EU Emission Trading Scheme

EU ETS is a mandatory scheme, requiring annual reporting of emissions data and regulatory compliance. To meet the tight deadlines associated with EU ETS across the EU 27, SGS offers a split verification process. Every year, in Q3/Q4 of the reporting year, SGS can undertake a document review (See Annex 5 of the EU ETS Directive) in order to establish the extent of compliance with the approved monitoring plan and the Monitoring and Reporting Guidelines; identify opportunities for improvement and review the relevant data available at that time. The following Q1, SGS completes the verification usually by reviewing the remaining relevant data.

Why choose the split verification process?

• Early check on your internal system;
• Interim data to aid market related decisions (buy, sell, wait);
• Time to raise and resolve issues with the Competent Authority (CA);
• Earlier warning of opportunities for improvement.

This approach applied in the Phase I of the scheme has been a huge success for our clients who were able to submit their reports in a timely and efficient manner.

SGS was voted best EU ETS verifier by readers of Environmental Finance Magazine in 2006 and 2007.

Based on the experience gained from verification undertaken in Phase I, combined with proficiency in other climate change services, SGS has established robust expertise within our team to accommodate the additional requirements of our clients in ETS Phase II. Some of the main changes incorporated into phase II legislation include:

• Changes around the need to demonstrate compliance with uncertainty thresholds for measuring devices
• A more lenient approach to reporting allowed for smaller emitters
• Reduced requirements for reporting emissions from deminimus or minor source streams
• Reduced requirements also for reporting emissions/energy from biomass
• Option to allow reporting of emissions from commercially traded fuels to be taken from supplier invoices
• Stipulated materiality thresholds, including a reduced 2% threshold for the highest emitting installations
• Updated monitoring plans required to be submitted by operators in most member states, to reflect the new requirements of the scheme

Under Phase II, which began in January 2008 and runs through to 2012, SGS offers new entrant reserve verification and annual verification for a wide range of sectors. We endeavour to work with you to develop a bespoke verification programme ensuring timely and cost effective reporting to meet your requirements.

CONTACTS
With offices and EU ETS trained staff in most of the EU countries, you can be assured of a locally based service with local language capability and knowledge of local legislation and EU ETS reporting requirements.

Please click here for a list of contacts.

ACCREDITATION
SGS is committed to offering verification services throughout the EU. SGS Affiliates throughout the EU countries are either gaining local accreditation or planning to use existing accreditations issued by other  EA Member Accreditation Bodies and recognised under the EA Multilateral Agreement.