What changed, Commission Implementing Regulation (EU) 2019/1842 of 31 October 2019 laying down rules for the application of…

+ (1a) ‘average of the expected activity level’ means for each sub-installation, the arithmetic mean of the related annual expected activity levels, determined based on the method set out in Annex I, for the two calendar years preceding the submission of the report referred to in Article 3(1);
+ 
+ 
+ (4a) ‘process emissions sub-installation’ means process emissions sub-installation as defined in Article 2(10) of Delegated Regulation (EU) 2019/331;
+ **1.** Starting in 2021, the operators of installations to which free allocation has been given, in accordance with Article 10a of Directive 2003/87/EC, for the trading period from 2021 until 2030 shall report annually on the activity level of each sub-installation in the preceding calendar year. ►M…
− **1.** Starting in 2021, the operators of installations to which free allocation has been given, in accordance with Article 10a of Directive 2003/87/EC, for the trading period from 2021 until 2030 shall report annually on the activity level of each sub-installation in the preceding calendar year. In…
+ 
+ **3.** ►M2 The activity level report shall be submitted by 31 March of each year, to the competent authority granting the free allocation, unless the competent authority has set an earlier time limit for this submission.** ◄ ** It shall be submitted together with a verification report on the activit…
+ 
+ The competent authority may suspend the issuance of free emission allowances to an installation until the competent authority has established that there is no requirement to adjust the allocation to that installation or the Commission has adopted a Decision in accordance with Article 23(4) of Delega…
+ 
+ The competent authority shall suspend the issuance of free emission allowances in any of the following situations:
+ (a) no verified activity level report has been submitted by the operator;
− **3.** The activity level report shall be submitted by 31 March of each year during the years from 2021 to 2030, to the competent authority granting the free allocation, unless the competent authority has set an earlier time limit for this submission. It shall be submitted together with a verificati…
+ (b) the verification report of the activity level report contains an opinion statement referred to in point (b), (c) or (d) of Article 27(1), first subparagraph, of Implementing Regulation (EU) 2018/2067.
− Member States may require the submission of a preliminary activity level report, containing all available information at the time of submission. Member States may set time limits for the submission of the preliminary activity level report.
+ Any suspension of the allocation of allowances in accordance with the third subparagraph of this paragraph shall remain until the competent authority has established that there is no requirement to adjust the allocation to that installation or the Commission has adopted a Decision in accordance with…
− The competent authority may suspend the issuance of free emission allowances to an installation until the competent authority has established that there is no requirement to adjust the allocation to that installation or the Commission has adopted a Decision according to Article 23(4) of Delegated Re…
+ 
+ **4.** The competent authority shall assess the activity level report referred to in paragraphs 1 to 3 of this Article in accordance with the requirements of Articles 7 to 12 of Delegated Regulation (EU) 2019/331. The competent authority may make a conservative estimate of the value of any parameter…
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+ Where a verifier has stated, in the verification report pursuant to Implementing Regulation (EU) 2018/2067, the existence of non-material misstatements which have not been corrected by the operator before issuing the verification report, the competent authority shall assess those misstatements, and …
+ 
+ ### Article 3a — Recovery of allowances reduced in accordance with Article 22a of Delegated Regulation (EU) 2019/331
+ 
+ **1.** Where the final annual amount of emission allowances allocated free of charge has been reduced in accordance with Article 22a of Delegated Regulation (EU) 2019/331, the operator may recover the reduced allowances provided that the operator demonstrates to the satisfaction of the competent aut…
+ 
+ **2.** Where the operator wishes to recover the reduced allowances in accordance with paragraph 1, the operator shall submit a request to recover the reduced allowances to the competent authority as part of the verified activity level report referred to in Article 3(3), first subparagraph. The compe…
+ 
+ Where the competent authority decides that the conditions referred to in paragraph 1 have been met and the Commission has adopted a Decision in accordance with Article 23(4) of Delegated Regulation (EU) 2019/331 concerning the adjustments to the allocation to that installation, the operator shall re…
+ 
+ ### Article 3b — Climate-neutrality report
+ 
+ **1.** Operators of installations that have submitted a climate-neutrality plan in accordance with Article 22b of Delegated Regulation (EU) 2019/331 shall draft a climate-neutrality report which shall contain the information listed in Annex II to this Regulation.
