District heating delivered to private households pursuant to the Benchmark Decision – different tariffs needed
- Category: Implementation
In both of the said models there are decreasing curves of allocation but the main difference (different factors excepting) is that the base for allocation for heat production for private households could be real historical emissions – without using natural gas benchmark.
Benchmarks Decision of the Commission – rules on closures specified
- Category: Implementation
It should be noted that, pursuant to the Decision, an impact on the installation’s allocation of EUAs have, generally, three categories of events:
1) the change to an installation’s capacity (Articles 20 and 21 of the Decision),
2) the change to an installation’s operation (Article 22 of the Decision), and
3) the change to an installation’s activity level (Article 23 of the Decision).
The publicness of the data held in the CO2 allowances registries – pivotal principles decided by the recent judgment
- Category: Emissions trading
Are the individual characteristics of transactions in emission allowances, which are entered into registries, publicly available? If yes, under what conditions and to what extent? What is the relation between the Registry Regulation and the Directive 2003/4/EC of the European Parliament and of the Council of 28 January 2003 on public access to environmental information and repealing Council Directive 90/313/EEC (OJ 2003 L 41, p. 26)? Does the Registry Regulation provide for the specific rules in this field or the said Directive is nevertheless binding as regards requests for making publicly available trading data (dates, volumes, parties to the transactions, prices etc.)? All these, vital for young emission market, questions are decided in the recent judgment. But we go a little further and make some classifications as regards the subject-matter.
Legal complications with the recovery of the stolen allowances
- Category: Emissions trading
Imagine hypothetically that the stolen allowances were entered into circulation and were subject to the transactions for the sale (or other disposal) of allowances between the parties in different Member States.
Objective responsibility of insiders extends to the primary market in emission allowances and to the commodities physical market in electricity and gas
There are reasonable grounds to believe that the legal regime for the responsibility of insiders, emphasising the objective elements of the factual circumstances, elaborated on the basis of the MAD Directive, will also be applied on the grounds of the Auctioning Regulation and the future REMIT Regulation.
Extending regulatory safeguards of the MAD Directive to the spot markets in electricity and emission allowances – will this change so much?
- Category: Emissions trading
Recently announced „Proposal for a Regulation of the European Parliament and of the Council on energy market integrity and transparency {SEC(2010) 1510} {SEC(2010) 1511}” subjects wholesale energy products traded on the spot market to the safeguards currently present mainly on the financial market. The issue obviously regards inter alia the prohibitions on insider dealing and market manipulation.
The eligibility to apply for admission to bid in the auction pursuant to the Auctioning Regulation
- Category: Auctions of CO2 allowances
Is there a risk that hypothetical power and fuel suppliers from one Member State will be entitled to bid directly in the auction and the same from another Member State won’t?
CCR (Carbon Capture Readiness) – the economic feasibility to retrofit for CO2 capture
- Category: CCS
Everyone knows that CCS is not economic yet. So, what’s the matter with the requirement contained in the Directive that the new combustion plants assessed economic feasibility to retrofit for CO2 capture?
SO2 and NOx trading – the new interesting instance of the national scheme
- Category: Emissions trading
The draft of the Law on the system of balancing and settlement of sulphur dioxides’ (SO2) and nitrous oxides (NOx) emissions from a large combustion plants scheduled to enter into force as from 1 January 2011 introduces in Poland a trading scheme that can be classified as cap-and-trade system rather than baseline-and-credit.
Article 11a(9) of the Directive 2003/87/EC – a headache for compliance buyers
- Category: Emissions trading
Article 11a(9) of the Directive 2003/87/EC is these days “hot topic” among emission traders and compliance buyers of CERs.
The issue is really worth considering - the very wording of the said provision sounds mysterious, may potentially be capacious and constitute a legal basis for many interesting structures. But nobody likes to be surprised – especially when big money is at stake.
Calculation of interest under the Auctioning Regulation – one day missing?
- Category: Auctions of CO2 allowances
The Article 45(3)(a) of the draft of the Commission Regulation on the timing, administration and other aspects of auctioning of greenhouse gas emission allowances pursuant to Directive 2003/87/EC of the European Parliament and the Council establishing a scheme for greenhouse gas emission allowances trading within the Community (Auctioning Regulation) provides for different method for calculating interest for defaulted payments than commonly accepted contractual standards.
Article 10c(2) of the Directive 2003/87/EC - burdened with internal contradiction?
- Category: Implementation
As a consequence of the Article 10c(2) of the Directive 2003/87/EC, the funds from auctioning meant for “greening” the economy and gathered at a State level, in these Member States that qualify for and make use of the derogation provided for in the Article 10c (for instance, highly dependent on coal) will be much smaller, than in countries, that already are “green”.
This is a paradox as regards the framework created by the said Directive.