law_mcel_master_working_paper_urgenda_case_and_applicability_of_the_charter_2019.pdf
(485.12 KB, PDF)
… cap decreases each year by a linear reduction factor of 1.74% of the average total quantity of allowances issued annually in 2008-2012,22 cf. Art 9(1) of the EU ETS.23 Within the cap, companies in the concerned industries under the EU ETS receive or buy emission allowances. They can trade these allowances with other companies included in the scheme, cf. Art 12(1) of the EU ETS. Each year, in April, the companies must surrender enough allowances to cover all their emissions of the preceding … greenhouse gas emission reduction commitments up to 2020, OJ L 140, 5.6.2009, p. 136–148. Under the ESD, the Member States themselves can decide which measures and national policies they adopt to reach their individual target. The European Commission checks the Member States’ compliance with the ESD targets, and assesses the Member States’ progress towards achieving their targets.28 The overall target for the sectors covered by the ESD is a reduction of greenhouse gas emissions of 10% compared to … Under certain conditions, the Member States may transfer the part of their annual emission allocation that exceeds their greenhouse gas emissions for that year to other Member States, cf. Art 3(5) of the ESD. This means that a Member State can buy allowances to cover up a potential shortage. So, as can be seen, under both the EU ETS and the ESD, there are possibilities that allow for a certain flexibility when industries and Member States, respectively, are to fulfil their obligations under …
