Article 30 Article 5 amended (adjustments to free allocation due to activity level changes)

Article 5 is amended as follows.

After paragraph 2a insert—

“2b.

Where the UK ETS authority has approved the recalculation under Article 16b(6)(a) or 18a(4b) of the Free Allocation Regulation of the final number of allowances to be allocated for a scheme year in the 2027-2030 allocation period, and paragraph 1 or 2 requires free allocation to be increased or decreased, it is the recalculated final number of allowances that are increased or decreased by the exact percentage change in the average activity level compared to the historical activity level initially used to determine the free allocation.”.

In paragraph 3 after “the Free Allocation Regulation” insert “(but where the UK ETS authority has approved the recalculation under Article 16b(6)(a) or 18a(4b) of the Free Allocation Regulation of the final number of allowances to be allocated for a scheme year in the 2027-2030 allocation period, the free allocation of allowances shall be equal to the approved recalculated allocation ignoring any adjustment required by Article 16b(6)(a)(ii) or 18a(4b)(b))”.