Union Registry
of the EU ETS
What is the Union Registry?
The EU Union Registry is a database that records:
- ownership of emission allowances,
- the allocation of free emission allowances, and
- the annual surrendering of emission allowances for the previous year’s emissions.
Both companies and individuals can hold accounts in the Union Registry and store allowances they own.
The registry works much like online banking, except that instead of money, it holds emission allowances that can be transferred between accounts based on agreements made outside the registry.
Allocation and surrender
By 30 June each year, operators and aircraft operators entitled to free emission allowances receive their allocation for the current year.
By no later than 30 September each year, operators and aircraft operators covered by the EU ETS must surrender emission allowances corresponding to their emissions from the previous year in the Union Registry.
Allocation of free allowances and surrendering of allowances is publicly available in the EU Transaction Log.
Who holds an account?
Companies covered by the EU ETS are required to have a holding account in the Union Registry.
Verifiers must be registered in the Union Registry to verify the actual emissions of ETS operators. However, emission allowances cannot be held on verifier accounts.
In addition, other individuals and legal entities may hold trading accounts and participate in allowance trading.
Account holders may acquire allowances through auctions, exchanges, or bilateral transactions with other allowance holders.
How is the Union Registry structured?
The Union Registry consists of:
- the national registries of all EEA countries, and
- the EU Transaction Log (EUTL), which records and validates all transactions.
The EUTL approves all transfers and ensures the integrity of the system, in a similar way to how the banking system records and verifies financial transactions.
The EUTL also publishes information on verified emissions of ETS operators, free allocation of emission allowances and the settlement of emission obligationssurrendering of emission allowances.
What is recorded in the Union Registry?
The Union Registry records:
- ownership of emission allowances
- allocation of free emission allowances
- transfers between accounts
- holding accounts of all operators, aircraft operators and shipping companies covered by the EU ETS
- registration of verifiers
- trading accounts of entities not covered by the EU ETS
- verified annual greenhouse gas emissions
- the annual surrender of allowances, where ETS operators surrender allowances corresponding to their actual emissions from the previous year
Iceland and the Union Registry
Iceland has been a participant in the Union Registry since 2012The Icelandic national registry has been online since 2012.
Applications to open an account are submitted via the website of the Icelandic Environment and Energy Agency.
The application process includes:
- Registration on the Union Registry website.
- Submission of the required documentation to the Icelandic Environment and Energy Agency.
Account holders are responsible for their own transactions.
Prices, quantities of allowances and transaction dates are agreed between the contracting parties, without involvement from the Environment and Energy Agency of Iceland.
Financial transactions take place outside the Union Registry; the registry records ownership and transfers only.
Fees
Fees for opening accounts and annual account maintenance are set out in the tariff of the Icelandic Environment and Energy Agency.
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