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Jurisdiction: England, Wales, Scotland
Commencement: 24th July 2023
Amends: New legislation
The Electricity and Gas (Energy Company Obligation) Order 2023 establishes a new Energy Compliance Obligation (ECO) scheme, ECO4A, which operates in conjunction with the 4th Energy Compliance Obligation scheme (ECO4).
The scheme places duties on large energy suppliers* to implement energy efficiency measures to reduce the cost of heating domestic properties.
*Large energy suppliers are licenced gas and electricity suppliers** that exceed the minimum qualifying supply*** of electricity and gas supplied to domestic customers.
**Licenced gas and energy suppliers are suppliers who hold a licence under Section 6 of the Electricity Act 1989 and / or a licence under Section 7A of the Gas Act 1986.
***Qualifying supply means:
The scheme is split into 3 phases.
Various duties apply.
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Jurisdiction: United Kingdom
Commencement: 1st January 2024
Amends: The Greenhouse Gas Emissions Trading Scheme Order 2020
Following the United Kingdom’s (UK) exit from the European Union (EU), The Greenhouse Gas Emissions Trading Scheme Order 2020 establishes a UK Emissions Trading Scheme (UK ETS) covering greenhouse gas emissions (GHG) from power and heat generation, energy intensive industries and aviation. It replaces the European Union Emissions Trading System (EU ETS) for UK participants.
The UK ETS begins on 1st January 2021. Before the UK left the EU, the EU ETS was applied in the UK through The Greenhouse Gas Emissions Trading Scheme Regulations 2012. All UK operators that carried out an activity covered by the EU ETS were required to hold a permit, which was a licence to operate and emit greenhouse gases covered by the EU ETS. Activities covered by the EU ETS are any of the activities listed in Annex I to Directive 2009/29/EC to improve and extend the greenhouse gas emission allowance trading scheme of the Community (‘EU ETS Directive’).
The UK ETS does not significantly change the requirements for participating UK operators from those brought in by the EU ETS. Elements of the scheme will be familiar to operators. It is designed to maintain continuity with the EU ETS and to facilitate possible linkage in the future, however this is subject to ongoing trade negotiations between the UK and EU and would require further secondary legislation.
Key provisions included in this Order cover the scope of the scheme, monitoring and reporting requirements, the cap (the total level of emissions permitted) and the trajectory (the rate at which the cap declines) and the roles of the regulators in monitoring and enforcing the rules of the UK ETS. Secondary legislation will be introduced under the Finance Act 2020 to establish other parts of the UK ETS including rules for the auctioning of emissions allowances. Secondary legislation for the UK ETS currently includes:
The regulated activities covered by the UK ETS are listed in Schedule 2. Aviation activities are covered by the scheme and the definition of this is given in Schedule 1. The scheme covers electricity generation and heavy energy-using industries such as power stations, refineries, iron and steel, cement and lime, paper, food and drink, glass, ceramics, engineering, and the manufacture of vehicles. Other organisations, including universities and hospitals, may also be covered by the UK ETS depending upon the combustion capacity of equipment at their sites.
The UK ETS continues the principles of emissions trading by allocating and trading GHG emissions allowances. One allowance equals one tonne of carbon dioxide (CO2) equivalent. At the end of each year, installations must have enough allowances to account for their GHG emissions. They have the flexibility to buy additional allowances on top of their allocation, or to sell surplus allowances generated from reducing their emissions below their allocation.
Allocation periods
Phase I of the UK ETS will run from 2021-2030 and is split into two allocation periods:
The regulators in each jurisdiction that the Regulations apply to are the following:
*’Installation’ means a stationary technical unit where one or more regulated activities listed in Schedule 2 are carried out. ‘Installation’ does not include any of the following (which are outside the scope of the UK ETS):
For qualifying aircraft operators the regulators depend on which jurisdiction the aircraft operator is registered in:
The EA is the default regulator for new aircraft operators that do not have a registered office or place of residence in the UK. From 2026, the regulator for aircraft operators will be one of the four above and depend on the jurisdiction where the highest proportion of emissions occur.
