EUROPEAN UNION GREENHOUSE GAS EMISSIONS TRADING SYSTEM FOR STATIONARY INSTALLATIONS REGULATIONS

INSTALLATIONS

SUBSIDIARY LEGISLATION 643.02

EUROPEAN UNION GREENHOUSE GAS EMISSIONS

TRADING SYSTEM FOR STATIONARY

INSTALLATIONS REGULATIONS

1st January, 2013 *

LEGAL NOTICE 434 of 2013, as amended by Legal Notice 268 of 2019

and Act XVII of 2024 and Legal Notice 315 of 2024 and 144 of 2025.

(1) The title of these regulations is the European Union

G r e e n h o u se G a s E m i s s i o n s Tr a d i n g S y s t e m f o r St a t i o n a r y

Installations Regulations.

(2) These regulations provide for the implementation in Malta

of the European Union system for greenhouse gas emissions

allowance trading, established by Directive 2003/87/EC, for

activities listed in Schedule 1 to these regulations, for the period

commencing 1st January, 2013, and any subsequent periods.

(3)

The scope of these regulations is to

(a) transpose the provisions of

(i) Directive 2003/87/EC;

(ii) Directive 2004/101/EC amending Directive

2003/87/EC;

(iii) Directive 2008/101/EC amending Directive

2003/87/EC;

(iv) Directive 2009/29/EC amending Directive 2003/

87/EC;

(v) Decision (EU) 2015/1814 amending Directive

2003/87/EC;

(vi) Directive (EU) 2018/410 amending Directive

2003/87/EC;

(vii) Directive (EU) 2023/959 amending Directive

2003/87/EC; and

(b) implement the requirements of Regulation (EU) 2017/

2392 amending Directive 2003/87/EC.Interpretation.

For the purposes of these regulations and unless the

context otherwise requires, the following definitions shall apply

"account holder" means a natural or legal person that holds an

account in the Union registry;

"the Act" means the Climate Action Act;

"allowance" means an allowance to emit one tonne of carbon

dioxide equivalent during a specific period, which shall be valid for

the purposes of meeting the requirements of these regulations and

shall be transferable in accordance with the provisions of these

regulations;

*see regulation 1(3) of these Regulations, as originally promulgated.

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"auctioneer" means the Debt Management Office within the

Treasury Department appointed by the Government to auction

allowances on its behalf;

"authorised representatives" means the representatives,

nominated by an account holder in respect of an account in the

Union registry, to have access to that account and undertake

processes relating to that account on behalf of the account holder;

"the Authority" means the Malta Resources Authority

established by article 3 of the Act;

"cancellation" means the definitive disposal of an allowance by

its holder or by the national registry administrator as may be

applicable;

"certified emissions reduction" or "CER" means a unit issued

pursuant to Article 12 of the Kyoto Protocol and the decisions

adopted pursuant to the UNFCCC or the Kyoto Protocol;

"Chapter II allowance" means an allowance allocated and issued

in respect of aviation activities listed in Annex I to Directive 2003/

87/EC, in accordance with Chapter II of Directive 2003/87/EC;

"Chapter III allowance" means an allowance allocated and issued

in respect of activities listed in Annex I to Directive 2003/87/EC

other than aviation activities, in accordance with Chapter III of

Directive 2003/87/EC;

"combustion" means any oxidation of fuels, regardless of the

way the heat, electrical or mechanical energy produced by this

process is used, and any other directly associated activities,

including waste gas scrubbing;

"the Commission" means the European Commission;

"confidential information" means any non-public information

deemed to be sensitive by the operator and, or, any privileged

information falling within the scope of these regulations, disclosed

only for promoting and elaborating certain purposes. It shall

include, inter alia

(a) trade secrets;

(b) any other information having a commercial value that

would be, or could reasonably be expected to be,

destroyed or diminished if the information were

disclosed; or

(c) information other than trade secrets or information

under paragraph (b) concerning a person, organisation

or undertaking in respect of their business,

professional, commercial or financial affairs;

"Decision (EU) 2015/1814" means Decision (EU) 2015/1814 of

the European Parliament and of the Council of 6 October 2015

concerning the establishment and operation of a market stability

reserve for the Union greenhouse gas emission trading scheme and

amending Directive 2003/87/EC;

"deviation" means, in respect of monitoring of annual emissions,

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the use of a monitoring approach that is different, in full or in part,

from the approved monitoring and reporting plan, which use is of a

temporary nature;

"Directive 2003/87/EC" means Directive 2003/87/EC of the

European Parliament and of the Council of 13 October 2003

establishing a system for greenhouse gas emission allowance trading

within the Union and amending Council Directive 96/61/EC;

"Directive 2004/101/EC" means Directive 2004/101/EC of the

European Parliament and of the Council of 27 October 2004

a m e nd i n g D i r e c t iv e 2 0 0 3/ 8 7 / E C e s t a b l i s h i ng a sc h e m e f o r

greenhouse gas emission allowance trading within the Community,

in respect of the Kyoto Protocol’s project mechanisms;";

"Directive 2008/101/EC" means Directive 2008/101/EC of the

European Parliament and of the Council of 19 November 2008

amending Directive 2003/87/EC so as to include aviation activities in

the scheme for greenhouse gas emission allowance trading within the

Community;

"Directive 2009/29/EC" means Directive 2009/29/EC of the

European Parliament and of the Council of 23 April 2009 amending

Directive 2003/87/EC so as to improve and extend the greenhouse

gas emission allowance trading scheme of the Community;

"Directive 2009/31/EC" means Directive 2009/31/EC of the

European Parliament and of the Council of 23 April 2009 on the

geological storage of carbon dioxide and amending Council

Directive 85/337/EEC of the European Parliament and Council

Directives 2000/60/EC, 2001/80/EC, 2004/35/EC, 2006/12/EC,

2008/1/EC and Regulation (EC) No 1013/2006;

"Directive (EU) 2018/410" means Directive (EU) 2018/410 of the

European Parliament and of the Council of 14 March 2018 amending

Directive 2003/87/EC to enhance cost-effective emission reductions

and low-carbon investments, and Decision (EU) 2015/1814;

"Directive (EU) 2023/959" means Directive (EU) 2023/959 of the

European Parliament and of the Council of 10 May 2023 amending

Directive 2003/87/EC establishing a system for greenhouse gas

emission allowance trading within the Union and Decision (EU) 2015/

1814 concerning the establishment and operation of a market stability

reserve for the Union greenhouse gas emission trading system;

"economically justifiable demand" means the demand that does

not exceed the needs for heat or cooling and which would otherwise

be satisfied at market conditions by energy generation processes

other than cogeneration;

"electricity generator" means an installation that, on or after the

1st January, 2005, has produced electricity for sale to third parties,

and in which no activity listed in Schedule 1 is carried out other

than the combustion of fuels;

"emissions" means the release of greenhouse gases specified in

respect of an activity listed in Schedule 1, from sources in an

installation performing such activity;

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"emission reduction unit" or "ERU" means a unit issued pursuant

to Article 6 of the Kyoto Protocol and the decisions adopted

pursuant to the United Nations Framework Convention on Climate

Change or the Kyoto Protocol;

"EU ETS" means the European Union Emissions Trading System

established by Directive 2003/87/EC;

"greenhouse gases" means the gases listed in Schedule 2 and other

gaseous constituents of the atmosphere, both natural and

anthropogenic, that absorb and re-emit infrared radiation;

"greenhouse gas emissions permit" means the permit issued

pursuant to regulation 6;

"high efficiency cogeneration" means cogeneration meeting the

criteria for high efficiency cogeneration set out in the Cogeneration

Regulations;

"installation" means a stationary technical unit where one or

more activities listed in Schedule 1 are carried out and any other

directly associated activities which have a technical connection

with the activities carried out on that site and which could have an

effect on emissions and pollution;

"Joint Implementation project activity" or "JI project activity"

means a project activity undertaken in accordance with Article 12

of the Kyoto Protocol and decisions adopted pursuant to the United

Nations Framework Convention on Climate Change or the Kyoto

Protocol;

"Kyoto Protocol" means the Kyoto Protocol to the United

Nations Framework Convention on Climate Change;

"least developed countries" means those countries included in

the list of Least Developed Countries as defined by the Committee

for Development Policy and endorsed by the Economic and Social

Council of the United Nations;

" M em b e r St at e " m e an s a st a t e w h i ch i s a m em b e r o f t he

European Union and which, for the purpose of these regulations,

includes Iceland, Liechtenstein and Norway;

"the Minister" means the Minister responsible for climate change

policy;

"modification" means, in respect of monitoring of annual

emissions, a permanent change in an approved monitoring plan, in

full or in part, and, where it is deemed to be of a significant nature,

shall require the approval of the Authority to become valid;

"National Accreditation Board - Malta" means the National

Accreditation Board established by the National Accreditation

Board (Malta) (Establishment) Regulations;

"national registry administrator" means the entity responsible for

the administering of operator holding accounts on behalf of the

Government, which operator holding accounts are under the

j u r i s d i c t i o n o f t h e G o v e r n m e n t i n t h e U n i o n r e g i s t r y, a n d

designated in accordance with relevant decisions and regulations

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adopted by the Commission pursuant to Directive 2003/87/EC;

"new entrant" means any installation carrying out one or more of

the activities listed in Schedule 1, which has obtained a greenhouse

gas emissions permit for the first time within the period starting three

months before the date for submission of the list pursuant to regulation

11, and ending three months before the date for submission of the

subsequent list pursuant to regulation 11;

"operator" means any person who operates or controls an

installation;

"person" means any natural or legal person;

