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The Greenhouse Gas Emissions Trading Scheme Regulations 2012

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[F1CHAPTER 1U.K.Permits

Textual Amendments

F1Regulations revoked in so far as they continue to apply in relation to the UK Registry (1.5.2021) by The Greenhouse Gas Emissions (Kyoto Protocol Registry) Regulations 2021 (S.I. 2021/511), regs. 1, 12

Requirement for permit to carry out regulated activitiesU.K.

9.—[F2(1)] No person may carry out a regulated activity at an installation except to the extent authorised by a permit held by the operator of the installation.

[F3(2) Paragraph (1) does not apply in relation to a person carrying out a regulated activity at an Article 27a installation.]

Textual Amendments

Applications for and grant of permitsU.K.

10.—(1) The operator of an installation (other than an excluded installation) may apply to the regulator for a greenhouse gas emissions permit to carry out a regulated activity at the installation.

(2) The operator of an [F4Article 27] installation may apply to the regulator for an [F4Article 27] installation emissions permit to carry out a regulated activity at the installation.

(3) However, an application may not be made—

(a)under paragraph (1) or (2) where a permit has already been granted in respect of the installation and continues to have effect; or

(b)under paragraph (2) where an [F5Article 27] installation emissions permit has been granted in respect of the installation and has been surrendered or revoked.

[F6(3A) An Article 27 installation emissions permit that is granted for the purposes of the first allocation period continues to have effect for the purposes of the second allocation period if the installation is deemed to be approved by the European Commission under the first subparagraph of Article 27(2) of the Directive in relation to that period.]

(4) Following an application under paragraph (1) or (2), the permit must be granted if the regulator is satisfied that—

(a)the application is duly made, and

(b)at the time that the permit is granted (or, if later, has effect) the applicant will be capable of monitoring and reporting emissions from the installation in accordance with—

(i)the monitoring and reporting requirements of the greenhouse gas emissions permit, or

(ii)the monitoring and reporting conditions of the [F7Article 27 installation emissions] permit,

but must otherwise be refused.

(5) A permit may be granted under this regulation in respect of more than one installation on the same site, provided that they are operated by the same operator.

(6) Paragraph 1 of Schedule 4 makes further provision about applications for permits.

(7) Paragraph 2 of Schedule 4 makes provision about the contents of greenhouse gas emissions permits, and paragraph 3 of Schedule 5 makes provision about the contents of [F8Article 27] installation emissions permits.

Textual Amendments

Review, variation and consolidation of permitsU.K.

11.—F9(1) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(2) The regulator may, by giving notice to the operator, vary a permit at any time and may in particular make any variation of the permit that the regulator considers necessary in consequence of—

F10(a). . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(b)any report made by the operator under Article 69 of the Monitoring and Reporting Regulation [F112018]; or

(c)any notification as mentioned in paragraph 2(7)(b) of Schedule 4 (notification of planned changes in operation etc).

(3) The regulator may by giving notice to the operator vary a permit where the operator—

(a)applies to the regulator for such a variation pursuant to a provision of the permit; or

(b)has failed to comply with a requirement of the permit to apply for such a variation.

(4) The regulator may by giving notice to the operator vary a permit in order to comply with regulator's duty under—

(a)regulation [F1288(2) or (4)]; or

(b)any of the following provisions of Schedule 5—

(i)paragraph 2(1);

(ii)paragraph 3(3);

(iii)paragraph 6(5) or (6);

(iv)paragraph 7(4)(b), (6)(b) or (7)(b);

(v)paragraph 8(6) [F13or 8(6A)].

(5) A notice given under paragraph (2), (3)(b) or (4) may specify a period within which a fee for the variation of the permit must be paid.

(6) The regulator may by giving notice to the operator replace a permit with a consolidated permit applying to the same regulated activities, and containing the same or equivalent provisions, in the following circumstances—

(a)where the permit has been varied;

(b)where there is more than one permit applying to installations on the same site operated by the same operator.

Textual Amendments

Transfer of permitsU.K.

12.—(1) Subject to paragraph (6), the holder of a permit (“the current operator”) and another person may jointly apply to the regulator for the permit to be transferred to that other person (“the new operator”).

(2) An application may also be made under paragraph (1) for the partial transfer of a permit; and for that purpose a “partial transfer” is a transfer in respect of—

(a)some only of the installations to which the permit relates; or

(b)some only of the parts of an installation to which the permit relates.

(3) Paragraph 3 of Schedule 4 makes further provision about the transfer, or partial transfer, of a permit.

