Machine Translated by Google CONSOLIDATED LEGISLATION Law 1/2005, of March 9, which regulates the trading system for greenhouse gas emission rights. Headquarters of the State «BOE» no. 59, of March 10, 2005 Reference: BOE-A-2005-3941 INDEX Preamble .................................................. ............... 5 CHAPTER I. General provisions ................................................ .. eleven Article 1. Object and scope of application............................................ eleven Article 2. Definitions. ........................................................... .. eleven Article 2 bis. Relations of cooperation and collaboration. ............................. 13 Article 3. Commission for the Coordination of Climate Change Policies. ........................... 13 Article 3 bis. National Climate Council and Social Dialogue Tables. ...................... 14 CHAPTER II. Issuance authorizations ................................................ 14 Article 4. Installations subject to emission authorization. ........................... 14 Article 5. Application for issuance authorization. .................................... fifteen Article 6. Changes in the installation. ........................................... fifteen Article 7. Termination of the authorization. .......................................... fifteen Article 8. Communications to the competent body in matters of registration. .................... 16 CHAPTER III. Emission rights .................................................. ..16 Article 9. Legal nature of emission rights. ............................. 16 Article 10. Financial regulations applicable to emission rights. ...................... 16 Article 11. Transmission of emission rights. ........................................... 16 Article 12. Validity of emission rights. .................................... 17 Page 1 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION Article 13. Trading periods. .................................................... 17 CHAPTER IV. Allocation of emission rights ........................................... 17 Section 1 Auction ................................................ ............ 17 Article 14. General principles. ......................................... 17 Article 15. Reports. ................................................................ ... 18 Section 2. Transitional free assignment ................................................ 18 Article 16. Facilities eligible for temporary free assignment. ................. 18 Article 17. Assignment rules. ............................................................ 18 Article 18. New entrants............................................... ....19 Article 19. Individualized free allocation of emission rights.................................. 19 CHAPTER V. Adjustments and return of the free allocation of emission rights ................................ 19 Article 20. Adjustments in the levels of emission rights assigned free of charge to the installations................................................. ......... twenty Article 21. Return of emission rights. .................................... twenty CHAPTER VI. Obligations to monitor and report emissions and activity levels for fixed installations and verification of data and accreditation of verifiers.............................. 20 Section 1 Obligations to monitor and notify emissions and activity levels for fixed installations .................................................. ........ twenty Article 21 bis. Monitoring of emissions and activity levels of fixed installations.... 20 Article 22. Notification of information. ......................................... twenty-one Article 23. Assessment of the verified report on the emissions of the previous year............... 21 Section 2 Verification of data and accreditation of verifiers .................................. 22 Article 24. Data verification. ............................................................ 22 Article 24 bis. Accreditation of verifiers.............................................. 22 CHAPTER VII. European Union registration and delivery obligations of emission allowances .......... 22 Article 25. Register of the European Union. ........................................ Article 26. Issuance of emission rights. .................................... 23 Article 26 bis. Suspension of transmission rights transmission operations.............. 23 Article 27. Suppression and delivery of emission rights. .............................. 23 Article 28. Relationship of the Spanish area of the Registry of the European Union with the central administrator. 24 CHAPTER VIII. Sanctioning system ................................................ 24 Article 29. Typification of infractions for fixed installations. ......................... 24 Article 29 bis. Typification of infractions for aviation. .......................... 25 Page 2 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION Article 30. Sanctions. ........................................................... .. 25 Article 31. Prohibition of exploitation of air operators. ............................ 26 Article 32. Graduation of sanctions. ......................................... 27 Article 33. Concurrence of sanctions. ......................................... 27 Article 34. Provisional measures. ................................................ 27 Article 35. Sanctioning power. ............................................ 27 Article 35 bis. Specialties of the sanctioning administrative procedure in matters jurisdiction of the General State Administration. .............................. 28 CHAPTER IX. Aviation .................................................. ........ 28 Article 36. Monitoring plans. ............................................ 28 Article 36 bis. Notification of air operator emissions. ............................ 29 Article 36 ter. Assessment of the verified report on the emissions of the previous year of the air operators. .................................................................. ... 30 Article 37. Total amount of rights for the aviation sector. ....................... 30 Article 38. Assignment of emission rights to air operators. .................... 30 Article 39. Special reserve for certain air operators..................................... 31 Article 40. Application for assignment to the special reserve for certain air operators. ..... 32 Article 41. Rights allocation agreement from the special reserve. ................... 32 Additional provisions ................................................ ...... 33 First additional provision. Incorporation of the greenhouse gas emission authorization greenhouse to integrated environmental clearance. .................................. 33 Second additional provision. National Authority for Project-Based Mechanisms of the Kyoto Protocol. ................................................................ ... 33 Third additional provision. Clean development and joint implementation projects. ............ 3. 4 Fourth additional provision. Exclusion of small installations. ................. 3. 4 Fifth additional provision. Reduction of greenhouse gases from activities not subject to the emission rights trading regime. ............................. 36 Sixth additional provision. Compensation of indirect costs. ............................ 36 Seventh additional provision. Practices contrary to free competition, activities related to money laundering or financing of terrorism or market abuse. ...............37 Transitory dispositions ................................................ ...... 37 First transitional provision. Transitional regime for fulfillment of delivery obligations until April 30, 2021. .............................................. ..... 37 Second transitory provision. Use of international credits for the trading period 2013-2020. .......................................................... 37 Page 3 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION Third transitory provision. Transitional regime for aviation during the period 2013-2023. .... 37 Final provisions .................................................. ......... 38 First final provision. Competence titles. .................................... 38 Second final provision. Incorporation of European Union Law................................... 38 Third final provision. Regulatory development. ........................................... 39 Fourth final provision. Entry into force. ......................................... 39 Fifth final provision. Subjects affected by the different provisions of the Law............. 39 ANNEX I. Categories of activities and gases included in the scope of application ................... 39 ANNEX II. Greenhouse gases .............................................. ..41 APPENDIX III ................................................ ................... 41 ANNEX IV ................................................... ................... 45 ANNEX V. Subjects affected by the provisions of the law ................................... 47 Page 4 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION CONSOLIDATED TEXT Last Modified: December 17, 2020 JUAN CARLOS I KING OF SPAIN To all who present, see and understand. Know: That the Cortes Generales have approved and I come to sanction the following law. I Directive 2003/87/CE of the European Parliament and of the Council, of October 13, 2003, which establishes a system for the trading of greenhouse gas emission rights in the Community and which modifies the Directive 96/61/CE, constitutes, within the European Climate Change Program, the most relevant initiative of the European Union (EU) to ensure that the Community and its Member States can fulfill the commitment to reduce greenhouse gas emissions , which they assumed by ratifying the Kyoto Protocol to the United Nations Framework Convention on Climate Change, on May 30, 2002. The regime implemented by the directive is inspired by one of the market instruments provided for in the Kyoto Protocol, emissions trading, which, together with those based on investment projects in clean technology in third countries (clean development and joint application) , constitute the so-called flexibility mechanisms of the Kyoto Protocol. Directive 2003/87/EC indicates among its main objectives those of: a) Help comply with the obligations derived from the Convention and the Kyoto Protocol. b) Be a complementary mechanism to the effort to reduce gas emissions greenhouse effect that must be achieved through internal measures and policies. c) Reduce the costs of reducing emissions, since trade will allow emissions to be reduced in the EU where the lower economic cost entails said reduction. d) Guarantee the proper functioning of the internal market to avoid distortions of the competition that could be generated by the establishment of different national regimes. e) Acquire experience in the operation of emissions trading before the year 2008, when the international emissions trading provided for in Article 17 of the Kyoto Protocol will begin to operate. The purpose of this Law is to transpose the aforementioned directive, and it is justified in the extraordinary and urgent need to meet the following requirements: 1.º In the first place, it is necessary to comply with the application schedule provided for in the directive that requires, among other issues, that all facilities subject to its scope of application have a greenhouse gas emission authorization on January 1 2005, and that the National Registry of Emission Rights is operational on October 1, 2004. 2nd Secondly, companies need to know in good time the obligations to which they will be subject and the investments necessary to meet them. Consequently, given that the system must be in force on January 1, 2005 and that the period necessary for the competent Administration to resolve on the request for authorization is three months, it is essential that the owners of the affected installations know the regime applicable and submit their request for authorization and assignment of rights, no later than September 30, 2004. 3. Thirdly, the emission rights market is configured as an international market, so its implementation must be in line with that of the rest of the countries of Page 5 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION the EU, in order to guarantee that our economic agents participate in it under equal conditions. 4th And, fourthly, the immediate approval of the National Plan for the allocation of emission rights is essential to avoid the occurrence of situations that could be contrary to Community Law on competition, in particular, in the field of aid for State and that could lead to the return by the companies of the benefits unduly received, prior to the appropriate investigation procedures or, where appropriate, infringement. II Chapter I contains the general provisions of the rights trade regime broadcast. The emission rights trading scheme will initially apply to carbon dioxide emissions from facilities that carry out the activities listed in Annex I and exceed the capacity thresholds established therein. The activities listed in Annex I include major emission sources in sectors such as electricity generation, refining, the production and transformation of ferrous metals, cement, lime, glass, ceramics, paper pulp, and paper and cardboard. In the field of energy activities, the scope of application is limited to installations with a nominal thermal power of more than 20 MW, including those of cogeneration linked to any type of activity. In accordance with the provisions of article 27 of Directive 2003/87/EC, the fourth transitional provision contemplates the possibility that the owners of facilities subject to the scope of application of this Law may request their exclusion, when they prove compliance with all the requirements demanded by community regulations. Temporary exclusion must be authorized by the European Commission. Chapter I also includes, in its article 3, the creation of the Climate Change Policy Coordination Commission, a coordination and collaboration body between the General State Administration and the Autonomous Communities, key in the application of the provisions of the regime. emission rights trading. A body with these characteristics is essential given the technical complexity of the emissions authorization and monitoring system and the need to collaborate to ensure consistency in application throughout the territory, both in the activity sectors included in the directive and in the sectors that they are not. To this is added the necessary collaboration in relation to the set of international and community obligations, of information on policies and measures adopted to fulfill the commitments on climate change. III Chapter II regulates the greenhouse gas emission authorization regime. All facilities subject to the scope of application of this Law must have a greenhouse gas emission authorization as of January 1, 2005, which is granted by the competent body designated by the autonomous community in which it is located. The authorization must indicate, together with the most relevant identification data, the emission monitoring methodology, the obligation to send verified information to the competent autonomous body once a year and the obligation to deliver it to the registry, before April 30 of each year. , a number of emission rights equivalent to the data of verified emissions corresponding to the previous year for their cancellation. In addition, the cases of extinction of the authorization are regulated. IV Chapter III contains the regime applicable to authorizations for the grouping of installations. Page 6 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION Thus, facilities engaged in the same activity may, subject to prior authorization from the competent body, be liable for the obligation to deliver rights jointly, provided that their owners grant sufficient power to a single trustee and that the impact of group operation on the internal market does not create distortions in competition. Precisely, the safeguarding of competition advises, given the particularities of the electricity sector and that a large number of installations are concentrated in a few companies, not to authorize the grouping of installations in said sector, during the period 2005-2007. This will favor the transparency of the market and the maintenance of effective competition, in addition to contributing to the effectiveness of the incentives for less emitting technologies that derive from the trading of greenhouse gas emission rights. The authorization will be subject to the opinion of the European Commission, which has a period of three months from receipt of the request to rule on the matter. The trustee of the group of facilities must deliver rights in a number equivalent to the sum of the verified emissions of all the facilities included in the group. In the event that it is not possible to determine the figure corresponding to the sum of the emissions from all the facilities, due to lack of submission of a verified report or discrepancies in the estimate of any facility, the aforementioned administrator may not transfer emission rights corresponding to the installation whose report has not been considered compliant. IN Chapter IV defines the nature and content of the National Allocation Plan, as well as your approval process. The National Allocation Plan is a central piece in the community emission rights trading system. It constitutes the reference framework, valid only for each one of the periods of three and five years established in the directive, in which the total number of emission rights that will be assigned in each period is determined, as well as the applicable procedure for their assignment. It must be based on objective and transparent criteria and also take into account the allegations made through the relevant public information channels. The number of rights assigned must be consistent with the international commitments on greenhouse gas emissions assumed by Spain, the contribution of the facilities subject to the scope of application of this Law to the total national emissions, the forecasts of emission, including the technical and economic possibilities of reducing emissions in all sectors, as well as the forecasts for opening new facilities or expanding existing ones in the sectors included in the scope of application of this Law, during the period of validity of the plan. The plan establishes the individual allocation methodology which, in any case, must avoid the generation of unjustified differences between sectors of activity or between facilities, which imply an advantageous position between sectors or between facilities included in the same activity. It will also have to be coherent with the technical and economic reduction possibilities of each sector, and may take into account both the forecasts for the evolution of production and the reduction measures adopted before the establishment of the emission rights market, respecting articles 87. and 88 of the Constitutive Treaty of the European Community. The plan also includes a reserve for new entrants and the applicable methodology for the assignment of the rights included in said reservation. The reserve for new entrants is made up of the set of rights that the plan initially reserves for facilities whose entry into operation or expansion is scheduled for the period of validity of the plan, as well as the rights previously assigned but not issued corresponding to facilities whose authorization issuance is extinguished for any of the reasons provided for in article 7. In the event that at the end of the period there is a remainder, it may be disposed of in accordance with the provisions of Law 33/2003, of November 3, of the Patrimony of the Public Administrations. Page 7 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION The Law also regulates the individualized allocation of emission rights that will take place, at the request of the interested party, by resolution of the Council of Ministers, at the proposal of the Ministers of Economy and Finance, of Industry, Tourism and Commerce and of the Environment, after consultation. to the Committee for the coordination of climate change policies and processing of public information. Exceptionally, in cases of force majeure appreciated by the European Commission, it will be possible to assign