The EU Emissions Trading System (EU ETS) was set up in 2005, and is part of the European Union’s policy to combat climate change and reduce greenhouse gas emissions cost-effectively. It is the world’s first and largest carbon market and operates in 31 countries, covering around 45% of the EU’s greenhouse gas emissions. After Brexit, the deadline for reporting 2018 emissions was brought forward to 11th March 2019.
How can we help?
We can guide you through the whole process and advise on details of the third phase of EU ETS, which is significantly different from phases 1 and 2, with more sectors and gases included. The European Commission has predicted that by 2020, emissions from sectors covered by the system will be 21% lower than in 2005, and 43% lower by 2030.
The EU ETS works on the ‘cap and trade’ principle, whereby a cap is set on the total amount of certain greenhouse gases that can be emitted by installations covered by the system. The cap is reduced over time so that total emissions fall. Within the cap, companies receive or buy emission allowances which they can trade with one another as needed. They can also buy limited amounts of international credits from emission-saving projects around the world.
After each 12 month period a company must surrender enough allowances to cover all its emissions, or face a heavy fine. However if a company reduces its emissions, it can keep the spare allowances to cover its future needs, or sell them to a company that is short of allowances.
What can it do for you?
Organisations will need to plan their compliance schedules well, especially the purchase of additional allowances for surrender owing to the very short time window now available. BIU manage this complicated and potentially costly process for you.
Our expert team can ensure your company is compliant with all features of phase 3 (2013-2020), in line with all main changes, including:
– An initial consultation to determine your specific requirements for EU ETS, including any exemptions
– Multi-site analysis
– Review of current, relevant energy information
– Identify the scope of surveys required to meet legislation
– Comprehensive reporting along with recommendations on implementing energy saving measures
– Help and support with compliance and report submission
– Identify energy saving opportunities to reduce and optimise energy consumption across your portfolio
This ensures you are informed, compliant and maximising any cost saving opportunities the scheme may identify.