{"id":8387,"date":"2020-12-17T13:25:22","date_gmt":"2020-12-17T12:25:22","guid":{"rendered":"https:\/\/www.haslinger-nagele.com\/?p=8387"},"modified":"2021-01-26T21:29:32","modified_gmt":"2021-01-26T20:29:32","slug":"amendment-to-the-emissions-certificate-act-ezg-amendment-2020","status":"publish","type":"post","link":"https:\/\/www.haslinger-nagele.com\/en\/amendment-to-the-emissions-certificate-act-ezg-amendment-2020\/","title":{"rendered":"Amendment to the Emissions Certificate Act (EZG Amendment 2020)"},"content":{"rendered":"\n

The European Emissions Trading System (\u201cEU ETS\u201d) is entering its fourth trading period in January 2021. Therefore, it is high time the Austrian legislature made the National Emissions Certificate Act (EZG) fit for this occasion and adapt it to the altered European regulations.<\/em><\/p>\n\n\n\n

The following article is intended to give an overview of the EZG amendment 2020, which was decided only yesterday in the Federal Assembly and is to be announced soon.<\/em><\/p>\n\n\n\n

Aims of the Emissions Trading System<\/h2>\n\n\n\n

The European Emissions Trading System serves to reduce CO2 emissions in the Union and thus to achieve the emissions and climate targets<\/strong> set by the EU. Companies which emit greenhouse gases have to submit certificates for these emissions. If a company has too few certificates or too high CO2 emissions, it has to buy additional certificates. If, on the other hand, it falls below the forecasted amount of emissions, certificates can be sold at a profit. This creates an incentive for energy-efficient production.<\/p>\n\n\n\n

Recent developments<\/strong><\/h2>\n\n\n\n

Recently, the European Commission published guidelines on certain state aid measures related to the greenhouse gas emission allowance trading scheme<\/strong> (\u201cCommunity scheme\u201d). We have already reported on that here<\/a>.<\/p>\n\n\n\n

The Commission’s initiative aims to bring the problem of \u201ccarbon leakage<\/a>” under control and is also related to the EU\u2019s goal of climate neutrality and the associated restructuring of the energy sector (\u201cGreen Deal<\/a>\u201d).<\/p>\n\n\n\n

At this point it should be noted that the prices<\/strong> for emission certificates have risen sharply in recent months. In addition, the emission certificates in the next trading period are to be awarded almost exclusively via auctions<\/strong> \u2013 the previous system of free allocation is to be the exception. The current amendment to the Austrian EZG has to be seen against this background.<\/p>\n\n\n\n

Key points of the EZG-Amendment 2020<\/strong><\/h2>\n\n\n\n

To begin with, it should be mentioned that the Austrian legislature has proceeded cautiously with the current reform. Still, when looking at the draft in detail, significant changes to the previous legal situation can be seen. On the one hand, this concerns the basic approach to certificate trading and the change from a (free) allocation to an auction system, in line with the principles of Union law. Furthermore, a significant relief of the administration should be ensured.<\/p>\n\n\n\n

The following is an overview of some of the major changes:<\/p>\n\n\n\n