The Sejm passed a new law on trading in emission rights

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On 3 July this year, an amendment to the Emissions Trading Act was passed, the Act aims, among others, at implementing the provisions of the EU Directive concerning the reduction of domestic emissions of certain types of atmospheric pollutants and the obligation of EU Member States to reduce sulphur dioxide, nitrogen oxides, non-methane volatile organic compounds of ammonia and fine dust to the atmosphere. The implementation of these provisions (the so-called NEC Directive) will require the preparation, adoption and implementation of a „National Air Pollution Reduction Programm” and the monitoring and reporting of information on emissions of pollutants into the air.

The proposal also partially implements the provisions of the Directive, which defines the scope and functioning of the EU Emissions Trading Scheme (EU ETS) after 2020. Therefore, the Act included provisions defining the rules of allocation of emission allowances for production other than electricity production in the settlement period 2021-2030 and subsequent settlement periods.

There are also solutions envisaged to adapt Polish regulations on the EU ETS to the changing socio-economic conditions. After nearly 4 years of application, numerous changes are needed to make the Act more responsive to economic, administrative and legal realities.

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