PART 4Surrender of allowances

Surrender of allowances: operators of installations41

For each scheme year, the operator of an installation must surrender allowances in accordance with the surrender requirements of the permit for the installation.

Surrender of allowances: UK aircraft operators42

1

For each scheme year a UK aircraft operator (“P”) must, by the following 30th April, surrender a number of allowances or aviation allowances equal to P’s annual reportable emissions in that scheme year.

2

For the purposes of the requirement in paragraph (1) the amount of the annual reportable emissions in a recovery year is deemed to be increased by an amount equal to the amount of annual reportable emissions, arising in the non-compliance year, in respect of which P failed to comply with that requirement.

3

For the purposes of paragraph (2)—

a

a “non-compliance year” is any scheme year for which P fails to comply with the requirement in paragraph (1); and

b

the “recovery year” is—

i

the scheme year following the non-compliance year; or

ii

where the non-compliance results from an error in the verified emissions report submitted by P, the scheme year in which the error is discovered.