§ Mr. Meacher
In August 2001, the Government published the "Framework for the UK Emissions Trading Scheme" which sets out how companies participating in climate change agreements will be able to trade carbon dioxide emission allowances. In April 2002, the Government issued guidance on how companies and sector associations in climate change agreements might wish to manage their interface with the UK emissions trading scheme. The Government intend to consult on legal rules to supplement these guidance documents in June 2002.
Since 2 April 2002, companies in climate change agreements have been able to buy allowances in the UK emissions trading scheme. Once the rules are finalised, they will be able to use these allowances to meet the target in their climate change agreement. However, the Government will not allocate any allowances to companies that have overachieved their target until companies' emissions have been independently verified at the end of the current 'target period'. Depending on the industrial sector, the current 'target period' will end between 30 September and 31 December 2002.