With phase 3 of the EU ETS approaching, the Commission has received several questions from stakeholders on the eligibility of international credits for compliance in the EU ETS post-2012.
The rules for the recognition of international credits have undergone a substantial change in the revision of the ETS Directive as part of the Climate and Energy Package. Most importantly the wider objectives pursued by the European Union in the recognition of international credits have been extended. While initially the use of international credits was allowed for cost-effective compliance, this has been complemented with the objective of actively using the leverage the EU possesses as the by far most important source of demand for international credits.
The Commission provides answers in a memo (see link below) in order to give industry, project developers and investors equal access and more clarity on the interpretation of the relevant provisions in the EU ETS Directive and the Effort Sharing Decision. It also indicates that international credit recognition rules may evolve over time and in line with progress on wider climate objectives pursued by the EU.
Stakeholders are invited to submit any further questions to the following functional mailbox: email@example.com. The Commission will reply to such further questions in the form of updates to the memo.