Table of Contents
Greenhouse Gas Emissions Trading Scheme Order 2020 [SI 2020 No. 1265]Introductory TextPart 1 Preliminary (arts. 1-15)Article 1 CitationArticle 2 CommencementArticle 3 ExtentArticle 4 InterpretationArticle 4A Meaning of FA installation, etc.Article 5 Meaning of operatorArticle 6 Meaning of aircraft operatorArticle 7 Exempt commercial air transport operatorsArticle 8 Exempt non-commercial air transport operatorsArticle 8A Meaning of registry administratorArticle 9 Meaning of regulatorArticle 10 Meaning of regulator: installationsArticle 11 Meaning of regulator: aircraft operatorsArticle 12 Aircraft operator: change in regulatorArticle 13 Aircraft operator: change in registered officeArticle 14 Meaning of UK ETS authority, etc.Article 15 Applications, notices, etc.Part 2 Basic elements of the UK ETS (arts. 16-25A)Chapter 1 Establishment of the UK ETS and requirement for review (arts. 16-17)Article 16 UK Emissions Trading SchemeArticle 17 Review of UK ETSChapter 2 Allowances and caps (arts. 18-23)Article 18 AllowancesArticle 19 Cap for trading periodArticle 20 Cap for scheme yearsArticle 21 Cap: hospital and small emitter reduction factorsArticle 22 Cap: base for scheme yearsArticle 23 Trading in allowancesArticle 23A Flexible reserveChapter 3 Monitoring, reporting and verification (arts. 24-25)Article 24 Monitoring and reporting of emissionsArticle 25 Verification of data and accreditation of verifiersChapter 4 Registry (art. 25A)Article 25A RegistryPart 3 Installations (arts. 26-27A)Article 26 Installations: requirement for permit to carry out regulated activityArticle 27 Installations: requirement to surrender allowancesArticle 27A Installations: information to be submitted before 2026-2030 allocation period where no application for free allocation, etc. is madePart 4 Aviation (arts. 28-34)Article 28 Application for emissions monitoring plansArticle 29 Issue of emissions monitoring plansArticle 30 Refusal of application for emissions monitoring plansArticle 31 Variation of emissions monitoring plansArticle 32 Monitoring emissions and emissions monitoring plan conditionsArticle 33 Reporting aviation emissionsArticle 34 Surrender of allowances by aircraft operatorsPart 4A Free Allocation (arts. 34A-34w)Chapter 1 Installations (arts. 34A-34HA)Article 34A Allocation tablesArticle 34B Allocation tables: supplementaryArticle 34C Allocation tables: updatesArticle 34D Allocation tables: publication, etc.Article 34E Allocation of allowancesArticle 34F No allocation unless monitoring methodology plan approvedArticle 34G New entrants' reserveArticle 34H Installations: errors in applications for free allocation, etc.Article 34HA Free allocation for former hospital or small emitters and ultra-small emittersChapter 2 Aviation (arts. 34I-34R)Article 34I InterpretationArticle 34J Meaning of historical aviation activity level and attributableArticle 34K Aviation: entitlement to free allocation in 2021-2025 allocation periodArticle 34L Application for aviation free allocation entitlementArticle 34M Processing of applications and calculation of aviation free allocation entitlementArticle 34N Aviation allocation table for 2021-2025 allocation periodArticle 34O Aviation: allocation of allowances for 2021-2025 allocation periodArticle 34P Permanent cessation of aviation activityArticle 34Q Transfers of aviation free allocation entitlementArticle 34R Errors in aviation allocation tableChapter 3 Common provisions (arts. 34S-34w)Article 34S Return of allowances: installationsArticle 34T Return of allowances: aviationArticle 34U Return of allowances: notice to registry administratorArticle 34V Return of allowances: notice to operator, etc.Article 34W Notice to withhold allowancesPart 5 Charging (arts. 35-37)Article 35 ChargesArticle 36 Charging scheme: regulatorsArticle 36A Charging scheme: registry administratorArticle 37 Remittance of chargesPart 6 Monitoring compliance (arts. 38-43)Article 38 Authorised personsArticle 39 InspectionsArticle 40 Powers of entry, etc.Article 41 WarrantsArticle 42 Admissible evidenceArticle 43 Legal professional privilegePart 7 Enforcement (arts. 44-68)Chapter 1 Enforcement notices, deficit notices and determination of emissions by regulator (arts. 44-45)Article 44 Enforcement noticesArticle 44A Deficit noticesArticle 45 Determination of reportable emissions or aviation emissions by regulatorChapter 2 Civil penalties (arts. 46-68)Article 46 Carbon priceArticle 47 Penalty noticesArticle 48 Penalty