for failing to submit climate quotas for emissions in 2020.
Aviation is covered by the EU's climate quota system, which helps to cost-effectively reduce greenhouse gas emissions. All EEA-wide quota companies - including aviation - must report climate quotas based on previous years' emissions.
- Common European rules show that late submission of the application will incur an infringement fee of € 100 for the missing reported climate limit. We have repeatedly made people aware of the consequences of non-compliance with the quota obligation - says Ellen Hambro, director of the Norwegian Environment Agency.
The amounts must be delivered to the Common European Settlement Account by the deadline of 30 April each year. Norwegian Environment Agency is responsible for administering climate quota regulations in Norway.
Norwegian did not fulfill its obligation to submit climate quotas
For 2020, Norwegian has reported quota emissions of 387 tonnes of CO857 eq. Until the settlement date of April 2, 30, they had transferred only 2021 allowances to the settlement account. Thus, in 15, 039 emission allowances were missing.
Norwegian claims that the obligation to provide climate quotas is covered by the company's restructuring plan and is therefore legally regulated.
Norwegian is fined. Basis for fines for infringement on Norwegian
Norwegian argues that if the quota obligation is to be exempted from reconstruction, it should nevertheless be considered as exempt from the quota obligation on the basis of "force majeure" (unforeseen events). Therefore, they believe that the reconstruction process has prevented them from meeting the climate quotas.
The Norwegian Environment Agency does not see a force majeure situation that would release the company from the obligation to present 2020 emission quotas.
The Facts: This is the EU Climate Quota System (EU ETS)
- The system is important for reducing greenhouse gas emissions from Europe's energy supply, industry and aviation in a cost-effective manner.
- There is a cap that determines how many CO equivalents 2 can be issued for a maximum of one year. This ceiling decreases over time, thereby also reducing emissions. Industry buys and supplies climate quotas to offset its emissions.
- This is how the market and the price of CO are created 2 . As the cap goes down and CO prices rise 2 this encourages you to cut emissions rather than buy climate quotas.
- However, some quotas are allocated to entities free of charge to prevent companies exposed to competition from moving to countries where greenhouse gas emissions are cheaper.
- All countries participating in the EU quota system manage their participation in a pan-European register of climate quotas. Every one here a company subject to quotas must have its own account operational. Each year, by April 30, the number of climate quotas corresponding to emissions from the previous year must be transferred to the central settlement account.
- The quota system started in 2005 and has since been extended to several sectors. Aviation was included in 2012.
- About half of Norwegian emissions greenhouse gases is now included in the scheme.
