Thursday 30th of June 2022 | Posted In: Compliance, Comply

What is the UK ETS and am I liable?

As part of the global push to net zero, the UK ETS (formerly EU ETS) is used by Government to watch over heavy energy using industries and bring emissions levels down.

The UK ETS gives each sector an allotted amount of ‘carbon spend’ ensuring high energy users have a fair share of emissions credits to carry out their business. Charges are then made annually for any carbon ‘overspend’ there may be, on a case-by-case basis dependent on the carbon used by each business.

Who is liable for the UK ETS?

If your total thermal rated input exceeds 20 MW at any given time across your combination of heating systems - that are 3 MW or over (any machinery less than 3 MW is excluded from total) - you might have compliance obligations for the UK Emissions Trading Scheme.

There are certain operations exempt from this scheme outlined here - and we can tell you immediately whether the UKETS applies to you or not over the phone. We can also tell you if you have compliance responsibilities for the MCPD at the same time so please give the team a call on 024 7669 6512.

Our team specialise in making applications, managing the process with relevant permitting authorities and submitting everything on time for you so you can rest assured you are complying with all of your obligations and operating legally.

UK ETS for hospitals and small emitters

There are simplified provisions for hospitals and also installations with emissions lower than 25,000t CO2e per annum, and where the installation carrying out the activity of combustion has rated thermal capacity below 35 MW. These installations are subject to emissions targets instead of having allowance surrender obligations.

To comply with the laws and regulations your emissions data is sent to the department for Business and Industrial Strategy (BEIS) annually through a qualified company with your data having been independently verified with a Government trusted company. At NFU Energy we have been working on these commitment registrations and returns on the behalf of operators for the best part of a decade.

We will talk you through your obligations across your site/sites and put a plan together for reporting and getting your returns submitted on time working independent certified verifier to ensure everything is done in time and legally. To see if you are liable for the UK ETS or the MCPD, please give us a call on 024 7669 6512.