Emissions trading - such as the EU Emissions Trading System (EU ETS) - is a key policy measure being used to help the EU (and UK) to meet their emissions reduction targets. The EU ETS can affect businesses from energy-intensive sectors such as the energy industry and certain manufacturers. If your business was covered by the EU ETS, you must now meet targets set by the UK ETS by either cutting your business' emissions or by trading allowances.

UK ETS

Businesses that were included in the EU Emissions Trading Scheme (EU ETS) are now transferred to the new UK Emissions Trading Scheme (UK ETS). There is an exception for Northern Ireland electricity generators, who remain in the EU ETS by virtue of the Ireland / Northern Ireland Protocol.

The UK ETS operates in a similar way to the EU ETS, and details can be found at GOV.UK.

GOV.UK: Participating in the UK ETS

Large organisations not covered by the UK ETS are covered by another scheme called the CRC Energy Efficiency Scheme (CRC). This was previously known as the Carbon Reduction Commitment.