non-transferable rights to the affected installation, in accordance with the provisions of the sixth transitory provision. WE Chapter V contains the regulatory regime for emission rights. The emission right is that subjective right, of a transferable nature, which attributes to its owner the power to emit into the atmosphere, from a facility subject to the scope of this Law, one ton of equivalent carbon dioxide. The emission right is valid only for each of the periods of validity of a National Allocation Plan. They may have their origin in the National Allocation Plan of any Member State of the European Union or in a third country, prior recognition in an international instrument validly signed in accordance with the provisions of Article 25 of Directive 2003/87/EC, or prior recognition of certified emission reductions or emission reduction units from clean development mechanisms or joint application, respectively. This possibility requires compliance with the applicable regulations adopted in the context of the United Nations. Thus, the second and third additional provisions take a first step by creating the designated national authority and the reporting procedure of said authority to clean development and joint implementation projects, in accordance with the provisions of Decisions 16 and 17 of the 7 th Conference of the Parties to the United Nations Framework Convention on Climate Change. This is an essential requirement for Spanish companies to be able to develop projects abroad that are capable of generating certificates that can be incorporated into the community emissions trading system. Article 21, for its part, determines who can participate in a transfer of rights, as well as the impossibility that these operations have non-issued rights as their object. VII Chapter VI regulates the information obligations of the owner of the installation. The owners of the facilities will be obliged to implement and maintain the greenhouse gas emissions monitoring system in accordance with the provisions of the emission authorization. They must also submit to the competent regional body, before February 28, a report on greenhouse gas emissions for the previous year prepared and verified in accordance with the provisions of annexes III and IV and Decision 2004/156. /CE of the Commission, of January 29, 2004, which establishes guidelines for the monitoring and notification of greenhouse gas emissions in accordance with Directive 2003/87/CE of the European Parliament and of the Council. The competent autonomous body must give its approval to the verified report and, in this case, proceed to register in the corresponding registry table the number of verified emissions that allows quantifying the amount of rights whose cancellation the holder must request. VIII Chapter VII contains the regulation of the National Registry of emission rights. The National Registry of emission rights is created, in accordance with the provisions of Directive 2003/87/CE, Decision 280/2004/CE of the European Parliament and of the Council, of February 11, 2004, and the Regulation of the Commission on a standardized and guaranteed national registration regime compatible with the international registration regime, page 8 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION provided for in the Kyoto Protocol to the United Nations Framework Convention on Climate Change. All operations of issuance, ownership, transmission, transfer, delivery, withdrawal and cancellation of emission rights must be registered in the registry that will consist of separate accounts owned by each person to whom they are issued or participate in transmission operations. of rights, including the General Administration of the State, in whose assets account all the emission rights that appear in each National Assignment Plan will be registered. Likewise, the limitations on the transfer of rights must be registered, in the cases provided for in this Law. The Law also regulates the regime for the issuance and transfer of emission rights from the State holding account to the holding account of the installations, both for the usual assumption of existing installations and for those that start operating during the period of validity. of the plan. Said transfer corresponds to the registry and will take place from the holding account of the General State Administration in favor of the owner of the installation or, in the case of a grouping of installations, of the trustee. In the latter case, the total emission rights corresponding to all the facilities included in the group will be transferred to the pool account owned by the administrator. The cancellation of rights may occur at any time at the request of its owner. The owner or the trustee, in the cases of authorized groups, must deliver, before April 30 of each year, a number of emission rights equivalent to the data of verified emissions registered in the registry. In any case, four months after the end of the validity period of the National Allocation Plan, the emission rights valid for that period will expire automatically. Lastly, the relationship between the National Registry and the central administrator designated by the European Commission is regulated, which provides for the information to the National Registry of irregularities in emission rights transmission operations that it detects, in order to provisionally suspend its registration. IX Chapter VIII regulates the sanctioning regime. The Law distinguishes between very serious, serious and minor infractions, and identifies different typical behaviors related to the breach of the obligation to have an emission authorization, of the obligation to deliver emission rights in a number equivalent to the verified emissions and the breach of information obligations. Among the penalties provided for, the fine per ton of carbon dioxide emitted that has not been covered by an emission right in the holder's request for cancellation stands out. In addition, it is expressly indicated that the imposition of sanctions does not exempt from the obligation to deliver rights for a number equivalent to the excess that originated the sanction. X Finally, the first final provision incorporates the modification of Law 16/2002, of July 1, on integrated pollution prevention and control, required by Directive 2003/87/CE. The purpose of this change is to eliminate the imposition of emission limits inherent to the integrated environmental authorization, in what refers to CO2 emissions. Finally, the competency titles included in the second final provision, those provided for in article 149.1.23.ª and 13.ª of the Spanish Constitution, together with full respect for the execution competencies held by the Autonomous Communities in matters of legislation of the environment, require a certain amount of attention due to their special and complex imbrication in this standard. In the first place, this Law is a substantially environmental regulation. Thus, both its objective -to contribute to the reduction of anthropogenic greenhouse gas emissions and its origin -the commitments assumed under the Kyoto Protocol and the directive itself- inevitably give it this character. Page 9 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION Consequently, it is appropriate to invoke article 149.1.23.ª of the Spanish Constitution, which reserves exclusive power for the State to enact basic legislation on environmental protection, without prejudice to the powers of the Autonomous Communities to establish additional protection standards. By virtue of all of the foregoing, emission authorizations, the obligations to monitor emissions, remit information and verification have been regulated as basic legislation on environmental protection, safeguarding the autonomous powers of dictating regulations of development that establish a higher level of protection and, obviously, their powers of execution or management in environmental matters. But, once the foundations of the substantially environmental nature of these aspects have been laid, it cannot be ignored that the mechanism chosen to achieve the objective of reducing emissions, such as the creation of a new emission rights market, has decisive consequences on sectors such as industrial and electrical and affects business decision-making such as investment strategy, production levels, etc. Consequently, in this dimension, the state competence also comes into play to determine the bases of the general planning of economic activity provided for in article 149.1.13.ª In this area, it should be noted that constitutional jurisprudence has admitted that the aforementioned title Competence can cover both state regulations that set the guidelines and global criteria for the organization of specific economic sectors, as well as forecasts of actions or singular measures that are essential to achieve the goals proposed in the organization. Likewise, article 149.1.13.ª, in accordance with constitutional jurisprudence, covers executive actions in relation to practices or activities that may alter free competition and have significance on the supra-autonomous market, as is the case of the grouping of facilities. In this sense, the implementation of the emissions market requires, on the one hand, establishing the bases that govern its operation, and on the other, a series of singular execution measures that guarantee the establishment of homogeneous criteria for the distribution of rights in the entire national territory, so that: a) The number of rights assigned is consistent with the international commitments on greenhouse gas emissions assumed by Spain. b) The emission forecasts for all the sectors included and the assessment of the contribution of the installations to the total national emissions and of the technical and economic possibilities of reducing emissions of the installations in all sectors are carried out in an equitable manner. c) Distortions in competition are avoided, as well as unjustified differences between sectors of activity and between facilities. d) A reserve of emission rights is established in anticipation of the opening of new facilities or expansion of existing ones in any part of Spanish territory. Thus, by virtue of the competences recognized by the competence title of article 149.1.13.ª of the Constitution, the State is empowered to: 1st Establish the bases of the legal regime of emission rights and their trade. 2. The authorization of the group of facilities. 3.º Prepare and approve the National Plan for the allocation of emission rights as a standard through which the planning of the allocation of emission rights throughout the national territory is carried out, as well as the adoption of the methodology for proceed to their individual assignment. The plan, in addition to establishing the global objective of reducing emissions, launches for the first time the emission rights market, whose essential piece is the distribution of such rights among the owners of the installations. 4th Process and resolve the procedures for the allocation of emission rights, an operation that cannot be separated from the National Plan, to the extent that it is necessary to guarantee the adjustment of the global sum of the rights assigned to each Page 10 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION facility with the total amount of rights corresponding to the Spanish State, as well as the homogeneous application of the rights distribution formula contained in the plan, by means of an identical interpretation of its variables, regardless of the territorial location of the facility. 5.º Regulate and manage the National Registry of Emission Rights, which is constituted as a necessary complement to the emission rights market, to the extent that, as established in the Regulation on the standardized and guaranteed regime of national registries approved by the European Union, it must include three accounts owned by the State and register all operations related to the issuance, ownership, transmission, transfer, delivery, withdrawal and cancellation of emission rights. To this must be added that the purely international nature of the emission rights market requires, in order to simultaneously guarantee fluidity and safety in traffic, the existence of a single registry that is managed centrally. In this sense, the registry, in addition to being established as the link with the central authority designated by the European Commission, is called to be integrated into a community network of registries, which must guarantee the performance of operations in real time with a high degree of certainty. . CHAPTER I General disposition Article 1. Purpose and scope of application. The purpose of this Law is to regulate the scheme for trading greenhouse gas emission rights, in order to intensify reductions in the emissions of these gases in an effective manner in relation to costs and in an economically efficient manner. This Law will be applicable to gas emissions included in annex I generated by the activities referred to in said annex. Article 2. Definitions. For the purposes of the provisions of this Law, it shall be understood as: a) Emission right: the subjective right to emit an equivalent ton of carbon dioxide, from a facility or an aircraft that carries out an aviation activity included in the scope of application of this Law, during a given period. b) Issuance: the act by which the corresponding administrator of the European Union Registry incorporates the units or emission rights into the account housed in said registry. c) Transfer: the operation of the Registry that reflects the movement of rights of issuance between different accounts. d) Transmission: the change of ownership of one or several emission rights produced by the registration in the registry of the legal business from which it derives. e) Emission: the release into the atmosphere of greenhouse gases from sources located in a facility or the release, from an aircraft carrying out an activity listed in Annex I, of the gases specified for said activity. f) Greenhouse gases: the gases listed in Annex II and other gaseous components of the atmosphere, both natural and anthropogenic, which absorb and re-emit infrared radiation; g) Authorization for the emission of greenhouse gases: the authorization required of facilities that carry out activities listed in Annex I that give rise to the emissions specified therein. h) Delivery: accounting of an emission right by the owner of an installation or an aircraft operator for the purposes of the verified emissions of his installation or aircraft. i) Installation: any fixed technical unit where one or more activities listed in Annex I are carried out, as well as any other activities directly related to those that have a technical relationship with the activities Page 11 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION carried out in that place and may have repercussions on emissions and pollution. j) Owner of the facility: any natural or legal person who operates or controls the facility either as the owner or under any other legal title, provided that it grants sufficient powers over the technical and economic operation of the facility. k) New entrant: given an assignment period, any installation in which one or more of the activities listed in Annex I is carried out, which has obtained an emission authorization, is considered a new entrant with respect to this assignment period. of greenhouse gases for the first time within a period beginning eighteen months before the start of the allocation period in question and ending eighteen months before the start of the next allocation period. l) equivalent ton of carbon dioxide: one metric ton of carbon dioxide (CO2) or an amount of any other greenhouse gas listed in Annex II with an equivalent global warming potential. m) Joint application project: an investment project that meets the requirements established in article 6 of the Kyoto Protocol to the United Nations Framework Convention on Climate Change. n) Clean development project: an investment project that meets the requirements established in Article 12 of the Kyoto Protocol to the United Nations Framework Convention on Climate Change. ñ) Suppression: definitive elimination of an emission right by its owner without taking it into account for the purposes of verified emissions. o) Emission reduction unit: a unit issued in accordance with Article 6 of the Kyoto Protocol to the United Nations Framework Convention on Climate Change. p) Certified emission reduction: a unit issued in accordance with Article 12 of the Kyoto Protocol to the United Nations Framework Convention on Climate Change. q) Air operator: the natural or legal person who operates an aircraft at the time it performs an aviation activity listed in Annex I or the owner of the aircraft, if the identity of said person is unknown or is not identified by the owner of the aircraft. For these purposes, to determine the air operator, the call sign used for air traffic control will be used. r) Commercial air transport operator: air operator that provides to the public, in exchange for remuneration, regular or non-scheduled air transport services, for the transport of passengers, mail or cargo. Commercial air transport operators are required to hold an Air Operator Certificate (AOC) in accordance with Annex 6 Part I of the Chicago Convention or equivalent certificate. s) Member State responsible for management: it is the Member State responsible for managing the European Union emission allowance trading scheme with regard to air operators. If the air operator has an operating license from the European Union, the Member State responsible for management will be the one that has granted the operating license to said operator. In another case, the Member State responsible for management will be the one for which the highest attributed aviation emissions have been calculated, coming from the flights operated by the air operator during the reference year and which is recorded attributed to that State in the "List of aircraft operators and Member States responsible for the management corresponding to them" referred to in paragraph 6 of Annex I. t) Attributed aviation emissions: emissions from all flights listed among the aviation activities listed in Annex I originating from an aerodrome located in the territory of a Member State or a State of the European Economic Area and from those flights that arrive at that aerodrome from a third country. u) historical emissions from the aviation sector: the arithmetic mean of the annual emissions in calendar years 2004, 2005 and 2006 from aircraft carrying out an aviation activity listed in Annex I. Page 12 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION v) Emissions monitoring plan: the detailed, complete and transparent documentation of the emissions monitoring methodology of a specific facility or air operator, including documentation of data acquisition and processing activities and the control system of emissions. its veracity. w) Combustion: all fuel oxidation, regardless of the use of heat or electrical or mechanical energy produced by this process, and any other directly associated activity, including waste gas washing. x) Electricity generator: an installation that, as of January 1, 2005, has produced electricity to sell it to third parties and in which no activity of Annex I is carried out, with the exception of combustion. y) Cancellation: definitive elimination of an emission reduction unit or certified emission reduction by its owner without counting it for the purposes of verified emissions. z) Withdrawal: accounting of an emission reduction unit or certified emission reduction by a Party to the Kyoto Protocol for the purposes of the notified emissions of said Party. Article 2 bis. Relations of cooperation and collaboration. The General Administration of the State and the autonomous communities will cooperate and collaborate in matters of climate change and will provide each other with the information in their possession, in particular, in relation to the methodologies applicable to the different sectors, with technological improvements and any other that is relevant for the purposes of the authorization of greenhouse gas emissions, the verification of emissions, the individualized allocation of emission rights or in relation to the report on the application of Directive 2003/87/ EC, of 13 December October 2003, provided for in article 21, including the equivalent measures adopted for small installations excluded from the European Union emission rights trading system that have been referred to in said report. The General Administration of the State and the autonomous communities will also cooperate and collaborate in clean development projects and joint application of the Kyoto Protocol to the United Nations Framework Convention on Climate Change. Article 3. Commission for the Coordination of Climate Change Policies. 