+ 
+ **2.** Operators referred to in paragraph 1 shall submit the climate-neutrality report and the corresponding verification report in accordance with Implementing Regulation (EU) 2018/2067 to the competent authority by 31 March 2026 in respect of the period until 31 December 2025 and by 31 March of ea…
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+ By derogation from the first subparagraph, the competent authority may set an earlier time limit for the submission of the climate-neutrality report and the corresponding verification report.
+ 
+ **3.** The Commission shall make available an electronic template or a specific file format for providing the information as specified in Annex II.
+ 
+ **4.** When drafting the climate-neutrality report, operators shall use the electronic template or specific file format referred to in paragraph 3.
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+ **5.** By way of derogation from paragraphs 3 and 4, Member States may require operators to use electronic templates or specific file formats developed by those Member States for establishing and submitting climate-neutrality reports in accordance with delegated acts adopted pursuant to Article 10a(…
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+ ### Article 3c — Allocation of allowances reduced in accordance with Article 22b(1) of Delegated Regulation (EU) 2019/331
+ 
+ **1.** Where the conditions laid down in Article 22b(1), second subparagraph, of Delegated Regulation (EU) 2019/331 have been met, after the reduction of allowances in accordance with the first subparagraph of that Article, the reduced allowances shall be allocated for each year in the applicable al…
+ 
+ **2.** For the purposes of paragraph 1, the condition laid down in Article 22b(1), second subparagraph, point (b), of Delegated Regulation (EU) 2019/331 shall be met if all of the following applies:(a) the operator has submitted a verified climate-neutrality report by 31 March 2026, or by the earlie…
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+ ### Article 3d — Additional 30 % allowances for district heating
+ 
+ **1.** For the purposes of increasing the preliminary annual number of emission allowances by 30 % in accordance with Article 22b(3) of Delegated Regulation (EU) 2019/331, operators shall submit to the competent authority documentary evidence of the legal commitment for the investment referred to in…
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+ **2.** The first time operators may submit the evidence referred to in paragraph 1, is by 31 March 2026 together with the verified climate-neutrality report. Where the conditions laid down in Article 22b(3) of Delegated Regulation (EU) 2019/331 are met in subsequent years, the operator shall submit …
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+ By derogation from the first subparagraph the competent authority may set an earlier time limit for the submission of the evidence and the verified climate-neutrality report.
+ 
+ **3.** The competent authority shall assess the evidence referred to in paragraph 1 and the verified climate neutrality report. On the basis of that assessment, the competent authority shall decide whether the conditions for increasing the preliminary annual number of emission allowances laid down i…
+ **4.** In order to demonstrate that the condition laid down in Article 22b(3), first subparagraph, point (e), of Delegated Regulation (EU) 2019/331 is met, the operator shall provide all of the following evidence to the competent authority:(a) that the operator has submitted a verified climate-neutr…
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+ **5.** Where the competent authority made the decision referred to in paragraph 3 during the allocation period, the operator shall receive, in the year in which the competent authority made that decision, the 30 % additional allowances for each of the preceding years in the allocation period. If aft…
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+ **6.** The additional 30 % allowances shall no longer be disbursed if the competent authority or the national accreditation body has established that the climate-neutrality report was not verified in accordance with Implementing Regulation (EU) 2018/2067.
− **4.** The competent authority shall assess the activity level report referred to in paragraphs 1 to 3 of this Article in accordance with the requirements of Articles 7 to 12 of Delegated Regulation (EU) 2019/331. The competent authority may make a conservative estimate of the value of any parameter…
+ **7.** The operator shall return the additional 30 % allowances without delay in any of the following cases:(a) the achievement of the targets and milestones referred to in Article 10b(4), third subparagraph, point (b), of Directive 2003/87/EC is not confirmed by the verification carried out in acco…
− The competent authority shall not increase the allocation to an installation based on an estimate made in the situation under point (a).
