November 2003
Greenhouse Gas Permits
A new level of legislation based permitting is shortly to be introduced to help in the battle against climate change. Greenhouse Gas emissions from manufacturing is the new target and in order for installations to emit carbon dioxide after 1 January 2005, operators of these installations must hold a permit.
For the UK, these permits will be issued by:
- Environment Agency - England and Wales
- Scottish Environmental Protection Agency - Scotland
- Department of Environment - Northern Ireland
- Department of Trade and Industry - UK offshore installations.
Operators of installations covered by the scheme must apply to the appropriate organisation to obtain a permit. The permit will contain conditions that have to be complied with in respect of emissions of carbon dioxide, including monitoring and reporting requirements. In order to receive your permit by 31 March 2004 you must have submitted your application by 31 January 2004 .
This application MUST be completed even if you intend to apply for temporary exclusion from the EU Emissions Trading Scheme, which will be the mechanism for meeting CO2 targets.
The distinction between permits and allowances should be noted; a permit needs to be held to enable allowances to be allocated to your installation if covered by the scheme, but it does not determine the actual amount allocated.
Deadline for Permit Application
All operators of installations covered by the scheme are responsible for applying for and holding a greenhouse gas permit by 31 March . The Environment Agency will issue permits for those installations falling within the scope of the Directive in England and Wales from 1st January 2004.
It is intended that for the first phase (2005 - 2007) all allowances will be allocated free of charge for those installations that hold a permit by the deadline. Any installations that do not hold a permit by the deadline will be treated as 'new entrants' and may not be given a free allocation of allowances so they may have to buy them.
For assistance with a GHG permit application, or with any questions regarding the GHG permit scheme or EU ETS please contact Darren McNulty.
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