{"id":84674,"date":"2020-12-14T16:59:00","date_gmt":"2020-12-14T15:59:00","guid":{"rendered":"https:\/\/hostsharing.gallehr.de\/european-commission-publishes-first-draft-benchmarks-for-the-fourth-trading-period\/"},"modified":"2021-07-02T15:48:26","modified_gmt":"2021-07-02T13:48:26","slug":"european-commission-publishes-first-draft-benchmarks-for-the-fourth-trading-period","status":"publish","type":"post","link":"https:\/\/gallehr.flei.dev\/en\/european-commission-publishes-first-draft-benchmarks-for-the-fourth-trading-period\/","title":{"rendered":"European Commission publishes first draft benchmarks for the fourth trading period"},"content":{"rendered":"<h1><strong>EU Commission publishes first drafts of the benchmarks for determining free allocation for the years 2021-2025<\/strong><\/h1>\n<p><a href=\"https:\/\/gallehr.flei.dev\/wordpress\/wp-content\/uploads\/2020\/12\/1920px-Europaeische_Kommission_logo.svg_.png\"><img decoding=\"async\" class=\"alignnone size-medium wp-image-85213\" src=\"https:\/\/gallehr.flei.dev\/wordpress\/wp-content\/uploads\/2020\/12\/1920px-Europaeische_Kommission_logo.svg_-300x207.png\" alt=\"\" width=\"300\" height=\"207\" srcset=\"https:\/\/gallehr.flei.dev\/wp-content\/uploads\/2020\/12\/1920px-Europaeische_Kommission_logo.svg_-300x207.png 300w, https:\/\/gallehr.flei.dev\/wp-content\/uploads\/2020\/12\/1920px-Europaeische_Kommission_logo.svg_-1024x706.png 1024w, https:\/\/gallehr.flei.dev\/wp-content\/uploads\/2020\/12\/1920px-Europaeische_Kommission_logo.svg_-768x530.png 768w, https:\/\/gallehr.flei.dev\/wp-content\/uploads\/2020\/12\/1920px-Europaeische_Kommission_logo.svg_-1536x1059.png 1536w, https:\/\/gallehr.flei.dev\/wp-content\/uploads\/2020\/12\/1920px-Europaeische_Kommission_logo.svg_.png 1920w\" sizes=\"(max-width: 300px) 100vw, 300px\" \/><\/a><\/p>\n<p>The <a href=\"https:\/\/ec.europa.eu\/info\/index_de\" target=\"_blank\" rel=\"noopener noreferrer\">European Commission<\/a> publishes the first <a href=\"https:\/\/ec.europa.eu\/info\/law\/better-regulation\/have-your-say\/initiatives\/12792-Commission-Decision-determining-the-benchmarks-values-for-free-allocation-in-the-period-2021-2025\" target=\"_blank\" rel=\"noopener noreferrer\">draft of the benchmarks<\/a> for the first allocation period (2021-2025) of the fourth trading period (4th HP) . The benchmarks are now open for consultation until 04.01.2021. We have made the corresponding draft available to you <a href=\"https:\/\/gallehr.flei.dev\/?wpfb_dl=157\" target=\"_blank\" rel=\"noopener noreferrer\">here<\/a> for free download.<\/p>\n<p>In total, there are 52 sector-specific benchmarks and the benchmarks for the fuel and heat sectors. According to the EU Commission, the corresponding regulation is to be adopted in February 2021.<\/p>\n<p>In contrast to the third trading period (3rd HP), it can be seen in particular that the <a href=\"https:\/\/eur-lex.europa.eu\/legal-content\/DE\/TXT\/PDF\/?uri=CELEX:32019R0331&amp;from=de\" target=\"_blank\" rel=\"noopener noreferrer\">heat and fuel benchmark<\/a> is to be tightened significantly. In contrast to the 3.HP, the two benchmarks are to be cut by a maximum of -24%.<\/p>\n<p><a href=\"https:\/\/gallehr.flei.dev\/wordpress\/wp-content\/uploads\/2020\/12\/Hp3-Hp4-2.0.jpg\"><img decoding=\"async\" class=\"alignnone size-medium wp-image-85215\" src=\"https:\/\/gallehr.flei.dev\/wordpress\/wp-content\/uploads\/2020\/12\/Hp3-Hp4-2.0-300x70.jpg\" alt=\"\" width=\"300\" height=\"70\" srcset=\"https:\/\/gallehr.flei.dev\/wp-content\/uploads\/2020\/12\/Hp3-Hp4-2.0-300x70.jpg 300w, https:\/\/gallehr.flei.dev\/wp-content\/uploads\/2020\/12\/Hp3-Hp4-2.0-1024x240.jpg 1024w, https:\/\/gallehr.flei.dev\/wp-content\/uploads\/2020\/12\/Hp3-Hp4-2.0-768x180.jpg 768w, https:\/\/gallehr.flei.dev\/wp-content\/uploads\/2020\/12\/Hp3-Hp4-2.0.jpg 1267w\" sizes=\"(max-width: 300px) 100vw, 300px\" \/><\/a><\/p>\n<p>The benchmark rules for free allocations are as follows:<\/p>\n<ul>\n<li>The benchmarks will be updated twice in the course of the 4 trading period: first for 2021-2025 and then again for 2026-2030.<\/li>\n<li>For industrial sectors at risk of carbon leakage, they are entitled to a free allocation of their emission allowances up to a benchmark based on the best performing 10% of each sector.