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UK Emissions Trading Scheme - what's new?

BEIS ) published updated guidance on participating in the UK Emissions Trading Scheme (
UK ETS ) which launched on 1 January 2021. While the UK ETS closely follows the EU Emissions Trading Scheme (
EU ETS ), for now at least, it is a standalone scheme, established by the Greenhouse Gas Emissions Trading Scheme Order 2020 (
TSO ). It is intended to provide some continuity with how the EU ETS works in regulating the greenhouse gas (
GHG ) emissions of the UK s most energy intensive industries, whilst keeping the UK in check with its net zero ambitions. On 4 March 2021, BEIS also published updated compliance guidance for aircraft operators subject to the UK ETS to follow up previous guidance from December 2020. We consider below the main features of the UK ETS, its divergence from the EU scheme and the potential implications of the new standalone scheme for UK industry. ....

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Participating in the UK ETS from 1 January 2021

Participating in the UK ETS
Updated 10 March 2021
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This publication is available at https://www.gov.uk/government/publications/participating-in-the-uk-ets/participating-in-the-uk-ets
UK ETS) replaced the UK’s participation in the
EU ETS on 1 January 2021. The 4 governments of the UK have established the scheme to increase the climate ambition of the UK’s carbon pricing policy, whilst also protecting the competitiveness of UK businesses. ....

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