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  • Open consultation UK ETS free allocation rules for hydrogen production

    Topics:
    • Carbon Emissions Trading, 
    • Climate Change

    Consultation closes 2 October 2026, 11.59 pm

    Summary

    The UK Emissions Trading Scheme (UK ETS) Authority is seeking views on two targeted technical changes to the free allocation rules for hydrogen production.

    Documents

    • CBAM_Hydrogen_Targeted_Consultation_Document Adobe PDF (157 KB)

    Help viewing documents

    Consultation description

    The first would treat hydrogen supplied to another refinery or organic chemical installation in the same way as equivalent on-site use, where it does not serve the production of a UK CBAM good. The second would allow a product benchmark sub-installation to be split between the parts serving the production of UK CBAM and non-UK-CBAM goods, so that the UK CBAM-related free allocation phase-out applies only to the part producing UK CBAM goods.

    This consultation is aimed at UK ETS installation operators, particularly those producing hydrogen at refineries and organic chemical installations, and their representative bodies.

    Ways to respond

    Email:
    ukets.consultationresponses@energysecurity.gov.uk
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