Which objective(s) did the Commission pursue?

Small emitters producing less than 25 000 tonnes CO₂ per annum are automatically allowed to apply a simplified monitoring plan.

Aircraft operators are allowed to produce simplified monitoring plans provided they operate 243 flights or fewer over a four month period or produce less than 25 000 tonnes CO₂ per annum.

In addition, the Regulation was proposed in order to improve the monitoring and reporting of greenhouse gas emissions to support implementation of Directive 2003/87/EC which established a trading system for greenhouse gas emissions.

Estimated savings and benefits

Due to the limited availability of data, the savings could not be quantified. The cost of monitoring and reporting varies greatly depending on the relative wealth of the country (affecting the wages and other costs), the scale of emissions and the size and complexity of the installation concerned. A study commissioned by the European Commission in 2016 estimates that the average cost of monitoring amounts to:

• For EU Member States: on average ca. €720 per installation

• For EU ETS operators: on average, ca. €35 000 per installation

Implementation reported by Member States

Member States can take further advantage of costs savings within the existing regulatory framework. For example, only six countries (5 EU Member States and Lichtenstein) have so far reported that they have applied the option of allowing installations to use standardised or simplified monitoring plans. In addition, only three countries (2 EU Member States and Iceland) have reported use of a simplified tool developed by Eurocontrol for small aviation emitters. The Commission continues work to raise Member State awareness of available cost-saving opportunities.

Estimated savings and benefits

Reliability of data is of utmost importance concerning the credibility and confidence placed in an emission trading system. Consequently, monitoring and reporting (and verification) take on added importance to demonstrate that the system continues to work honestly and effectively, and has to be of a suitable standard to maintain this trust. Commission Regulation (EU) No 601/2012 is drafted to deliver this required standard, but at the same time to allow reasonable proportionality, simplifications and reduced costs wherever possible without undue impact on the required completeness, consistency and integrity of the reported EU ETS emissions. The Regulation reduces monitoring costs for EU ETS operators and EU Member States thanks to the various dispensations provided, especially simplified monitoring plans. The specific cost savings differ from operator to operator and it is therefore difficult to estimate a cost average.

The Commission, in consultation with the Member States continues to update its templates and guidance documents with a view to continual improvement of the cost-effectiveness of the system, minimising costs for operators and EU Member States.