1. The Climate Change Policy Coordination Commission is created, as a coordination and collaboration body between the General State Administration and the autonomous communities for the application of the emission rights trading regime and compliance with international information obligations. and the European Union inherent to this and, in general, for coordination and collaboration in the following areas: a) Monitoring climate change and adapting to its effects. b) The prevention and reduction of greenhouse gas emissions. c) The promotion of carbon absorption capacity by plant formations. d) Taking into account the criteria established by the National Climate Council, the establishment of the general lines of action of the National Authority Designated by Spain and the criteria for the approval of mandatory reports on voluntary participation in development projects clean and joint application of the Kyoto Protocol to the United Nations Framework Convention on Climate Change. e) The promotion of programs and actions that promote the reduction of emissions in sectors and activities not included in the scope of application of this law. f) The preparation and approval of technical guidelines, recommendations and notes Clarifications for the harmonization of the application of the emission rights regime. g) The development and implementation of a national system for domestic projects. h) Inform the draft laws and royal decrees that are processed within the scope of the emission rights trading regime. Page 13 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION 2. The Commission will be chaired by the head of the Secretary of State for the Environment. The person in charge of the Spanish Climate Change Office will designate the person who performs the duties of secretary of the Commission. The Commission will have the following members: a) By the General State Administration: nineteen members appointed by the competent ministries in matters of environment, energy, economy, finance, industry, tourism, commerce, interior, mobility, education, science, employment, agriculture, fishing, food, public administrations, health, consumption, Agenda 2030 and housing, and a member appointed by the Presidency of the Government. b) A member appointed by each autonomous community. c) A member appointed by each of the cities of Ceuta and Melilla. d) A representative member of the local entities, designated by the association of state level with greater implantation. 3. The Commission shall adopt its own internal operating regulations. Article 3 bis. National Climate Council and Social Dialogue Tables. 1. The National Climate Council will guarantee the participation of trade union, business and environmental organizations in monitoring the application of the emission rights trading regime in terms of its effects on competitiveness, employment stability, social cohesion and environmental coherence. 2. In this regard, the necessary Social Dialogue Tables will be promoted to guarantee the participation of trade union organizations and business associations in monitoring the impact of the application of the emission rights trading system in Spain. CHAPTER II Issuance authorizations Article 4. Installations subject to emission authorization. 1. Any installation in which any of the activities is carried out and which generates the emissions specified in Annex I must have a greenhouse gas emission authorization issued in favor of its owner, except if the installation is excluded from the community regime. in accordance with the fourth additional provision. 2. The greenhouse gas emission authorization will be granted by the competent autonomous body and will have the following content: a) Name and address of the owner of the installation. b) Identification, address of the installation and address for the purposes of notifications. c) A basic description of the installation's activities and emissions. d) An emissions monitoring plan that meets the requirements in accordance with the applicable European Union regulations and the development regulations that are adopted. e) The obligations to supply information, in accordance with the applicable European Union regulations and, where appropriate, with the development regulations. e bis) The obligations on the use of automated systems and data exchange formats to harmonize the communication on the monitoring plan, the annual report on emissions and the verification activities between the owner, the verifier and the competent authorities. f) The obligation to deliver, in the four months following the end of each calendar year, emission rights in an amount equivalent to the total verified emissions of the installation during the previous year. g) Expected date of entry into operation. h) The obligation to open a holder's assets account in the Spanish area of the Registration of the European Union. Page 14 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION 3. The greenhouse gas emission authorization, if requested by its owner, may cover one or more installations, provided that they are located in the same location, have a technical relationship and have the same owner. 4. The greenhouse gas emission authorization will be granted provided that the competent autonomous body considers it accredited that the holder is capable of guaranteeing the monitoring and notification of emissions in accordance with the provisions of paragraphs d), e) and e bis. ) of article 4.2. Once the three-month period has elapsed without express resolution being notified, the interested party may understand that their application has been rejected due to administrative silence. However, the facility may continue to operate provisionally, provided that it has established an emissions monitoring system in accordance with the provisions of this Law until the competent body has expressly resolved. 5. The licensees must keep the emission monitoring plans updated in accordance with European Union regulations and must notify the competent regional body without undue delay of any proposal to modify the monitoring plan. The competent regional body may allow the licensees to update the emission monitoring plans without modifying the authorization. Notwithstanding the foregoing, in the event that said modification is not considered significant in accordance with European Union regulations, the owner of the installation may present the modification of the monitoring plan no later than December 31 of the same year in let it take place Any modification of the emissions monitoring plan considered significant in accordance with the provisions of the European Union regulations will be submitted for approval by the competent regional body. When the competent autonomous body considers that a modification notified as significant by the owner of the installation does not have such consideration in accordance with the provisions of the regulations of the European Union, it will inform the owner of the installation of said circumstance. Article 5. Application for emission authorization. The owner of the facility must address the authorization request to the competent body designated by the Autonomous Community in whose territory the facility is located. The authorization request must contain documentation with the following information: a) Identification and accreditation of being the owner of the installation for the purposes of the provisions of this Law. b) Identification and address of the facility. c) Description of the facility for which authorization is requested, as well as its activities, including the technology used. d) The raw and auxiliary materials used whose use may produce emissions of gases included in annex I. e) The gas emission sources listed in annex I existing in the installation. f) A proposal for an emissions monitoring plan that meets the requirements required by the European Union and national regulations in force at all times. The request will be accompanied by an explanatory summary of the indications specified in the previous paragraph. Article 6. Changes in the installation. The owner must inform the competent body of any project to change the nature, operation, or size of the facility, or those that involve a significant expansion or reduction of its capacity, as well as any change that affects the identity or the domicile of the owner. Where appropriate, in view of the information submitted, the competent regional body will automatically modify the authorization for the emission of greenhouse gases within a maximum period of three months. Article 7. Termination of the authorization. Greenhouse gas emission authorizations will be extinguished in the event of: Page 15 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION a) Closure of the facility. b) Failure to put the facility into operation after three months have elapsed from the date of commencement of activity provided for in the authorization, except for just cause declared by the competent body to grant the authorization. c) In cases of sanction, in accordance with the provisions of article 30.1.a). d) Suspension of the facility's activity for a period of more than one year. Exceptionally, the competent body may delay the termination of the authorization until a maximum period of eighteen months of suspension of the activity has elapsed, in accordance with the provisions of the regulations implementing this law and European Union law. Article 8. Communications to the competent body in matters of registration. The autonomous communities shall communicate to the Spanish Climate Change Office, as the competent body in matters of registration in accordance with article 25.3, the resolutions granting, modifying and terminating the authorizations within a period of ten days from the date of the resolution. CHAPTER III emission rights Article 9. Legal nature of emission rights. 1. The emission right is configured as the subjective right to release into the atmosphere an equivalent ton of carbon dioxide from an aircraft or from a facility included in the scope of application of this law. 2. The original ownership of all the emission rights that are granted free of charge to facilities located in Spanish territory and to air operators whose management corresponds to Spain, and the ownership of the emission rights auctioned, correspond to the General Administration of the State, which will assign, dispose of or eliminate them in accordance with the provisions of this law. 3. The emission right will be transferable. 4. The issuance, ownership, transfer, transmission, delivery and deletion of emission rights must be registered in the Spanish area of the European Union Registry. Article 10. Financial regulations applicable to emission rights. 1. The emission rights and the derivatives thereof are considered financial instruments in accordance with applicable national and European Union regulations. 2. The regulations established at the national and European Union level regarding financial instrument markets and the control of said markets will be applicable to natural or legal persons that operate with emission rights or derivatives on them. Article 11. Transmission of emission rights. 1. The emission rights may be transferred: a) Between individuals or legal entities in the European Union. b) Between the above and natural or legal persons in third States or regional or sub-federal entities of said third States, prior mutual recognition of the rights of the signatory parties under international instrument. 2. The acquisition of emission rights by a natural or legal person who does not have the status of owner of an installation or air operator will require the prior opening of the corresponding account in the Spanish area of the European Union Registry. 3. Emission rights may only be transferred by their holder once issued and transferred to your account in accordance with the provisions of article 26. page 16 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION 4. The transmission will take place at the time of your registration in the Spanish area of the Registration of the European Union. 5. Ownership published by the European Union Registry is presumed to be legitimate and the third party who acquires it from whoever is registered for valuable consideration and without bad faith or gross negligence will not be subject to claim. Article 12. Validity of emission rights. Emission rights issued after January 1, 2013 will be valid indefinitely. Those issued from January 1, 2021 will indicate in which trading period they were issued, and will be valid for issues from the first year of that period onwards. Article 13. Trading periods. 1. The trading periods will have the duration determined by the European Union regulations and may comprise more than one allocation period. 2. The 2021-2030 trading period is divided, in the field of fixed installations, into two allocation periods, these being the following: 2021-2025 and 2026-2030. CHAPTER IV Allocation of emission rights Section 1 Auction Article 14. General principles. 1. The auction is the basic method of allocation, in accordance with the regulations of the European Union. The percentage of emission rights that are auctioned will be that determined by the European Commission in application of the European Union regulations. 2. The auctions will be held in accordance with the regulations of the European Union and will be governed by the principles of freedom of competition, publicity, transparency, non-discrimination and efficiency. In this sense, the auction system will be adjusted to the following criteria: a) It must be ensured that the owners and, in particular, any small or medium-sized company included in the scope of application of this law, have full, fair and equitable access. b) All participants must have access to the same information at the same time and no participant must hinder the development of the auctions. c) The organization and participation in auctions must be efficient from the point of view of from a cost point of view and avoid any unnecessary administrative costs. d) The auction will ensure that small issuers are granted access to the emission rights. 3. The Secretary of State for the Environment is responsible for ensuring that the application and management of greenhouse gas emission rights auctions are carried out in accordance with the provisions of European Union regulations and, in its case, with the implementing regulations of this law. The head of the Secretary of State for the Environment performs the function of auctioneer, in accordance with European Union regulations on auctions. 4. In the event of termination of the electricity generation capacity as a result of additional national measures, the Secretary of State for the Environment may cancel a maximum amount of the emission rights to be auctioned up to reaching the average of the verified emissions of the installation. in question in the five years prior to the cessation of capacity. Said body will inform the European Commission of the planned cancellation in accordance with the regulations of the European Union on auctions. Page 17 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION Article 15. Reports. Within one month after the holding of each auction, the Secretary of State for the Environment will publish a report on its development, in particular detailing the application of the auction rules, fair and free access by all operators , transparency in its resolution, the calculation of prices and the technical and operational aspects of its celebration. Section 2. Temporary free assignment Article 16. Facilities likely to receive temporary free allocation. 1. The sectors exposed to a significant risk of carbon leakage will be those that determined by the European Commission, in accordance with Union regulations. In 2021 and in each subsequent year through 2030, facilities in sectors or sub-sectors exposed to a significant risk of carbon leakage will receive allowances free of charge. The degree of free allocation will in this case reach one hundred percent of the amount determined in accordance with the European Union regulations of a transitory nature for the harmonization of the free allocation of emission rights. 2. For facilities that do not belong to sectors or subsectors exposed to a significant risk of carbon leakage and are eligible for free assignment, the amount of emission rights corresponding to 2021 assigned free of charge will be thirty percent of the amount determined in accordance with harmonized European Union standards. After 2026 and until 2030, and unless otherwise decided in the review carried out under article 30 of Directive 2003/87/EC, of October 13, 2003, this percentage will be reduced each year in the same amount in order to reach a situation in 2030 in which no emission rights are assigned free of charge, with the exception of district heating, which will maintain until 2030 the percentage of thirty percent of the amount determined according to with harmonized European Union standards. 3. Without prejudice to the provisions of the first and second paragraphs of this section, from 2021 emission rights will not be assigned free of charge to electricity generators, capture facilities, pipelines for transport or carbon dioxide storage sites. However, in the case of electricity produced through the combustion of residual gases whose emission in the industrial production process cannot be avoided, by regulation, in accordance with the provisions of the European Union regulations, and provided that said regulations so authorizes it, emission rights will be assigned free of charge to the owners of the waste gas combustion installations or to the owners of the installations of origin of said gases. Emission rights will be assigned free of charge to district heating and high-efficiency cogeneration, as defined in Directive 2012/27/EU of the European Parliament and of the Council, of October 25, 2012, regarding the production of heat or cooling in order to satisfy a justified demand from the economic point of view. In each year, the total allocation to this type of facilities for the production of heat will be adapted in accordance with the rules of the European Union. 4. In accordance with the provisions of the European Union regulations, no right will be assigned free of charge to an installation that has ceased to function, unless the owner of the installation demonstrates to the competent authority that said installation will resume operation. production within a specified and reasonable time. Article 17. Allocation rules. The transitory free allocation methodology will be governed by the European Union regulations of a transitory nature for the harmonization of the free allocation of emission rights, as well as by the implementing regulations of this law that may be established. Page 18 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION Article 18. New entrants. 1. A number of emission rights will be reserved as a free allocation for new entrants in the 2021-2030 period, in accordance with the provisions of European Union regulations. This reserve of new entrants is common and unique for the entire Union and will be governed by its regulations. 2. No rights will be assigned free of charge to any type of production of electricity by new entrants. Article 19. Free individualized allocation of emission rights. 1. The owners of the facilities may request from the Spanish Exchange Office Climate free allocation of emission rights for each allocation period. 2. Regulations will establish the deadline for submitting applications for free allocation of emission rights and, where appropriate, their content, format and the documentation that must accompany it, as well as any other aspect that is considered pertinent, in accordance with the regulations of the European Union. 