Transaction types

An Authorised Representative (AR) can transfer units from his account via the registry interface. In order to do so, he needs to go to the details of his account via "Accounts" > "View Details", to choose the "Holdings" tab and to click on the "Propose a transaction" button.

Several types of transactions exist:

  • Transfer of allowances
    Transfer of AAU, RMU, ERU, CER, lCER and tCER

    In order to make a transfer of units from a user account, the destination account needs to be added to the trusted list of accounts (TAL) first. Only trading accounts with an AAR on their account can make transfers to any account without adding them to the TAL.

    If an Additional Authorised Representative (AAR) had been designated on the account, the AAR needs to approve the transaction once it has been initiated by a regular AR. The approval of a transaction is done by approving the corresponding task in the registry.

    See Approve or reject a task (Task management).

    Detailed information on all transaction rules can be found on this page.

  • Surrender of allowances

    Before the end of April, every operator and aircraft operator needs to compensate the (verified) emissions from the previous year. This compensation is done by surrendering an amount of general allowances (aircraft operators may also surrender aviation allowances) at least equal to the verified emissions. Any surrendered surplus will be taken into account for the next years compliance obligations (until the end of the period 2013-2020).

    When initiating a surrendering transaction, the registry will clearly display the cumulated verified emissions and the cumulated surrendered units, as well as a compliance figure. This compliance figure indicates whether sufficient allowances have yet been surrendered or not.

    A negative compliance figure indicates that this amount of allowances still needs to be surrendered.
  • Deletion of allowances
    Voluntary cancellation of AAU, RMU, CER, lCER and tCER

    Users can voluntarily remove units from the ETS by deleting allowances or by cancelling Kyoto units via the registry interface. This action removes the units effectively from the system and ensures the units can no longer be used (for ex. for compliance obligations), nor be transfered any further.

    By deleting or voluntarily cancelling a unit, one effectively reduces emissions with one ton CO2 equivalent.
  • Exchange CER, ERU units for Phase 3 allowances

    In the current period (2013-2020), CERs and ERUs can no longer be surrendered directly. The credits have to be exchanged first for general allowances (EUAs, in case of an OHA) or aviation allowances (aEUAs, incase of an AOHA). This action needs to be performed by yourself via a transaction in the registry. The resulting EUAs/aEUAs (after exchange) are indistinguishable from other EUAs/aEUAs and can directly be used for surrendering.

    A limit is set per installation and aircraft operator on the number of credits that may be exchanged (this is their credit entitlement). See below for more information on the calculation of the credit entitlements.

    Part of the limit may have been surrendered for the period 2008-2012, or may have been exchanged already. Only the remaining part, the remaining entitlement, can still be surrendered.

    An exchange transaction always needs to be confirmed by a second person!
    The limit, the already surrendered units and the remaining entitlement of each installation or aircraft operations are displayed in the registry on the account "Holdings" tab; accessible via "Accounts" > "View details".
    Only eligible international credits (CERs and ERUs) can be exchanged for allowances.

A transfer is just one type of a transaction!

Limits in exchanging international credits (CERs and ERUs)

In the current commitment period (2013-2020) of the EU ETS, the competent authorities determine the initial quantitative limits for each installation based upon harmonised rules:

  • If the installation had free allocations or a permission to use international credits during the previous period (2008-2012), the limit is set to 11% of the free allocations during that period (2008-2012).
  • If the installation did not have free allocations nor a permission to use international credits during the previous period (2008-2012), or if the installation only became subject to the ETS after 2012, the limit is set to 4.5% of the verified emissions in the current period (2013-2020). This limit is recalculated automatically upon the upload of verified emissions.
  • The limit may be calculated by a combination of both methods above in case of a significant capacity increase, or in case of a new entrant due to the extension of the scope of the Directive, or in case of certain merged or split installations,...
  • For aircraft operators the limit is set to 1.5% of their verified emissions in the current period (2013-2020) in addition to the allowed limit for the year 2012.

All limits have been calculated and gathered in the National Credit Entitlement Table. The initial credit entitlement table has been submitted by the National Climate Commission for approval to the European Commission and has been approved in 2014. Subsequent updates (ex. for new entrants) have been done to the table since than and automatic recalculation is done by the registry upon any upload of verified emissions.

The actual status of the Belgian credit entitlement table can be found at the EUTL: http://ec.europa.eu/environment/ets/ice.do?languageCode=en®istryCode=BE&accountFullTypeCode=-1&iceInstallationId=&search=Search¤tSortSettings=.

As the initial credit entitlement is calculated by the Competent Authorities based upon the harmonised rules, questions related to this initial credit entitlement should preferrably directly be addressed to the Competent Authorities.