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The Vehicle Emissions Trading Schemes Order 2023

Draft. This instrument was laid in draft and may differ from the one made. Look for the made version under its title.

Draft 2023, ISBN 9780348252453

Original text. legislation.gov.uk does not revise statutory instruments, so later amendments are not shown here. Changes made to it are listed under each provision when known.

Draft Order in Council laid before Parliament, the Scottish Parliament and Senedd Cymru, under paragraph 11 of Schedule 3 to the Climate Change Act 2008, for approval by resolution of each House of Parliament, the Scottish Parliament and Senedd Cymru.

CLIMATE CHANGE

ROAD TRAFFIC

Made

Coming into force in accordance with article 1

At the Court at Buckingham Palace, the *** day of ***

Present,

The King’s Most Excellent Majesty in Council

This Order is made in exercise of the powers conferred by sections 44, 46(3), 54 and 90(3) of, and Parts 1 and 3 of Schedule 2 and paragraph 9 of Schedule 3 to, the Climate Change Act 2008f1.

In accordance with paragraph 10 of Schedule 3 to that Act, before the recommendation to His Majesty in Council to make this Order was made—

  1. (a)

    the advice of the Committee on Climate Change, including on the amount of the limit referred to in section 48(2) of that Act, was obtained and taken into account; and

  2. (b)

    such persons likely to be affected by the Order as the Secretary of State, the Scottish Ministers and the Welsh Ministers considered appropriate were consulted.

In accordance with paragraph 11 of that Schedule, a draft of the instrument containing this Order was laid before Parliament, the Scottish Parliament and Senedd Cymru and approved by a resolution of each House of Parliament, the Scottish Parliament and Senedd Cymru.

Accordingly, His Majesty, by and with the advice of His Privy Council, makes the following Order:

Annotations to the whole text

Footnotes

f1

2008 c. 27.