(4) F14... An application under paragraph (1) must be granted if the regulator is satisfied that—

(a)the application is duly made, and

(b)the new operator will (from the relevant date) be the operator of the installation and will be capable of monitoring and reporting emissions from the installation in accordance with—

(i)the monitoring and reporting requirements of the greenhouse gas emissions permit, or

(ii)the monitoring and reporting conditions of the [F15Article 27 installation] emissions permit,

but must otherwise be refused.

(5) For the purposes of paragraph (4), the relevant date is the date mentioned in paragraph 3(6), (8) or (10) of Schedule 4 as the case may be.

(6) An application for the transfer (or partial transfer) of a permit may not be made in respect of any installation (or part of an installation) that has ceased operation.

Textual Amendments

[F16Transfer of permits: underreporting discovered after transferU.K.

12A.—(1) This regulation applies where—

(a)after the transfer of a greenhouse gas emissions permit under regulation 12 takes effect, the regulator becomes aware, following a determination of reportable emissions under regulation 44, of an error in a report submitted for a scheme year by the transferring operator under the monitoring and reporting requirements of the permit; and

(b)as a result of the error, the transferring operator failed to comply with the surrender requirements of the permit in respect of the scheme year to which the error relates.

(2) The regulator must give notice to the transferring operator of the error as soon as reasonably practicable.

(3) The transferring operator must, within the period of one month beginning with the date the transferring operator received the notice, effect a transfer to the new operator of allowances equal to the reportable emissions in respect of which, as a result of the error, the transferring operator failed to comply with the surrender condition of the permit.

(4) The new operator must surrender the allowances within the period of one month beginning with the date of the transfer of the allowances.

(5) In paragraph (1), the reference to the transfer of a permit under regulation 12 includes a reference to an application for a transfer of a permit to which effect is given by a variation of the new operator’s existing permit.

(6) In this regulation—

(a)“transferring operator” means the person who was the current operator for the purposes of regulation 12; and

(b)“new operator” has the same meaning as in regulation 12.]

Textual Amendments

Surrender of permitsU.K.

13.—(1) Subject to paragraph (4), if an installation has ceased operation the operator must apply to the regulator to surrender the permit authorising regulated activities at the installation.

[F17(1A) Where a permit authorises regulated activity to be carried out at an installation where a regulated activity is no longer being carried out but it is not technically impossible to resume operation, the operator of the installation may apply to the regulator to surrender the permit.]

[F18(2) An application under paragraph (1) must be made before the end of the period of one month beginning with the date that the regulated activities at the installation ceased, or such later date as may be agreed with the regulator.]

(4) The application need not be made where—

(a)the permit authorises regulated activities at more than one installation, some of which have not ceased operation; and

(b)by the end of the period mentioned in paragraph (2), the operator has applied to vary that permit so that it no longer applies to any of those installations that have ceased operation.

(5) Where the carrying out of regulated activities at an installation mentioned in paragraph (6) has been suspended, but the installation has not ceased operation, the operator may at any time make an application under paragraph (1) but is not obliged to do so.

(6) Those installations are—

(a)an [F19Article 27] installation; or

(b)an installation that, by virtue of Article 10a(3) of the Directive, is not eligible for an allocation.

(7) If the application under paragraph (1) is granted, the notice of determination given to the operator (“notice of surrender”) takes effect on the date specified in the notice.

(8) Paragraph 4 of Schedule 4 makes further provision about the surrender of permits.

Textual Amendments

F18Reg. 13(2) substituted for reg. 13(2)(3) (31.12.2020 immediately before IP completion day) by The Greenhouse Gas Emissions Trading Scheme (Withdrawal Agreement) (EU Exit) Regulations 2020 (S.I. 2020/1369), regs. 1(2), 9(b) (with reg. 46)

Revocation of permitsU.K.

14.—(1) The regulator—

(a)may at any time revoke a permit by serving on the operator a notice to that effect (a “revocation notice”), and in particular may do so if the operator has failed to pay a fee for the subsistence of the permit; and

[F20(b)must do so where—

(i)the regulator becomes aware that the operator has failed to comply with regulation 13(1) and (2);

(ii)a greenhouse gas emissions permit is held by the operator of an Article 27a installation;

(iii)an Article 27 installation emissions permit is held by the operator of an Article 27a installation.]

(2) A revocation notice takes effect—

(a)28 days after the date on which it is served; or

(b)if a later date is specified in the notice, on that date.

(3) Paragraph 5 of Schedule 4 makes further provision about the revocation of permits.]

Textual Amendments

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