- Draft legislation
This is a draft item of legislation. This draft has since been made as a UK Statutory Instrument: The Greenhouse Gas Emissions Trading Scheme (Amendment) (No. 2) Order 2023 No. 1387
4. The Greenhouse Gas Emissions Trading Scheme Order 2020(1) is amended in accordance with this Part.
5.—(1) Article 34C is amended as follows.
(2) After paragraph (1)(i) insert—
“(j)Article 2b(6) of the Free Allocation Regulation(2) (electricity generators that state they will not produce electricity for sale for consumption outside the installation but subsequently do so).”.
6.—(1) Article 34K is amended as follows.
(2) In paragraph (a) omit the “and” at the end of the paragraph.
(3) In paragraph (b) for “operator,” substitute “operator; and”.
(4) After paragraph (b) insert—
“(c)in relation to allowances allocated for the 2024 or 2025 scheme year, to the extent that the number of allowances does not exceed the person’s aviation emissions for the scheme year,”.
7.—(1) Article 34S is amended as follows.
(2) In paragraph (1)(b) after “article 34C(1)(b) to (f)” insert “or (j)”.
8.—(1) Article 34T is amended as follows.
(2) In paragraph (1)(b)—
(a)in the opening words for “either” substitute “any of the following applies”;
(b)in paragraph (i) omit the “or” at the end of the paragraph;
(c)after paragraph (ii) insert—
“(iii)in relation to allowances allocated for the 2024 or 2025 scheme year, the number of allowances allocated to the person for the scheme year exceeds the person’s aviation emissions for the scheme year.”.
(3) In paragraph (3)—
(a)in sub-paragraph (a) omit the “or” at the end of the sub-paragraph;
(b)in sub-paragraph (b) after “aircraft operator” insert “; or”;
(c)after sub-paragraph (b) insert—
“(c)in relation to allowances allocated for the 2024 or 2025 scheme year, exceed the person’s aviation emissions for the scheme year for which the allowances are allocated.”.
9.—(1) Article 34W is amended as follows.
(2) After paragraph (1)(ga) insert—
“(gb)if the regulator is investigating for the purposes of Article 2b(4)(b) of the Free Allocation Regulation whether the installation has produced electricity for sale for consumption outside the installation;”.
(3) In paragraph (2) for “paragraph (1)(a) to (ga)” substitute “paragraph (1)(a) to (gb)”.
10.—(1) Schedule 2 is amended as follows.
(2) In paragraph 3 in table C in the 26th row in column 1 (which begins “Capture of greenhouse gases…”) for “other installations” substitute “a regulated activity”.
S.I. 2020/1265, amended by S.I. 2020/1557, 2021/1455, 2022/454, 2022/1173, 2022/1336 and 2023/850.
EUR 2019/331, amended by S.I. 2020/1557, 2021/1455, 2022/1173, 2023/850 and this Order. Article 4(1) of S.I. 2020/1265 defines “Free Allocation Regulation” as Commission Delegated Regulation (EU) 2019/331 of 19 December 2018, as it forms part of domestic law. Article 2b is inserted by article 14 of this Order.
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