The draft of the Commission Regulation establishing a Union Registry – the finality of transfers rules and other details for the new security measures revealed
- Category: Emissions trading
Trusted account list, the differentiation between trading and holding accounts, 24-hour delay in effecting transfers, view-only access to the accounts enabling such services as “safe zone” as well as strict rules on finality of transactions entered into the registry are some of the measures that could contribute to the enhancement of the security of the registries and, consequently, of the assets of the account holders. Some of these new instruments are designed as mandatory, but other will require decisions to be made by the emissions market participants depending on the politics and strategies they pursue.
The definition of ‘inside information’ under REMIT – dubious without the EC and market input (I)
- Category: Emissions trading
Considering the strict legal consequences following the classification of a certain data as an ‘inside information’ under the REMIT provisions, the question arises which exact categories of information available on the energy market are covered by this definition.
Europe-wide passport for wholesale trading in electricity and gas – still fragmentary perception of the production chain
- Category: Emissions trading
Nowadays we have MiFID Europe-wide passport encompassing trading in financial instruments and – possibly, if CEER proposals materialize – Europe-wide passport for wholesale trading in electricity and gas. What about all cross-border issues relating to the other remaining commodities (in particular other fuels and EUAs) taking part in the production of electricity?
EUAs as a financial instrument under MiFID - not yet
- Category: Emissions trading
The Discussion paper in view of a European Climate Change Programme (ECCP) stakeholder meeting on carbon market oversight organised by the Commission services Brussels, 4th May 2011 considers the implications of classifying emission allowances and other EU ETS compliance units as financial instruments under MiFID. It seems, however, not probable taking into account arguments of many participants of various market sectors and branches in their responses to the MiFID review consultation.
Consultation paper New State aid Guidelines in the context of the amended EU Emissions Trading Scheme - emission factor most important?
- Category: Implementation
The CO2 emission factor corresponds to the CO2 emissions per MWh of electricity generated and the questionnaire prepared by the Commission raises the issue what CO2 factor to use as a basis for calculating the compensation for costs relating to greenhouse gas emissions passed on in electricity prices. The Directive 2003/87/EC didn’t precisely specify this issue and the said question is now at the centre of discussion. The outcome of the debate may impact on the competitiveness of the whole industries.
Guidance on the optional application of Article 10c beset with legal traps (II)
- Category: Implementation
Designing the legal mechanism to account for the relevant transfers of funds is an ultimate ambush.
What would be the legal form (what kind of agreement, sale, donation, other) of the purported transfers between companies taking part in the operations for the transfer of funds, how these operations would be accounted for, what form of taxation to apply (as regards VAT, CIT), and what would be the effects of these processes on the profits of the company – all these matters require analysis.