"proposed transferee" means a person who receives from another

person the greenhouse gas emissions permit, in whole or in part,

issued for the installation;

"proposed transferor" means an operator of an installation who

transfers to another person the greenhouse gas emissions permit, in

whole or in part, issued for the installation;

"the public" means one or more persons, associations,

organisations or groups of persons;

"Regulation (EC) No 765/2008" means Regulation (EC) No 765/

2008 of the European Parliament and of the Council of 9 July 2008

setting out the requirements for accreditation and market

surveillance relating to the marketing of products and repealing

Regulation (EEC) No 339/93;

"Regulation (EU) 2017/2392" means Regulation (EU) 2017/2392 of

the European Parliament and of the Council of 13 December 2017

amending Directive 2003/87/EC to continue current limitations of

scope for aviation activities and to prepare to implement a global

market-based measure from 2021;

"Regulation (EU) 2021/1119" means Regulation (EU) 2021/1119 of

the European Parliament and of the Council of 30 June 2021

establishing the framework for achieving climate neutrality and

amending Regulations (EC) No 401/2009 and (EU) 2018/1999

(European Climate Law);

"Regulation (EU) 2023/956" means Regulation (EU) 2023/956 of

the European Parliament and of the Council of 10 May 2023

establishing a carbon border adjustment mechanism;

"surrender" means the accounting of an allowance by an operator

of an installation against the verified emissions of the installation;

"tonne of carbon dioxide equivalent" means one metric tonne of

carbon dioxide (CO 2 ) or an amount of any other greenhouse gas

listed in Schedule 2 with an equivalent global-warming potential;

"the Union" or the "European Union" means the European Union

as established by the Treaty on the European Union as amended by

the Lisbon Treaty of 2009, as may be subject to subsequent

amendments;

"Union registry" means the registry established and maintained

in accordance with Article 19 of Directive 2003/87/EC as amended

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by Directive 2009/29/EC for the execution of processes pertaining

to the maintenance of holding accounts and the allocation,

surrender and cancellation of allowances;

"Union registry" means the registry established and maintained in

accordance with Article 19 of Directive 2003/87/EC for the execution

of processes pertaining to the maintenance of holding accounts and the

allocation, surrender and cancellation of allowances;

"UNFCCC" means the United Nations Framework Convention

on Climate Change which entered into force on the 21st March,

1994;

"verifier" means a legal person or another legal entity carrying

out verification activities pursuant to these regulations and

accredited by a national accreditation body pursuant to Regulation

(EC) No 765/2008 and relevant decisions and regulations adopted

by the Commission pursuant to Directive 2003/87/EC, or a natural

person otherwise authorised, without prejudice to Article 5(2) of

Regulation (EC) 765/2008, at the time a verification report is

issued.

These regulations shall apply to operators of stationary

installations situated in the territory of Malta and carrying out one or

more activities listed in Schedule 1 resulting in emissions of the

greenhouse gases specified in respect of those activities in Schedule 1,

and to any other relevant legal bodies on which these regulations put

any obligations.

(1) No operator of an installation shall carry out any

activity listed in Schedule 1 resulting in emissions specified in

relation to that activity unless such operator holds a permit issued

by the Authority in accordance with regulation 6.

(2) Where an operator of an installation carries out any activity

listed in Schedule 1 without holding a permit in accordance with

sub-regulation (1), the operator of that installation shall be liable to

the imposition of an administrative fine

(a) where emissions of an installation during that year are

equal to or less than fifty thousand (50,000) tonnes

carbon dioxide equivalents, of ten thousand euro

(€10,000), and one hundred euro (€100) for each day

of non-compliance from the date of a notice given by

the Authority to the operator;

(b) where emissions of an installation during that year are

more than fifty thousand (50,000) tonnes of carbon

dioxide equivalents and equal to or less than five

hundred thousand (500,000) tonnes of carbon dioxide

equivalent, of fifty thousand euro (€50,000), and three

hundred euro (€300) for each day of non-compliance

from the date of a notice given by the Authority to the

operator;

(c) where emissions of an installation during that year are

more than five hundred thousand (500,000) tonnes of

carbon dioxide equivalents, of one hundred thousand

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euro (€100,000), and six hundred euro (€600) for each

day of non-compliance from the date of a notice given

by the Authority to the operator.

(3) For the purposes of determining the administrative fine

under sub-regulation (2), where the emissions of the installation are

not known or are not reported or where the Authority is satisfied

that there is no reasonable possibility that the quantity of emissions

will be reported by the operator of the installation, the Authority

may itself determine the emissions from the activities performed in

that installation. The Authority shall use best available data and

ensure that a conservative estimate is made that does not

underestimate emissions. The operator of the installation shall be

liable to the imposition of an administrative fine equal to the

amounts established in sub-regulation (2) in respect of the quantity

of emissions estimated in terms of this sub-regulation.

(4) A permit issued by the Authority in accordance with sub-

regulation (1) shall be valid for the duration of the performance of

the activity or activities listed in Schedule 1 in respect of which the

permit is issued, unless the permit is surrendered in accordance

with regulation 9 or revoked in accordance with regulation 10.

(5) The Authority shall ensure that permits issued by it in

accordance with sub-regulation (1) shall b e ma de publicly

available.

(1) An operator of an installation carrying out an activity

listed in Schedule 1 shall apply to the Authority for a greenhouse

gas emissions permit.

(2) An operator of an installation shall submit an application

for a greenhouse gas emissions permit. The application shall be

su bm it ted at least one hun dred an d twen ty day s before th e

commencement of activities listed in Schedule 1 in respect of

which the application for a permit is to be submitted, unless

ot h e r w is e a g r e e d i n w r i t i ng b e tw e e n t h e a p pl i c a n t a n d t h e

Authority.

(3) An application made to the Authority for a greenhouse gas

emissions permit shall include, inter alia, the following

(a) information as may be requested by the Authority

about the operator of the installation;

(b) information as may be requested by the Authority

about the applicant, if different from the operator of

the installation;

(c) a description of the installation and activities listed in

Schedule 1 to be carried out in the installation,

including the technology used;

(d) the raw and auxiliary materials, the use of which, in

activities listed in Schedule 1 to be carried out in the

installation, is likely to lead to emissions of the

greenhouse gases specified in respect of those activities

in Schedule 1;

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(e) the sources of emissions of gases listed in Schedule 1

from the installation;

(f)

a description of the measures planned to monitor and

report emissions in accordance with regulations 15 and

16;

(g) any other appropriate information requested by the

Authority;

(h) any other information that the applicant wishes the

Authority to take into account when considering the

application;

(i)

a non-technical summary of the details referred to in

paragraphs (c) to (f).

(4) Any operator who prior to the entry into force of these

regulations is in possession of a valid greenhouse gas emissions

permit issued under the European Community Greenhouse Gas

Emissions Trading Scheme Regulations, 2005, shall continue to

hold such permit under existing conditions until such conditions are

revised by the Authority

Provided that any such operator shall comply with such

revised conditions which may be issued by the Authority and with

effect from such date as the Authority shall establish.

(1) The Authority shall issue a greenhouse gas emissions

permit granting authorization to emit greenhouse gases from all or part

of an installation for which the application for a permit is made, if it is

satisfied that the operator of the installation is capable of complying

with the requirements of these regulations and the conditions of the

permit. A permit shall be issued within a period of ninety days from

the date on which the Authority received the application containing a

complete set of information in accordance with sub-regulation (3) of

regulation 5, unless otherwise agreed in writing between the operator

and the Authority.

(2) A greenhouse gas emissions permit issued by the Authority

may cover one or more installations on the same site operated by

the same operator. A greenhouse gas emissions permit may not

cover two or more installations situated on different sites. A

greenhouse gas emissions permit may not cover two or more

installations on the same site operated by different operators.

(3) The Authority shall, when issuing a greenhouse gas

emissions permit, ensure that the permit includes, inter alia, the

following

(a) the name and address of the operator;

(b) the name and address of the installation;

(c) a description of the activities and emissions covered

by the permit;

(d) a reference to monitoring, reporting and verification

requirements including the requirement to have a

monitoring plan approved by the Authority;

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(e) an obligation to report verified emissions of

greenhouse gases specified for the activity or activities

listed in Schedule 1 for each calendar year, within

three months following the end of that year;

(f)

an obligation to surrender allowances equal to the total

emissions of the installation in each calendar year, as

verified in accordance with sub-regulation (3) of

regulation 16, by the 30th September of the subsequent

year;

(g) requirements for any notifications to be made to the

Authority;

(h) a requirement to pay penalties for non-compliance

with paragraph (f);

(i)

any other conditions that the Authority considers

appropriate to ensure compliance with the

requirements of these regulations.

(4) The Authority may, at any time, review a greenhouse gas

emissions permit issued to an operator of an installation and make

amendments to the permit as appropriate and issue an updated

permit

Provided that it shall inform the operator covered by the

permit of such amendments as early as possible prior to the issuance of

an updated permit.

(5) The Authority may, at any time, vary the conditions of a

permit in such a manner as it may deem fit, and issue an updated

permit

Provided that it shall inform the operator covered by the

permit of such variations by not later than thirty days prior to the

issuance of an updated permit.

(1) The operator of an installation for which a greenhouse

gas emissions permit has been issued shall notify the Authority of

(a) any changes planned in the nature or functioning of the

installation; or

(b) any extension or reduction of the capacity of the

installation; or

(c) in the case of a permit covering more than one

installation on the same site operated by the same

operator, any instance where one or more installations

cease carrying out all of the activities listed in

Schedule 1 covered by the permit but the operator

continues to carry out at least one activity in one

installation under that permit

Provided that any such notification must be made in writing at

least one hundred and twenty days prior to such change in the nature or

functioning of the installation, or extension or reduction of capacity of

the installation, or the one or more installations ceasing carrying out of

activities listed in Schedule 1, effectively taking place.

