ClimateChange.pl

Law on climate change in Poland


In order to launch Polish carbon auctioning platform some legal modifications are necessary...

 

 

 

The Polish Ministry of the Environment is planning to launch the tender for the operator of the Polish CO2 auction platform.

Among the potential tender stakeholders is the Warsaw Stock Exchange (WSE) which is finalising the acquisition of the Polish Power Exchange.

 

But the first thing is that a few regulatory problems with implementing the platform need to be solved. One of them is all the members of the carbon auctioning platform would be regulated by the Polish financial services authority as the WSE falls under its jurisdiction.

The Auctioning Regulation demands, however, that "direct access" to the platform for CO2 emitters being the EU ETS covered entities is safeguarded (strictly it comes to “an operator or an aircraft operator having an operator holding account, bidding on its own account, including any parent undertaking, subsidiary undertaking or affiliate undertaking forming part of the same group of undertakings as the operator or the aircraft operator” pursuant to the exact wording of the Article 18(1)(a) of the Commission Regulation No 1031/2010 of 12 November 2010 on the timing, administration and other aspects of auctioning of greenhouse gas emission allowances pursuant to Directive 2003/87/EC of the European Parliament and of the Council establishing a scheme for greenhouse gas emission allowances trading within the Community).

 

Thus the Polish financial regulatory environment needs to be in the first place updated and adapted to the arrangements of the new primary carbon market. The Draft guidelines for a new Act on greenhouse gas emission trading scheme have been currently published on the Ministry of the Environment website (version of 7 March 2012). Among the main legislative purposes is also to regulate so-called “early auctions” for CO2 emission allowances.

 

Poland has the volume of 14 698 000 installation’s emission allowances (EUA) to be sold in 2012 and 15% share in the volume of EU aviation allowances (EUAA) for the same year.