3. The application for the free allocation of rights must be accompanied by the documentation stating: a) Accreditation of being the owner of the facility and having a greenhouse gas emission authorization. In the event that at the time of the assignment request the holder had requested the corresponding authorization, but this had not yet been granted, he may request assignment by submitting only the authorization request. However, at least eighteen months before the start of the allocation period, the aforementioned authorization must have been obtained and, within a period of one month from obtaining it, it must have been submitted to the Spanish Office for Climate Change. If this is not the case, they will be considered a new entrant in accordance with letter k) of article 2. b) All the installation data that is necessary to calculate its allocation in accordance with the harmonized European Union standards on temporary free allocation and, where appropriate, with the implementing regulations of this law. c) A responsible statement that the facility has all the administrative permits and licenses required by applicable state, regional and local regulations to put the facility into operation. It will not be necessary to provide the data of verified emissions that are already registered in the the Union Registry. In the case of installations that are not yet in operation, the probable date of their start-up will be indicated. 4. The free allocation of emission rights, once the public information process has been carried out, will be adopted by agreement of the Council of Ministers, after consulting the Commission for the Coordination of Climate Change Policies and at the proposal of the Ministries of Economic Affairs and Transformation Digital; of Industry, Commerce and Tourism; and for the Ecological Transition and the Demographic Challenge. Likewise, in order to determine the amount of rights to assign, the corresponding communications with the European Commission and that correspond in accordance with the Union regulations will be substantiated. 5. The agreement will determine the amount of rights allocated during an allocation period and the rights assigned for each year to each facility. After the period of twenty-two months from the assignment request without having notified an express resolution, the interested party may understand that his request has been rejected due to administrative silence. 6. This agreement will be communicated, within ten days from its adoption, to the autonomous communities. 7. The resolutions on the individualized allocation of emission rights will be accessible to the public, under the terms and with the limitations provided for in the regulations governing the right of access to information on environmental matters. CHAPTER V Adjustments and return of the free allocation of emission rights Page 19 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION Article 20. Adjustments in the levels of emission rights assigned free of charge to the facilities. 1. Beginning in 2021, when a facility's activity level, based on assessments based on a two- year moving average, has increased or decreased by more than fifteen percent compared to the activity level initially used for determine the free allocation in the relevant allocation period, the amount of emission rights assigned to said facility will be adjusted, in accordance with the provisions of the European Union regulations. For its adjustment, the verified activity report will be taken into account according to the provisions of article 22.2 in the terms established in the regulations of the European Union and in the regulations implementing this law. 2. The regulations for the period 2021-2030 will specify the circumstances that determine the cessation of the activity or the closure of the installation and the aspects related to the adjustments in the levels of emission rights assigned free of charge to the installations as a result of changes in levels of activity or as a consequence of other circumstances, in accordance with the regulations of the European Union. Article 21. Return of emission rights. 1. The owners of the facilities will proceed to the return of the emission rights that have been transferred in excess or that must be returned. The procedure for its return will be carried out according to the regulations and, in any case, will guarantee a hearing for the owner of the installation. 2. After six months from the date on which the resolution agreeing to return the emission rights that have been transferred in excess or that must be returned without the owner of the installation having proceeded to their return, the Administration may proceed to enforce it in accordance with the procedure established by the Government by royal decree. 3. The right of the Administration to require the owners of the facilities to return the allocation transferred in excess or that must be refunded will prescribe five years from the date on which the transfer of the claimed allocation was made. to the owner's account in the Registry of the Union. The right of the Administration to proceed with the ex officio execution shall prescribe five years from the date on which the resolution agreeing to return the rights transferred in excess or that must be returned is notified. CHAPTER VI Obligations to monitor and report emissions and activity levels for fixed installations and verification of data and accreditation of verifiers Section 1 Obligations to monitor and notify emissions and activity levels for fixed installations Article 21 bis. Monitoring of emissions and activity levels of fixed installations. 1. As of January 1, 2021, emissions monitoring will be carried out based on the emissions monitoring plan included in the greenhouse gas emission authorization approved by the competent regional body, in accordance with the regulations of the European Union. 2. The facilities that have requested free allocation of emission rights will monitor the activity levels of the sub-installations into which each facility is divided based on the methodological monitoring plan approved by the Spanish Office for Climate Change, in accordance with with the regulations of the European Union and the regulations of development of this law. Page 20 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION 3. Aspects related to the monitoring methodological plan and its modifications will be determined by regulation, in accordance with the applicable European Union regulations. Article 22. Notification of information. 1. The owner of the installation must submit to the competent autonomous body, before February 28 of each year, the verified report on the emissions of the previous year, which will be adjusted to what is required in the authorization, according to the provisions of article 4.2. .e) and in part A of annex III. 2. The owner of the facility that has been granted free allocation of emission rights must submit to the Spanish Office for Climate Change, before February 28 of each year, a report on the verified level of activity of the sub-installations into which it is divided. its installation, in the terms established in the regulations of the European Union and in the regulations of development of this law. 3. The minimum content of the reports referred to in sections 1 and 2 shall comply with the provisions of the European Union regulations and those issued in development of this law. These reports must be verified in accordance with the provisions of part A of annex IV and the regulations of the European Union on verification and accreditation, and, where appropriate, in accordance with the regulations implementing this law. Said regulations will be informed by the Commission for the Coordination of Climate Change Policies. The implementing regulations may establish requirements for the licensees of installations to notify the emissions associated with the manufacture of products by large energy-consuming industries that may be subject to international competition and for the information regarding their emissions to be independently verified. . These requirements may refer to the notification of the emission levels for the generation of electricity included in the European Union regime associated with the manufacture of these products. The implementing regulations on monitoring and notification may include requirements on the use of automated systems and data exchange formats to harmonize communication for fixed installations. 4. The information covered by professional secrecy may not be disclosed to any other person or authority except by virtue of the applicable legal, regulatory or administrative provisions. Article 23. Assessment of the verified report on the emissions of the preceding year. 1. If the competent autonomous body gives its agreement to the verified report on the emissions of the previous year described in article 22.1, it will proceed to register before March 31 of the current year the data on emissions of the previous year in the table of verified emissions that for this purpose is enabled in the Spanish area of the Registry of the European Union. 2. If the competent autonomous body disagrees with the verified report, it will notify the owner of the installation of the existence of discrepancies, the proposed resolution of these in order to consider the report satisfactory and, where appropriate, the estimate of emissions. Once the allegations of the owner of the installation have been examined, the competent autonomous body will resolve and enter the data on emissions from the installation in the table of verified emissions set up for this purpose in the Spanish area of the European Union Registry. 3. In the cases in which the owner does not submit the verified report within the period established in article 22.1, the competent regional body will proceed to estimate emissions and register them in the verified emissions table set up for this purpose in the Spanish area. from the European Union Registry the data on emissions from the installation. The process of prior hearing to the owner of the facility will be substantiated in accordance with the provisions of article 82 of Law 39/2015, of October 1, of the Common Administrative Procedure of Public Administrations. 4. The estimation of the emissions data in the cases of sections 2 and 3 of this The article will be carried out in accordance with the required methodology. Page 21 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION 5. The Committee for the Coordination of Climate Change Policies may request that the competent authorities for the exercise of the functions provided for in this article report within their midst on their development. Section 2. Verification of data and accreditation of verifiers Article 24. Data verification. The annual report on emissions data, the report on reference data to request free allocation, the report on new entrant data and the activity level report must be verified in accordance with the European Union regulations that develop Articles 14 and 15 of Directive 2003/87/EC, of October 13, 2003. Article 24 bis. Accreditation of verifiers. The verifiers that carry out the verification activities of article 24 must be accredited in accordance with the requirements established in the regulations of the European Union and, in particular, the Execution Regulation (EU) 2018/2067 of the Commission of December 19, 2018 regarding the verification of data and the accreditation of verifiers in accordance with Directive 2003/87/EC of the European Parliament and of the Council. CHAPTER VII Registration of the European Union and obligations to deliver emission rights Article 25. Register of the European Union. 1. The European Union Registry is the instrument through which publicity and permanent updating of the ownership and control of emission rights and other units, such as emission reduction units or certified emission reductions, is ensured. of the Kyoto Protocol, and is regulated by the regulations of the European Union and by the provisions of this law. 2. The owners of fixed installations and air operators will have the obligation to open a holder's assets account in the Spanish area of the European Union Registry. For these purposes, the resolutions of approval and termination of the emission monitoring plans of air operators will be communicated to the Spanish Office for Climate Change, as the competent body in matters of registration in accordance with the following section, within a period of ten days since its adoption. 3. The European Union Registry will be accessible to the public, under the terms provided in the European Union regulations. The competent body in relation to the Spanish area of the European Union Registry will be the Spanish Office for Climate Change of the Ministry for the Ecological Transition and the Demographic Challenge. This Office will exercise its powers in relation to the activity of the holding accounts of the facilities located in Spanish territory, of the air operators whose management corresponds to Spain, and of the accounts of natural and legal persons that have been opened in the Spanish area. of the European Union Registry after a request addressed to it, without prejudice to the competence held by the autonomous communities in relation to the registration of data on verified emissions from fixed installations. 4. The purpose of the European Union Registry will be the registration of all operations related to the issuance, ownership, transmission, transfer, delivery, suppression, withdrawal, and cancellation of emission rights, emission reduction units and of the certified emission reductions, as well as the constitution of real rights or other types of liens on them, to the extent that this is contemplated by the regulations establishing and regulating the European Union Registry. Likewise, it will register the suspension of the capacity to transmit the aforementioned units in the cases provided for in article 26 bis, as well as in the rest of the cases that are provided for by the regulations of the European Union of development. page 22 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION 5. The rules of organization and operation of the Spanish area of the European Union Registry will be developed by royal decree, in accordance with the provisions of the European Union regulations establishing and regulating the European Union Registry. Article 26. Issuance of emission rights. 1. Each year, the Spanish Office for Climate Change will notify the European Commission of the amount of emission rights that must be issued that year, in accordance with articles 14, 19, 38 and 41, both for fixed installations and for the sector of the aviation. 2. Before February 28 of each year, the Spanish Climate Change Office will propose to the central administrator of the European Union Registry the automatic execution of the transfer, from the allocation account of the European Union corresponding to the assets account of each holder and air operator, for the amount of emission rights granted free of charge that correspond to them in accordance with the agreements referred to in articles 19.5, 38.5 and 41. 3. However, the transfer referred to in section 2 will not be proposed on February 28 of each year when any of the circumstances established in the applicable European Union regulations and in the development regulations of this law occur. . 4. The transfer referred to in section 2 may not be proposed on February 28 of each year in the event that the transfer of the allocation from previous years has been executed and, subsequently, it is known that there is a decrease in activity that implies a reduction in the free allowance granted for said year and until the moment in which the holder of the holding account of the installation makes the return of the excess of transferred emission rights. 5. The transfer referred to in section 2 may not be proposed on February 28 of each year when the monitoring methodological plan does not meet the requirements established by law. 6. The transfer of emission rights granted free of charge to new entrants will take place in accordance with the regulations of the European Union and, where appropriate, with the regulations implementing this law, and in any case after communication from the community autonomously to the Spanish Climate Change Office that the facility has been put into operation. Article 26 bis. Suspension of emission rights transmission operations. 1. In the cases provided for in sections 2 and 3 of article 23, the holder may not transfer emission rights until the data on emissions has been registered by the competent autonomous body. 2. In the cases provided for in sections 2 and 3 of article 36 ter, the air operator may not transmit emission rights until the data on emissions is registered by the Ministry for the Ecological Transition and the Demographic Challenge. Article 27. Deletion and delivery of emission rights. 1. The Spanish Office for Climate Change will take the necessary measures so that the emission rights may be withdrawn at any time at the request of their holder. 2. Before April 30 of each year, the licensees of the facilities and the air operators must deliver a number of emission rights equivalent to the verified emissions data registered in accordance with the provisions of articles 23 and 36 ter. The delivery will determine the transfer of rights from the holding account of the owner of the facility or the air operator and will be reflected in the tables of delivery of rights and compliance status. 3. There will be no obligation to deliver allowances for emissions whose capture is verified and that have been transported for permanent storage to a facility with a valid authorization in accordance with current legislation on geological storage of carbon dioxide. 4. In order to comply with the obligations set forth in section 2, the owners of fixed installations and air operators included in the rights trading system Page 23 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION may not deliver emission rights issued by a Member State in respect of which there are obligations that are extinguished for the owners of fixed installations and aircraft operators, as a result of the notification of withdrawal from the Union of said Member State in accordance with the provisions in article 50 of the Treaty of the European Union. Article 28. Relationship of the Spanish area of the European Union Registry with the central administrator. When the central administrator entrusted by the European Commission with the management function of the European Union Registry informs the Spanish Office for Climate Change of irregularities that it has detected in relation to any emission rights transfer operation, the registration will be provisionally suspended. of the affected operation, as well as any other in which the corresponding emission rights are involved, until the detected irregularities have been resolved. CHAPTER VIII Sanctions regime Article 29. Classification of offenses for fixed installations. 1. For the purposes of this law, and taking into account the provisions of regional legislation and European Union regulations, without prejudice to criminal, civil or other administrative responsibilities that may arise, administrative offenses are classified as very serious, serious and minor. 2. The following are very serious administrative offenses: 1. Carry out the activity without the mandatory authorization for the emission of greenhouse gases. 2nd Failure to comply with the obligation to report on the modification of the nature, operation or size of the installation, established in article 6, whenever it involves significant changes in the emissions data or requires changes in the applicable methodology to comply with the obligations. monitoring provided for in article 4.2.d). 3rd not presenting the verified annual report of emissions required in article 22.1. 4th Intentionally concealing or altering the information required in article 19.3 or failing to comply with the obligation to inform, under article 6, of changes in the facility that could have an impact on determining the volume of assigned rights. 5. Failure to comply with the obligation to deliver rights required in article 27.2 or, in the case of facilities excluded from the emission rights trading scheme, failing to comply with the mitigation measure equivalent to that provided for participation in the emission trading scheme. emission rights defined by regulation. 6th Prevent the access of the verifier to the installation sites in the cases in which he is empowered by annex IV of this law and its implementing regulations. 