notices: supplementaryArticle 49 Regulator must publish names of persons subject to civil penalty under article 52Article 50 Installations: carrying out regulated activity without permit contrary to article 26Article 51 Installations: failure to comply with conditions of permit, etc.Article 52 Failure to surrender allowancesArticle 53 Installations: failure to transfer or surrender allowances where underreporting discovered after transferArticle 54 Hospitals and small emitters: exceeding emissions targetArticle 55 Hospitals and small emitters: failure to pay civil penalty for exceeding emissions targetArticle 56 Hospitals and small emitters: under-reporting of emissionsArticle 57 Hospitals and small emitters: failure to notify when ceasing to meet criteriaArticle 58 Installations: failure to apply to surrender permitArticle 59 Ultra-small emitters: reportable emissions exceeding maximum amountArticle 60 Ultra-small emitters: failure to notify where reportable emissions exceed maximum amountArticle 60A Installations: failure to submit information under article 27AArticle 61 Aviation: failure to apply or make revised application for emissions monitoring planArticle 62 Aviation: failure to comply with condition of emissions monitoring planArticle 63 Aviation: failure to monitor aviation emissionsArticle 64 Aviation: failure to report aviation emissionsArticle 64A Failure to comply with notice to return allowancesArticle 65 Failure to comply with enforcement noticeArticle 65A Failure to comply with deficit noticeArticle 66 Failure to comply with information noticeArticle 67 Providing false or misleading information, etc.Article 68 Inspection: refusal to allow access to premisesPart 8 Appeals (arts. 69-74)Article 69 InterpretationArticle 70 Right of appealArticle 71 Appeal bodyArticle 72 Effect of appealsArticle 73 Determination of appealsArticle 74 Procedure for appealsPart 9 Miscellaneous (arts. 75-77)Article 75 Information noticesArticle 75A National authority may require regulator, etc. to provide informationArticle 75B Restriction on disclosing informationArticle 75BA Power to publish UK ETS informationArticle 75C National securityArticle 76 Crown applicationArticle 77 Transitional provisionsSchedule 1 Aviation activitySchedule 2 Meaning of installation and regulated activitySchedule 3 Applications, notices, etc.Schedule 3, Part 1 Applications, notices, etc. submitted to regulators (paras. 1-2)Schedule 3, Part 2 Notices, etc. given by regulators, national authorities, UK ETS authority or registry administrator (paras. 3-4)Schedule 4 Modifications to Monitoring and Reporting Regulation 2018Schedule 5 Modifications to the Verification Regulation 2018Schedule 5A RegistrySchedule 5A, Part 1 Preliminary (paras. 1-4)Schedule 5A, Part 2 Establishment and operation of registry (paras. 5-8A)Schedule 5A, Part 3 Accounts (paras. 9-30)Schedule 5A, Part 3, Chapter 1 Opening accounts (paras. 9-14)Schedule 5A, Part 3, Chapter 2 Account representatives (paras. 15-19)Schedule 5A, Part 3, Chapter 3 Transfers of allowances (paras. 20-24)Schedule 5A, Part 3, Chapter 4 Suspension and closure of accounts (paras. 25-30)Schedule 5A, Part 4 Publication of information from registry (paras. 31-34)Schedule 6 PermitsSchedule 6, Part 1 Application for greenhouse gas emissions permits (paras. 1-5)Schedule 6, Part 2 Greenhouse gas emissions permits and hospital or small emitter permits (paras. 6-12)Schedule 7 Hospitals and small emittersSchedule 7, Part 1 Preliminary (paras. 1-2)Schedule 7, Part 2 Hospital or small emitter status (paras. 3-6)Schedule 7, Part 3 Hospital or small emitter permits (paras. 7-14)Schedule 7, Part 4 Emissions targets (paras. 15-22A)Schedule 7, Part 5 End of hospital or small emitter status (paras. 23-26)Schedule 8 Ultra-small emittersSchedule 8A Free allocation for former hospital or small emitters and ultra-small emittersSchedule 9 Appeals to Scottish Land CourtSchedule 10 Appeals to Planning Appeals Commission (Northern Ireland)Schedule 11 Transitional provisions: installationsSignatureExplanatory NoteExplanatory MemorandumImpact AssessmentNorthern Ireland Ministerial Consent
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Article 19 Cap for trading period
The number of allowances created in the trading period may not exceed the sum of -
(a) 633,116,297 multiplied by the 2021-2025 hospital and small emitter reduction factor; and
(b) 302,924,924 multiplied by the 2026-2030 hospital and small emitter reduction factor.