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(2) The Authority shall, where appropriate, update the

greenhouse gas emissions permit accordingly, within a period of

ninety days from the date on which the Authority receives a

notification pursuant to sub-regulation (1), unless otherwise agreed

in writing between the operator and the Authority.

(3) Where there is a change in the name of the operator of an

installation, the Authority shall update the permit to include the

name and address of the new operator

Provided that the Authority shall be notified by the

operator, in writing, of the change in the name of the operator of

t h e in st al la ti o n at l ea st si x ty day s b efore su ch a c ha ng e i s

effectively to take place.

(4) An operator that allows the coming into effect of changes

listed under sub-regulation (1) without notifying the Authority of

such changes in accordance with this regulation shall be liable to

the imposition of an administrative fine of five thousand euro

(€5,000).

(5) Where a change in the name of the operator of an

installation comes into effect without such a change having been

notified to the Authority in accordance with sub-regulation (3), the

operator of the installation shall be liable to the imposition of an

administrative fine of one thousand euro (€1,000).

(6) The Authority shall notify the national registry

administrator of any changes made to a permit pursuant to this

regulation. The national registry administrator shall ensure that any

changes required are made to the account or accounts relating to the

installation or installations for which the changes to the permit

relate, so as to reflect such changes.

(1) An operator of an installation ("proposed transferor")

may transfer to another person ("proposed transferee"), in whole or

i n p a r t , t he gr e e n h o u s e g a s e m i s s io n s p e r m it i s s u e d t o t he

installation.

(2) An application for the transfer of a permit shall be

submitted to the Authority, in writing, jointly by the proposed

transferor and the proposed transferee.

(3) An application under sub-regulation (2) shall include the

following information

(a) the name and address of the proposed transferor;

(b) the name and address of the proposed transferee;

(c) the name and address of the installation to which the

greenhouse gas emissions permit relates;

(d) in the case of a request to transfer a permit in part,

information identifying the activity or activities or part

of an activity or activities to which the transfer of

permit applies.

The Authority may request any additional information it

deems necessary to process an application for the transfer of a

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permit.

(4) The Authority shall carry out a transfer of a greenhouse gas

emissions permit, if it satisfied that the proposed transferee is

capable of complying with the requirements of these regulations

and the conditions of the permit. The transfer shall be carried out

(a) in the case of a transfer of a permit in whole, by

transferring the permit for the installation to the

proposed transferee, updated to include the name and

address of the proposed transferee as the operator of

the installation;

(b) in the case of a transfer of a permit in part, by

(i)

issuing a new greenhouse gas emissions permit

to the proposed transferee, recording the

transfer, identifying the activity or activities or

part of an activity or activities to be transferred

and identifying the proposed transferee as the

operator in respect of the activity or activities

covered by the new permit;

(ii) revising and reissuing the greenhouse gas

emission permit to the proposed transferor,

recording the transfer, and the permit shall be

updated so as to identify the activity or activities

to be carried out in the installation operated by

the proposed transferor.

(5) The transfer of a permit shall come into effect at a time

agreed between the proposed transferor, proposed transferee and

the Authority, as shall be recorded in the permit.

(6) The Authority shall notify the national registry

administrator of any application for the transfer of a permit made to

it and the coming into effect of such a transfer. The national

registry administrator shall ensure that any changes required are

made to the account or accounts relating to the installation or

installations to which the transfer of a permit relates so as to reflect

the transfer of the permit.

(1) An operator who ceases to carry out all of the activities

listed in Schedule 1 in all of the installations covered by a

greenhouse gas emissions permit shall surrender the permit.

(2) An application for the surrender of a permit shall be

submitted to the Authority, in writing, by not later than thirty days

from the date on which the operator has ceased to carry out the

activity or activities in the installation to which the greenhouse gas

emissions permit relates.

(3) An application for the surrender of a permit shall include

the following

(a) the name and address of the applicant;

(b) the name and address of the installation to which the

greenhouse gas emissions permit relates;

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(c) the date on which the activity or activities have ceased

being carried out.

(4) The Authority shall process an application for the surrender

of a permit submitted in accordance with this regulation within

thirty days from the receipt of the application. The Authority shall

issue a notice of surrender of a permit, which shall include the

following conditions

(a) a requirement to monitor, and report by the date that

may be specified in the notice of surrender of a permit,

and in accordance with these regulations, verified

emissions for the year during which the notice

becomes effective up to the date on which the notice

becomes effective;

(b) a requirement to surrender, by the date that may be

specified in the notice of surrender of a permit, and in

accordance with these regulations, a quantity of

allowances equal to the verified emissions reported

under paragraph (a);

(c) a requirement to surrender, by the date that may be

specified in the notice of surrender of a permit, and in

accordance with these regulations, a quantity of

allowances equal to verified emissions not covered by

surrendered allowances in respect of years previous to

the year when the notice of surrender of a permit

becomes effective.

Monitoring, reporting and verification of emissions referred

to in paragraph (a) shall be carried out in accordance with

m o n it or i n g, r e p or t in g a nd ve ri f i c a t i on re qu i re m e n ts i n t he

greenhouse gas emissions permit to which the application to

surrender a permit relates.

(5) The permit shall cease to have effect from the date on

which the notice for surrender of a permit becomes effective in so

far as it authorises the carrying out of an activity or activities in the

installation or installations covered by the permit

Provided that any conditions in the permit shall remain in

effect until the Authority is satisfied that the requirements under

sub-regulation (4) have been complied with or that there is no

reasonable possibility of further allowances being surrendered by

the operator of the installation or installations to which the notice

for surrender of a permit relates.

(6) The Authority shall notify the national registry

administrator of any application for the surrender of a permit made

to it and the coming into effect of such surrender. The national

registry administrator shall ensure that any changes required are

made to the account or accounts relating to the installation or

installations to which the surrender of a permit relates so as to

reflect the surrender of the permit.

(7) When a permit for an installation is surrendered without

sufficient allowances having been surrendered in accordance with

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regulation 19 to cover all emissions reported in respect of that

installation, the operator of that installation shall be liable to the

imposition of an administrative fine of one hundred euro (€100) for

each tonne of carbon dioxide equivalent emitted for which the

operator has not surrendered allowances.

(8) From the 1st January, 2013, where, for the year in which an

operator surrendering a permit does not surrender sufficient

allowances, the annual average Harmonised European Index of

Consumer P rices published shows a percentage increase as

compared to the latest Harmonised European Index of Consumer

Prices published for the previous year, the administrative fine shall

be increased by the same percentage. The administrative fine as

revised pursuant to this sub-regulation shall apply to subsequent

years unless further increased in accordance with the Harmonized

European Index of Consumer Prices. For the purposes of this sub-

regulation, each allowance not surrendered by the operator for a

tonne of carbon dioxide equivalent emitted shall be considered as a

separate contravention.

(9) For the purposes of determining the total administrative

fine under sub-regulation (7), where the emissions of the

installation or installations are not known, or are not reported, or

where the Authority is satisfied that there is no reasonable

possibility that a verified quantity of emissions will be reported by

the operator of the installation or installations covered by the

permit to be surrendered, the Authority may itself determine the

emissions from the activities performed in the installation or

installations. The Authority shall use best available data and ensure

that a conservative estimate is made that does not underestimate

emissions. The operator shall be liable to the imposition of an

administrative fine equal to the amount established in sub-

regulation (7) in respect of the quantity of emissions estimated in

terms of this sub-regulation.

(1) The Authority may, at any time, revoke a greenhouse

gas emissions permit issued to an operator of an installation.

(2) The Authority may revoke a permit in accordance with sub-

regulation (1) by issuing a notice of revocation of a permit to the

operator, which shall include the following

(a) information clearly identifying the operator and the

installation or installations covered by the notice;

(b) the reasons for the revocation of the greenhouse gas

emissions permit;

(c) the date on which the notice takes effect, which shall

not be earlier than fifteen days from the date of the

notice;

(d) the requirement for the operator to monitor and report,

by the date that may be specified in the notice of

revocation of a permit, and in accordance with these

regulations, verified emissions for any years in which

the operator performed the activity or activities

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covered by the permit and for which he did not submit

a verified emissions report;

(e) the requirement for the operator to surrender, by the

date that may be specified in the notice of revocation

of a permit, and in accordance with these regulations, a

quantity of allowances equal to the amount of

emissions reported, for any years in which the operator

performed the activity or activities covered by the

permit and in respect of which he did not surrender

allowances.

(3) The permit shall cease to have effect from the date on

which the notice for revocation of a permit becomes effective in so

far as it authorises the carrying out of an activity or activities in the

installations or installations covered by the permit

Provided that any conditions in the permit shall remain in

effect until the Authority is satisfied that the requirements under

sub-regulation (2) have been complied with or that there is no

reasonable possibility of further allowances being surrendered by

the operator of the installation to which the notice for revocation of

a permit relates.

(4) The Authority shall notify the national registry

administrator of any revocation of a permit and the coming into

effect of such revocation. The national registry administrator shall

ensure that any changes required are made to the account or

accounts relating to the installation or installations to which the

revocation of a permit relates so as to reflect the revocation of the

permit.

(5) When a permit for an installation is revoked without

suff icient allowances having b een surrendered to cover all

emissions reported in respect of that installation in accordance with

regulation 19, the operator of that installation shall be liable to the

imposition of an administrative fine of one hundred euro (€100) for

each tonne of carbon dioxide equivalent emitted for which the

operator has not surrendered allowances.