7th Failure to provide the necessary information for the verification procedure. 8. Failure to submit the verified level of activity report required in article 22.2. 9. Failure to present the modification of the monitoring methodological plan in accordance with the provisions of the regulatory development of this law, when said modification has an impact on the determination of the volume of assigned rights. 10. Failure to comply with the obligation to return the free rights transferred in excess once the resolution ordering the return has become final. 3. The following are serious administrative offences: 1. Intentionally hiding or altering the information required in articles 5 and 6. 2nd Failure to comply with the obligation to report on the change of identity or address of the holder established in article 6. 3rd Failure to comply with the conditions for monitoring the emissions established in the authorization when such non-compliance results in changes in the emissions data. Page 24 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION 4th Failure to comply with the regulations governing the verified annual reports on emissions, provided that this implies alteration of the emissions data. 5th Failure to comply with the regulatory standards of the verified activity level report, always that implies alteration of the activity level data. 6. Not presenting the modification of the monitoring methodological plan in accordance with the provisions of the regulatory development of this law, when said modification is considered important in accordance with the regulations of the European Union and does not have an impact on the determination of the volume of assigned rights. 4. The following are minor administrative infractions: 1st Failure to comply with the emission monitoring conditions established in the authorization when said non-compliance does not result in changes to the emission data. 2. Failure to comply with the regulations governing the verified annual reports on the emissions, provided that it does not imply alteration of the emissions data. 3rd Failure to comply with the regulatory standards of the verified activity level report, always that does not imply alteration of the activity level data. 4. Not presenting the modification of the monitoring methodological plan, in accordance with the provisions of the regulatory development of this law, when said modification is not considered significant in accordance with the regulations of the European Union. 5. Breaching any other obligations established in this law when said breach has not been classified as a very serious or serious administrative offense in the preceding sections. Article 29 bis. Typification of infractions for aviation. 1. For the purposes of this law, and taking into account the provisions of European Union regulations, without prejudice to criminal, civil or other administrative responsibilities that may arise, administrative offenses in aviation matters are classified as serious. , very serious and mild. 2. The following are very serious administrative infractions: 1st Failure to submit the verified annual report required in article 36 bis section 1. 2. Hide or intentionally alter the information required in articles 38 and 40. 3rd Failure to comply with the obligation to deliver rights required in article 27.2. 4th Not providing the necessary information for the verification procedure. 5th Failure to comply with the obligation to submit the emissions monitoring plan. 3. The following are serious administrative offences: 1. Hide or intentionally alter the information required in article 36. 2. Failure to comply with the emission monitoring conditions established in the monitoring plan, when said non-compliance results in changes in the emission data. 3rd Failure to comply with the regulations governing verified annual reports, provided that involves alteration of emissions data. 4. The following are minor administrative infractions: 1. Failure to comply with the monitoring conditions of the emissions established in the monitoring plan when such non-compliance does not lead to changes in the emissions data. 2. Failure to comply with the regulations governing the verified annual reports, provided that they are not imply alteration of the emissions data. 3. Failure to comply with any other obligations established in this law, when such thing has not been classified as a very serious or serious administrative offense in the preceding sections. Article 30. Sanctions. 1. The offenses classified in sections 2, 3 and 4 of article 29 will give rise to the Imposition of all or some of the following sanctions for fixed installations: Page 25 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION a) In the case of a very serious infraction: 1st Fine from 15,001 to two million euros. 2. Temporary total or partial closure of the facilities for a maximum period of two years. 3rd Termination of the authorization or its suspension for a minimum period of one year and a maximum of two. 4.º In the cases provided for in article 29.2.5.º, a fine of 100 euros for each tonne emitted in excess and the publication, through the means that the competent authority deems appropriate, of the sanctions imposed once these have become firm, as well as the names, surnames or business name of the natural or legal persons responsible and the nature of the infractions. b) In the case of serious infraction: 1st Fine from 5,001 to 15,000 euros. 2nd Suspension of the authorization for a maximum period of one year. c) In the event of a minor offence: a fine of up to 5,000 euros. 2. The offenses typified in sections 2, 3 and 4 of article 29 bis will give rise to the Imposition of all or some of the following sanctions for air operators: a) In the case of a very serious offence: 1st Fine from 15,001 to two million euros. 2.º In the cases provided for in article 29.2.3.º, a fine of 100 euros for each tonne emitted in excess and the publication, through the means that the competent authority deems appropriate, of the sanctions imposed once these have become firm, as well as the names, surnames or business name of the natural or legal persons responsible and the nature of the infractions. b) In the case of serious infraction: fine from 5,001 to 15,000 euros. c) In the event of minor infraction: fine of up to 5,000 euros. 3. The payment of the fine referred to in sections 1.a).4.º and 2.a).2.º will not exempt the owner of the installation or air operator from delivering an amount of emission rights equivalent to that of the emissions in excess, at the time of delivering the emission rights corresponding to the calendar year following the commission of the infraction. The penalty for excess emissions in relation to emission rights issued after January 1, 2013 will increase in accordance with the European Consumer Price Index. Article 31. Prohibition of exploitation of air operators. 1. In the event that an air operator whose management corresponds to Spain does not comply with the requirements of this Law and that other coercive measures have failed to guarantee compliance, the General State Administration, after consulting the Commission for the coordination of climate change, it may request the European Commission to decide to prohibit the operation of the affected air operator. For these purposes, the State Aviation Safety Agency may request the adoption of this measure. 2. Air operators affected by a decision of the European Commission that imposes a ban on exploitation, they will not be able to operate in Spanish territory. The State Aviation Safety Agency will ensure the application of this security measure. in accordance with the provisions of Law 21/2003, of July 7, on Aviation Safety. 3. The European Commission, and also the Climate Change Policy Coordination Commission, shall be informed of the measures adopted by Spain to apply the decisions prohibiting exploitation that have been adopted. Page 26 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION Article 32. Graduation of sanctions. 1. In the imposition of the sanctions, due adequacy must be maintained between the seriousness of the fact constituting the infraction and the sanction applied, with special consideration of the following criteria: a) The existence of intentionality. b) Recidivism due to the commission of more than one infraction typified in this Law, when so it has been declared by firm resolution. c) The benefit obtained from the commission of the offense. d) The difference between actual and reported emissions. e) The difference between the real activity level and the one notified under article 22.2. 2. The established criteria will be taken into account to graduate the sanction that is imposed within the interval corresponding to each type of infraction. 3. The infringements classified in article 29.3 will not give rise to the sanction of suspension of the authorization provided for in article 30.b). 2nd when the infringement has been corrected on its own initiative. 4. In any case, the temporary closure, total or partial, of the facilities will be agreed without prejudice to the payment of wages or compensation to the workers that proceed and the measures that may be arbitrated for its guarantee. 5. When the amount of the fine is less than the benefit obtained by the commission of the infraction, the fine may be increased up to double said benefit. Article 33. Concurrence of sanctions. When, due to the same facts and legal grounds, the offender could be sanctioned in accordance with this Law and another or other applicable laws, the most serious of the possible sanctions will be imposed. Article 34. Provisional measures. When a sanctioning procedure has been initiated for a very serious or serious infraction, and if necessary to ensure the effectiveness of the resolution, the competent sanctioning body may agree on one or more of the following provisional measures for fixed installations: a) Temporary, partial or total closure of the facilities, only in the case of proceedings initiated for very serious offences, and taking into account the provisions of article 32.4. b) Sealing of devices or equipment. c) Temporary suspension of the authorization for the emission of greenhouse gases. d) Suspension of access to the accounts of the European Union Registry. e) Suspension of the transfer of the free allocation of emission rights that it had recognised. The provisional measures provided for in sections d) and e) may also be agreed upon for air operators when a disciplinary procedure has been initiated for a very serious or serious infraction. Article 35. Sanctioning power. 1. With regard to fixed installations, the autonomous communities exercise the power to penalize, with the exception of the offenses provided for in articles 29.2.4.º, 8.º, 9.º and 10.º; 29.3.5.º and 6.º and 29.4.3.º and 4.º, in which the exercise of the sanctioning power will fall on the General State Administration. 2. The head of the Secretary of State for the Environment shall exercise sanctioning power over air operators, following a report from the State Aviation Safety Agency. Page 27 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION Article 35 bis. Specialties of the sanctioning administrative procedure in matters of competence of the General Administration of the State. 1. In the matters attributed by this law to the General State Administration, the competent body for the initiation of the procedure will be the Spanish Office for Climate Change. Prior to the initiation of the procedure, preliminary actions may be carried out, the competence of which will fall to the Spanish Office for Climate Change, which may collect the pertinent information from bodies of different Administrations. 2. The instruction of the procedure will fall to an official of the Spanish Climate Change Office appointed for this purpose in the agreement to initiate the procedure. Likewise, if the complexity of the procedure so requires, a different official from the same body may be appointed as secretary. 3. The resolution of the sanctioning procedure, in the cases provided for in article 35 of the competence of the General State Administration, will fall on the head of the Secretary of State for the Environment, with the exception of the offense typified in article 29.2.4 .º, on which the Council of Ministers will decide, following a report from the State Attorney's Office. 4. A period of one year is established, counting from the date of the initiation agreement, to dictate the resolution of the procedure and notify the interested party of the resolution that puts an end to it. 5. In matters not provided for in this article and in relation to the resource regime, the sanctioning administrative procedure of application of this law will be governed by the provisions set forth in Law 39/2015, of October 1, of the Common Administrative Procedure of Public Administrations, as well as in the principles of the sanctioning power included in chapter III of Law 40/2015, of October 1, on the Legal Regime of the Public Sector. CHAPTER IX Aviation Article 36. Monitoring plans. 1. Air operators must have a monitoring plan that establishes measures to monitor and notify their annual emissions data and transported tonne-kilometres. 2. At least four months before the start of the first notification period, air operators must submit monitoring plans to the Ministry of Transport, Mobility and Urban Agenda. The monitoring period for tonne-kilometre data shall be limited to the calendar year ending 24 months before the start of each trading period. 3. It will correspond to the Ministry for the Ecological Transition and the Demographic Challenge, following a report from the Ministry of Transport, Mobility and Urban Agenda, to approve, in accordance with the criteria established in the regulations of the European Union and in the regulatory developments of this law that in where appropriate, the monitoring plans on emissions data and tonne-kilometres transported submitted by air operators before the start of the reporting period are adopted. The report from the Ministry of Transport, Mobility and Urban Agenda must be issued within a maximum period of two months from the presentation of the plan. The Secretary of State for the Environment will inform the Commission for the Coordination of Climate Change Policies of the approved monitoring plans. 4. The air operator must regularly review the approved monitoring plan and, in in any case, before the beginning of each trading period. Any modification of the monitoring plan must be submitted to the Ministry of Transport, Mobility and Urban Agenda for its report and subsequent approval by the Ministry for the Ecological Transition and the Demographic Challenge. When the Ministry for the Ecological Transition and the Demographic Challenge considers that the modification of the presented plan is not significant in accordance with the regulations of the European Union and does not require approval, it will inform the air operator of said circumstance. the air carrier Page 28 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION will keep a record of all changes to the monitoring plan in accordance with the regulations of the European Union. 5. Emission monitoring plans will be terminated in the following cases: a) Opening of the liquidation phase in insolvency proceedings if the dissolution of the legal person had not been previously agreed, or extinction of the legal personality. b) Definitive loss of the certificates or licenses required to operate. Article 36 bis. Notification of air operator emissions. 1. The air operator must submit to the Ministry of Transport, Mobility and Urban Agenda, before February 28, the verified report on the emissions data produced during the previous year, which will comply with the requirements of the monitoring plan, in accordance with the provisions of article 36, and part B of annex III. The minimum content of the verified report on emissions will be determined by the regulations of the European Union on notification and monitoring of emissions and, where appropriate, by the implementing regulations of this law. The report must be verified in accordance with the provisions of annex IV and the regulations of the European Union on verification and accreditation, and, where appropriate, with the regulations implementing this law. Said regulations will be informed by the Commission for the Coordination of Climate Change Policies. The implementing regulations on notification and monitoring may include requirements on the use of automated systems and data exchange formats to harmonize communication on the monitoring plan, the annual report on emissions data and verification activities between the owner, the verifier and the competent authorities. 2. The air operators referred to in annex I that begin to carry out an aviation activity listed in annex I after February 1, 2009, will prepare the report on emissions for the first year of activity using the Provisions regarding data gaps foreseen in the Union regulation on monitoring and reporting of emissions. The obligations set forth in this section shall apply to issues that take place after January 1, 2010. 3. Air operators that, in accordance with the criteria established in the applicable European Union regulations and, where appropriate, the regulatory developments of this law, are considered small emitters may use the simplified monitoring and notification procedures that are foreseen. in the aforementioned regulations. Likewise, simplified procedures for air operators may be applied provided that said procedures do not provide less accuracy than that provided by the instrument for small issuers in the cases provided for in European Union regulations. 4. When, in accordance with the definition of the aviation activity included in the table of annex I, an air operator stops carrying out aviation activities included in the scope of application of this law, it must send a communication to the Ministry of Transport, Mobility and Urban Agenda in which this circumstance is accredited. Within a month, the Ministry of Transport, Mobility and Urban Agenda will respond by informing that it has no objections, or, if it did, indicating what they are. When a new operator that appears attributed to Spain in the "List of aircraft operators and Member States responsible for the management that corresponds to them" referred to in section 6 of Annex I does not carry out activities included in the scope of application of this law, shall proceed in accordance with the provisions of the preceding section. 5. Information covered by professional secrecy may not be disclosed to any other person or authority except as provided by law or regulation. Page 29 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION Article 36 ter. Assessment of the verified report on the emissions of the previous year of the air operators. 1. If the Ministry of Transport, Mobility and Urban Agenda issues a favorable report regarding the report on the verified emissions data presented by an air operator, it will notify the Ministry for the Ecological Transition and the Demographic Challenge so that it proceeds to register, before March 31, the data on emissions from the previous year in the table of verified emissions that is enabled for this purpose in the Spanish area of the European Union Registry. 2. If the Ministry of Transport, Mobility and Urban Agenda disagrees with the verified report, it will notify the air operator of the existence of discrepancies, the proposed resolution of these in order to consider the report satisfactory and, where appropriate, the emission estimate. Once the allegations of the air operator have been examined, the Ministry of Transport, Mobility and the Urban Agenda will resolve and request the Ministry for the Ecological Transition and the Demographic Challenge to register, in the verified emissions table set up for this purpose in the registry, the data on emissions of the air operator. 3. In the cases in which the air operator does not submit the verified report within the period established in article 36 bis, the Ministry for the Ecological Transition and the Demographic Challenge, at the request of the Ministry of Transport, Mobility and Urban Agenda, will proceed to the estimation of emissions and will register in the verified emissions table set up for this purpose in the Spanish area of the European Union Registry the data on the air operator's emissions. 