level test accurately, and determine your eligible electricity share before submission.

Energy People

EII Application Management

  • Eligibility

Reduce your electricity costs under the EII Exemption Scheme. Eligible manufacturers could save up to 20% on their representative electricity bill through exemptions on CfD, RO, FiT and CM charges.

  • NACE Code VerificationWe confirm your manufacturing activities match eligible four-digit NACE codes
  • Business Level TestWe assess your electricity intensity against the 20% threshold using your financial and electricity data
  • Electricity Use AllocationWe calculate the proportion of electricity attributable to eligible manufacturing at each site
  • Savings EstimateWe provide an initial estimate of the potential reduction in electricity costs across your sites
Energy Allocation

Savings with EII

  • Application

We manage the full EII application process, from initial assessment through to submission within the DBT deadline and supplier implementation.

  • EII Eligibility AssessmentWe confirm whether your products and manufacturing activities meet the scheme criteria

  • Business Level CalculationWe calculate your electricity intensity using your accounts data and electricity consumption
  • Application PreparationWe compile the required records and prepare your submission before the window opens
  • Submission SupportWe prepare and support submission ahead of the application deadline window
Energy Savings
Up to 25%

Potential Electricity Cost Reduction

  • Savings

We estimate the potential EII saving across your manufacturing before you decide to proceed with a full application. The exemption value depends on your eligible electricity share and the level of qualifying charges.

  • Eligible Charge AnalysisWe identify which electricity costs qualify for exemption under CfD, RO, FiT and CM
  • Electricity Share CalculationDetermine what proportion of your electricity consumption qualifies based on your products and supply arrangements
  • Network Charging CompensationCalculate the 90% compensation available on BSUoS, DUoS and TNUoS charges with your valid EII certificate
Solar Installation
All Sites

Groups, Shared Supplies and Private Networks

  • Complex Structures

We assess how mixed production, shared supplies and multiple meters affect your eligible electricity share and exemption value.

  • Mixed Product AssessmentIdentify which of your products match eligible NACE codes and allocate electricity use accordingly
  • Shared Meter AnalysisCalculate your eligible share where your business shares a meter with other occupants or operations
  • Multiple Supply PointsEvaluate landlord-supplied electricity, third-party arrangements and separate meters to establish eligibility at each point
  • Specialist GuidanceOur Energy Tax Relief Specialist confirms which electricity costs and consumption should be included in your EII application
The B&B Method

Our Advisory Process

Our structured approach identifies whether your business meets EII eligibility requirements, establishes your electricity intensity and eligible electricity share, and prepares a compliant application for submission to the Department for Business and Trade.

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New Business Eligibility

New businesses can apply for an EII Exemption Certificate before they have a full year of accounts. A business trading for fewer than 21 months can apply with at least one quarter of financial information and production and electricity data.

Speak with our specialist to discuss whether your new business is eligible and what records you'll need to prepare.

Meet Our Team

Dedicated Energy Experts

Your EII Exemption engagement is led by a team of dedicated Energy Tax Relief Specialists.

The same specialist remains responsible for your work from the initial review through to supplier implementation and beyond. You have one direct point of contact for questions, information requests and application updates.

Featured Case Study

Inside Weetabix's energy strategy

Discover how Bonham & Brook supported leading UK food manufacturer Weetabix secure valuable Energy tax relief.

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Client Success story 

Weetabix

Energy Intensive Industries

Frequently Asked Questions

Yes, a new business can apply with at least one quarter of financial information, and production and electricity data. A business without annual accounts must have been trading for no more than 21 months when it applies.

A first certificate normally starts the day after it is issued and remains valid until 30 June of the following year. Different validity rules apply to new businesses that have traded for four financial quarters or less.

No, your business must apply for a replacement certificate before the current certificate expires. A replacement issued after an application made on time starts the day after the previous certificate ends.

No, the new electricity supplier must notify the Low Carbon Contracts Company and set up the meter arrangements again before applying the exemption.

Yes, your business can apply to add a new meter after collecting at least three months of electricity consumption data for that meter.

No, the certificate establishes access to the Network Charging Compensation Scheme, but your business must register and submit a separate application for each quarterly claim period. The scheme compensates 90% of eligible network charges for claim months from April 2026

 

Get in Touch

EII Eligibility Review

Book a structured, no-obligation review with a specialist. We'll assess your manufacturing activities and provide a clear eligibility recommendation.

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Confidential

All discussions are held in strict confidence.

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Complimentary

Initial eligibility consultation is always complimentary.

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Request a Free BICS Eligibility Review