(6) From the 1st January, 2013, where, for the year in which an

operator surrendering a permit does not surrender sufficient

allowances, the annual average Harmonised European Index of

Consumer Prices published shows a percentage increase as

compared to the latest Harmonised European Index of Consumer

Prices published for the previous year, the administrative fine shall

be increased by the same percentage. The administrative fine as

revised pursuant to this sub-regulation shall apply to subsequent

years unless further increased in accordance with the Harmonized

European Index of Consumer Prices. For the purposes of this sub-

regulation, each allowance not surrendered by the operator for a

tonne of carbon dioxide equivalent emitted shall be considered as a

separate contravention.

(7) For the purposes of determining the total administrative

fine under sub-regulation (5), where the emissions of the

installation or installations are not known, or are not reported, or

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where the Authority is satisfied that there is no reasonable

possibility that a verified quantity of emissions will be reported by

the operator of the installation or installations covered by the

permit to be surrendered, the Authority may itself determine the

emissions from the activities performed in the installation or

installations. The Authority shall use best available data and ensure

that a conservative estimate is made that does not underestimate

emissions. The operator shall be liable to the imposition of an

administrative fine equal to the amount established in sub-

regulation (5) in respect of the quantity of emissions estimated in

terms of this sub-regulation.

(1) The Authority shall determine the quantity of free

Chapter III allowances to be allocated to an installation eligible to a

free allocation of Chapter III allowances pursuant to Directive 2003/

87/EC. Such an allocation shall be determined in accordance with

Directive 2003/87/EC and relevant decisions and regulations adopted

by the Commission pursuant to Directive 2003/87/EC.

(2) No free allocation shall be made in respect of any

electricity production, except for electricity produced from waste

gases.

"(2a) If an installation is covered by the obligation to conduct an

energy audit or to implement a certified energy management system

under regulation 10 of the Energy Efficiency Regulations and if the

recommendations of the audit report or of the certified energy

management system are not implemented, unless the pay-back time

for the relevant investments exceeds three (3) years or unless the

costs of those investments are disproportionate, then the amount of

free allocation shall be reduced by twenty per cent (20%). The

amount of free allocation shall not be reduced if an operator

demonstrates that it has implemented other measures which lead to

greenhouse gas emissions reductions equivalent to those

recommended by the audit report or the certified energy

management system for the installation concerned.

(2b) The free allocation determined pursuant to sub-regulation

(1) shall be reduced by twenty per cent (20%) where, by 1st May,

2024, the operator of an installation whose greenhouse gas

emission levels are higher than the 80th percentile of emissions

levels for the relevant product benchmarks, as determined by the

relevant decisions and regulation adopted by the Commission

pursuant to Directive 2003/87/EC, have not established a carbon

neutrality plan for such installation for its activities covered by

these regulations. The said plan shall be consistent with the climate

neutrality objective established in Article 2(1) of Regulation (EU)

2021/1119 and shall set out

(a)

measures and investments to reach climate-

neutrality by 2050 at installation-level, excluding the use of

carbon offset credits;

(b)

intermediate targets and milestones to measure, by

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31st December 2025 and by 31st December of each fifth year

thereafter, progress made towards reaching climate-neutrality

as set out in paragraph (a); and

(c)

an estimate of the impact of each of the measures

and investments referred to in paragraph (a) as regards the

reduction of greenhouse gas emissions

Provided that the achievement of the targets and

milestones referred to in paragraph (b) shall be verified in respect of

the period until 31st December 2025 and in respect of each period

ending 31st December of each fifth year thereafter in accordance with

regulation 16.

(2c) No free allocation shall be given to installations in sectors

or sub-sectors to the extent that they are covered by measures

established by Regulation (EU) 2023/956.

(2d) Subject to the application of Regulation (EU) 2023/0956,

no free allocation shall be given in relation to the production of

goods listed in Annex 1 of the said Regulation.

(2e) By way of derogation from sub-regulation (2d), the

production of goods listed in Annex I to Regulation (EU) 2023/

0956 shall benefit from free allocation in reduced amounts. A

CBAM factor reducing the free allocation for the production of

those goods shall be applied, and shall be equal to 100% from the

coming into force of Regulation (EU) 2023/0956 until 31st

December 2025, to 97.5% in 2026, to 95% in 2027, to 90% in 2028,

to 77.5% in 2029, to 51.5% in 2030, to 39% in 2031, to 26.5% in

2032, to 14% in 2033, and to 0% from 2034.

(3)

No free allocation shall be given to

(a) electricity generators;

(b) installations for the capture of carbon dioxide;

(c) pipelines for transport of carbon dioxide; or

(d) carbon dioxide storage sites.

(4) No free allocation shall be made in respect of any

electricity production by new entrants.

(5) District heating and high efficiency cogeneration for

economically justifiable demand shall be eligible for free

allocation, in respect of the production of heating or cooling, in

accordance with Directive 2003/87/EC and relevant decisions and

regulations adopted by the Commission pursuant to Directive 2003/

87/EC.

(6) No free allocation shall be given to an installation that has

ceased operating. An installation for which the greenhouse gas

emissions permit has been surrendered or revoked or for which the

operation or resumption of operation is technically impossible shall be

considered to have ceased operations.

(7)

The Authority shall, by 30th September, 2019, submit to the

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Commission a list of installations covered by these regulations for the

period of five years beginning on 1st January, 2021, including free

allocations as determined in accordance with this regulation. The

Authority shall submit to the Commission lists of installations for each

subsequent period of five years every five years thereafter.

(8) The Authority may, where applicable, request from an

operator of an installation information it deems appropriate in

accordance with relevant decisions and regulations adopted by the

Commission pursuant to Directive 2003/87/EC.

(9) Upon approval by the Commission of the lists submitted to the

Commission pursuant to sub-regulation (7), the Authority shall ensure

that the lists of installations, including any free allocation for each

installation, are published.

(1) The quantity of Chapter III allowances that will not be

allocated free of charge, as determined for Malta in accordance

with Directive 2003/87/EC, shall be auctioned by the auctioneer in

accordance with the relevant decisions and regulations adopted by

the Commission pursuant to Directive 2003/87/EC.

(2) The auctioneer shall act in accordance with the relevant

decisions and regulations adopted by the Commission pursuant to

Directive 2003/87/EC.

A beneficiary of funding of any action or project funded from

EU ETS auctioning revenues shall ensure the visibility of such source

of funding.

(1) Allowances issued to operators of installations in

terms of these regulations shall be held in the Union registry. An

operator of an installation shall have an operator holding account in

respect of that installation in the Union registry.

(2) The national registry administrator shall perform its

functions in accordance with the relevant decisions and regulations

adopted by the Commission pursuant to Directive 2003/87/EC

Provided that, in respect of operator holding accounts of

operators of installations to which these regulations apply, the

Authority shall act as the national registry administrator

Provided also that, where the Authority acts as the national

registry administrator there shall be no conflict of interest between

the Authority and holders of operator holding accounts.

(3) A request to open an operator holding account shall be

made by the Authority or the operator of the installation to the

national registry administrator.

(4) A request for the opening of an operator holding account

shall include all information required by the national registry

administrator in accordance with the relevant decisions and

regulations adopted by the Commission pursuant to Directive 2003/

87/EC and any requirements and terms and conditions made by the

national registry administrator.

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(5) The national registry administrator shall open and

administer an operator holding account for an operator of an

installation in accordance with the relevant decisions and

regulations adopted by the Commission pursuant to Directive 2003/

87/EC and any terms and conditions it may make. The national

registry administrator shall not open an account unless it is

satisfied that the request is in accordance with the requirements of

this regulation.

(6) An operator holding account holder and its nominated

authorised representatives shall act in accordance with the relevant

decisions and regulations adopted by the Commission pursuant to

Directive 2003/87/EC and any terms and conditions made by the

national registry administrator.

(7) Where an operator of an installation fails to comply with

any requirements of decisions and regulations adopted by the

Commission in respect of registries or terms and conditions made

by the national registry administrator in respect of registries, the

natio nal registry adm inistrator may p revent the tran sfer of

allowances or other accounting units into or out of any operator

holding account held by that operator until any non-compliance is

rectified

Provided that the national registry administrator shall not

prevent the surrender or cancellation of allowances in accordance

with regulation 22.

(1) The Authority shall, by 30th June of each year, issue the

quantity of free Chapter III allowances that are to be allocated for

that year to each installation included in the list referred to in sub-

regulation (8) of regulation 11, as determined in accordance with

regulation 11

Provided that the allowances allocated to each installation

are issued to the operator holding account opened in respect of that

installation in accordance with regulation 13

Provided further that no allowances may be issued to an

installation whose inscription in the list referred to in sub-regulation

(8) of regulation 11 has not been approved by the Commission.

(2) Issuance of allowances shall be carried out in accordance

w ith the r el evant decisions and reg ulatio ns adop ted by the

European Commission pursuant to Directive 2003/87/EC.

(3)

Where –

(a) an installation has ceased its operations, unless the

operator demonstrates to the Authority that this

installation will resume production within a specified

and reasonable time; or

(b) a permit has been changed, in accordance with

regulation 7, in such a way that it no longer applies to

an installation; or

(c) a permit has been surrendered in accordance with

regulation 9; or

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(d) a permit has been revoked in accordance with regulation

10, the Authority shall inform the national registry

administrator. The national registry administrator shall

ensure that no further allowances are issued to the

operator in respect of an installation subject to any of the

conditions under this sub-regulation, for the first year

after the year when the installation ceases its operations,

or the change in the permit, the surrender of the permit or

the revocation of the permit has come into effect, and for

subsequent years.