4. The estimation of the emissions data in the cases of sections 2 and 3 will be carried out in accordance with the required methodology. The estimation of the emissions data from aviation activities will be carried out by applying the provisions relating to data gaps provided for in the European Union regulations on monitoring and notification of emissions on the activities carried out by the air operator. 5. The Committee for the Coordination of Climate Change Policies may request that the competent authorities for the exercise of the functions provided for in this article report within their midst on their development. Article 37. Total amount of rights for the aviation sector. The emission rights of each trading period will be assigned to aircraft operators in accordance with the provisions of the following articles. The total amount of emission rights issued for the aviation sector in the European Union as a whole will be determined by the European Commission in accordance with Union regulations. Article 38. Assignment of emission rights to air operators. 1. For each of the trading periods defined in article 13, each air operator may request the allocation of free emission rights, in accordance with the provisions of European Union regulations. 2. Said request will be submitted to the Ministry for the Ecological Transition and the Demographic Challenge. The deadline for submitting the application for each trading period, its content and the documentation that must accompany it will be determined by regulation. The request shall consist of the verified tonne-kilometre data for the aviation activities listed in Annex I performed by that air operator in the monitoring year for allocation of a trading period. For the purposes of the preceding paragraph, the follow-up year for the allocation of a trading period will be the calendar year ending twenty-four months before the start of the trading period. The Ministry for the Ecological Transition and the Demographic Challenge will forward the allocation requests received to the Ministry of Transport, Mobility and Urban Agenda, which may issue a report on said requests within a period of one month from the receipt of the request. Page 30 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION 3. The Ministry for the Ecological Transition and the Demographic Challenge will send to the European Commission the allocation requests received accompanied by the report that, if applicable, had been issued by the Ministry of Transport, Mobility and Urban Agenda, in accordance with the provisions of the regulations of the European Union. 4. The allocation to air operators will be based on the parameters that, in accordance with European Union regulations, are determined by the European Commission at least fifteen months before the start of each trading period. Said parameters son: a) The total amount of emission allowances that will be allocated for that trading period. b) The number of emission rights to be auctioned in that trading period. c) The number of emission rights in the special reserve for air operators in that trading period. d) The number of emission rights that must be assigned free of charge in that trading period, subtracting the number of emission rights contemplated in letters b) and c) from the total amount of emission rights on which the decision has been made. refers to letter a), and e) The reference value that will be used to allocate emission rights free of charge to air operators that have submitted an allocation request in accordance with section 2. 5. The allocation of emission rights, once the public information process has been carried out, will be adopted by agreement of the Council of Ministers, after consulting the Commission for the Coordination of Climate Change Policies, and at the proposal of the Ministries of Economic Affairs and Transformation Digital; Transport, Mobility and Urban Agenda; and for the Ecological Transition and the Demographic Challenge. Said agreement must be adopted and published within a period of three months from the date of adoption of the decision of the European Commission referred to in section 4. 6. The agreement of the Council of Ministers regarding the allocation of emission rights will determine: a) The total rights assigned for the trade period in question to each air operator that has requested assignment, which will be determined by multiplying the verified ton-kilometres that appear in their application by the reference value indicated in letter e) of section 4. . b) The emission rights assigned to each air operator for each year, which will be determined by dividing the total emission rights assigned for the trading period in question, calculated in accordance with letter a), by the number of years of the period in which that air operator is carrying out an aviation activity listed in Annex I. Those applicants who are not included in the list of operators with rights to Assigned issuers must understand that their request has been rejected. 7. The allocation agreement will be communicated, within ten days from its adoption, to the Spanish Office for Climate Change. 8. The resolutions on the individual allocation of emission rights to air operators will be accessible to the public, under the terms and with the limitations provided for in the regulations governing the right of access to information on the environment. Article 39. Special reserve for certain air operators. 1. Three percent of the amount of emission rights that must be assigned to air operators at the European Union level for the trading periods established in article 13 will be allocated to a special reserve for air operators: a) That they begin to develop an aviation activity of those contemplated in Annex I once the follow-up year has elapsed for the assignment of a trading period. Page 31 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION b) Whose data on tonne-kilometres increase on average more than eighteen percent per year between the year of monitoring for the allocation of a trade period and the second calendar year of said trade period. 2. The activities described in the previous section will not represent in whole or in part a continuation of an aviation activity previously carried out by another air operator. 3. The management of the special reserve will be carried out in accordance with the regulations of the European Union and, where appropriate, in the regulations implementing this law. Article 40. Request for allocation to the special reserve for certain air operators. 1. Air operators that meet the criteria established in the previous article may request free allocation of emission rights from the special reserve. Allocation requests will be sent in electronic format to the Spanish Climate Change Office of the Ministry for Ecological Transition and the Demographic Challenge before June 30 of the third year of the trading period to which the request in question refers, and must: a) Provide data on tonne-kilometres, verified in accordance with Part B of Annexes III and IV, in relation to the aviation activities listed in Annex I carried out by the air operator in the course of the second year of the trading period to which the requests refer. b) Provide evidence that the criteria for obtaining emission rights are met in accordance with article 39, and c) In the case of air operators referred to in letter b) of article 39.1, declare: 1st The percentage increase in tonne-kilometres made by the air operator between the year of monitoring for the allocation in a trading period referred to in article 13 and the second calendar year of said period, 2nd The absolute growth in tonne-kilometres carried out by the air operator between the year of monitoring for the allocation in a trading period referred to in article 13, and the second calendar year of said period, and 3. The absolute growth in tonne-kilometres that exceeds the percentage indicated in letter b) of article 39.1, carried out by the air operator between the year of monitoring for the allocation in a trading period referred to in article 13, and the second calendar year of said period. The Ministry for the Ecological Transition and the Demographic Challenge will send the allocation requests received to the Ministry of Transport, Mobility and Urban Agenda, which must issue a report on the operators' compliance with the criteria for requesting allocation of the special reserve in a period of three months from the receipt of the request. 2. The Ministry for the Ecological Transition and the Demographic Challenge, before December 31 of the third year of the trade period in question, will send to the European Commission the requests for allocation of the special reserve received together with the report on compliance with the criteria of article 39. Article 41. Rights assignment agreement from the special reserve. 1. The resolution of the allocation of emission rights of the special reserve, once the public information process has been carried out, will be adopted by agreement of the Council of Ministers, after consulting the Commission for the Coordination of Climate Change Policies, and at the proposal of the Ministries of Economic Affairs and Digital Transformation; Transport, Mobility and Urban Agenda; and for the Ecological Transition and the Demographic Challenge. 2. The agreement of the Council of Ministers regarding the allocation of emission rights will determine: Page 32 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION a) The allocation of special reserve emission rights to any air operator whose application has been submitted to the European Commission in accordance with article 40.2, which will be calculated by multiplying the reference value established by the European Commission, before June 30 of the fourth year of the trading period in question, by: 1.º In the case of air operators to which letter a) of article 39.1 is applicable, the tonne- kilometres included in the applications submitted to the European Commission in accordance with article 40, 2nd In the case of air operators to which letter b) of article 39.1 is applicable, the absolute growth in tonne-kilometres that exceeds eighteen percent and that has been indicated in the applications submitted to the European Commission under article 40, and b) The allocation of emission rights to each air operator for each year, which will be calculated by dividing its allocation of emission rights in accordance with letter a) by the number of full calendar years remaining in the trading period to which the allocation corresponds. 3. With regard to the operators who receive allocation from the special reserve, the agreement will be adopted and published within a maximum period of three months after the date of adoption of the reference value established in letter a) of the previous section. 4. Assignments to an air operator by virtue of letter b) of article 39.1, shall not exceed 1,000,000 emission rights. 5. The emission rights of the special reserve that have not been assigned will be auctioned in accordance with the provisions of article 14. First additional provision. Incorporation of the greenhouse gas emission authorization to the integrated environmental authorization. The content of the greenhouse gas emission authorization may be incorporated into the integrated environmental authorization regulated in the revised text of the Integrated Pollution Prevention and Control Law approved by Royal Legislative Decree 1/2016, of December 16, in the conditions determined by the autonomous communities. Second additional provision. National authority of the mechanisms based on projects of the Kyoto Protocol. 1. A commission is created that will act as the Designated National Authority for the mechanisms based on projects of the Kyoto Protocol, with the following functions: a) Issue the mandatory reports on voluntary participation in clean development and joint application projects, in accordance with the provisions of current international and European Union regulations. b) Act as a focal point for Spain in the relationship with the national authority designated by other countries for the promotion and development of clean development projects and joint application. c) Submit an annual report on the actions carried out during the previous year to the Government Delegate Commission for Economic Affairs and the Climate Change Policy Coordination Commission. 2. The Designated National Authority will promote the signing of agreements with the autonomous communities in order to promote and facilitate the development of mechanisms based on projects of the Kyoto Protocol to the United Nations Framework Convention on Climate Change. 3. The commission will be made up of a member of the Presidency of the Government and two members with the rank of deputy director general appointed by the heads of the competent ministries in matters of foreign affairs, European Union, cooperation, economy, industry, tourism, trade, environment and energy, and by a representative of the competent autonomous communities elected in the manner agreed upon by them. Page 33 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION The presidency of the commission corresponds to the person in charge of the Secretary of State for the Environment. The secretariat of the commission will be entrusted to an official of the Spanish Office for Climate Change who, if he does not have the status of member, will attend the meetings with voice and without vote. 4. The commission will be governed by the provisions of the preliminary title, chapter II, section 3 of Law 40/2015, of October 1, on the Legal Regime of the Public Sector. Third additional provision. Clean development and joint implementation projects. 1. The promoters of clean development and joint application projects that, in accordance with the provisions of international and European Union regulations, must have a report from the National Designated Authority by Spain, will submit an application accompanied by a copy of the project and its technical description. 2. The Designated National Authority must analyze the project within a maximum period of two months, and issue a report based on the technical and environmental criteria established in international and European Union regulations, in particular, in Decisions 16 and 17/CP .7 of the Conference of the Parties to the United Nations Framework Convention on Climate Change. 3. The use of mechanisms based on projects to comply with the quantified obligations assumed by Spain will give priority to projects in the field of energy efficiency and renewable energies. 4. To facilitate the development of project-based mechanisms, the autonomous communities may create centers that collaborate with the National Authority in the following areas: a) Facilitate knowledge of the alternatives available to the different actors local economics to assess the costs and benefits. b) Work with potential market participants to increase their capacity and to facilitate knowledge of the modalities of the project-based mechanisms of the Kyoto Protocol. c) Edit material on project-based mechanisms and serve as a point of reference Contact for project promoters. d) Promote the exchange of knowledge between different regions. e) Know and apply programs of the European Union, the United Nations or other multilateral organizations. f) Make it easier for economic actors to define and develop innovation in methodology. g) Facilitate and coordinate the interests of companies at different times in a project-based mechanism. h) Promote collaboration between the public sector and the private sector in this matter. i) Carry out a prior assessment in relation to the projects presented by companies located in the territorial scope of the autonomous community, and propose them, where appropriate, to the Designated National Authority for the purposes of the provisions of section 1.a) of the second additional provision. Fourth additional provision. Exclusion of small installations. 1. The competent autonomous body may agree, following a favorable report from the Ministry for the Ecological Transition and the Demographic Challenge, the exclusion, from January 1, 2021 and until December 31, 2025, of the facilities located in the territory of their autonomous community that are considered small emitters or are hospitals, when the respective owners of the facilities have requested it and have accredited compliance with the requirements established in this section. For the purposes of the provisions of this additional provision, small emitters will be installations that have notified the competent authority of emissions of less than 25,000 equivalent tons of carbon dioxide, excluding biomass emissions, for each of the three years preceding the allocation request referred to in article 19, and that, when carrying out combustion activities, have a nominal thermal power of less than 35 MW. Page 34 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION Regulations will establish the deadline for submitting requests for exclusion and any other aspect that is considered pertinent, in accordance with the regulations of the European Union. The request for exclusion must be submitted to the competent body designated by the autonomous community. It will be accompanied by supporting documentation that proves compliance with the following conditions: a) That mitigation measures will be applied that lead to a contribution to the reduction of emissions equivalent to that provided for by participation in the emission rights trading scheme. The Government will determine by royal decree which mitigation measures are considered equivalent to the effects of the previous paragraph. b) That a system for monitoring and reporting information on emissions equivalent to those provided for in this law will be implemented. In this regard, the competent regional body may authorize simplified monitoring, notification and verification measures for facilities whose average annual emissions verified between 2008 and 2012 are less than 5,000 tons per year. Likewise, it may authorize facilities not included in the European Union regime during the period of application of the exclusion simplified requirements for monitoring, notification and verification in order to determine the emissions in the three years preceding the request for allocation referred to in article 19. 2. The competent body, after processing public information for no less than three months, will send the complete file to the Ministry for the Ecological Transition and the Demographic Challenge, no later than sixteen months before the start of the trade period in question, to its processing to the European Commission for the purposes of the provisions of article 27 of Directive 2003/87/EC, of October 13, 2003. If within a period of six months from the notification to the European Commission, it does not raises objections the exclusion will be considered adopted. 3. Excluded facilities will be subject to the regime of infractions and sanctions provided for in Chapter VIII, insofar as it affects compliance with the obligations of monitoring and provision of information on emissions. 4. What is established in this additional provision does not exempt the owners of the facilities from complying with the obligations established in this law until the exclusion is formalized once the consent of the European Commission has been obtained. In this case, the greenhouse gas emission authorization will be understood to have expired with a date corresponding to the first day of the assignment period in which it will be excluded. The excluded facility will not receive emission allowances as long as it remains excluded. 5. If an excluded facility, when it is not a hospital, emits 25,000 equivalent tons of carbon dioxide or more, without accounting for biomass emissions, in the course of the same calendar year or, whatever the type of the facility will no longer apply to said facility measures that make it possible to achieve an equivalent contribution to the reduction of emissions, the facility will be reintroduced into the regime. The installations that are reintroduced in the emission rights trading regime will remain in it until the end of the current allocation period. In accordance with the European Union regulations of a transitory nature for the harmonization of the free allocation of emission rights, the installation may request allocation. All rights issued to you will vest from the year of reintroduction. Rights issued to these facilities will be deducted from the amount to be auctioned. 