The Greenhouse Gas Emissions Trading Scheme Auctioning Regulations 2021 (Version in vigour from 2021-08-25 to )
| Currency | No known outstanding effects |
| Coming into Force | 25 August 2021 |
(1) These Regulations may be cited as the Greenhouse Gas Emissions Trading Scheme Auctioning Regulations 2021.(2) They come into force on the day after the day on which these Regulations are made.(1) In these Regulations—
- “affiliated undertaking” means any undertaking within a group;
- “allowance” means, except where the context requires otherwise, an allowance created under the Trading Scheme Order to emit 1 tonne of carbon dioxide equivalent;
- “appointed auction platform” means the auction platform appointed by the F24auctioneer under regulation 22(1) ;
- “auction process” means the process encompassing the setting of the auction calendar, the procedures for admission to bid, the procedures for submission of bids, the conduct of the auction, the calculation and announcement of the auction results, the arrangements for payment of the price due, delivery of the allowances and management of the collateral needed to cover any transaction risks, as well as the surveillance and monitoring of the proper conduct of the auctions by recognised auction platform;
- “auctioned product” has the meaning given in regulation 4(1) ;
- “auction reserve price” has the meaning given in regulation 6(9) ;
- “auctioneer” means any public or private entity appointed by the Treasury, to auction allowances;
- “beneficial owner” has the meaning given in regulation 3(1) of the Money Laundering Regulations;
- “bid” means an offer in an auction to acquire a given volume of allowances at a specified price;
- “bidding window” means the time period during which bids may be submitted;
- “central counterparty” means an entity which interposes either directly between an auctioneer and a bidder or its successor in title, or between intermediaries representing them, that acts as the exclusive counterparty to each of them guaranteeing the payment of the auction proceeds to the auctioneer or an intermediary representing it or the delivery of the auctioned allowances to the bidder or an intermediary representing it, subject to regulation 31;
- “clearing system” means any infrastructure connected to the auction platform that can provide clearing, margining, netting, management of collateral, settlement and delivery, and any other services, carried out by a central counterparty, accessed either directly or indirectly through members of the central counterparty who act as intermediaries between their clients and the central counterparty;
- “clearing” means all processes preceding the opening of the bidding window, during the bidding window and following the closing of the bidding window until settlement, involving the management of any risks arising during that interval, including margining, netting, or novation, or any other services, that may be carried out by a clearing or settlement system;
- “collateral” means the forms of collateral security referred to in regulation 2(1) of the Financial Markets and Insolvency (Settlement Finality) Regulations 1999 , including any allowances accepted as security by the clearing system or settlement system;
- “credit institution” means an undertaking the business of which is to take deposits or other repayable funds from the public and to grant credits for its own account;
- “criminal activity” means any kind of criminal involvement in the commission of any of the offences referred to in—
- (a) Schedule 3 to the Anti-Terrorism, Crime and Security Act 2001 ,
- (b) Schedule 3 to the Money Laundering Regulations,
- (c) Regulations made under section 1 of the Sanctions and Anti-Money Laundering Act 2018 , or
- (d) Part 3 of the Counter-Terrorism (International Sanctions) (EU Exit) Regulations 2019 ;
- “customer due diligence measures” has the meaning given in regulation 3(1) of the Money Laundering Regulations;
- “FCA” means the Financial Conduct Authority ;
- “five-day futures” means allowances auctioned for delivery at an agreed date no later than the fifth trading day from the day of the auction;
- “group”, in relation to undertakings, means a parent undertaking and all its subsidiary undertakings;
- “investment firm” has meaning given in as in Article 2(1A) of the Markets in Financial Instruments Regulation;
- “margining” means the process by which collateral is to be pledged by an auctioneer or a bidder, or one or more intermediaries acting on their behalf, to cover a given financial position, encompassing the entire process of measuring, calculating and administering the collateral put up to cover such financial positions, intended to ensure that all payment commitments of a bidder and all delivery commitments of an auctioneer or one or more intermediaries acting on their behalf can be met within a very short period of time;
- “market abuse” means behaviour prohibited by Articles 14 and 15 of the Market Abuse Regulation;
- “Market Abuse Regulation” means Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16th April 2014 on market abuse (Market Abuse Regulation) ;
- “Markets in Financial Instruments Regulation” means Regulation (EU) No 600/2014 of the European Parliament and of the Council of 15th May 2014 on markets in financial instruments;
- “money laundering” has the meaning given by section 340(11) of the Proceeds of Crime Act 2002 ;
- “Money Laundering Regulations” means the Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017 ;
- “nominated bank account” means a bank account designated by an auctioneer, a bidder or its successor in title for the receipt of payments due under these Regulations;
- “nominated holding account” means one or more holding accounts, of whatever type, provided F25for in paragraphs 10 to 14 of Schedule 5A to the Trading Scheme Order F26designated for the purposes of participating in or conducting the auction process including the holding of allowances in escrow, pending their delivery under these Regulations;
- “parent undertaking” and “subsidiary undertaking” have the same meanings as in the Companies Act 2006 (see section 1162 of, and Schedule 7 to, the Companies Act 2006) ;
- “recognised auction platform” has the meaning given in regulation 22;
- “recognised investment exchange” means an investment exchange in relation to which a recognition order is in force under section 290 of the Financial Services and Markets Act 2000 , but does not include an overseas investment exchange (within the meaning of section 313 of that Act) ;
- “the registry” means the electronic system...
To continue reading
Request your trial