Details of the Scheme
In accordance with the European Union (EU) Monitoring and Reporting Guidelines, all operators of installations that have received a Greenhouse Gas Emissions Trading Scheme permit, are required, as a permit condition, to submit a monitoring and reporting plan.
This plan specifies how the operator will meet the requirements of the EU Guidelines, and MUST be implemented from the 1 January 2005.
At the end of each year the operator must submit to the Chief Inspector a verified emissions report no later than the 31 March. The operator must then surrender allowances equal to that in the emissions report by 30 April, or face financial penalties of 40€/Ton of CO2.
Installations who wish to exceed their emissions allocation can buy allowances from others willing to sell.
An incentive is offered to installations that can reduce their CO2 emissions, as they will be able to sell any surplus allowance to other installations. This should result in emissions reductions in the most cost effective manner throughout the EU.
For further details of the EU Emissions Trading Scheme (EU ETS) visit the Department of Energy and Climate Change (DECC)