6. The Government may exclude from the emission rights trading system facilities that emit less than 2,500 equivalent tons of carbon dioxide, without accounting for biomass emissions, for each of the three years preceding the request for assignment to referred to in article 19, in accordance with what is established in its development. Page 35 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION 7. In the year 2023, the Ministry for the Ecological Transition and the Demographic Challenge will prepare a report on the application to date of the exclusion regime for low-emission installations. In view of the results of this report, the Government, by regulation, may extend the application of the exclusion regime from 2026. Fifth additional provision. Reduction of greenhouse gases from activities not subject to the emission rights trading regime. 1. A mechanism will be articulated for the issuance of emission rights or credits in relation to projects located in the national territory to reduce greenhouse gas emissions from activities that are not subject to the emission rights trading regime. By regulation, and after consulting the Climate Change Policy Coordination Commission, the specific terms of this mechanism will be established, which will be adjusted to the European Union regulations on this matter, and which will be applied without prejudice to other strategic measures to reduce emissions from these activities contemplated in current regulations. 2. In no case will the issuance of emission rights or credits that involve double counting of emission reductions. 3. Likewise, other emission trading systems may be articulated outside the European Union regime in order to favor a reduction of greenhouse gases in activities not subject to it. Sixth additional provision. Compensation of indirect costs. 1. The Government, at the joint proposal of the Ministries of Industry, Commerce and Tourism; Economic Affairs and Digital Transformation; and for the Ecological Transition and the Demographic Challenge, it will establish the creation of a compensation mechanism for significant indirect costs attributable to greenhouse gas emissions reflected in electricity prices, from which facilities belonging to sectors and subsectors may benefit. exposed to a real risk of carbon leakage. 2. The amount of the compensation will not exceed, for each installation, the costs for the CO2 emissions that the electricity generators have transferred and will maintain the incentive to reduce the consumption of electricity in the installation, guaranteeing compensation for efficient consumption. The compensation of the costs will be conditional on compliance with the applicable European Union rules on State aid and, specifically, they will not cause undue distortions of competition in the internal market. 3. If applicable, and to the extent that the applicable European Union regulations allow it, in particular that referring to State aid, both facilities included in the scope of application of this law, such as those that, even if not present, may be affected by the indirect costs referred to in section 1. 4. The Government will try not to allocate an annual amount greater than twenty-five percent of the annual income obtained by Spain from the auction of emission rights to this indirect cost compensation mechanism. As of 2021 and annually, in cases in which said percentage is exceeded, the Ministry of Industry, Commerce and Tourism and the Ministry for the Ecological Transition and the Demographic Challenge will jointly prepare and publish a report that justifies the reasons why exceeded that amount. The report will include, at least, the following information: a) Relevant information on electricity prices in the reference year for large industrial consumers who benefit from the aid, without prejudice to the requirements relating to the protection of confidential information. b) Information on whether other measures have been duly taken into account to reduce the indirect costs of carbon in a sustainable way in the medium and long term. 5. In the first quarter of each year, the Ministry of Industry, Commerce and Tourism will make available to the public, in an easily accessible form, the total amount of the Page 36 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION aid that is granted in accordance with this provision, broken down by beneficiary sectors and subsectors. This information will also be collected in the National Grants Database, in accordance with articles 18 and 20 of Law 38/2003, of November 17, General Grants. Seventh additional provision. Practices contrary to free competition, activities related to money laundering or financing of terrorism or market abuse. 1. The Secretary of State for the Environment will notify the National Markets and Competition Commission, where appropriate, of any facts of which it is aware in relation to the organization of the auctions that may constitute an infringement of the legislation of defense of competition. In particular, it shall communicate any sign of collective agreement, decision or recommendation or concerted or consciously parallel practice that has the purpose of, produces or may have the effect of preventing, restricting or distorting competition in the auction process. 2. Likewise, the Spanish Office for Climate Change, as the competent authority in matters of the administration of the Spanish area of the European Union Registry, shall promptly inform the competent authorities in matters of investigation and the fight against fraud, money laundering or financing of terrorism, corruption or other serious crimes, of any suspicious action in relation to these matters and will cooperate with the competent national or European authorities in matters of supervision of the emission rights markets, when it has reasonable grounds to suspect that they are being carried out. acts constituting operations with privileged information in said market, and in accordance with the coordination mechanisms established by the regulations of the European Union. First transitional provision. Transitional regime for compliance with delivery obligations until April 30, 2021. 1. To comply with the delivery obligation referred to in article 27.2 in the 2013-2020 trading period, the owners of installations must deliver a number of emission rights other than the emission rights assigned to aviation, in an amount equivalent to data on verified emissions from that facility during the previous year, no later than April 30 of each year. 2. To comply with the delivery obligation referred to in article 27.2 in the 2013-2020 trading period, air operators must deliver a number of emission rights, in an amount equivalent to the verified emissions data of that air operator during the year. above, no later than April 30 of each year. Second transitory provision. Use of international credits for the 2013-2020 trade period. Units corresponding to international credits generated by joint application project activities (Emission Reduction Units “URE”) or Clean Development Mechanisms (Certified Emission Reductions “RCE”) of the Kyoto Protocol, in accordance with Article 11 ter of Directive 2003/87/ CE, of October 13, 2003, will be eligible for use and exchange for valid emission rights, to the extent that they do not exceed the quantitative and qualitative limits established in the Union regulations. Union, and until the date determined by it. Third transitory provision. Transitional regime for aviation during the period 2013-2023. 1. During each calendar year from January 1, 2013 to December 31, 2023, the obligations of the EU ETS will not apply to flights to or from aerodromes located in countries outside the European Economic Area, nor nor to flights between an aerodrome located in an outermost region within the meaning of Article 349 of the Treaty on the Functioning of the European Union and an aerodrome Page 37 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION located in another region of the European Economic Area. All this without prejudice to compliance with the additional obligations that may be introduced by the European Union or national regulations for the purposes of the global market instrument of the International Civil Aviation Organization. 2. In relation to the provisions of article 36 bis.3, when an air operator has annual emissions of less than 3,000 tons in the scope of application described in section 1 of this provision, its notified emissions will be considered verified if they have been determined through the instrument for small emitters approved by European Union regulations fed by Eurocontrol with data from its EU ETS support instrument. 3. Between January 1, 2013 and December 31, 2023, air operators will receive each year a number of free allowances that will be reduced in proportion to the reduction of the EU ETS obligations in the scope of application described in section 1 of this article. 4. As of January 1, 2021, the number of emission rights assigned free of charge to air operators will be subject to the application of the same linear reduction factor applicable to the assignment of fixed installations. 5. Before September 1, 2018, the number of aviation sector allowances allocated to each aircraft operator for activities in the period beginning January 1, 2017 and ending January 31, shall be published. December 2023. 6. Between January 1, 2013 and December 31, 2023, the amount of emission rights for the aviation sector determined by the European Union regulations will be auctioned. 7. For the purposes of complying with the obligation to deliver rights described in article 27.2, air operators must deliver a number of emission rights equivalent to the data on verified emissions included in the scope of application referred to in the first section of this article. First final provision. Competence titles. This law is issued under the exclusive powers of the State provided for in article 149.1.13.ª and 23.ª of the Constitution, in terms of bases and coordination of the general planning of economic activity and basic legislation on protection of the environment, with the exception of the second additional provision, without prejudice to the enforcement powers held by the autonomous communities in matters of environmental legislation. Notwithstanding the foregoing, those matters related to aviation are also dictated under the exclusive jurisdiction of the State provided for in article 149.1.20.ª of the Constitution in matters of control of airspace, traffic and air transport. Second final provision. Incorporation of European Union Law. This law incorporates into the Spanish legal system Directive 2003/87/EC of the European Parliament and of the Council, of October 13, 2003, which establishes a regime for the trading of greenhouse gas emission rights in the Community , modified by Directives 2008/101/CE, of the European Parliament and of the Council, of November 19, 2008, by which Directive 2003/87/ CE is modified in order to include aviation activities in the community regime of greenhouse gas emission rights trading, Directive 2009/29/EC, of the European Parliament and of the Council, of April 23, 2009, which modifies Directive 2003/87/EC to refine and expand the community greenhouse gas emission rights trading system, and partially Directive (EU) 2018/410 of the European Parliament and of the Council, of March 14, 2018, amending Directive 2003/87/ EC to intensify reductions d e emissions in a cost-effective way and facilitate investments in low-carbon technologies, as well as Decision (EU) 2015/1814. Page 38 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION Third final provision. Regulatory development. 1. The Government, within the scope of its powers, will dictate the necessary provisions for the development of this law. 2. The Government, by royal decree, may modify Annex I of this law to establish the exclusion of certain flights from aviation activities in the event that the European Commission adopts modifications to the aviation activities listed in Annex I of the Law. Directive 2003/87/EC to exclude flights from a third country that has adopted measures to reduce the impact on climate change of flights from that country that land in the European Union. Fourth final provision. Entry into force. This Law shall enter into force the day following its publication in the "Official State Gazette". Fifth final provision. Subjects affected by the different provisions of the Law. The subjects affected by each of the provisions of this Law shall be specified, for clarification purposes, in the table contained in annex V. So, I command all Spaniards, individuals and authorities, to uphold and enforce this law. Madrid, March 9, 2005. JUAN CARLOS R. The president of the Government, JOSE LUIS RODRIGUEZ ZAPATERO ANNEX I Categories of activities and gases included in the scope of application 1. Installations or parts of installations whose main dedication is the research, development and experimentation of new products and processes, or installations that exclusively burn biomass, are not included. 2. The threshold values given below generally refer to production capacity or throughput. If several activities framed in the same category are carried out in the same installation, the capacities of said activities will be added to determine if the installation is included in the scope of application or not. 3. When the total nominal thermal power of an installation is calculated to decide on its inclusion in the scope of application of this Law, the nominal thermal powers of all the technical units that are part of it in which fuels are used will be added. inside the facility. These units can include all types of boilers, burners, turbines, heaters, furnaces, incinerators, calciners, cookers, stoves, dryers, engines, fuel cells, chemical looping combustion units, flares, and afterburner units. thermal or catalytic. For these purposes, all the technical units that are located on the same site and have the same ownership will be considered, regardless of whether they are covered by one or more greenhouse gas emission authorizations. Units with a nominal thermal power of less than 3 MW and those that use biomass exclusively will not be taken into account for the purposes of this calculation. 'Biomass-only units' include those that use fossil fuels only during unit startup or shutdown. 4. If a unit is intended for an activity for which the threshold is not expressed in total nominal thermal power, the threshold of this activity will be decisive for the purposes of the decision on integration in the scope of application of the Law. 5. When it is detected that the capacity threshold for any of the activities referred to in this Annex is exceeded at a facility, they shall be included in the Page 39 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION greenhouse gas emissions authorization for all units that use fuels and that are not hazardous waste or urban waste incineration units. 6. The air operators included in the scope of application of this Law will be those that carry out the aviation activities described in the table below and that are holders of a valid operating license, granted by the Ministry of Public Works in accordance with the provisions of Regulation (EC) No. 1008/2008 of the European Parliament and of the Council, of September 24, 2008, on common rules for the operation of air services in the Community, as well as those, both national and foreign, that do not hold a valid operating license granted by a Member State of the European Union, and whose carbon dioxide emissions in the reference year are mainly attributable to Spain, taking into account the "List of aircraft operator and State members responsible for the management that corresponds to them" carried out and published by the Commission, according to the criteria contemplated in Directive 2008/101/EC of Parla European and Council instrument of November 19, 2008, which modifies Directive 2003/87/ EC in order to include aviation activities in the community scheme for trading greenhouse gas emission rights. 7. Notwithstanding paragraph 6, where in the course of the first two years of a trading period, none of the attributed aviation emissions from flights operated by an aircraft operator included in the scope of this Law is attributed to Spain, the air operator must be transferred to another Member State responsible for the management in relation to the next trading period. The new Member State responsible for management will be the Member State for which the highest attributed aviation emissions have been calculated, from flights operated by that air operator during the first two years of the previous trading period. Activities Greenhouse gases 1. Combustion in installations with a nominal thermal power greater than 20 MW, including: a) The production of electricity for public service. b) Cogeneration that provides service in sectors not listed in sections 2 to 28. Carbon dioxide. c) Combustion in other installations with a rated thermal power greater than 20 MW not included in sections 2 to 28. Hazardous waste or urban waste incineration facilities are excluded. 2. Oil refinery. Carbon dioxide. 3. Production of coke. Carbon dioxide. 4. Calcination or sintering, including pelletizing, of metallic ores, including sulphide ore. Carbon dioxide. 5. Production of pig iron or steel (primary or secondary casting), including related continuous casting installations with a capacity of more than 2.5 Carbon dioxide. tons per hour. 6. Production or transformation of ferrous metals (such as ferroalloys) when combustion units with a total rated thermal power greater than 20 MW are operated. Transformation includes, among other items, rolling mills, reheaters, annealing furnaces, forges, foundries, and coating and Carbon dioxide. pickling units. Carbon dioxide and 7. Production of primary aluminum. perfluorocarbons. 8. Production of secondary aluminum when combustion units with a total rated thermal power greater than 20 MW are operated. Carbon dioxide. 9. Production or transformation of non-ferrous metals, including the production of alloys, refining, casting, etc., when combustion units are operated with a total rated thermal power (including fuels used as reducing agents) greater than 20MW Carbon dioxide. 10. Manufacture of unpulverized cement (“clinker”) in rotary kilns with a production capacity of more than 500 tons per day or in other types of Carbon dioxide. kilns with a production capacity of more than 50 tons per day. 11. Production of lime or calcination of dolomite or magnesite in rotary kilns or in other types of kilns with a production capacity greater than 50 tons Carbon dioxide. per day. 12. Manufacture of glass, including fiberglass, with a melting capacity of more than 20 tons per day. Carbon dioxide. 13. Manufacture of ceramic products by firing, in particular tiles, bricks, refractory bricks, tiles, ceramic stoneware or porcelain, with a production Carbon dioxide. capacity of more than 75 tons per day. 14. Manufacture of mineral wool insulating material using glass, rock or slag, with a melting capacity of more than 20 tons per day. Carbon dioxide. 15. Drying or calcination of gypsum or production of plasterboard and other gypsum products, when combustion units with a rated thermal power Carbon dioxide. greater than 20 MW are operated. 16. Manufacture of paper pulp from wood or other fibrous materials. Carbon dioxide. 17. Paper or cardboard with a production capacity of more than 20 tons per day. Carbon dioxide. 18. Production of carbon black, including the carbonization of organic substances such as oils, tars and cracking and distillation residues, when Carbon dioxide. combustion units with a total rated thermal power greater than 20 MW are operated. 19. Production of nitric acid. carbon dioxide and nitrous oxide. Carbon dioxide and nitrous 20. Production of adipic acid. oxide. carbon dioxide and nitrous 21. Production of glyoxal acid and glyoxylic acid. oxide. Page 40 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION activities Greenhouse gases 22. Ammonia production. Carbon dioxide. 23. Manufacture of raw organic chemical products by cracking, reforming, partial or total oxidation, or by similar processes, with a production capacity of more than 100 Carbon dioxide. tons per day. 24. Production of hydrogen (H2) and synthesis gas by reforming or partial oxidation, with a production capacity of more than 25 tons per day. Carbon dioxide. 