+ **8.** If the operator does not return the additional 30 % allowances pursuant to paragraph 7, the competent authority shall request the national registry administrator to no longer distribute the allocation of allowances free of charge to that operator until the additional 30 % allowances have been…
− Where a verifier has stated, in the verification report pursuant to Implementing Regulation (EU) 2018/2067, the existence of non-material misstatements which have not been corrected by the operator before issuing the verification report, the competent authority shall assess those misstatements, and …
+ 
+ **1.** Every year the competent authority shall compare the average activity level of each sub-installation, determined in accordance with Article 4, with the historical activity level initially used to determine the free allocation. When the absolute value of the difference between the average acti…
+ For heat benchmark sub-installations, fuel benchmark sub-installations and process emissions sub-installations the adjustment referred to in the first subparagraph shall be based on the average of the expected activity level. Adjustments for each of those sub-installations shall only be made if the …
+ 
+ **1a.** For the purpose of paragraph 1, second subparagraph, and where the value of the difference referred to in paragraph 1, first subparagraph, is exceeded, the operator shall attribute the relevant amounts of heat, fuel and process emissions to each relevant product in accordance with the method…
+ 
+ **2.** When an adjustment in accordance with paragraph 1 has been made, during an allocation period, further adjustments can only take place if the absolute value of the difference between the average activity level and the historical activity level of that sub-installation, exceeds the nearest 5 % …
− **1.** Every year the competent authority shall compare the average activity level of each sub-installation, determined in accordance with Article 4, with the historical activity level initially used to determine the free allocation. When the absolute value of the difference between the average acti…
+ For heat benchmark sub-installations, fuel benchmark sub-installations and process emissions sub-installations the value of the difference referred to in the first subparagraph shall refer to the average of the expected activity level.
− **2.** When an adjustment according to paragraph 1 has been made, during an allocation period, further adjustments can only take place if the absolute value of the difference between the average activity level and the historical activity level of that sub-installation, exceeds the nearest 5 % interv…
+ **4.** If a sub-installation has ceased operation, it shall not be entitled to the free allocation for the remainder of the calendar year following the day of cessation of operations, on a pro-rata basis, and the free allocation of that sub-installation shall be set to zero as of the year following …
− **4.** If a sub-installation has ceased operation, the free allocation of this sub-installation shall be set to zero as of the year following the cessation of operations.
+ 
+ **4.** Where the activity level report submitted pursuant to Article 3 indicates that the rolling average of two years of a parameter listed in Article 16(5), Article 19, 20, or 21 of Delegated Regulation (EU) 2019/331, other than activity levels, has changed by more than 15 % for a sub-installation…
+ When an adjustment in accordance with the first subparagraph has been made, during an allocation period, further adjustments to a parameter can only take place if the absolute value of the rolling average of the relevant parameter compared to the value used to determine the initial level of free all…
− **1.** Where an operator demonstrates, based on the data submitted in the activity level report and any additional data requested by the competent authority, that the decrease of the activity level of a sub-installation for which the amount of free allocation has been determined based on a heat or f…
+ If the increase or decrease of the rolling average of the two preceding calendar years of the relevant parameter no longer exceeds 15 % compared to the value used to determine the initial level of free allocation of a sub-installation, the free allocation of allowances to that sub-installation shall…
+ 
+ ### Article 6a — Absolute threshold for the adjustments
− **2.** Where an operator fails to demonstrate, upon request of the competent authority, based on the data submitted in the activity level report and any additional data requested by the competent authority, that the increase of the activity level of a sub-installation for which the amount of free al…
+ The adjustment to the free allocation of allowances to an installation pursuant to Article 5(1), (2) and (3) and Article 6 shall only be made if the adjustment of the annual preliminary amount of emission allowances allocated for free to the sub-installation is at least 300 emission allowances in th…
− **3.** For heat benchmark sub-installations and fuel benchmark sub-installations, the energy efficiency change shall be determined by comparing the quotients of the amount of heat or fuel used for the production of each product and the amounts of their respective production according to the baseline…
+ ### Article 6b — Submission of information to the Commission
− In accordance with the first subparagraph of this paragraph, the amounts of heat and fuel used for the production of each product shall be determined in line with the methodologies laid down in the monitoring methodology plan as approved in accordance with Article 6 of Delegated Regulation (EU) 2019…
+ The competent authorities shall submit to the Commission the information laid down in Article 3(2) from all activity level reports submitted in accordance with Article 3(1) and (3), without undue delay upon assessment of the reports.
− **4.** Where the activity level report submitted pursuant to Article 3 indicates that the rolling average of two years of a parameter listed in Article 16(5), Article 19, 20, 21 or 22 of Delegated Regulation (EU) 2019/331, other than activity levels, has changed by more than 15 % for a sub-installat…