Small emitters can opt out of EU ETS

Small emitters will now be allowed to opt out of the EU Emissions Trading Scheme from 2013, in a move which Government claims will cut down on red tape. The […]

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By Tom Gibson

Small emitters will now be allowed to opt out of the EU Emissions Trading Scheme from 2013, in a move which Government claims will cut down on red tape.

The number of small emitters, which includes hospital installations, accounts for roughly 1% of the UK’s EU ETS emissions

Greg Barker, Minister of State for Climate Change said: “Under the proposals smaller installations, which experience higher costs from complying with the current regulations, will be able to opt out of the system from 2013.  We have worked successfully with the European Commission to ensure EU regulation is proportionate.”

The EU ETS is the main mechanism by which the UK will meet its carbon emission reduction targets. However, critics have warned that taxing British industry over the emissions could put them at a disadvantage compared to competitors from abroad.

Nigel Jackson, Chief Executive of the Mineral Products Association said the move was welcome: “Industry is going through a tough time and anything the government can do to ease the regulatory burden can only be good for business, jobs and growth”.

DECC claim the opt out scheme could save industry up to £80 million from 2013-2020.