Draft Order laid before the Scottish Parliament under section 96(4) of the Climate Change (Scotland) Act 2009 for approval by resolution of the Scottish Parliament.

2010 No.

Climate Change

The Climate Change (Limit on Carbon Units) (Scotland) Order 2010

Made

Coming into force

The Scottish Ministers make the following Order in exercise of the powers conferred by section 21(1) and (4) of the Climate Change (Scotland) Act 20091.

In accordance with section 96(4) of that Act, a draft of this instrument has been laid before and approved by resolution of the Scottish Parliament.

Before the draft was so laid, the Scottish Ministers requested the advice of the relevant body2 in accordance with section 23(1) of that Act.

Citation, commencement and interpretation1

1

This Order may be cited as the Climate Change (Limit on Carbon Units) (Scotland) Order 2010 and comes into force on the day after the day it is made.

2

In this Order “the 2010 Regulations” means the Carbon Accounting Scheme (Scotland) Regulations 20103.

Limit on the net amount of carbon units for the period 2010-20122

The net amount of carbon units that may be credited to the net Scottish emissions account for the period 2010‑2012 is zero.

Carbon units that do not count towards the limit3

1

The following carbon units do not count towards the limit in article 2:—

a

carbon units credited to or debited from the net Scottish emissions account in accordance with regulation 8 (crediting and debiting of carbon units to the net Scottish emissions account in connection with the EU Emission Trading Scheme) of the 2010 Regulations; and

b

European Union allowances which are acquired by the administrator of a trading scheme established in accordance with Part 3 (trading schemes) of the Climate Change Act 20084.

2

In paragraph (1) “European Union allowance” has the meaning given by regulation 4(3) (carbon units) of the 2010 Regulations.

   Authorised to sign by the Scottish MinistersSt Andrew’s House,Edinburgh
EXPLANATORY NOTE

(This note is not part of the Order)

This Order sets a limit in accordance with section 21 of the Climate Change (Scotland) Act 2009 (the “2009 Act”) on the net amount of carbon units which may be credited to the net Scottish emissions account (“NSEA”), and makes further provision in that respect.

The Scottish Ministers requested advice from the relevant body (the UK Committee on Climate Change (UKCCC)) as required by section 23(1) of the 2009 Act. The UKCCC advice is set out in “Scotland’s path to a low carbon economy” dated February 2010, and available at http://www.theccc.org.uk/reports/scottish-report.

Article 2 provides that the net amount of carbon units that may be credited to the NSEA for the period 2010-2012 is zero.

Article 3 specifies the carbon units that do not count towards that limit, namely units credited to and debited from the NSEA under regulation 8 of the Carbon Accounting Scheme (Scotland) Regulations 2010 (S.S.I. 2010/  ) as a result of the operation of the EU Emissions Trading Scheme, and European Union allowances acquired by the administrator of a trading scheme (a “Part 3 scheme”) that operates under Part 3 of the Climate Change Act 2008.

A Part 3 scheme operates by—

a

limiting, or encouraging the limitation, of activities which consist of the emission of greenhouse gases or that cause or contribute to such emissions, or

b

encouraging activities that consist of, or cause or contribute to, reductions in greenhouse gas emissions or removal of greenhouse gases from the atmosphere.

A Regulatory Impact Assessment has not been produced in relation to this Order as it has no direct impact on businesses, charities or the voluntary sector.