Paragraph 18 Article 15a insertedI1

After Article 15 insert—

“Article 15a

Assessment of applications for free allocation by operators of incumbent installations

1

This Article applies where:

(a)

a deemed application for free allocation in the 2021-2025 allocation period has been made by the operator of an incumbent installation; or

(b)

an application under Article 4 for free allocation in the 2026-2030 allocation period has been made by the operator of an incumbent installation.

2

The regulator must send the information set out in paragraph 3 to the UK ETS authority:

(a)

where paragraph 1(a) applies, as soon as reasonably practicable after IP completion day;

(b)

where paragraph 1(b) applies, on or before 30 September 2024.

3

The information is:

(a)

details of the installation, including details of any permit in force;

(b)

the information contained in the baseline data report submitted with the application;

(c)

the historical activity levels (if any) of the installation and each sub-installation determined under Article 15 or, if the regulator has not determined historical activity levels by virtue of Article 15(2), the regulator's explanation.

4

The UK ETS authority must as soon as reasonably practicable:

(a)

assess the application for free allocation and, where relevant, the regulator's explanation under paragraph 3(c); and

(b)

inform the regulator whether or not the application is valid, making any corrections to the historical activity levels that the UK ETS authority considers appropriate.

5

Where the application is not valid, the regulator must give notice to the operator of the installation of that fact and the reasons for it.

6

For the purposes of this Article, an application for free allocation is valid if:

(a)

the application is one that may be made under this Regulation (see Article 2a); and

(b)

the application is otherwise in accordance with this Regulation.”.