Contents

  1. Part 1: Introductory provisions
  2. 1Citation and commencement
  3. 2Extent
  4. 3Interpretation
  5. Part 2: Establishment and general provision in relation to the Trading Schemes
  6. 4Establishment of the Trading Schemes
  7. 5Period by reference to which the Trading Schemes operate
  8. 6Administration of the Trading Schemes
  9. 7Allowances and credits: general
  10. 8Pool participants in the Trading Schemes: general
  11. Part 3: The Trading Schemes
  12. Chapter 1: The Non-Zero-Emission Car Registration Trading Scheme (CRTS)
  13. 9Interpretation of Chapter 1
  14. 10Activity to which the CRTS applies and unit of measurement of activity
  15. 11Participants in the CRTS
  16. 12CRTS allowances and limits on CRTS allowances and CRTS activity
  17. 13Allocation of CRTS allowances
  18. 14Banking CRTS allowances
  19. 15Borrowing CRTS allowances
  20. 16Banked allowances: pool CRTS participants
  21. 17Borrowed allowances: pool CRTS participants
  22. 18CRTS credits: general
  23. 19CRTS credits: registration of ZE SPVs (CRTS participants)
  24. 20CRTS credits: car clubs (CRTS participants)
  25. 21CRTS credits: registration of ZE SPVs (SPV car manufacturers)
  26. 22CRTS credits: car clubs (SPV car manufacturers)
  27. 23CRTS credits: conversion of unused CCTS allowances
  28. 24Measuring activity in the CRTS
  29. 25Trading CRTS allowances and credits: CRTS participants
  30. 26Trading CRTS credits: SPV car manufacturers
  31. 27Accounting for activity in the CRTS
  32. 28Payments: CRTS
  33. 29Banked or borrowed CRTS allowances of former CRTS participants
  34. 30Expiry of CRTS allowances and CRTS credits
  35. Chapter 2: The Non-Zero-Emission Car CO2 Trading Scheme (CCTS)
  36. 31Activity to which the CCTS applies and unit of measurement of activity
  37. 32Participants in the CCTS
  38. 33CCTS allowances
  39. 34Allocation of CCTS allowances
  40. 35Conversion of unused CRTS allowances into CCTS allowances
  41. 36Measuring activity in the CCTS
  42. 37Trading CCTS allowances
  43. 38Accounting for activity in the CCTS
  44. 39Payments: CCTS
  45. 40Expiry of CCTS allowances
  46. Chapter 3: The Non-Zero-Emission Van Registration Trading Scheme (VRTS)
  47. 41Interpretation of Chapter 3
  48. 42Activity to which the VRTS applies and unit of measurement of activity
  49. 43Participants in the VRTS
  50. 44VRTS allowances and limits on VRTS allowances and VRTS activity
  51. 45Allocation of VRTS allowances
  52. 46Banking VRTS allowances
  53. 47Borrowing VRTS allowances
  54. 48Banked allowances: pool VRTS participants
  55. 49Borrowed allowances: pool VRTS participants
  56. 50VRTS credits: general
  57. 51VRTS credits: registration of ZE SPVs (VRTS participants)
  58. 52VRTS credits: car clubs (VRTS participants)
  59. 53VRTS credits: registration of ZE SPVs (SPV van manufacturers)
  60. 54VRTS credits: car clubs (SPV van manufacturers)
  61. 55VRTS credits: conversion of unused VCTS allowances
  62. 56Measuring activity in the VRTS
  63. 57Trading VRTS allowances and credits: VRTS participants
  64. 58Trading VRTS credits: SPV van manufacturers
  65. 59Accounting for activity in the VRTS
  66. 60Payments: VRTS
  67. 61Banked or borrowed VRTS allowances of former VRTS participants
  68. 62Expiry of VRTS allowances and VRTS credits
  69. Chapter 4: The Non-Zero-Emission Van CO2 Trading Scheme (VCTS)
  70. 63Activity to which the VCTS applies and unit of measurement of activity
  71. 64Participants in the VCTS
  72. 65VCTS allowances
  73. 66Allocation of VCTS allowances
  74. 67Conversion of unused VRTS allowances into VCTS allowances
  75. 68Measuring activity in the VCTS
  76. 69Trading VCTS allowances
  77. 70Accounting for activity in the VCTS
  78. 71Payments: VCTS
  79. 72Expiry of VCTS allowances
  80. Part 4: Information
  81. 73Information: participants in the Trading Schemes
  82. 74Information: SPV manufacturers
  83. 75Maintenance and audit of records by participants in the Trading Schemes
  84. 76Maintenance and audit of records by SPV manufacturers
  85. 77Preparation of provisional information
  86. 78Error notification
  87. 79Preparation and notification of final information
  88. 80Publication of final information
  89. 81Power of administrator to require information from participants and SPV manufacturers
  90. 82Updating information provided with an application under Part 3 of Schedule 4 (low-volume participants)
  91. 83Updating information provided with an application under Schedule 5 (pool participants)
  92. 84Manner of provision of information to administrator
  93. Part 5: Monitoring compliance and enforcement
  94. 85Powers of administrator in respect of monitoring compliance
  95. 86Power to require production of documents or provision of information
  96. 87Power to question officers of a company
  97. 88Powers of entry, etc
  98. 89Seizure of documents or records
  99. 90Warrant
  100. 91Legal professional privilege
  101. 92Enforcement notices
  102. Part 6: Civil penalties
  103. 93Civil penalties: general
  104. 94Financial penalties: general
  105. 95Non-financial penalties: general
  106. 96Waiver and modification of civil penalties
  107. 97Failure to make a payment to account for activity in the Trading Schemes
  108. 98Failure to provide information under article 73
  109. 99Failure to maintain records
  110. 100Failure to provide information under article 81 (information required for the purposes of administering the Trading Schemes)
  111. 101Failure to provide information under article 86 (information required where suspected failure to comply with this Order)
  112. 102Failure to make officer available for questioning
  113. 103Refusal to allow access to premises
  114. 104Failure to comply with enforcement notice
  115. 105Provision of false or misleading information: participants in the Trading Schemes
  116. 106Provision of false or misleading information: SPV manufacturers
  117. Part 7: Appeals
  118. 107Decisions to which this Part applies
  119. 108Appeal against decisions of the administrator
  120. Part 8: Revocation, amendment and saving of EU Regulations relating to CO2 emission limits
  121. 109Interpretation of Part 8
  122. 110Partial revocation and amendment of Regulation (EU) 2019/631