(4) Chapter III allowances issued in accordance with sub-

regulation (1) in respect of the period beginning 1st January, 2013 and

subsequent periods shall be valid indefinitely. Allowances issued as

from 1st January, 2021 in a ten-year period shall be valid for emissions

from the first year of that period onwards.

(1) The operator of an installation shall submit to the

Authority a monitoring plan setting out measures to monitor and

report emissions of greenhouse gases specified in respect of the

activities carried out in that installation as listed in Schedule 1.

These measures shall be in accordance with

(a) the principles set out in Schedule 3;

(b) relevant decisions and regulations adopted by the

Commission pursuant to Directive 2003/87/EC; and

(c) any other requirements made by the Authority in

respect of monitoring and reporting of emissions of

greenhouse gases from activities listed in Schedule 1.

(2) The operator of an installation shall submit a monitoring

and reporting plan for the first time to the Authority at the same

time as an application is made for a greenhouse gas emissions

permit in accordance with regulation 4.

(3) The monitoring plan submitted by an operator of an

installation pursuant to sub-regulation (1) shall be approved by the

Authority if it is satisfied that the plan is in accordance with the

requirements set out under this regulation. The Authority may

request from the operator of t he installation any additional

information it deems appropriate for the approval of the plan.

(4) An operator of an installation shall notify the Authority of

any deviations from the monitoring plan that may occur at any time

after the approval of the plan by the Authority

Provided that the Authority shall be notified of any

deviation from the plan

(a) as early as possible before the deviation occurs, if the

deviation is known to the operator or is made known to

the operator prior to its occurrence; or

(b) immediately after the deviation occurs if the

occurrence of the deviation is not known to the

operator or is not made known to the operator before

or at the time of its occurrence.

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(5) An operator of an installation shall maintain a documented

record, which shall include information in accordance with

requirements that may be established by the Authority, of any

deviations that occur during a monitoring year and shall submit

such record to the Authority together with the annual emissions

report submitted pursuant to regulation 16.

(6) The operator of an installation shall regularly check if the

approved monitoring plan reflects the nature and function of the

installation. An operator may at any time after the approval of the

monitoring plan of an installation, submit to the Authority

proposed modifications that have to be made to the plan, in

accordance with the relevant decisions and regulations adopted by

the Commission pursuant to Directive 2003/87/EC. The operator

shall maintain a documented record of all modifications to the

monitoring plan. No proposed significant modifications to an

approved plan shall be valid without the approval of the Authority.

(7) Where it deems appropriate, the Authority may request the

submission of a revised plan.

(8) An operator of an installation shall monitor emissions from

that installation during each monitoring year.

(9) Without prejudice to sub-regulation (4), an operator of an

installation shall monitor annual emissions in accordance with the

monitoring plan approved by the Authority in accordance with this

regulation. The Authority may take any action it deems necessary

under these regulations to ensure that an operator is monitoring and

reporting annual emissions in accordance with the approved

monitoring plan.

(1) An operator of an installation shall report annual

emissions, monitored in accordance with regulation 15, for each

monitoring year in accordance with

(a) the principles set out in Schedule 3; and

(b) relevant decisions and regulations adopted by the

Commission pursuant to Directive 2003/87/EC; and

(c) any other requirements made by the Authority in

respect of reporting of emissions of greenhouse gases

from activities listed in Schedule 1.

(2) An operator of an installation shall submit to the Authority an

annual report on the emissions from that installation for a monitoring

year by not later than 31st March of the subsequent year.

(3) The report submitted by an operator of an installation

pursuant to sub-regulation (2) shall be verified by a verifier in

accordance with

(a) the principles set out in Schedule 4; and,

(b) relevant decisions and regulations adopted by the

Commission pursuant to Directive 2003/87/EC; and

(c) any other requirements made by the Authority in

respect of verification of annual emission reports for

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emissions from installations.

The verifier shall issue a verification report.

(4) A verification report shall be submitted by the operator of an

installation to the Authority with an annual emissions report

submitted. The operator shall also enter the amount of emissions

reported in the verified annual emissions report for a monitoring year

into the Union Registry, by 31st March of the subsequent year.

(5) Where an operator of an installation fails to submit an

annual emissions report for a monitoring year that has been verified

as satisfactory by the 31st March of the subsequent year, the

national registry administrator shall not allow the transfer of

allowances or any other accounting units out of the operator

holding account until a report from the operator in respect of that

installation has been verified as satisfactory

Provided that the national registry administrator shall not

prevent the surrender or cancellation of allowances in accordance

with regulation 19, or the issuance of allowances in exchange for

CERs or ERUs in accordance with regulation 20.

(6) The operator of an installation for which an annual emissions

report is to be verified shall notify the Authority and the National

Accreditation Board – Malta of the planned date and place of the

verification and the identity of the verifier who will perform the

verification, by not later than thirty days prior to the date when the

verification is to be performed.

(1) The Authority may perform any checks it deems

necessary to ensure that a report submitted by an operator is in

accordance with regulation 16.

(2) The Authority shall, on the basis of the information included

in the annual emissions report and the verification report submitted in

accordance with regulation 16 and its own checks, without undue

delay, determine whether it can accept the submitted annual emissions

report. The Authority shall not accept a report of annual emissions

which has not been verified as satisfactory or for which a verification

report has not been submitted. The Authority shall inform the operator,

in writing or through other documented means, of its decision. Where

it deems necessary, the Authority may require the submission of a

revised annual emissions report. The revised annual emissions report

shall be verified in accordance with regulation 16. Where necessary

the operator shall also update the amount of emissions entered into the

Union Registry.

(3) Where, in respect of any monitoring year, an operator of an

installation does not submit a verified annual emissions report in

accordance with regulation 16, or where it is deemed that the

operator has not submitted an annual emissions report which is in

accordance with the requirements set out in regulation 16, the

Authority may, unless there is written agreement between the

Authority and the operator providing otherwise, itself determine

the emissions for activities performed in that installation for that

monitoring year. The Authority shall use best available data and

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ensure that a conservative estimate is made that does not

underestimate emissions. When annual emissions are determined

u nder t his sub-reg ulat io n, th e A uth ority shal l co nsid er the

requirements set out in Schedules 3 and 4

Provided that the Authority shall notify the operator of the

installation of the emissions as determined and the methodology

used to determine such emissions

Provided further that the Authority shall enter the amount of

emissions as determined in accordance with this sub-regulation into

the Union Registry.

(4) Where the verification report submitted with an annual

emissions report states outstanding non-conformities or

recommendations for improvements, the operator of the installation

shall submit to the Authority, by not later than 30th June of the year

w h e n t h e v e r i f i c a t i o n r e p o r t i s i s s u e d b y t h e v e r i f i e r, a n

improvement report describing how and when the operator has

rectified or plans to rectify the non-conformities identified by the

verifier and to implement recommended improvements.

(5) The Authority shall, within a reasonable time, approve the

improvement report and inform the operator of the installation of its

approval. Where it deems necessary, the Authority may require the

submission of a revised improvement report.

(1) An operator of an installation who fails to submit a

monitoring plan in accordance with regulation 15 in respect of the

period beginning the 1st January, 2013 or a subsequent period, shall

be liable to the imposition

(a) for an operator of an installation for which emissions

for the first calendar year of the period for which the

plan relates or for the first year of performing an

activity covered by these regulations during the period

for which the plan relates are equal to or less than fifty

thousand (50,000) tonnes carbon dioxide equivalents,

of an administrative fine of five thousand euro

(€5,000) and, or, one hundred euro (€100) for each day

of non-compliance, from the date of a notice given by

the Authority to the operator;

(b) for an operator of an installation for which emissions

for the first calendar year of the period for which the

plan relates or for the first year of performing an

activity covered by these regulations during the period

for which the plan relates are more than fifty thousand

(50,000) tonnes of carbon dioxide equivalents and

equal to or less than five hundred thousand (500,000)

tonnes of carbon dioxide equivalent, of an

administrative fine of ten thousand euro (€10,000)

and, or, three hundred euro (€300) for each day of non-

compliance, from the date of a notice given by the

Authority to the operator;

(c) for an operator of an installation for which emissions

for the first calendar year of the period for which the

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plan relates or for the first year of performing an

activity covered by these regulations during the period

for which the plan relates are more than five hundred

thousand (500,000) tonnes of carbon dioxide

equivalents, of an administrative fine of fifty thousand

euro (€50,000) and, or, six hundred euro (€600) for

each day of non-compliance, from the date of a notice

given by the Authority to the operator.

(2) An operator of an installation who fails to monitor annual

emissions during a year in accordance with regulation 15 or fails to

submit a verified annual emissions report in respect of a year in

accordance with regulation 16, shall be liable to the imposition

(a) for an operator of an installation for which emissions

for that year are equal to or less than fifty thousand

(50,000) tonnes carbon dioxide equivalents, of an

administrative fine of five thousand euro (€5,000) and,

or, one hundred euro (€100) for each day of non-

compliance, from the date of a notice given by the

Authority to the operator;

(b) for an operator of an installation for which emissions

for that year are more than fifty thousand (50,000)

tonnes of carbon dioxide equivalents and equal to or

less than five hundred thousand (500,000) tonnes

carbon dioxide equivalents, of an administrative fine

of ten thousand euro (€10,000) and, or, three hundred

euro (€300) for each day of non-compliance, from the

date of a notice given by the Authority to the operator;

(c) for an operator of an installation for which emissions

for that year are more than five hundred thousand

(500,000) tonnes carbon dioxide equivalents, of an

administrative fine of fifty thousand euro (€50,000)

and, or, six hundred euro (€600) for each day of non-

compliance, from the date of a notice given by the

Authority to the operator.

