CHAPTER I

GENERAL PROVISIONS

Subject matter
Article 1
This Regulation lays down provisions for the verification of reports submitted pursuant to the 2012 Regulations and for the accreditation and supervision of verifiers.
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Scope
Article 2
This Regulation shall apply to the verification of greenhouse gas emissions and tonne-kilometre data occurring from 1 January 2019, reported pursuant to regulation 35(4) and paragraph 2(1)(e)(ii) of Schedule 4 to the 2012 Regulations .

Definitions
Article 3
For the purposes of this Regulation, in addition to the definitions laid down in ... Article 3 of Implementing Regulation (EU) 2018/2066, the following definitions shall apply:
1. ‘the 2012 Regulations’ means the Greenhouse Gas Emissions Trading Scheme Regulations 2012;
2. ‘detection risk’ means the risk that the verifier does not detect a material misstatement;
3. ‘accreditation’ means attestation by a national accreditation body that a verifier meets the requirements set by EN ISO 14065:2013, and requirements set out in this Regulation to carry out the verification of an operator's or aircraft operator's report pursuant to this Regulation;
4. ‘verifier’ means a legal person or another legal entity carrying out verification activities pursuant to this Regulation and accredited by a national accreditation body pursuant to Regulation (EC) No 765/2008 and this Regulation ... at the time a verification report is issued;
5. ‘verification’ means the activities carried out by a verifier to issue a verification report pursuant to this Regulation;
6. ‘aircraft operator’ means the person who operates an aircraft at the time it performs an aviation activity or, where that person is not known or is not identified by the owner of the aircraft, the owner of the aircraft;
7. ‘emissions’ has the meaning given in Article 3(b) of Directive 2003/87/EC;
8. ‘misstatement’ means an omission, misrepresentation or error in the operator's or aircraft operator's reported data, not considering the uncertainty permissible under Article 12(1)(a) of Implementing Regulation (EU) 2018/2066.
9. ‘material misstatement’ means a misstatement that, in the opinion of the verifier, individually or when aggregated with other misstatements, exceeds the materiality level or could affect the treatment of the operator's or aircraft operator's report by the competent authority;
10. ‘operator's or aircraft operator's report’ means the annual emission report to be submitted by the operator or aircraft operator pursuant to regulation 35(4) and paragraph 2(1)(e)(ii) of Schedule 4 to the 2012 Regulations;
11. ‘greenhouse gas emissions permit’ has the same meaning as in the 2012 Regulations;
12. ‘aviation activity’ has the same meaning as in the 2012 Regulations;
13. ‘scope of accreditation’ means activities referred to in Annex I for which accreditation is sought or has been granted;
14. ‘competence’ means the ability to apply knowledge and skills to carry out an activity;
15. ‘materiality level’ means the quantitative threshold or cut-off point above which misstatements, individually or when aggregated with other misstatements, are considered material by the verifier;
16. ‘control system’ means the operator's or aircraft operator's risk assessment and entire set of control activities, including the continuous management thereof, that an operator or aircraft operator has established, documented, implemented and maintained pursuant to Article 59 of Implementing Regulation (EU) 2018/2066 ...;
17. ‘control activities’ means any acts carried out or measures implemented by the operator or aircraft operator to mitigate inherent risks;
18. ‘the CCS licensing regime’ means Chapter 3 of Part 1 of the Energy Act 2008 and other domestic legislation which immediately before exit day implemented Directive 2009/31/EC;
19. ‘non-conformity’ means one of the following:
  1. for the purposes of verifying an operator's emission report, any act or omission of an act by the operator that is contrary to the greenhouse gas emissions permit and the requirements in the monitoring plan approved by the competent authority;
  2. for the purposes of verifying an aircraft operator's emission or tonne-kilometre report, any act or omission of an act by the aircraft operator that is contrary to the requirements in the monitoring plan approved by the competent authority;