  123. 111Amendment of Regulation (EU) 725/2011 (eco-innovation for passenger cars)
  124. 112Amendment of Regulation (EU) 427/2014 (eco-innovations for light commercial vehicles)
  125. 113Partial revocation and amendment of Regulation (EU) 1014/2010 and Regulation (EU) 293/2012 (monitoring and reporting of data on vehicle registration)
  126. 114Partial revocation and amendment of Regulation (EU) 63/2011 and Regulation (EU) 114/2013 (derogations)
  127. 115Revocation of Regulation (EU) 2017/1152 and Regulation (EU) 2017/1153
  128. 116Savings for monitoring and compliance in relation to Great Britain
  129. Part 9: Miscellaneous
  130. 117Crown application
  131. 118Review
  132. Signature
  133. Schedule 1: Baseline for the CCTS and VCTS
  134. Part 1: Baseline for the CCTS
  135. 1Interpretation and general
  136. 2Interpretation and general
  137. 3Interpretation and general
  138. 4Interpretation and general
  139. 5Existing manufacturer which met 2021 target
  140. 6Existing manufacturer which met 2021 target
  141. 7Exempt manufacturer for 2021
  142. 8Existing manufacturer which did not meet 2021 target
  143. 9Existing manufacturer which did not meet 2021 target
  144. 10Existing manufacturer in non-compliant pool met individual 2021 target
  145. 11Existing manufacturer in non-compliant pool met individual 2021 target
  146. 12Existing manufacturer in non-compliant pool did not meet individual 2021 target
  147. 13Existing manufacturer in non-compliant pool did not meet individual 2021 target
  148. 14New manufacturer in 2022
  149. 15New manufacturer in 2022
  150. 16New manufacturer in 2023
  151. 17New manufacturer in 2023
  152. 18New manufacturer from 2024
  153. 19New manufacturer from 2024
  154. 20Pool CCTS participant
  155. Part 2: Baseline for the VCTS
  156. 21Interpretation and general
  157. 22Interpretation and general
  158. 23Interpretation and general
  159. 24Interpretation and general
  160. 25Existing manufacturer which met 2021 target
  161. 26Existing manufacturer which met 2021 target
  162. 27Exempt manufacturer for 2021
  163. 28Existing manufacturer which did not meet 2021 target
  164. 29Existing manufacturer which did not meet 2021 target
  165. 30Existing manufacturer in non-compliant pool met individual 2021 target
  166. 31Existing manufacturer in non-compliant pool met individual 2021 target
  167. 32Existing manufacturer in non-compliant pool did not meet individual 2021 target
  168. 33Existing manufacturer in non-compliant pool did not meet individual 2021 target
  169. 34New manufacturer in 2022
  170. 35New manufacturer in 2022
  171. 36New manufacturer in 2023
  172. 37New manufacturer in 2023
  173. 38New manufacturer from 2024
  174. 39New manufacturer from 2024
  175. 40Pool VCTS participant
  176. Schedule 2: Car club conditions
  177. 1Paragraph 1
  178. 2Paragraph 2
  179. 3Paragraph 3
  180. 4Paragraph 4
  181. 5Paragraph 5
  182. 6Paragraph 6
  183. Schedule 3: Determination of the specific emissions of CO2 of completed vans
  184. 1General
  185. 2General
  186. 3General
  187. 4General
  188. 5General
  189. 6Specific emissions of CO2 of a completed van which undergoes emissions testing at the final stage
  190. 7Specific emissions of CO2 of a completed van based on a complete base vehicle
  191. 8Specific emissions of CO2 of a completed van based on an incomplete base vehicle: general
  192. 9Specific emissions of CO2 of a completed van based on an incomplete base vehicle: general
  193. 10Monitoring emissions of CO2: modifications relating to fuel consumption and CO2 emissions
  194. 11Monitoring emissions of CO2: modifications relating to fuel consumption and CO2 emissions
  195. 12Monitoring emissions of CO2: modifications relating to fuel consumption and CO2 emissions
  196. 13Monitoring emissions of CO2: modifications relating to fuel consumption and CO2 emissions
  197. 14Monitoring emissions of CO2: modifications relating to fuel consumption and CO2 emissions
  198. 15Monitoring emissions of CO2: modifications relating to fuel consumption and CO2 emissions
  199. 16Monitoring emissions of CO2: modifications relating to aerodynamic drag
  200. 17Monitoring emissions of CO2: modifications relating to aerodynamic drag
  201. 18Monitoring emissions of CO2: modifications relating to aerodynamic drag
  202. 19Monitoring emissions of CO2: modifications relating to aerodynamic drag
  203. Schedule 4: Low-volume CRTS participants and low-volume VRTS participants
  204. Part 1: General
  205. 1Paragraph 1
  206. 2Paragraph 2
  207. Part 2: Participants with fewer than 1,000 car or van registrations during a scheme year
  208. 3Paragraph 3
  209. 4Paragraph 4
  210. Part 3: Participants with 1,000 to 2,499 car or van registrations during a scheme year
  211. 5Paragraph 5
  212. 6Paragraph 6
  213. 7Paragraph 7
  214. 8Paragraph 8
  215. 9Paragraph 9
  216. 10Paragraph 10
  217. 11Paragraph 11
  218. 12Paragraph 12
  219. 13Paragraph 13
  220. 14Paragraph 14
  221. 15Paragraph 15
  222. 16Paragraph 16
  223. 17Paragraph 17
  224. 18Paragraph 18
  225. Schedule 5: Application by two or more manufacturers to be a pool participant in the Trading Schemes
  226. 1Paragraph 1
  227. 2Paragraph 2
  228. 3Paragraph 3
  229. 4Paragraph 4
  230. 5Paragraph 5
  231. 6Paragraph 6
  232. 7Paragraph 7
  233. 8Paragraph 8
  234. 9Paragraph 9
  235. Schedule 6: Percentage of total car or van registrations for the purpose of calculating CRTS allowances and VRTS allowances
  236. 1Percentage of total car registrations for the purpose of calculating CRTS allowances
  237. 2Percentage of total van registrations for the purpose of calculating VRTS allowances
  238. Schedule 7: Information provisions
  239. Part 1: Information relating to cars and ZE SPVs of category M1
  240. 1Paragraph 1
  241. 2Paragraph 2
  242. 3Paragraph 3
  243. 4Paragraph 4
  244. 5Paragraph 5
  245. Part 2: Information relating to vans, ZE SPVs of category N1 and certain ZE SPVs of category N2
  246. 6Paragraph 6
  247. 7Paragraph 7
  248. 8Paragraph 8
  249. 9Paragraph 9
  250. 10Paragraph 10
  251. Part 3: Information relating to the base vehicle of completed vans
  252. 11Paragraph 11
  253. 12Paragraph 12
  254. 13Paragraph 13
  255. Explanatory note