(3) For the purposes of determining the administrative fine

under this regulation, where the emissions of the installation are

not known or where the Authority is satisfied that there is no

reasonable possibility that a verified quantity of emissions will be

reported by the operator of the installation, the Authority may itself

determine the emissions from the activities performed in that

installation. The Authority shall use best available data and ensure

that a conservative estimate is made that does not underestimate

emissions. The operator of the installation shall be liable to the

imposition of an administrative fine equal to the amounts

established in sub-regulations (1) and (2) in respect of the quantity

of emissions estimated by the Authority in terms of this sub-

regulation.

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(1) For the period ending 31st December, 2020, an operator

of an installation shall, by 30th September of each year, surrender a

number of allowances, other than Chapter II allowances, that is equal

to the total emissions from that installation during the preceding

calendar year as verified in accordance with regulation 16, or as

determined by the Authority in accordance with regulation 17. An

operator of an installation shall not surrender Chapter II allowances for

the period ending 31st December, 2020.

(1a) For the period starting 1st January, 2021, and subsequent

periods, an operator of an installation shall, by 30th April each

year, surrender a number of allowances that is equal to the total

emissions from that installation during the preceding calendar year

as verified in accordance with regulation 16, or as determined by

the Authority in accordance with regulation 17. For the period

starting 1st January, 2021, and subsequent periods, an operator of

an installation shall not be prohibited from surrendering Chapter II

allowances.

(1b) Allowances issued by a competent authority of another

Member State shall be recognized by the Authority for the purpose

of meeting the obligations of an operator of an installation under

sub-regulations (1) and (1a).

(1c) Where necessary, and for as long as is necessary, in accordance

with relevant decisions and regulations adopted by the Commission

pursuant to Directive 2003/87/EC, an operator of an installation shall

not surrender allowances that are issued by a Member State in respect

of which there are obligations arising from Directive 2003/87/EC

which are lapsing.

(2) The national registry administrator shall cancel allowances

surrendered in accordance with sub-regulation (1).

(3) The national registry administrator shall cancel allowances

at any time at the request of an operator of an installation holding

those allowances.

(4) An obligation to surrender allowances shall not arise in

respect of emissions verified as captured and transported for

permanent storage to a facility for which a permit is in force in

accordance with Directive 2009/31/EC.

(4a) An obligation to surrender allowances shall not arise in

respect of emissions of greenhouse gases which are considered to have

been captured and utilised in such a way that they have become

permanently chemically bound in a product so that they do not enter

the atmosphere under normal use, including any normal activity taking

place after the end of the life of the product , as determined in

accordance with the relevant decisions and regulations adopted

pursuant to Directive 2003/87/EC.

(5) Surrender and cancellation of allowances shall be carried

out in accordance with the relevant decisions and regulations

adopted by the Commission pursuant to Directive 2003/87/EC.

(6)

The Authority shall publish the name of any operator who is in

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breach of the requirement to surrender sufficient allowances under

sub-regulations (1) or (1a).

(7) An operator who does not surrender sufficient allowances as

required under sub-regulations (1) or (1a) to cover its emissions during

the preceding year, or who has not yet surrendered allowances to cover

its emissions during any previous year, shall be liable to the imposition

of an administrative fine of one hundred euro (€100) for each tonne of

carbon dioxide equivalent emitted for which the operator has not

surrendered allowances.

(8) From the 1st January, 2013, where, for the year in which an

operator of an installation does not surrender sufficient allowances

to cover emissions during that year in accordance with sub-

regulation (1), the annual average Harmonized European Index of

Consumer P rices published shows a percentage increase as

compared to the latest Harmonized European Index of Consumer

Prices published for the previous year, the administrative fine shall

be increased by the same percentage. The administrative fine as

revised pursuant to this sub-regulation shall apply to subsequent

years unless further increased in accordance with the Harmonized

European Index of Consumer Prices. For the purposes of this sub-

regulation, each allowance not surrendered by the operator for a

tonne of carbon dioxide equivalent emitted shall be considered as a

separate contravention.

(9) The imposition of an administrative fine as prescribed in

sub-regulation (7) shall not release the operator from the obligation

to surrender an amount of allowances equal to those excess

emissions in respect of which the administrative fine is paid when

surrendering allowances in relation to the following calendar year.

(10) Where an operator of an installation fails to surrender

allowances in accordance with sub-regulations (1) or (1a), the

national registry administrator shall not allow the transfer of

allowances or any other accounting units out of the operator

holding account opened in respect of that installation until the

operator complies with the requirement to surrender allowances

Provided that the national registry administrator shall not

prevent the surrender of allowances in accordance with sub-

regulations (1) and (1a) or the cancellation of allowances in

accordance with sub-regulation (4), or the issuance of allowances in

exchange for CERs or ERUs in accordance with regulation 20.

(1) To the extent that the levels of CER and ERU use,

allowed to an operator of an installation for the period from 2008 to

2012, have not been used up, or where an entitlement to use credits

is granted under sub-regulation (5), the operator may request to be

issued allowances valid from 2013 onwards in exchange for CERs

and ERUs issued in respect of emission reductions up until 2012

2020. from project types which were eligible for use in the Union scheme

during the period from 2008 to 2012. Until the 31st March, 2015,

the Authority shall make such an exchange on request.

(2) To the extent that the levels of CER and ERU use, allowed

to an operator of an installation for the period 2008 to 2012, have

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not been used up, or where an entitlement to use credits is granted

under sub-regulation (5), the operator may exchange CERs and

ERUs issued in respect of emission reductions from 2013 onwards

from project types that were registered before 2013 and which were

eligible for use in the Union scheme during the period from 2008 to

2012, for allowances valid from 2013 onwards.

(3) To the extent that the levels of CER and ERU use, allowed

to an operator of an installation for the period from 2008 to 2012,

have not been used up, or where an entitlement to use credits is

granted under sub-regulation (5), the operator may exchange CERs

issued in respect of emission reductions from 2013 onwards from

project types started from 2013 onwards in least developed

countries and which were eligible for use in the Union scheme

during the period from 2008 to 2012, for allowances valid from

2013 onwards. This sub-regulation shall apply until such countries

have ratified a relevant agreement with the Union or until 2020,

whichever is the earlier.

(4) To the extent that the levels of CER and ERU use, allowed

to an operator of an installation for the period from 2008 to 2012,

have not been used up, or where an entitlement to use credits is

granted under sub-regulation (5), the operator may use credits from

projects or other emission reducing activities in accordance with

any agreements that may be concluded by the Union with third

countries, up to levels of use as specified in such agreements, to

comply with obligations under these regulations.

(5) For the period from 2013 to 2020 an operator of an

installation shall be entitled to use an additional quantity of CERs

and ERUs up to an amount corresponding to a percentage of its

verified emissions during the period from the 1st January, 2013 to

the 31st December, 2020, as may be established by the Commission

pursuant to Directive 2003/87/EC.

(6) For the purposes of this regulation, operators shall not use

CERs or ERUs for which restrictions on use apply in accordance

with relevant decisions and regulations adopted by the Commission

pursuant to Directive 2003/87/EC.

No CERs or ERUs shall be issued for reductions or

limitations of greenhouse gas emissions with respect to activities

that fall within the scope of these regulations.

Decisions related to the allocation of allowances to

operators of installations and reports of emissions submitted in

accordance with regulation 17 shall be made available to the public

in accordance with the Freedom of Access to Information on the

Environment Regulations

Provided that any access to personal data shall be made in

accordance with the Data Protection Act and that information

covered by professional secrecy may not be disclosed to any other

person or authority except by virtue of the applicable laws,

regulations, administrative provisions and, or, the provisions of the

Professional Secrecy Act

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Provided also that without prejudice to this regulation and

to the obligation which may be imposed on the Authority to

disclose any information, the Authority shall not disclose any

c o n f i d e n t i a l i n f o r m a t i o n o r an y p a r t s t h e r e o f o r a n y o t h e r

information which should be treated as commercially confidential

Provided further that any information which shall be treated

as commercially confidential shall be made known at all times to

the Authority.

The Authority may require that submissions of applications,

monitoring and reporting plans and reports under these regulations

are made in the form and manner and by means of the medium as

specified by it.

The revenue from the auctioning of allowances, after

deducting the audited costs to administer the EU ETS agreed between

the Minister responsible for finance and the Authority, shall accrue to

the Consolidated Fund.

The Administrative Review Tribunal shall have

jurisdiction to hear and determine appeals from decisions of the

Authority made under these regulations in terms of the Administrative

Justice Act, which appeal shall be filed by not later than twenty (20)

days from the service of the said Authority’s decision, wherein the

aggrieved person shall specify the reasons on the basis of which the

said decision of the Authority should be cancelled or modified

Provided that any party to the proceedings before the

Administrative Review Tribunal who feels aggrieved by a decision of

the said Tribunal, may appeal to the Court of Appeal on a point of law

in accordance with the Code of Organization and Civil Procedure.

(1) Where an operator of an installation has reported, for

that installation, verified emissions of less than twenty five

thousand (25,000) tonnes of carbon dioxide equivalent, and where

that installation carried out combustion activities, has a rated

thermal input below thirty five (35) MW, excluding emissions from

biomass, in each of the three years preceding a notification under

sub-regulation (8) of regulation 11, the Authority may, after

consultation with the operator of the installation and the Minister,

propose to exclude that installation from the EU ETS

Provided that the installation shall be subject to

equivalent measures that will achieve a contribution to emissions

reductions that is equivalent to these regulations

Provided further that arrangements for monitoring of

emissions are in place to assess whether the installation to which the

equivalent measures apply emits twenty-five thousand (25,000) tonnes

or more of carbon dioxide equivalent, excluding emissions from

biomass, in any one calendar year

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Provided further that the Authority may establish

simplified monitoring, reporting and verification measures for an

installation to which equivalent measures apply if the average annual

verified emissions of that installation between 2008 and 2010 are

below five thousand (5,000) tonnes a year.

