The EU ETS is limited by a 'cap' on the number of emission allowances. Within the cap, companies receive or buy emission allowances, which they can trade as needed. The cap decreases every year, ensuring that total emissions fall.
Each allowance gives the holder the right to emit:
There are a number of great resources on the regulatory and practical aspects of the system – none better than the EU’s own:
https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A02003L0087-20230605
https://climate.ec.europa.eu/eu-action/transport/reducing-emissions-shipping-sector_en
https://climate.ec.europa.eu/eu-action/eu-emissions-trading-system-eu-ets/what-eu-ets_en
Dear Sir/Madam,
We received the following circulare from Skuld, an International Group Club concerning the above and would like to share it with you.
Urgent - Member Advisory
Applicability: Shipowners and Charterers
Members will be aware of the recent high profile incident involving a vessel being targeted by an air strike resulting in two crew deaths. The situation in Libya remains very volatile and any vessel that may call there needs to prioritise safety at all times.
The Association is grateful to its correspondents Gargoum Legal Marine and Germa Shipping & Stevedoring Co. in Libya and H. Vassallo & Associates Ltd. in Malta for continuing to provide information on developments.
Recently, as was reported in both shipping and main stream news media, a tanker vessel that was at the Libyan Port of Derna was targeted by an air strike resulting in the tragic death of two crew members and further injuries.
While there have been air strikes from unidentified aircraft in the past near port areas and towns, this incident appears to have occurred with the involvement of the Libyan Air Force and / or other Government military forces. In this regard, reference to a Government is in relation to the institution presently residing in Tobruk, which at this time remains the official internationally recognised body. A competing authority remains in Tripoli.
The incident has led to increasing focus on the safety and security situation in Libya, in particular the Maltese Government renewed its travel warning against all forms of travel to Libya.
In addition to the development at Derna, the Association has learned that the military of the official Government of Libya has warned of possible air strikes around the Port of Misrata and which could put vessels in that area at risk. This information was also received by BIMCO.
The Association has not been able to fully verify this information, but must urge all vessels going in to this area to exercise caution and seek to advance verify what the latest local position may be.
The Association has previously advised that the internationally recognised Government is currently based in Tobruk, while various militia groups and other armed forces have seized control of or are active in different parts of Libya such as Derna and Benghazi, and possibly Misrata, too.
According to our correspondents, as of 13 January 2015, the situation is as follows in the ports of:
· Benghazi remains closed
· Tripoli is operating "normally", but please note below
· Tobruk is operating normally
· Al Khoms is operating normally
· Misrata/Misurata may be operating "normally", but please note the comments above and below
We would highlight to members that Tripoli is currently not under the control of the internationally recognised Government of Libya. Cargo and ship operations still appear to be underway, but it has proven difficult to verify the same.
We would further highlight that while Misurata is said to be still operating, BIMCO, our correspondents and the Association through other sources understands the area may become subject to military action and that ships may be at risk in this zone.
We continue to strongly advise members intending to call at Libya to proceed with caution.
Information should be sought continuously from all available sources about latest developments.
Vessels should be ready and instructed to take, at short notice, appropriate steps to prioritise safety.
In the meantime the Association would refer members to its previous updates on Libya, including that of 19 December 2014: Libya: Renewed fighting.
For further information, members are asked to contact the Association:lossprevention@skuld.com
Janice Choy
Claims Executive
Skuld Singapore Branch