25. Production of sodium carbonate (Na2CO3) and sodium bicarbonate (NaHCO3). Carbon dioxide. 26. Capture of greenhouse gases from facilities covered by this Directive for the purpose of transport and geological storage in a storage site authorized in Carbon dioxide. accordance with Directive 2009/31/EC. 27. Transport of greenhouse gases through pipelines for the purpose of geological storage in an authorized storage site in accordance with Directive Carbon dioxide. 2009/31/EC. 28. Geological storage of greenhouse gases in an authorized storage site in accordance with Directive 2009/31/EC. Carbon dioxide. 29. Aviation: Flights to or from an aerodrome located in the territory of a Member State to which the Treaty applies or a State of the European Economic Area. This activity will not include: a) flights carried out exclusively for the transport, on an official mission, of a reigning Monarch and his closest relatives, Heads of State and Government and Government Ministers, from a country that is not a Member State; provided that such circumstance is corroborated by the corresponding category indicator in the flight plan; b) military flights carried out by military aircraft and flights of customs authorities and the police; c) flights related to search and rescue activities, firefighting flights, humanitarian flights and emergency medical service flights, authorized by the appropriate competent body; d) any flights carried out in accordance with the visual flight rules, defined in Annex 2 of the Chicago Convention; e) flights that end at the same aerodrome from which the aircraft departed, without any landing being made in the interval; f) training flights carried out exclusively for the purpose of obtaining licenses, or evaluation of the pilot crew, provided that such circumstance is corroborated by the corresponding indication in the flight plan, provided that the flight is not used for transport of passengers or cargo, nor for the positioning or transfer of the aircraft; Carbon dioxide. g) flights carried out exclusively for the purpose of scientific research or testing, verification or certification of aircraft or equipment, both flight and ground; h) flights carried out exclusively by aircraft with a maximum authorized take-off mass of less than 5,700 kg; i) flights performed within the framework of the public service obligations established under Regulation (EEC) No. 2408/92 on routes within the outermost regions, as specified in Article 299(2) of the Treaty or on routes where the capacity offered does not exceed 30,000 seats per year; Y j) the flights that, except for this point, would fall within this activity, carried out by a commercial air transport operator that performs: – fewer than 243 flights per period for three successive quarterly periods, or – flights with total annual emissions of less than 10,000 tonnes per year. Flights carried out exclusively for the transport, on an official mission, of a reigning Monarch and his immediate family, Heads of State and Government and Ministers of the Government of a Member State may not be excluded under this point. k) As of January 1, 2013 and until December 31, 2030, the flights that, except for this point, would fall within this activity, carried out by a non-commercial aircraft operator that carries out flights with an annual total of emissions less than 1,000 tons per year. ANNEX II Greenhouse gases Carbon dioxide (CO2). Metano (CH4). Nitrous oxide (N2O). Hidrofluorocarburos (HFC). Perfluorocarburos (PFC). Sulfur hexafluoride (SF6). APPENDIX III PART A Monitoring and reporting of emissions from fixed installations Principles of monitoring and reporting of emissions 1. Monitoring of carbon dioxide emissions.- Emissions will be monitored by calculations or measurements. 2. Calculation.- Emissions calculations will be carried out using the formula Next: Page 41 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION Activity data × emission factor × oxidation factor Tracking activity data (fuel used, production rate, etc.), will be made on the basis of supply data or by measurements. Accepted emission factors will be used. Activity-specific emission factors will be acceptable for all fuels. The default factors will be acceptable for all fuels, except non-commercial ones (combustible residues such as tires and gases from industrial processes). In addition, specific default factors for coal seams and specific EU or country producer default factors for natural gas will be specified. The Intergovernmental Panel on Climate Change (IPCC) default values will be acceptable for refinery products. The biomass emission factor will be zero. If the emission factor does not take into account the fact that part of the carbon is not oxidized, then an additional oxidation factor will be used. If activity-specific emission factors have been calculated already considering oxidation, it will not be necessary to apply an oxidation factor. Default oxidation factors defined in accordance with Directive 96/61/EC shall be used, unless the licensee can demonstrate that activity-specific factors are more accurate. A separate calculation will be made for each activity, each facility and each fuel. 3. Measurement.- The measurement of emissions will be done using standardized methods or accepted and will be corroborated by a complementary calculation of the emissions. 4. Monitoring of emissions of other greenhouse gases. The standardized or accepted methods developed by the European Commission, in collaboration with all relevant stakeholders, and adopted in accordance with the European Union regulations on reporting and monitoring of greenhouse gas emissions in application of Directive 2003 will be used. /87/CE, of October 13, 2003. 5. Notification of issues.- All holders will include the following information in the installation report: A. Installation identification data, in particular: 1st Name of the facility. 2nd Your address, including postal code and country. 3rd type and number of the activities of annex I carried out in the facility. 4th Address, telephone, fax and email of a contact person. 5th Name of the owner of the installation and of any parent company. B. For each of the activities mentioned in annex I that is carried out in the site whose emissions are calculated: 1st Activity data. 2nd emission factors. 3rd Oxidation factors. 4th Total emissions. 5th Uncertainty. C. For each of the activities mentioned in annex I that is carried out in the site whose emissions are measured: 1st Total emissions. 2nd Information on the reliability of the measurement methods, and 3rd Uncertainty. D. For emissions from energy combustion, the report will also include the oxidation factor, unless oxidation has already been considered in the definition of an activity-specific emission factor. Page 42 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION PART B Monitoring and reporting of emissions from aviation activities 1. Monitoring of carbon dioxide emissions.– Emissions will be monitored by calculations. Emissions will be calculated using the following formula: Fuel consumption × emission factor Fuel consumption will include the fuel used by the auxiliary power group. The actual fuel consumption for each flight will be used whenever possible and will be calculated using the following formula: Amount of fuel contained in the aircraft tanks after fueling is complete – amount of fuel contained in the aircraft tanks once the fueling required for the next flight is complete + fueling for said next flight If actual fuel consumption data is not available, a standardized tiered method shall be used to calculate fuel consumption based on the best available information. Default emission factors in the 2006 IPCC Guidelines for National Inventories, or subsequent updates to these Guidelines, shall be used unless activity-specific emission factors, identified by independent accredited laboratories using recognized analytical methods, be more exact. The biomass emission factor will be zero. Separate calculations will be made for each flight and each fuel. 2. Notification of emissions.- All air operators will include the following information in the report they must submit in accordance with section 1 of article 22: A. The identification data of the air operator, in particular: 1st Name of the air operator. 2nd Member State responsible for management. 3rd Address, including postal code and country and, if different, contact address in the Member State responsible for the management. 4th Registration numbers of the aircraft and the types of aircraft used in the period covered by the report to carry out the aviation activities listed in Annex I of which it is an operator. 5th Number and issuing body of the Air Operator Certificate and the operating license under which the aviation activities listed in Annex I of which it is an operator have been carried out. 6th Address, telephone number, fax and email of a contact person, and 7th Name of the owner of the aircraft. B. For each type of fuel whose emissions are calculated: 1st Fuel consumption. 2nd emission factor. 3. Total aggregate emissions of all flights carried out during the period to which the report refers that correspond to the aviation activities listed in Annex I of which it is the operator. 4th Aggregate emissions of: – all flights carried out during the reporting period corresponding to the aviation activities listed in Annex I of which it is an operator, originating from an aerodrome situated in the territory of a Member State, having its destination at an aerodrome situated in the territory of that same Member State; – all other flights carried out during the period to which the report refers that correspond to the aviation activities listed in Annex I of which it is the operator. Page 43 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION 5th Aggregate emissions of all the flights carried out during the period to which the report refers that correspond to the aviation activities listed in Annex I of which it is the operator and that: – have their origin in a Member State, and – have their destination in a Member State from a third country. 6th Uncertainty. 3. Follow-up of the data on ton-kilometres for the purposes of requests for assignment to air operators. - For the purposes of requests for assignment of emission rights, in accordance with articles 38 and 41, the volume of aviation activities is calculated in tonne-kilometres using the following formula: Tonne-kilometre = distance × payload being: “Distance”: the great circle distance between the aerodrome of origin and the aerodrome of destination, plus an additional fixed factor of 95 km, and “Payload” means the total mass of cargo, mail and passengers carried. For the purpose of calculating the payload: – the number of passengers will be the number of people on board, excluding crew members. – Air operators may choose between applying the actual or standard mass for passengers and checked baggage contained in their mass and balance documentation for the relevant flights or a default value of 100 kg for each passenger and their checked baggage. 4. Notification of the data on ton-kilometres for the purposes of assignment requests to air operators. - All air operators will include the following information in their request in accordance with articles 38 and 41: A. The identification data of the air operator, in particular: 1st Name of the air operator. 2nd Member State responsible for its management. 3rd Address, including postal code and country and, if different, contact address in the Member State responsible for the management. 4. Aircraft registration numbers and types of aircraft used during the year to which the application refers to carry out the aviation activities listed in Annex I of which it is the operator. 5. Number and issuing body of the air operator certificate and the operating license under which the aviation activities listed in Annex I of which it is the operator have been carried out. 6th Address, telephone number, fax and email of a contact person, and 7th Name of the owner of the aircraft. B. Data on tonne-kilometres: 1st Number of flights per pair of aerodromes. 2nd Number of passenger-kilometres per pair of aerodromes. 3rd Number of tonne-kilometres per pair of aerodromes. 4th Method chosen to calculate the mass for passengers and checked baggage. 5. Total number of tonne-kilometres for all flights carried out during the year to which the report refers that correspond to the aviation activities listed in Annex I of which it is the air operator. Page 44 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION ANNEX IV PART A Verification of emissions from fixed installations Verification Criteria General principles 1. The emissions of each activity listed in annex I will be subject to verification. 2. The verification process will include the examination of the report prepared in accordance with article 22 and the follow-up of the previous year. It will study the reliability, credit and accuracy of the monitoring systems and the reported data and information related to emissions, in particular: a) Reported activity data and related measurements and calculations. b) The choice and use of emission factors. c) The calculations on which the determination of global emissions has been based. d) If measurement has been used, the convenience of this option and the use of measurement methods. 3. The notified emissions will only be validated if reliable and credible data and information are provided that allow the determination of the emissions with a high degree of certainty, for which the licensee will have to demonstrate the following: a) That the notified data do not present contradictions. b) That the data collection has been carried out in accordance with the applicable scientific standards. c) That the pertinent documentation of the installation is complete and coherent. 4. The verifier will enjoy free access to all sites and all information in relation to the object of verification. 5. The verifier will take into account if the installation is registered in the system environmental management and audit community (EMAS). Methodology Strategic analysis: 6. The verification will be based on a strategic analysis of all the activities carried out in the facility, so the verifier must have a general vision of all the activities and their importance for the emissions. Process analysis: 7. Verification of the information submitted will be carried out, when appropriate, at the installation site. The verifier will use on-site inspections to determine the reliability of the reported data and information. Risk analysis: 8. The verifier shall subject all emission sources of the installation to an evaluation in relation to the reliability of the data of all the sources that contribute to the overall emissions of the installation. 9. On the basis of this analysis, the verifier shall explicitly identify the sources presenting a high risk of errors and other aspects of the monitoring and reporting procedure that could contribute to errors in the determination of global emissions, which notably implies the choice of emission factors and calculations necessary to determine emissions from isolated sources. Particular attention will be paid to sources that present a high risk of error and to the aspects mentioned above of the monitoring procedure. Page 45 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION 10. The verifier will take into consideration any effective control method of risks applied by the holder in order to minimize the degree of uncertainty. Preparation of reports: 11. The verifier will prepare a report on the validation process in which it will be stated whether the notification made in accordance with article 22 is satisfactory. Said report will indicate all the pertinent aspects for the work carried out. A statement indicating that the reporting under Article 22 is satisfactory may be made if, in the opinion of the verifier, the total emissions statement does not present mistakes. Verifier minimum competency requirements: 12. The verifier will be independent of the owner, will carry out his/her activities in a professional, competent and objective manner and will be aware of: a) The provisions of this Law, as well as, where appropriate, the rules and guidelines relevant adopted by the European Commission and the implementing regulations. b) The legal, regulatory and administrative requirements applicable to the activities checked. c) The generation of all the information related to each source of emissions of the installation, especially that related to the collection, measurement, calculation and notification of the data. PART B Verification of emissions from aviation activities 13. The general principles and methods set out in this Annex shall apply to the verification of reports of emissions from flights corresponding to an aviation activity listed in Annex I. To these effects: a) in section 3, the reference to the owner shall be understood as a reference to the air operator, and in letter, c) the reference to the facility shall be understood as a reference to the aircraft used to carry out the aviation activities to which it refers The report; b) in section 5, the reference to the facility shall be understood as a reference to the air operator; c) in section 6, the reference to the activities carried out at the facility shall be understood as a reference to the aviation activities to which the report refers, carried out by the air operator; d) in paragraph 7, the reference to the site of the installation shall be understood as a reference to the sites used by the air operator to carry out the aviation activities to which the report refers; e) In sections 8 and 9, references to the sources of emissions from the installation are shall be understood as a reference to the aircraft for which the operator is responsible, and f) In sections 10 and 12, references to the holder shall be understood as references to the air carrier. Additional provisions regarding verification of emissions reports from aviation: 14. the verifier will verify in particular that: a) all flights corresponding to an aviation activity listed in Annex I have been taken into account; in this task, the verifier will use the data on the schedules and other traffic data of the air operator, in particular the data requested from Eurocontrol by said operator; b) the aggregated data on fuel consumption and the data on fuel purchased or otherwise supplied to aircraft performing the aviation activity are fully consistent. Page 46 Machine Translated by Google STATE OFFICIAL NEWSLETTER CONSOLIDATED LEGISLATION Additional Provisions Concerning Verification of Tonne Data kilometer submitted for purposes of assignment requests to air operators: 15. The general principles and methods applied to verify emission reports in accordance with Article 22, as set out in this Annex, shall also apply, where applicable, in the same way to data verification. over aviation ton-kilometres. 16. the verifier will verify in particular that, in the application submitted by the operator in accordance with articles 38 and 41, only the flights actually carried out and corresponding to an aviation activity listed in Annex I of which it is the operator have been taken into account. the air operator is responsible. In this task, the verifier will use the air operator's traffic data, including the data requested from Eurocontrol by said operator. In addition, the verifier will verify that the payload notified by the air operator corresponds to the one that appears in the register kept by said operator for security purposes. ANNEX V Subjects affected by the provisions of the law Affected subjects Provisions Articles 4 to 8, 13.2, 16 to 23 bis and Fixed installations. First, fourth and sixth additional provisions. Annex III part A and annex IV part A. Articles 29 bis, 31 and 36 to Air Operators. Annex III part B and annex IV part B. Third transitory provision. Articles 1 to 3 bis, 9 to 12, 13.1, 14 and 15, 24 to 28, 30 and 32 to 35 bis. Second, third, fifth and seventh additional provisions. Fixed installations and aerial operators. Final provisions first to fifth. First and second transitory provisions. Annex I, II and V. This consolidated text has legal value. Page 47