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  4. for the purposes of accreditation pursuant to Chapter IV, any act or omission of an act by the verifier that is contrary to the requirements of this Regulation;
20. ‘site’ means, for the purposes of verifying the emission or tonne-kilometre report of an aircraft operator, the locations where the monitoring process is defined and managed, including the locations where relevant data and information are controlled and stored;
21. ‘control environment’ means the environment in which the internal control system functions and the overall actions of an operator's or aircraft operator's management to ensure awareness of this internal control system;
22. ‘inherent risk’ means the susceptibility of a parameter in the operator's or aircraft operator's report to misstatements that could be material, individually or when aggregated with other misstatements, before taking into consideration the effect of any related control activities;
23. ‘control risk’ means the susceptibility of a parameter in the operator's or aircraft operator's report to misstatements that could be material, individually or when aggregated with other misstatements, and that will not be prevented or detected and corrected on a timely basis by the control system;
24. ‘verification risk’ means the risk, being a function of inherent risk, control risk and detection risk, that the verifier expresses an inappropriate verification opinion when the operator's or aircraft operator's report is not free of material misstatements;
25. ‘reasonable assurance’ means a high but not absolute level of assurance, expressed positively in the verification opinion, as to whether the operator's or aircraft operator's report subject to verification is free from material misstatement;
26. ‘analytical procedures’ means the analysis of fluctuations and trends in the data including an analysis of the relationships that are inconsistent with other relevant information or that deviate from predicted amounts;
27. ‘internal verification documentation’ means all internal documentation that a verifier has compiled to record all documentary evidence and justification of activities that are carried out for the verification of an operator's or aircraft operator's report;
28. ‘EU ETS lead auditor’ means an EU ETS auditor in charge of directing and supervising the verification team, who is responsible for performing and reporting on the verification of an operator's or aircraft operator's report;
29. ‘EU ETS auditor’ means an individual member of a verification team responsible for conducting a verification of an operator's or aircraft operator's report other than the EU ETS lead auditor;
30. ‘technical expert’ means a person who provides detailed knowledge and expertise on a specific subject matter needed for the performance of verification activities for the purposes of Chapter III and for the performance of accreditation activities for the purposes of Chapter V;
31. ‘level of assurance’ means the degree of assurance the verifier provides on the verification report based on the objective of reducing the verification risk according to the circumstances of the verification engagement;
32. ‘assessor’ means a person assigned by a national accreditation body to perform individually or as part of an assessment team an assessment of a verifier pursuant to this Regulation;
33. ‘lead assessor’ means an assessor who is given the overall responsibility for assessing a verifier pursuant to this Regulation;
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Interpretation
Article 3a
In this Regulation:
a
references to a national accreditation body are references to the national accreditation body of the United Kingdom appointed in accordance with Article 4(1) of Regulation (EC) No 765/2008;
b
references to Implementing Regulation (EU) 2018/2066 are to be construed as references to Commission Regulation (EU) No 601/2012 and read in accordance with the following correlation table.
Correlation table
Implementing Regulation (EU) 2018/2066 | Commission Regulation (EU) No 601/2012
Article 1 to 49 | Article 1 to 49
Article 50 | –
Article 51 to 54 | Article 50 to 53
Article 55 | Article 54
Article 56 | Article 55
Article 57 | –
Article 58 | Article 57
Article 59 | Article 58
Article 60 | Article 59
Article 61 to 65 | Article 60 to 64
Article 66 | Article 65
Article 67 to 68 | Article 66 to 67
Article 69 to 75 | Article 69 to 75
Article 76 | –
Article 77 to 78 | Article 76 to 77
Annex 1 to 10 | Annex 1 to 10
Annex 11 | –

