The monitoring and reporting of greenhouse gas emissions must be robust, transparent, consistent and accurate for the EU emissions trading system (EU ETS) to operate effectively.
The annual procedure of monitoring, reporting and verification (MRV), together with all the associated processes, is known as the ETS compliance cycle.
Industrial installations and aircraft operators covered by the EU ETS are required to have an approved monitoring plan for monitoring and reporting annual emissions. This plan is also part of the permit to operate required for industrial installations.
Every year, operators must submit an emissions report. The data for a given year must be verified by an accredited verifier by 31 March of the following year. Once verified, operators must surrender the equivalent number of allowances by 30 April of that year.
The rules related to the compliance cycle are set out in two regulations:
In light of the phase 4 (2021-2030) revision of the EU ETS, the regulation on monitoring and reporting and the regulation on verification and accreditation are currently under review. The update process is expected to be finalised in the spring of 2020.
To promote administrative efficiency and a harmonised approach across countries, the European Commission provides templates as the basis for:
Guidance, exemplars and further tools are also published to support correct understanding of the requirements of the regulations as well as promote more harmonised and cost-effective application throughout all EU ETS countries.
For more information, including quick guides that provide a summary of the main requirements and relevant guidance, templates, exemplars and tools for each EU ETS responsibility, see the Documentation tab.
Additional tools and guidance have been developed for aviation operators.
Small emitters (less than 25 000 tonnes of CO2 per year) can:
The Commission has also issued
For more information, see the documentation tab.