SCHEDULE 5Excluded installations

Banking an overachieved emissions target7

1

Subject to sub-paragraph (2), in this paragraph “bankable amount” in relation to a scheme year means the difference between—

a

the emissions target for that year; and

b

the amount of reportable emissions stated in the emissions report for that year.

2

Where the carrying out of regulated activities at an excluded installation has been suspended for a period, in circumstances where the installation would be deemed to have permanently ceased the carrying out of regulated activities were it an installation to which Schedule 6 applied, the bankable amount is zero in relation to any scheme year in which that period (or any part of that period) falls.

3

For the purposes of deciding whether the circumstances mentioned in sub-paragraph (2) apply, the operator may make an application under paragraph 7(2) of Schedule 6.

4

Subject to sub-paragraph (5), where for any scheme year (“S”) the bankable amount is greater than zero the regulator—

a

may increase the emissions target for the installation for the following scheme year by the bankable amount; and

b

must in that case vary the permit by substituting that increased emissions target for the existing target.

5

Except where the excluded installation primarily provides services to a hospital, if increasing the emissions target under sub-paragraph (4) would result in an emissions target which exceeds the maximum amount, the increased emissions target must instead be equal to the maximum amount.

6

Where the amount of reportable emissions stated in the emissions report for S is amended following a determination of emissions under regulation 44(3), the regulator must—

a

calculate the bankable amount using the data as so determined; and

b

where an increased emissions target has been substituted under sub-paragraph (4)(b), make a further variation of the permit to substitute a revised emissions target.

7

Where an increased emissions target for a scheme year has been substituted following an application under paragraph 6(1), but the application was determined in the following year, the regulator must—

a

calculate any bankable amount for the scheme year using that increased target; and

b

vary the permit to substitute a revised emissions target for the following year, based on the amount so calculated.