Installations that received more free allowances than they were entitled to under the free allocation rules must return the excess to the competent authority, which instructs the registry to transfer them back.
Operators who received excess free allocation must comply, and this is not law yet.
Why it matters
This is a Commission proposal: it is not law yet, and it can change before it is.
- It is Art. 1(15)(e), inserting Art. 10a(3f) of Directive 2003/87/EC, in the EU ETS revision. as of 2026-08-14
- The act gives its timing as: applies from 1 January 2028 (transposition by 31 December 2027). as of 2026-08-14
- It names no industry: it applies across the economy rather than to one of them. as of 2026-08-14
- Compliance is checked by competent authority, if it happens. as of 2026-08-14
The rule
installation received more allowances than the amount it was entitled to under the free allocation rules
Installations that received more free allowances than they were entitled to under the free allocation rules must return the excess to the competent authority, which instructs the registry to transfer them back.
Who is affected
Burden drivers
Source text
Where an installation received more allowances than the amount to be allocated in accordance with the rules for free allocation laid down under this Article, the competent authority shall require the installation to return such excess allowances and instruct the national administrator to transfer returning excess allowances.
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