{
  "url": "https://openlegislation.uk/greenhouse-gas-emissions-trading-scheme-order-2020/article-44A",
  "json_url": "https://openlegislation.uk/greenhouse-gas-emissions-trading-scheme-order-2020/article-44A.json",
  "legislation": "uksi/2020/1265",
  "legislation_title": "The Greenhouse Gas Emissions Trading Scheme Order 2020",
  "legislation_url": "https://openlegislation.uk/greenhouse-gas-emissions-trading-scheme-order-2020",
  "path": "article/44A",
  "kind": "article",
  "number": "44A",
  "heading": "Deficit notices",
  "text": "(1) This article applies where—\n(a) the operator of an installation fails to surrender allowances equal to the installation’s reportable emissions in a scheme year (the “relevant scheme year”), contrary to—\n(i) article 27;\n(ii) the requirements of a surrender notice under paragraph 11 of Schedule 6 (see paragraph 11(4)(b)(iii));\n(iii) the requirements of a revocation notice under paragraph 12 of that Schedule (see paragraph 12(5)(b)(iii));\n(b) a person who is an aircraft operator in relation to a scheme year (the “relevant scheme year”) fails to surrender allowances equal to the person’s aviation emissions in that year, contrary to article 34;\n(c) a person who is a maritime operator in relation to a scheme year (the “relevant scheme year”) fails to surrender allowances in accordance with paragraph 15 of Schedule 2A.\n(2) The regulator may give a notice (a “deficit notice”) to the operator of the installation or to the person.\n(3) The deficit notice must set out—\n(a) the relevant scheme year and—\n(i) the installation’s reportable emissions;\n(ii) the person’s aviation emissions; or\n(iii) the person’s maritime emissions less any surrender deduction,\nin that year;\n(b) the number of allowances (if any) surrendered in compliance with article 27, the requirements of a surrender or revocation notice, article 34 or paragraph 15 of Schedule 2A (including any surrendered after the date by which allowances were required to be surrendered);\n(c) the number of allowances representing the difference (the “deficit”) between allowances equal to—\n(i) the installation’s reportable emissions;\n(ii) the person’s aviation emissions; or\n(iii) the person’s maritime emissions less any surrender deduction,\nin the relevant scheme year and the number referred to in sub-paragraph (b);\n(d) the date (the “deficit surrender date”) on or before which the person to whom the notice is given must surrender allowances equal to the deficit;\n(e) information about rights of appeal.\n(4) The person to whom a deficit notice is given must surrender allowances equal to the deficit on or before the deficit surrender date.\n(5) The regulator may withdraw a deficit notice at any time by giving notice of the withdrawal to the person to whom the deficit notice is given.\n(6) A deficit notice may be given in respect of a failure to surrender allowances that arises before as well as after this article comes into force.\n(7) In the case of a transfer of a permit under paragraph 9 of Schedule 6 (other than a partial transfer)—\n(a) after the transfer date, a deficit notice may be given to the new operator only, including in respect of a failure to surrender allowances arising before the transfer date;\n(b) where a deficit notice in respect of a failure to surrender allowances is given to the transferring operator before the transfer date and has not been complied with, a new deficit notice may be given to the new operator in respect of the same failure provided that the original notice is first withdrawn.\n(8) A deficit notice may not be given—\n(a) to the operator of an installation, if the operator holding account for the installation has been closed under paragraph 27 of Schedule 5A;\n(b) to a person who is an aircraft operator in relation to a scheme year, if the person’s aircraft operator holding account has been closed under paragraph 28 of that Schedule;\n(ba) to a person who is a maritime operator in relation to a scheme year, if the person’s maritime operator holding account has been closed under paragraph 28A of that Schedule;\n(c) in respect of allowances which a transferring operator failed to surrender in a scheme year as a result of an error of the kind referred to in paragraph 10(1) of Schedule 6 (transfer of permits: underreporting discovered after transfer).\n(9) In this article—\n“new operator” and “transferring operator” have the meanings given in paragraph 7(1) of Schedule 6;\n“transfer date” has the meaning given in paragraph 9(6) of that Schedule.",
  "extent": null,
  "status": null,
  "version": "current",
  "annotations": [
    {
      "type": "F",
      "label": "F1",
      "text": "Art. 44A inserted (1.1.2025) by The Greenhouse Gas Emissions Trading Scheme (Amendment) (No. 2) Order 2024 (S.I. 2024/1366), arts. 2(2)(b), 15"
    },
    {
      "type": "F",
      "label": "F2",
      "text": "Art. 44A(1)(c) inserted (1.7.2026) by The Greenhouse Gas Emissions Trading Scheme (Amendment) (Extension to Maritime Activities) Order 2026 (S.I. 2026/392), art. 1(1), Sch. 2 para. 11(2)"
    },
    {
      "type": "F",
      "label": "F3",
      "text": "Art. 44A(3)(a)-(c) substituted (1.7.2026) by The Greenhouse Gas Emissions Trading Scheme (Amendment) (Extension to Maritime Activities) Order 2026 (S.I. 2026/392), art. 1(1), Sch. 2 para. 11(3)"
    },
    {
      "type": "F",
      "label": "F4",
      "text": "Art. 44A(8)(ba) inserted (1.7.2026) by The Greenhouse Gas Emissions Trading Scheme (Amendment) (Extension to Maritime Activities) Order 2026 (S.I. 2026/392), art. 1(1), Sch. 2 para. 11(4)"
    }
  ],
  "outstanding_effects": [],
  "provenance": {
    "source": "legislation.gov.uk",
    "source_url": "https://www.legislation.gov.uk/uksi/2020/1265/article/44A",
    "retrieved_at": "2026-10-28T22:23:06.111058+00:00"
  },
  "licence": "Open Government Licence v3.0",
  "licence_url": "https://www.nationalarchives.gov.uk/doc/open-government-licence/version/3/",
  "attribution": "Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives."
}