Article 5 Amendment of article 15 (borrowing CRTS allowances)

(1)

Article 15 is amended as follows.

(2)

In paragraph (1), for “the 2024 scheme year, the 2025 scheme year or the 2026 scheme year” substitute “any scheme year other than the 2030 scheme year”.

(3)

In paragraph (2)—

(a)

in sub-paragraph (b), for “14%” substitute “19.6%”;

(b)

omit the “and” at the end of sub-paragraph (b);

(c)

after sub-paragraph (c) insert—

“(d)

the number of CRTS allowances which the CRTS participant borrows to surrender for the 2027 scheme year does not exceed 7.6% of the total number of cars of which the participant is manufacturer and which are registered during the 2027 scheme year;

(e)

the number of CRTS allowances which the CRTS participant borrows to surrender for the 2028 scheme year does not exceed 7.8% of the total number of cars of which the participant is manufacturer and which are registered during the 2028 scheme year; and

(f)

the number of CRTS allowances which the CRTS participant borrows to surrender for the 2029 scheme year does not exceed 6.6% of the total number of cars of which the participant is manufacturer and which are registered during the 2029 scheme year.”.

(4)

In paragraph (6), for “, the 2026 scheme year or the 2027 scheme year” substitute “or for any subsequent scheme year”.

(5)

After paragraph (10), insert—

“(10A)

If the CRTS participant accounts for the borrowed allowances for a scheme year which begins three years after the end of the scheme year for which the borrowed allowances were surrendered, the CRTS participant must surrender—

(a)

a number of CRTS allowances or CRTS credits which is equal to the number of borrowed allowances; and

(b)

an additional number of CRTS allowances or CRTS credits which amounts to 14.75% of the number of borrowed allowances.

(10B)

If the CRTS participant accounts for the borrowed allowances for a scheme year which begins four years after the end of the scheme year for which the borrowed allowances were surrendered, the CRTS participant must surrender—

(a)

a number of CRTS allowances or CRTS credits which is equal to the number of borrowed allowances; and

(b)

an additional number of CRTS allowances or CRTS credits which amounts to 18.77% of the number of borrowed allowances.

(10C)

If the CRTS participant accounts for the borrowed allowances for a scheme year which begins five years after the end of the scheme year for which the borrowed allowances were surrendered, the CRTS participant must surrender—

(a)

a number of CRTS allowances or CRTS credits which is equal to the number of borrowed allowances; and

(b)

an additional number of CRTS allowances or CRTS credits which amounts to 22.93% of the number of borrowed allowances.”.

(6)

In paragraph (11), for “paragraph (8)(b), (9)(b) or (10)(b)” substitute “sub-paragraph (b) of any of paragraphs (8) to (10C)”.

(7)

In each of paragraphs (12) and (13), for “the 2027 scheme year” substitute “the 2030 scheme year”.

(8)

In paragraph (15), after “article 25”, insert “or 25A or exchanged under article 35 or 55A”.