The Aviation Greenhouse Gas Emissions Trading Scheme Regulations 2010

Failure to surrender sufficient allowances

38.—(1) The civil penalty in paragraph (2) applies where an aircraft operator—

(a) fails to surrender sufficient allowances or project credits, contrary to regulation 26(1); or

(b) fails to surrender allowances or project credits equal to a deficit, contrary to regulation 26(2).

(2) The civil penalty is the sterling equivalent of 100 Euros for each allowance or project credit that the aircraft operator failed to surrender.

(3) In this regulation, “sterling equivalent” means—

(a) in relation to a penalty relating to aviation emissions in 2012, the sterling equivalent converted by reference to the first rate of conversion to be published in September of the calendar year in which the aircraft operator is liable to the penalty in the C series of the Official Journal of the European Union; or

(b) in relation to a penalty relating to aviation emissions on or after 1st January 2013, the sterling equivalent as defined in sub-paragraph (a) adjusted in accordance with paragraph (4).

(4) If the last Harmonised Index of Consumer Prices for the member States of the European Union (“HICP”) published by Eurostat before the end of April in the year in which the aircraft operator failed to surrender the allowances or project credits shows an average percentage price increase as compared with the last HICP published before the end of April 2012, the sterling equivalent is increased by the same percentage.