(2)

The Authority shall notify the Commission of an

installation for which an exclusion in accordance with regulation (1) is

proposed, before the list of installations pursuant to sub-regulation (8)

of regulation 11 is to be submitted or, at the latest, when that list is

submitted to the Commission, specifying the equivalent measures

applying to that installation. The exclusion is deemed approved if the

Authority does not receive an objection from the Commission in

accordance with Directive 2003/87/EC.

(3)

The installation shall be excluded following the

surrender of allowances in respect of the period during which that

installation is in the EU ETS. The Authority shall, where applicable,

no longer issue free allowances to that installation pursuant to

regulation 14.

(4)

Where an installation excluded in accordance with sub-

regulation (1) emits twenty-five thousand (25,000) tonnes or more of

carbon dioxide equivalent, excluding emissions from biomass, in any

one calendar year, or the equivalent measures applying to that

installation are no longer in place, the installation shall be reintroduced

into the EU ETS, starting from the first calendar year following the

year when the installation emits twenty-five thousand (25,000) tonnes

or more of carbon dioxide equivalent, excluding emissions from

biomass. An installation which has been reintroduced into the EU ETS

shall stay in the EU ETS for the rest of the period referred to in

regulation 11 during which it is reintroduced.

(5)

When an installation is reintroduced into the EU ETS

pursuant to sub-regulation (4), any allowances to be allocated for free

in accordance with regulation 11 shall be granted starting from the

year when the installation is reintroduced into the EU ETS. The

allowances to be allocated to that installation shall be deducted from

the quantity of allowances to be auctioned pursuant to regulation 12.

(6)

For installations which were not in the EU ETS during

the period from 2008 to 2012, the Authority may apply monitoring,

reporting and verification requirements for determining emissions in

the three years preceding the year of a notification pursuant to sub-

regulation (2).

(7)

The Authority shall ensure that the notification to the

Commission pursuant to sub-regulation (2), a confirmation that

arrangements for monitoring of emissions of an installation excluded

in accordance with sub-regulation (1) are in place, and a confirmation

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that if an installation excluded in accordance with sub-regulation (1)

emits twenty-five thousand (25,000) tonnes or more of carbon dioxide

equivalent, excluding emissions from biomass, in any one calendar

year, that installation will be reintroduced into the EU ETS, are made

available to the public.

(8)

The Authority may exclude a hospital from the EU ETS

Provided that the hospital is subject to equivalent

measures that will achieve a contribution to emissions reductions that

is equivalent to these regulations.

(1) Where an operator of an installation has reported, for

that installation, verified emissions of less than two thousand five

hundred (2,500) tonnes of carbon dioxide equivalent, disregarding

emissions from biomass, in each of the three years preceding a

notification under sub-regulation (8) of regulation 11, the Authority

may, after consultation with the operator of the installation and the

Minister, exclude that installation from the EU ETS

Provided that the Authority shall notify the Commission

of such an installation before the list of installations pursuant to sub-

regulation (8) of regulation 11 is to be submitted or, at the latest, when

that list is submitted to the Commission

Provided further that arrangements for monitoring of

emissions are in place to assess whether the installation emits two

thousand five hundred (2,500) tonnes or more of carbon dioxide

equivalent, disregarding emissions from biomass, in any one calendar

year.

(2)

Where an installation excluded in accordance with sub-

regulation (1) emits two thousand five hundred (2,500) tonnes or more

of carbon dioxide equivalent, disregarding emissions from biomass, in

any one calendar year, the installation shall be reintroduced into the

EU ETS, starting from the first calendar year following the year when

the installation emits two thousand five hundred (2,500) tonnes or

more of carbon dioxide equivalent, disregarding emissions from

biomass.

(3)

When an installation is reintroduced into the EU ETS

pursuant to sub-regulation (2), any allowances to be allocated for free

in accordance with regulation 11 shall be granted starting from the

year when the installation is reintroduced into the EU ETS. The

allowances to be allocated to that installation shall be deducted from

the quantity of allowances to be auctioned pursuant to regulation 12.

(4)

The Authority shall ensure that the notification to the

Commission pursuant to sub-regulation (1), a confirmation that

arrangements for monitoring of emissions of an installation excluded

in accordance with sub-regulation (1) are in place, and a confirmation

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that if an installation excluded in accordance with sub-regulation (1)

emits two thousand five hundred (2,500) tonnes or more of carbon

dioxide equivalent, disregarding emissions from biomass, in any one

calendar year, that installation will be reintroduced into the EU ETS,

are made available to the public.

(1) Where an operator of an installation notified the

Authority of a reserve or backup unit which did not operate more

than 300 hours per year in each of the three years preceding a

notification under sub-regulation (8) of regulation 11, the Authority

may, after consultation with the operator of the installation and, the

Minister, exclude that unit from the EU ETS

Provided that the Authority shall notify the Commission

of such a unit before the list of installations pursuant to sub-regulation

(8) of regulation 11 is to be submitted or, at the latest, when that list is

submitted to the Commission

Provided further that arrangements for monitoring of

emissions are in place to assess whether the reserve or backup unit has

operated more than 300 hours in any one calendar year.

(2)

Where a reserve or backup unit excluded in accordance

with sub-regulation 1 operates more than 300 hours in any one

calendar year, the unit shall be reintroduced into the EU ETS, starting

from the first calendar year following the year when the unit has

operated more than 300 hours.

(3)

When a unit is reintroduced into the EU ETS pursuant to

sub-regulation (2), any allowances to be allocated for free in respect of

that unit in accordance with regulation 11 shall be granted starting

from the year when the unit is reintroduced into the EU ETS. The

allowances to be allocated to that unit shall be deducted from the

quantity of allowances to be auctioned pursuant to regulation 12.

(4) The Authority shall ensure that the notification to the

Commission pursuant to sub-regulation (1), a confirmation that

arrangements for monitoring of the hours of operation of a unit

excluded in accordance with sub-regulation (1) are in place, and a

confirmation that if a unit excluded in accordance with sub-regulation

(1) operates more than 300 hours in any one calendar year, that unit

will be reintroduced into the EU ETS, are made available to the public.

(1) When an installation that is included in the scope of

these regulations due to the operation of combustion units with a

total rated thermal input exceeding 20MW changes its production

processes to reduce its greenhouse gas emissions and no longer

meets that threshold, the operator may decide that such installation

shall remain within the scope of these regulations until the end of

the current five (5) year period referred to in regulation 11(7), and

the next five (5) year period referred to in regulation 11(7),

following the change to its production process. The operator of

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such installation shall inform the Authority of such decision.

(2) The Authority shall notify the Commission with the changes to

the lists of installations in accordance with regulation 11(7) in respect

of any decision made in accordance with sub-regulation (1).

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Schedule 1

Amended by

(regulations 1(2), 2, 3, 4(1), 4(2), 4(4), 5(1), 5(2), 5(3)(c), 5(3)(d),

L.N. 268 of 2019.

5(3)(e), 6(3)(e), 7(1)(c), 9(1), 15(1)(c), 16(1)(a), 16(1)(c), 16(3)(c))

Substituted by

L.N. 315 of 2024.

Categories of Activities to which these Regulations apply

1. Installations or parts of installations used for research, development and

testing of new products and processes are not covered by these regulations. Installations

where during the preceding relevant five (5) year period referred to in regulation 11(7),

emissions from the combustion of biomass that complies with the criteria established in

accordance with sustainability and greenhouse gas emission-saving criteria for the use of

biomass established by the Biofuels, Bioliquids and Biomass Fuels (Sustainability

Criteria) Regulations contribute on average to more than 95% of the total average

greenhouse gas emissions are not covered by these regulations.

2. The thresholds values given below generally refer to production capacities

or outputs. Where several activities falling under the same category are carried out in the

same installation, the capacities of such activities are added together.

3. When the total rated thermal input of an installation is calculated in order

to decide upon its inclusion in the EU ETS, the rated thermal inputs of all technical units

which are part of it, in which fuels are combusted within the installation, shall be added

together. Those units may include all types of boilers, burners, turbines, heaters,

furnaces, incinerators, calciners, kilns, ovens, dryers, engines, fuel cells, chemical

looping combustion units, flares, and thermal or catalytic post-combustion units. Units

with a rated thermal input under 3 MW shall not be taken into account for the purposes

of this calculation.

4. If a unit serves an activity for which the threshold is not expressed as total

rated thermal input, the threshold of this activity shall take precedence for the decision

about the inclusion in the EU ETS.

5. When the capacity threshold of any activity listed in this Schedule is found

to be exceeded in an installation, all units in which fuels are combusted, other than units

for the incineration of hazardous or municipal waste, shall be included in the greenhouse

gas emission permit.

Activities

Greenhouse gases

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Combustion of fuels in

Carbon dioxide

installations with a total rated

thermal input exceeding 20 MW

(except in installations for the

incineration of hazardous or

municipal waste)

From 1 January 2024,

combustion

of

fuels

in

installations for the incineration

of municipal waste with a total

rated thermal input exceeding

20 MW, for the purposes of

regulations 15, 16, 17 and 18.

