EU Emission Trading System for Installations

The most important legislation can be found in the Monitoring and Reporting Regulation or MR-regulation

Guidance document No. 1 explains the MR-regulation in a non-legislative language.  

The above and further legislation and guidance on monitoring and reporting can be found on the EU-commission’s page on monitoring, reporting and verification

The main EU ETS legislation, including the directive establishing a scheme for greenhouse gas emission allowance trading (ETS-directive) can be found on the EU-commission's EU ETS page.

The activities which are covered by the EU ETS scheme can be found in annex I to the ETS-directive. 

Read about the free allocation of allowances on our Danish website.

Monitoring plan

The monitoring plan defines the methods of assessing the greenhouse gas emissions. Whether it is to be measured or calculated – and whether the calculation factors are to be analysed or standard factors can be used. It also includes references to a number of procedures that the operator implements to handle identified risks. 

The monitoring plan also constitutes the grounds an emission permit is issued upon. 

Most monitoring plans are created by the operators in the online system EDO, which is only available in Danish. Furthermore the system is not designed to handle measurement based monitoring plans (installations using CEMS – Continuous Emission Measurement Systems). Instead you have to use the EU-commission’s official Excel spreadsheet: Template No. 1: Monitoring plan for the emissions of stationary installations. 

The spreadsheet can then be emailed to CO2-kvoteservice@ens.dk

Please be advised, that for the emissions factor of biomass to be set to zero, certain criteria apply: The material has to be biodegradable and of biological origin. The articles 38 and 39 of the MR-regulation cover biomass issues, and further explanation can be found in Guidance document No. 3 – Biomass issues. Furthermore, liquid bio fuel has to be documented sustainable, following the executive order 1182 of 12 December 2012. 

Reporting of CO2 Emissions

The reporting of greenhouse gasses is due 31 March each year. The Danish Energy Agency will issue an earlier, recommended deadline depending on weekends and holidays. 

The reporting must be verified by an accredited verifier.

Once verified, operators must surrender the equivalent number of allowances by 30 April of that year in the EU ETS Registry.

Most reporting is done in the online system EDO (Energy Data Online), which is only available in Danish. The advantages of using EDO are among others, that the filled in monitoring plan pre-sets the source streams and standard calculation factors in the emissions reporting. Alternatively you can use the EU-commission’s official Excel spreadsheet: Template No. 4: Annual emissions report of stationary source installations

The spreadsheet can then be emailed to CO2-kvoteservice@ens.dk.

Leaving the scheme

If your installation no longer has an activity which is covered by the EU ETS scheme, you must send an application to the Danish Energy Agency. 

In that case please send an email to CO2-kvoteservice@ens.dk for further information. 

Improvement reports

An improvement report may be required according to the verification report. If the verification report contains a non-conformity or recommendation for improvement, an improvement report must be sent to The Danish Energy Agency. For installations with small emissions (up to 25,000 tons of CO2) it is not required following verification reports only containing recommendations for improvements. 

Furthermore, for a number of installations the Danish Energy Agency has approved using lower tiers than otherwise required. The approval is based on an assessment that it is not technically feasible or would incur unreasonable costs to improve the monitoring methodology. If the installation has received such an approval it must submit improvement reports at regular intervals. 

If an improvement report is required please fill in the Template No. 7: Improvement report for stationary installations and send it to CO2-kvoteservice@ens.dk

 

Contact

CO2 Kvoteservice