Article 20 Cap for scheme yearsI1

United Kingdom

F1(1)

The number of allowances created in a scheme year may not exceed F2...—

(a)

the base for the scheme year multiplied by—

(i)

if the scheme year is in the 2021-2025 allocation period, the 2021-2025 hospital and small emitter reduction factor;

(ii)

if the scheme year is in the 2026-2030 F3... period, the 2026-2030 hospital and small emitter reduction factor; F4...

F5(b)

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

F6(2)

But the restriction in paragraph (1) does not apply to the creation of allowances—

(a)

for the flexible reserve (see article 23A);

(b)

for the new entrants’ reserve (see article 34G);

(c)

for allocation under the Greenhouse Gas Emissions Trading Scheme Auctioning Regulations 2021 or any other regulations made under section 96 of the Finance Act 2020.

(3)

F7Nothing in this article overrides article 19.

Annotations

Textual amendments

F1: Art. 20(1) substituted (31.12.2020) by The Greenhouse Gas Emissions Trading Scheme (Amendment) Order 2020 (S.I. 2020/1557), arts. 2(1), 11(2)
F2: Words in art. 20(1) omitted (19.12.2024) by virtue of The Greenhouse Gas Emissions Trading Scheme (Amendment) (No. 2) Order 2024 (S.I. 2024/1366), arts. 2(1)(c), 7(2)(a)
F3: Word in art. 20(1)(a)(ii) omitted (31.3.2025) by virtue of The Greenhouse Gas Emissions Trading Scheme (Amendment) (No. 2) Order 2025 (S.I. 2025/124), arts. 2, 16(2)
F4: Word in art. 20(1)(a)(ii) omitted (19.12.2024) by virtue of The Greenhouse Gas Emissions Trading Scheme (Amendment) (No. 2) Order 2024 (S.I. 2024/1366), arts. 2(1)(c), 7(2)(b)
F5: Art. 20(1)(b) omitted (19.12.2024) by virtue of The Greenhouse Gas Emissions Trading Scheme (Amendment) (No. 2) Order 2024 (S.I. 2024/1366), arts. 2(1)(c), 7(2)(c)
F6: Art. 20(2) substituted (19.12.2024) by The Greenhouse Gas Emissions Trading Scheme (Amendment) (No. 2) Order 2024 (S.I. 2024/1366), arts. 2(1)(c), 7(3)
F7: Words in art. 20(3) substituted (19.12.2024) by The Greenhouse Gas Emissions Trading Scheme (Amendment) (No. 2) Order 2024 (S.I. 2024/1366), arts. 2(1)(c), 7(4)

Commencement

I1: Art. 20 in force at 12.11.2020, see art. 2(1)