Refining of oil, where

Carbon dioxide

combustion units with a total

rated thermal input exceeding

20 MW are operated

Production of coke

Carbon dioxide

Metal ore (including

Carbon dioxide

sulphide ore) roasting or

sintering installations, including

pelletisation

Production of iron or

Carbon dioxide

steel (primary or secondary

fusion) including continuous

casting, with a capacity

exceeding 2.5 tonnes per hour

Production or processing

Carbon dioxide

of ferrous metals (including

ferro-alloys) where combustion

units with a total rated thermal

input exceeding 20MW are

operated. Processing includes,

inter alia, rolling mills, re-

heaters, annealing furnaces,

smitheries, foundries, coating

and pickling

Production of primary

Carbon dioxide

aluminium or alumina

Production of secondary

Carbon dioxide

aluminium where combustion

units with a total rated thermal

input exceeding 20MW are

operated

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Production or processing

Carbon dioxide

of non-ferrous metals, including

production of alloys, refining,

foundry casting, etc., where

combustion units with a total

rated thermal input (including

fuels used as reducing agents)

exceeding 20MW are operated

Production of cement

Carbon dioxide

clinker in rotary kilns with a

production capacity exceeding

500 tonnes per day or in other

furnaces with a production

capacity exceeding 50 tonnes

per day

Production of lime or

Carbon dioxide

calcinations of dolomite or

magnesite in rotary kilns or in

other furnaces with a production

capacity exceeding 50 tonnes

per day

Manufacture of glass

Carbon dioxide

including glass fibre with a

melting capacity exceeding 20

tonnes per day

Manufacture of ceramic

Carbon dioxide

products by firing, in particular

roofing tiles, bricks, refractory

bricks, tiles, stoneware or

porcelain, with a production

capacity exceeding 75 tonnes

per day

Manufacture of mineral

Carbon dioxide

wool insulation material using

glass, rock or slag with a

melting capacity exceeding 20

tonnes per day

Drying or calcination of

Carbon dioxide

gypsum or production of plaster

boards and other gypsum

products, with a production

capacity of calcined gypsum or

dried

secondary

gypsum

exceeding a total of 20 tonnes

per day

Production of pulp from

Carbon dioxide

timber or other fibrous materials

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Production of paper or

Carbon dioxide

cardboard with a production

capacity exceeding 20 tonnes

per day

Production of carbon

Carbon dioxide

black

involving

the

carbonisation

of

organic

substances such as oils, tars,

cracker and distillation residues

with a production capacity

exceeding 50 tonnes per day

Production of nitric acid

Carbon dioxide and nitrous oxide

Production of adipic acid

Carbon dioxide and nitrous oxide

Production of glyoxal

Carbon dioxide and nitrous oxide

and glyoxylic acid

Production of ammonia

Carbon dioxide

Production

of

bulk

Carbon dioxide

organic chemicals by cracking,

reforming, partial or full

oxidation

or

by

similar

processes, with a production

capacity exceeding 100 tonnes

per day

Production of hydrogen

Carbon dioxide

(H 2 ) and synthesis gas by

reforming or partial oxidation

with a production capacity

exceeding 5 tonnes per day

Production of soda ash

Carbon dioxide

(Na 2 CO 3 )

and

sodium

bicarbonate (NaHCO 3 )

Capture of greenhouse

Carbon dioxide

gases from installations covered

by the Directive for the purpose

of transport and geological

storage in a storage site

permitted under Directive 2009/

31/EC

Transport of greenhouse

Carbon dioxide

gases for geological storage in a

storage site permitted under

Directive 2009/31/EC, with the

exclusion of those emissions

covered by another activity

under the Directive 2003/87/EC

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Geological storage of

Carbon dioxide

greenhouse gases in a storage

site permitted under Directive

2009/31/EC

Schedule 2

Regulation 2

Greenhouse gases

Carbon dioxide (CO 2 )

Methane (CH 4 )

Nitrous Oxide (N 2 O)

Hydrofluorocarbons (HFCs)

Perfluorocarbons (PFCs)

Sulphur Hexafluoride (SF 6 )

Schedule 3

Substituted by

(regulations 15(1)(a), 16(1)(a))

L.N. 315 of 2024.

Monitoring and reporting of emissions from stationary installations

Monitoring of carbon dioxide emissions

Emissions shall be monitored either by calculation or on the basis of

measurement.

Calculation

Calculations of emissions shall be performed using the formula

Activity data × Emission factor × Oxidation factor

Activity data (fuel used, production rate etc.) shall be monitored on the basis of

supply data or measurement.

Accepted emission factors shall be used. Activity-specific emission factors are

acceptable for all fuels. Default factors are acceptable for all fuels except non-

commercial ones (waste fuels such as tyres and industrial process gases). Seam-specific

defaults for coal, and EU-specific or producer country-specific defaults for natural gas

shall be further elaborated. IPCC default values are acceptable for refinery products. The

emission factor for biomass that complies with the sustainability criteria and greenhouse

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gas emission-saving criteria for the use of biomass established by Directive (EU) 2018/

2001, with any necessary adjustments for application under these regulations, as set out

in the implementing acts referred to in Article 14 of Directive 2003/87/EC, shall be zero.

If the emission factor does not take account of the fact that some of the carbon is

not oxidised, then an additional oxidation factor shall be used. If activity-specific

emission factors have been calculated and already take oxidation into account, then an

oxidation factor need not be applied.

Default oxidation factors developed pursuant to Directive 2010/75/EU* * shall be

used, unless the operator can demonstrate that activity-specific factors are more

accurate.

A separate calculation shall be made for each activity, installation and for each

Measurement

Measurement of emissions shall use standardised or accepted methods, and shall

be corroborated by a supporting calculation of emissions.

Monitoring of emissions of other greenhouse gases

Standardised or accepted methods, developed by the Commission in collaboration

with all relevant stakeholders and adopted pursuant to Article 14(1) of Directive 2003/

87/EC, shall be used.

Reporting of emissions

Each operator shall include the following information in the report for an

installation

A.

Data identifying the installation, including

— Name of the installation;

— Its address, including postcode and country;

— Type and number of Schedule 1 activities carried out in the installation;

— Address, telephone, fax and email details for a contact person; and

— Name of the owner of the installation, and of any parent company.

B.

For each Schedule 1 activity carried out on the site for which emissions are

calculated

— Activity data;

* *Directive 2010/75/EU of the European Parliament and of the Council of 24 November 2010 on industrial

emissions (integrated pollution prevention and control) (recast)

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— Emission factors;

— Oxidation factors;

— Total emissions; and

— Uncertainty.

C.

For each Schedule 1 activity carried out on the site for which emissions are

measured

— Total emissions;

— Information on the reliability of measurement methods; and

— Uncertainty.

D.

For emissions from combustion, the report shall also include the oxidation

factor, unless oxidation has already been taken into account in the

development of an activity-specific emission factor.

Schedule 4

Regulation 16(3)(a)

Criteria for Verification

General Principles

1. Emissions from each activity listed in Schedule 1 to these regulations shall

be subject to verification

2. The verification process shall include consideration of the report submitted

pursuant to regulation 16 and of monitoring during the preceding year. It shall

address the reliability, credibility and accuracy of monitoring systems and the

reported data and information relating to emissions, in particular

(a) the reported activity data and related measurements and calculations;

(b) the choice and the employment of emission factors;

(c) the calculations leading to the determination of the overall emissions;

and

(d) if measurement is used, the appropriateness of the choice and the

employment of measuring methods.

3. Reported emissions may only be validated if reliable and credible data and

information allow the emissions to be determined with a high degree of certainty. A

high degree of certainty would require the operator to show that

(a) the reported data is free of inconsistencies;

(b) the collection of data has been carried out in accordance with the

applicable scientific standards; and

(c) the relevant records of the installation are complete and consistent.

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4. The verifier shall be given access to all sites and information in relation to

the subject of the verification.

5. The verifier shall take into account whether the installation is registered

under the Community eco-management and audit scheme (EMAS).

Methodology

Strategic analysis

6. The verification shall be based on a strategic analysis of all the activities

carried out in the installation. This requires the verifier to have an overview of all

the activities and their significance for emissions.

Process analysis

7. The verification of the information submitted shall, where appropriate, be

carried out on the site of the installation. The verifier shall use spot-checks to

determine the reliability of the reported data and information.

Risk analysis

8. The verifier shall submit all the sources of emissions in the installation to an

evaluation with regard to the reliability of the data of each source contributing to the

overall emissions of the installation.

9. On the basis of this analysis the verifier shall explicitly identify those

sources with a high risk of error and other aspects of the monitoring and reporting

procedure which are likely to contribute to errors in the determination of the overall

emissions. This especially involves the choice of the emission factors and the

calculations necessary to determine the level of the emissions from individual

sources. Particular attention shall be given to those sources with a high risk of error

and the abovementioned aspects of the monitoring procedure.

10. The verifier shall take into consideration any effective risk control methods

applied by the operator with a view to minimizing the degree of uncertainty.

Report

11. The verifier shall prepare a report on the validation process stating whether

the report submitted pursuant to regulation 16 of these regulations is satisfactory.

This report shall specify all issues relevant to the work carried out. A statement that

the report submitted pursuant to regulation 16 of these regulations is satisfactory

may be made if, in the opinion of the verifier, the total emissions are not materially

misstated.

Minimum competency requirements for the verifier

12. The verifier shall be independent of the operator, carry out his activities in a

sound and objective professional manner, and understand

(a) the provisions of these regulations, as well as relevant standards and

guidance adopted by the Authority pursuant to these regulations;

(b) the legislative, regulatory, and administrative requirements relevant to

the activities being verified; and

(c) the generation of all information related to each source of emissions in

the installation, in particular, relating to the collection, measurement,

calculation and reporting of data.