{"id":17677,"date":"2022-09-17T11:44:50","date_gmt":"2022-09-17T11:44:50","guid":{"rendered":"http:\/\/legalblog.ie\/?p=17677"},"modified":"2022-09-25T14:22:04","modified_gmt":"2022-09-25T14:22:04","slug":"emissions-trading","status":"publish","type":"post","link":"https:\/\/legalblog.ie\/emissions-trading\/","title":{"rendered":"Emissions Trading [EU]"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_63 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/legalblog.ie\/emissions-trading\/#EU_emissions_trading_system_%E2%80%94_auctioning_regulation\" title=\"EU emissions trading system \u2014 auctioning regulation\">EU emissions trading system \u2014 auctioning regulation<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/legalblog.ie\/emissions-trading\/#Auctioning\" title=\"Auctioning\">Auctioning<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/legalblog.ie\/emissions-trading\/#Rules\" title=\"Rules\">Rules<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/legalblog.ie\/emissions-trading\/#Application_Background\" title=\"Application &amp; Background\">Application &amp; Background<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/legalblog.ie\/emissions-trading\/#MAIN_DOCUMENT\" title=\"MAIN DOCUMENT\">MAIN DOCUMENT<\/a><\/li><\/ul><\/nav><\/div>\n<h3><span class=\"ez-toc-section\" id=\"EU_emissions_trading_system_%E2%80%94_auctioning_regulation\"><\/span>EU emissions trading system \u2014 auctioning regulation<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Regulation (EU) No 1031\/2010 on the timing, administration and other aspects of auctioning of greenhouse gas emission allowances<\/p>\n<p>It sets out the rules to ensure that the procedure for allocating emission allowances within the European Union emissions trading system (EU ETS) is open, transparent, harmonised and non-discriminatory.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Auctioning\"><\/span>Auctioning<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Auctioning has been the default method of allocating emission allowances under the EU ETS since phase 3 of the scheme began in 2013.<br \/>\nIt is considered the most transparent method for allocating allowances and puts into practice the \u2018polluter pays\u2019 principle.<br \/>\nBusinesses covered by the EU ETS have to buy an increasing proportion of allowances through auctions.<br \/>\nEuropean Union (EU) Member States auction their allowances under rules set out in this regulation and the ETS directive 2003\/87\/EC (see summary).<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Rules\"><\/span>Rules<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>The regulation covers emissions from aircraft as well as from stationary installations. It includes rules on a number of aspects of the auction process, namely the following.<\/p>\n<p>The design of the auction. The type of auctioned products, auction format, bid submission or withdrawal and auction clearing price.<br \/>\nProducts. Allowances are auctioned as standardised electronic contracts in the form of either 2-day spot or 5-day futures.<br \/>\nFormat. Bids are submitted during a given bidding window without seeing bids submitted by others. Each successful bidder pays the same auction clearing price* for each allowance regardless of the price bid.<\/p>\n<p>Auction calendar. The timing and frequency of auctions, the annual volume of auctioned allowances and the calendar for individual auctions.<br \/>\nAccess to auctions. These rules set out who can bid in an auction, the process for submitting applications to bid and the procedure for suspending or revoking the right to bid.<br \/>\nAppointment of the auctioneer and their functions. From 2021, the European Investment Bank is the auctioneer for allowances for the Innovation Fund and Modernisation Fund.<\/p>\n<p>Appointment of an auction platform. A common auction platform is nominated for up to 5 years by a joint procurement between the European Commission and the participating countries:<br \/>\n28 countries (25 Member States and three European Economic Area\/European Free Trade Association countries) auction their allowances on the common auction platform;<br \/>\nthe regulation includes rules for Member States opting to have their own auction platform.<\/p>\n<p>Roles and responsibilities of the auction platform. The auction platform performs the auctions, post-trade payment of the auction proceeds, the transfer of allowances to successful bidders, reporting on transactions and auction surveillance.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Application_Background\"><\/span>Application &amp; Background<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>It has applied since 19 November 2010.<\/p>\n<p>For further information, see:<\/p>\n<p>KEY TERMS<br \/>\nAuction clearing price. The volumes bid are added up, starting with the highest bid price. The price of the bid at which the sum of the volumes bid matches or exceeds the volume of allowances auctioned is the auction-clearing price.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"MAIN_DOCUMENT\"><\/span>MAIN DOCUMENT<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p>Commission Regulation (EU) No 1031\/2010 of 12 November 2010 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 of the Council establishing a scheme for greenhouse gas emission allowances trading within the Community (OJ L 302, 18.11.2010, pp. 1\u201341).<\/p>\n<p>Successive amendments to Regulation (EU) No 1031\/2010 have been incorporated in the original text. This consolidated version is of documentary value only.<\/p>\n<p>RELATED DOCUMENTS<br \/>\nDirective 2003\/87\/EC of the European Parliament and of the Council of 13 October 2003 establishing a scheme for greenhouse gas emission allowance trading within the Community and amending Council Directive 96\/61\/EC (OJ L 275, 25.10.2003, pp. 32\u201346).<\/p>\n<!--themify_builder_content-->\n<div id=\"themify_builder_content-17677\" data-postid=\"17677\" class=\"themify_builder_content themify_builder_content-17677 themify_builder tf_clear\">\n    <\/div>\n<!--\/themify_builder_content-->\n","protected":false},"excerpt":{"rendered":"<p>EU emissions trading system \u2014 auctioning regulation Regulation (EU) No 1031\/2010 on the timing, administration and other aspects of auctioning of greenhouse gas emission allowances It sets out the rules to ensure that the procedure for allocating emission allowances within the European Union emissions trading system (EU ETS) is open, transparent, harmonised and non-discriminatory. Auctioning [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_exactmetrics_skip_tracking":false,"_exactmetrics_sitenote_active":false,"_exactmetrics_sitenote_note":"","_exactmetrics_sitenote_category":0,"footnotes":""},"categories":[249,215],"tags":[],"_links":{"self":[{"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/posts\/17677"}],"collection":[{"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/comments?post=17677"}],"version-history":[{"count":2,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/posts\/17677\/revisions"}],"predecessor-version":[{"id":18390,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/posts\/17677\/revisions\/18390"}],"wp:attachment":[{"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/media?parent=17677"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/categories?post=17677"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/tags?post=17677"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}