Mitsubishi Electric has produced a guide to Enhanced Capital Allowance, the government's corporate benefits scheme aimed at encouraging green technology adoption.
ECA allows businesses to claim all of their tax allowances against energy efficient equipment in the first year after purchase, rather than spreading the allowance over several years. It can enable the cost of installation to be offset in the same way.

Mitsubishi's ECA guide details the benefits of ECA and how energy efficient equipment qualifies to be on the energy technology list. The guide accompanies a series of construction CPD accredited seminars.

A list of qualifying technologies includes boilers, compact heat exchangers, combined heat and power, pipe insulation, solar thermal systems, warm air and radiant heaters and heat pumps.

Any business that pays income tax or corporation tax is entitled to enhanced tax allowances against equipment on the energy technology list. Smaller businesses can benefit from interest-free loans of up to £100,000.

The ECA scheme is managed by the Carbon Trust in collaboration with the Department for Environment, Food and Rural Affairs (DEFRA).

Mitsubishi said the potential for expanding the list of qualifying technologies to incorporate more energy efficient equipment remains.

'If a manufacturer wishes to introduce a new technology for which no category currently exists, the new technology must offer significant carbon savings over existing equipment,' said commercial director Donald Daw.

'Proposals must include estimates of how much carbon could be saved if the product is used, including independent evidence.
'It has to be financially attractive with ECA eligibility, and show that the whole system performance - not just individual pieces of kit, can perform to make a substantial difference,' he said.

To download the guide go to mitsubishi-aircon.co.uk/