EUETS Registry EUETS Registry; the UK Experience and Changes for Phase III Lee Oliver Workshop on EU Emission Trading Scheme – Monitoring, Reporting and.

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Presentation transcript:

EUETS Registry EUETS Registry; the UK Experience and Changes for Phase III Lee Oliver Workshop on EU Emission Trading Scheme – Monitoring, Reporting and Verifying Requirements Belgrade, Serbia 7-8 May 2012

EUETS Registry What is the Registry? Permitted organisations buy and sell CO 2 allowances. Registry in each member state in addition to Norway, Iceland, Liechtenstein; from 2013 common European Registry. Electronic ‘bank account’ Account holders can hold, transfer, cancel, surrender or acquire;  EU Allowances (EUAs)  Kyoto units (e.g. CERs, ERUs, AAUs, RMUs, tCERs and lCERs Competent authorities can manage regulated industries and monitor national compliance and performance against international emissions reduction obligations.

EUETS Registry UK Registry Functions In the UK web-based application holds:  CO 2 allowances and units allocated to and held in operator, person and Government accounts.  The movement of allowances and units between accounts (including allocations, transfers, surrender and cancellations).  Annual verified emissions of installations.  Annual compliance status of installations. £50 billion UK transactions Transactions take place with account holders in the same registry and those in other national registries.

EUETS Registry Who Can Open a Registry Account? Installation operators with legally binding compliance obligations must open an operator holding account in their national registry. Any individual or organisation can apply to open a person holding account. To open a registry account an organisation must; –Nominate two account users. –Provide identity documentation for these users. –Purchase a digital certificate.

EUETS Registry Security National Registries connected to the UNFCCC International Transaction Log (ITL) and EC Community Independent Transaction Log (CITL); adhere to rules of trading under the Kyoto Protocol and EUETS. £43 million thefts of allowances in a number of Member States. phishing and other scams. Passport and criminal records checks. Digital certificate purchase. Often seen as a nuisance by operators and traders. Many issues in Phase II; forged documents, non-existent documents etc.

EUETS Registry European Union Registry Centralisation of existing national Registries. Operated by the Commission. Two stages;  30 January 2012 partially activated for aircraft operators to open holding accounts and receive free allocation by end February 2012  Full activation and transfer of existing accounts for stationary installations from national registries October 2012 Requests for opening accounts verified by national administrators. European Union Transaction Log (EUTL) will replace CITL.

EUETS Registry European Union Registry Types of accounts;  Operator Holding  Aircraft Operator Holding  External Platform (Trading Platform)  Verifier  Person Holding Operator and Aircraft Operator account holders can appoint a verifier who will accept or reject appointment. Enter and verifier emissions for compliance between January and March. Allowance surrender 1 Jan-30 Mar. Verified by EUTL by end April.

EUETS Registry Common Registry Security UN has identified the EUETS Registry as a significant financial target. Initial registration key national registry. Two level authentification;  Username / password  SMS challenge Delayed purchase (26 hr). Transactions only processed in ‘working hours’ (10-16 CET). Account holders able to un-enrol from account if suspect identity being used. Transactions must be executed by an authorised representative and subsequently approved by an authorise representative. Transactions can only be reversed by national administrator and only within rules of the Registry Regulation.

EUETS Registry