The Greenhouse Gas Emissions Trading Scheme (Amendment) Order 2020

Article 2 amended (definitions) U.K.

4.—(1) Article 2 is amended as follows.

(2) Renumber the existing text as paragraph 1.

(3) In paragraph 1—

(a) for point (1) substitute—

“(1) ‘incumbent installation’ means an installation in respect of which a deemed application for free allocation in the 2021-2025 allocation period or an application for free allocation in the 2026-2030 allocation period under Article 4 is made;”;

(b) in point (3) (heat benchmark sub-installation) after “EU ETS” in both places insert “ or UK ETS ”;

(c) in point (4) (district heating) after “EU ETS” insert “ or UK ETS ”;

(d) in point (5) (district heating sub-installation) after “EU ETS” insert “ or UK ETS ”;

(e) in point (10) (process emissions sub-installation) for “greenhouse gas emissions listed in Annex I to Directive 2003/87/EC” substitute “ emissions of greenhouse gases set out in column 2 of table C in Schedule 2 to the UK ETS Order ”;

(f) in point (11) (waste gas) for “Article 3(50) of Regulation (EU) No 601/2012” substitute “ Article 3(52) of the Monitoring and Reporting Regulation 2018 ”;

(g) for point (14) substitute—

“(14) ‘baseline period’ means:

(a) in relation to a deemed application for free allocation in the 2021-2025 allocation period or an incumbent installation in respect of which such an application is made, the 5-year period beginning on 1 January 2014;

(b) in relation to an application for free allocation in the 2026-2030 allocation period under Article 4 or an incumbent installation in respect of which such an application is made, the 5-year period beginning on 1 January 2019;”;

(h) omit point (15);

(i) after point (18) insert—

“(19) ‘deemed application for free allocation in the 2021-2025 allocation period’ must be construed in accordance with Article 3a;

(20) ‘electricity generator’ means an installation:

(a) that, on or after 1 January 2005, produced electricity for sale to third parties; and

(b) at which no regulated activity other than the regulated activity referred to in column 1 of the first entry in table C in Schedule 2 to the UK ETS Order (combustion of fuels) is carried out;

(21) ‘emission allowance’ means an allowance (as defined in the UK ETS Order);

(22) ‘new entrant’ means an installation in respect of which an application for free allocation under Article 5 is made;

(23) ‘UK ETS Order’ means the Greenhouse Gas Emissions Trading Scheme Order 2020. ”.

(4) After paragraph 1 insert—

“2.   Expressions used in this Regulation that are defined for the purposes of the Climate Change Act 2008 or the UK ETS Order have the meanings given in that Act or Order

3.   A reference in this Regulation to a “non-ETS” entity, installation or process is a reference to an entity, installation or process that is not covered by either the EU ETS or the UK ETS.”.

Commencement Information

I1 Sch. 1 para. 4 in force at 31.12.2020 on IP completion day, see art. 2(2)(a)