This was introduced across the European Union in 2005 as the EU Emissions Trading Scheme with the aim of helping member countries meet its greenhouse gas (GHG) emissions reduction target agreed under the Kyoto Protocol. The European Union Emissions Trading Scheme Directive was then revised, as part of the EU 2020 Climate & Energy Package in December 2008.
The EU Emissions Trading Scheme involves the allocation and trading of greenhouse gas (GHG) emission allowances throughout the region, with caps set by each member state. Allowances are then distributed to each installation covered by the scheme. Operators need to make sure that at the end of the year they have sufficient allowances to cover their emissions. If not, they are able to ‘top up’ by buying in additional allowances to meet their quota or if they have surplus, sell on to other organisations.
Benefits of EU Emissions Trading Scheme
- Stakeholder confidence - demonstrate that your organisation is meeting emissions targets
- Reduce costs - sell any surplus credits your organisation no longer needs
- Minimising risk – phased verification minimises the risk of non compliance
- Competitive advantage – protect your organisation's financial position and brand reputation.
Why choose LRQA for EU Emissions Trading Scheme?
- Our verifiers are verification and management system experts, qualified in all aspects of emissions verification.
- LRQA were one of the first verification bodies to gain accreditation. Our wealth of experience will directly benefit your organisation.
Proven Track Record
- We have high profile clients in the waste management, utilities, nuclear and government sectors.
What is EU Emissions Trading Scheme certification?
The European Union Emissions Trading Scheme Directive (EU ETS) requires relevant installations to limit their CO2 emissions to allocated levels in three phases: 2005-2007; 2008-2012 and 1st Jan 2013 - 31st Dec 2020. Phase III introduces harmonised allocation methodologies, includes additional greenhouse gases and emission sources and allows for voluntary exclusion for small emitters and hospitals.
Phase III requires each eligible installation to produce an annual emissions report. These reports require an independent verification report to be submitted to the relevant Regulator by the end of March each year, verifying emissions for the previous calendar year. Allowances equal to these verified emissions must then be surrendered.
LRQA can help by undertaking accredited EU ETS verifications across the EU including annual verifications, new entrant reserve applications, closures and rationalisations and Phase III gap analysis and support. And with the inclusion of Aviation into the EU ETS Regulations from 31 August 2010, we are also able to provide accredited services to those airline operators needing to comply. Further information is available from our Aviation EU ETS product page.
Our specific focus on phased verification means we can minimise the installation's risk of non compliance with the Scheme. Normally a two-stage verification, our staged approach aims to reduce the disturbance to you. For further information on our approach, please visit our verification page.
Phase III of the EU ETS will run from 1 January 2013 to 31 December 2020. The scope will be extended to include new sectors including petrochemicals, ammonia and aluminium and will also introduce more challenging reduction targets. There will be a gradual phasing out of free allocation for electricity production in the UK and most other Member States with an increase in auctioning of allowances.