Evidence sought on free allocation in the UK Emissions Trading Scheme

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The UK government and devolved administrations are seeking evidence on how use of free allocations can better incentivise emissions reduction, and protect energy-intensive, trade-exposed industries from the risk of carbon leakage in the UK Emissions Trading Scheme.

Department for Business, Energy & Industrial Strategy (BEIS) is seeking input from the full range of interested parties on:

  • Key questions the review should consider, and the problems the government should be looking at.
  • How the government can make free allocations fairer and more targeted when reducing in line with the reduction in the overall cap.
  • Examples and evidence of carbon leakage to help inform future free allocation policy.
  • Relevant sources of evidence and expertise that should inform the review.
  • All substantive, quantitative evidence that can be provided to help develop the best possible evidence base is particularly welcomed.
  • Significant lessons that are important to learn, from the UK and internationally.

More information about this call for evidence and how to take part is available on the government website.