<\/li>\n<\/ul>\n<p><em>Note: The respective benchmarks are used to determine the free allocation of emission allowances. Four allocation approaches have so far been defined hierarchically via the <a href=\"https:\/\/eur-lex.europa.eu\/legal-content\/DE\/TXT\/?uri=uriserv:OJ.L_.2019.059.01.0008.01.DEU\">EU Allocation Regulation<\/a>:<br \/>\n<\/em><\/p>\n<ol>\n<li><em>Product emission value (t CO2\/ t product): &#8220;Allocation is based on the allocation-relevant quantity of the product manufactured, which is multiplied by a product-specific emission value that is uniform for all installations manufacturing that product.&#8221;<\/em><\/li>\n<li><em>Heat Emission Value (t CO2\/TJ heat): &#8220;Allocation is based on the amount of allocable measurable heat multiplied by a specified heat emission value that is uniform for all facilities.&#8221;<\/em><\/li>\n<li><em>Fuel Emission Value (t CO2\/TJ fuel energy) &#8220;Allocation is based on the energy content of the fuel consumed multiplied by a fixed emission value that is uniform for all installations.&#8221;<\/em><\/li>\n<li><em>Process Emissions Approach &#8220;97 percent of allocable historical process emissions are used as the baseline for calculating allocation.&#8221; This allocation approach does not set an emissions value; instead, historical emissions are adjusted by an efficiency factor. For more details, see the guidance document issued by the  <a href=\"https:\/\/www.dehst.de\/\">DEHSt<\/a> &#8220;<a href=\"https:\/\/www.dehst.de\/SharedDocs\/downloads\/DE\/stationaere_anlagen\/2021-2030\/Leitfaden-1.pdf?__blob=publicationFile&amp;v=7\" target=\"_blank\" rel=\"noopener noreferrer\">Guideline Allocation 2021-2030 Part 1: Basic Information on the Allocation Rules and the Allocation Procedure<\/a>&#8220;.<\/em><\/li>\n<\/ol>\n<p>Author: Sina Barragan, GALLEHR+PARTNER<\/p>\n<p>You might also be interested in:<\/p>\n<ul>\n<li><a href=\"https:\/\/gallehr.flei.dev\/dehst-hintergrundpapier-zum-nationalen-emissionshandelssystem-nehs-behg-veroeffentlicht\/\">DEHSt background paper on the national emissions trading system (nEHS\/BEHG) published<\/a><\/li>\n<li><a href=\"https:\/\/gallehr.flei.dev\/brennstoffemissionshandelsgesetz-behg-nehs-wer-ist-betroffen\/\">Fuel Emissions Trading Act (SESTA, nEHS) &#8211; Who is affected?<\/a><\/li>\n<li><a href=\"https:\/\/gallehr.flei.dev\/kompetenz\/emissions-trading\/\">The European Emissions Trading Scheme (EU-ETS) and the consequences for affected companies<\/a><\/li>\n<li><a href=\"https:\/\/gallehr.flei.dev\/kompetenz\/energiemanagement-beratungs-module\/\">Energy management in industry: ISO 50001 as a management system to avoid energy and CO<sub>2<\/sub> costs<\/a><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>EU Commission publishes first drafts of the benchmarks for determining free allocation for the years 2021-2025 The European Commission publishes [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[417,429],"tags":[448,456,457,458,459,460,428,439],"class_list":["post-84674","post","type-post","status-publish","format-standard","hentry","category-news","category-archive","tag-emissions-trading","tag-free-allocation","tag-co2-en","tag-benchmarks-en","tag-eu-commission","tag-eu-zuvo-en","tag-dehst-en","tag-eu-ets-en"],"_links":{"self":[{"href":"https:\/\/gallehr.flei.dev\/en\/wp-json\/wp\/v2\/posts\/84674","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/gallehr.flei.dev\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/gallehr.flei.dev\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/gallehr.flei.dev\/en\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/gallehr.flei.dev\/en\/wp-json\/wp\/v2\/comments?post=84674"}],"version-history":[{"count":0,"href":"https:\/\/gallehr.flei.dev\/en\/wp-json\/wp\/v2\/posts\/84674\/revisions"}],"wp:attachment":[{"href":"https:\/\/gallehr.flei.dev\/en\/wp-json\/wp\/v2\/media?parent=84674"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/gallehr.flei.dev\/en\/wp-json\/wp\/v2\/categories?post=84674"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/gallehr.flei.dev\/en\/wp-json\/wp\/v2\/tags?post=84674"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}