Presumption of conformity
Article 4
Where a verifier demonstrates its conformity with the criteria laid down in EN ISO 14065:2013 , it shall be presumed to comply with the requirements set out in Chapters II and III of this Regulation in so far as those standards cover those requirements.

General framework for accreditation
Article 5
Where no specific provisions concerning the composition of the national accreditation bodies or the activities and requirements linked to accreditation are laid down in this Regulation, the relevant provisions of Regulation (EC) No 765/2008 shall apply.
Words in Art. 1 substituted (31.12.2020) by The Greenhouse Gas Emissions Trading Scheme (Amendment) (EU Exit) (No. 2) Regulations 2019 (S.I. 2019/916), regs. 1, 8(a); 2020 c. 1, Sch. 5 para. 1(1)
Words in Art. 1 omitted (31.12.2020) by virtue of The Greenhouse Gas Emissions Trading Scheme (Amendment) (EU Exit) (No. 2) Regulations 2019 (S.I. 2019/916), regs. 1, 8(b); 2020 c. 1, Sch. 5 para. 1(1)
Words in Art. 2 substituted (31.12.2020) by The Greenhouse Gas Emissions Trading Scheme (Amendment) (EU Exit) (No. 2) Regulations 2019 (S.I. 2019/916), regs. 1, 9; 2020 c. 1, Sch. 5 para. 1(1)
Art. 3(A1) inserted (31.12.2020) by The Greenhouse Gas Emissions Trading Scheme (Amendment) (EU Exit) (No. 2) Regulations 2019 (S.I. 2019/916), regs. 1, 10(b); 2020 c. 1, Sch. 5 para. 1(1)
Art. 3(4a)(4b) inserted (31.12.2020) by The Greenhouse Gas Emissions Trading Scheme (Amendment) (EU Exit) (No. 2) Regulations 2019 (S.I. 2019/916), regs. 1, 10(e); 2020 c. 1, Sch. 5 para. 1(1)
Art. 3(7a)(7b) inserted (31.12.2020) by The Greenhouse Gas Emissions Trading Scheme (Amendment) (EU Exit) (No. 2) Regulations 2019 (S.I. 2019/916), regs. 1, 10(g); 2020 c. 1, Sch. 5 para. 1(1)
Art. 3(12a) inserted (31.12.2020) by The Greenhouse Gas Emissions Trading Scheme (Amendment) (EU Exit) (No. 2) Regulations 2019 (S.I. 2019/916), regs. 1, 10(i); 2020 c. 1, Sch. 5 para. 1(1)
Words in Art. 3(2) substituted (31.12.2020) by The Greenhouse Gas Emissions Trading Scheme (Amendment) (EU Exit) (No. 2) Regulations 2019 (S.I. 2019/916), regs. 1, 10(c); 2020 c. 1, Sch. 5 para. 1(1)
Words in Art. 3(3) omitted (31.12.2020) by virtue of The Greenhouse Gas Emissions Trading Scheme (Amendment) (EU Exit) (No. 2) Regulations 2019 (S.I. 2019/916), regs. 1, 10(d); 2020 c. 1, Sch. 5 para. 1(1)
Words in Art. 3(7) substituted (31.12.2020) by The Greenhouse Gas Emissions Trading Scheme (Amendment) (EU Exit) (No. 2) Regulations 2019 (S.I. 2019/916), regs. 1, 10(f); 2020 c. 1, Sch. 5 para. 1(1)
Words in Art. 3(11) omitted (31.12.2020) by virtue of The Greenhouse Gas Emissions Trading Scheme (Amendment) (EU Exit) (No. 2) Regulations 2019 (S.I. 2019/916), regs. 1, 10(h); 2020 c. 1, Sch. 5 para. 1(1)
Art. 3(13)(c) omitted (31.12.2020) by virtue of The Greenhouse Gas Emissions Trading Scheme (Amendment) (EU Exit) (No. 2) Regulations 2019 (S.I. 2019/916), regs. 1, 10(j); 2020 c. 1, Sch. 5 para. 1(1)
Art. 3(28) omitted (31.12.2020) by virtue of The Greenhouse Gas Emissions Trading Scheme (Amendment) (EU Exit) (No. 2) Regulations 2019 (S.I. 2019/916), regs. 1, 10(k); 2020 c. 1, Sch. 5 para. 1(1)
Art. 3(29) omitted (31.12.2020) by virtue of The Greenhouse Gas Emissions Trading Scheme (Amendment) (EU Exit) (No. 2) Regulations 2019 (S.I. 2019/916), regs. 1, 10(k); 2020 c. 1, Sch. 5 para. 1(1)
Words in Art. 3 omitted (31.12.2020) by virtue of The Greenhouse Gas Emissions Trading Scheme (Amendment) (EU Exit) (No. 2) Regulations 2019 (S.I. 2019/916), regs. 1, 10(a); 2020 c. 1, Sch. 5 para. 1(1)
Words in Art. 4 substituted (31.12.2020) by The Greenhouse Gas Emissions Trading Scheme (Amendment) (EU Exit) (No. 2) Regulations 2019 (S.I. 2019/916), regs. 1, 12(a); 2020 c. 1, Sch. 5 para. 1(1)
Words in Art. 4 substituted (31.12.2020) by The Greenhouse Gas Emissions Trading Scheme (Amendment) (EU Exit) (No. 2) Regulations 2019 (S.I. 2019/916), regs. 1, 12(b); 2020 c. 1, Sch. 5 para. 1(1)
Art. 3a inserted (31.12.2020) by The Greenhouse Gas Emissions Trading Scheme (Amendment) (EU Exit) (No. 2) Regulations 2019 (S.I. 2019/916), regs. 1, 11; 2020 c. 1, Sch. 5 para. 1(1)