Duties
Various duties apply.
Free allocation for installations
The methodology for calculating the free allocation* of lime and malt extract for 2024 and 2025 is updated. This is the result of malt extract being at risk of carbon leakage. Installations** that currently benefit from free allocation must recalculate their free allocation as soon as practicable after 1st January 2024.
*Free allocation is the free giving of CO2 allowances. Organisations may emit CO2 equal to the amount of allowances they have. Other methods of obtaining an allowance is via an auction or a trading scheme.
**An installation is a stationary technical unit where regulated activities (defined in Schedule 2) are carried out.
The benchmark figures for calculating free allocation are set out in Annex 8. These figures will now be used for calculating free allocation in the 2026-2030 allocation period instead of those used for the EU Emissions Trading System.
Installations whose allocations were reduced after calculating free allowances using data from 2020, may now apply for recalculation using data from other years.
Applications for hospitals, small emitters* or ultra-small emitters who want to benefit from free allocation must now include information to enable the historical activity level of installations to be determined.
*A small emitter emits less than 25,000 tonnes of carbon dioxide equivalent each year in the relevant period and has a total rated thermal input of less than 35 megawatts. An ultra-small emitter emits less than this.
N.B. Operators (including aircraft operators) may apply to surrender and return over-allocated, allowances.
These Regulations come into force on 1st January 2024.
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Jurisdiction: England, Wales, Scotland
Commencement: 1st October 2023
Amends: The Goods Vehicles (Licensing of Operators) Regulations 1995
The Goods Vehicles (Licensing of Operators) Regulations 1995 lay down requirements for the licensing of passenger and goods vehicle operators in Great Britain.
Licences covered under these regulations include:
These Regulations are made under powers conferred by the Goods Vehicles (Licensing of Operators) Act 1995 (see LUS entry 1995 c.23).
Part 1 General
This Part contains general information including commencement, revocation and interpretation.
Part 2 Applications
This Part prescribes matters relating to applications for licences.
Applications must be made on a form supplied by the Traffic Commissioner and contain all the information specified on that form. The Traffic Commissioner must receive the application no less than 9 weeks before the licence or variation applied for is to take effect.
Part 3 Objection and Representations
This Part details the procedures relating to objections and representations.
Part 4 Operating Centres
This part details the conditions which may be attached to a licence (including number, type and size of goods vehicles, parking and access arrangements and times of operations).
This Part also prescribes the environmental considerations which the Traffic Commission must have regard to when determining the suitability of a place for use as an operating centre, or attaching, carrying or removing a condition to a licence, or the effect or likely effect that an operating centre might have on the locality.
Part 5 Inquiries
This Part, along with Schedule 4, prescribes various matters relating to inquiries held by a Traffic Commissioner under section 35 of the Goods Vehicles (Licensing of Operators) Act 1995.
Part 6 Other Matter
This part prescribes other matters relating to licences.
In order to ensure a seamless transition between the United Kingdom and European Union countries, changes are made to the requirements for an operators licence when used for the carriage of goods.
Classes of vehicle for which an operator’s licence is not required
Definitions and requirements are given for vehicles used for the carriage of goods that can be brought temporarily into Great Britain from countries with which the United Kingdom has an international agreement without the need for an operators licence*.
Exemptions from the requirements to hold an operators licence are given for persons using vehicles from non-EU countries:
*An operator licence is a licence to allow the operation of goods vehicles in the UK, ensuring the vehicles meet the expected standards of operation.
** An operator is someone who owns an establishment that drives goods vehicles weighing more than 3.5 tonnes, which carry goods as part of a trade or business.
The remainder of the exemptions implement or re-implement obligations under the international road transport agreements with various countries and can be found here.
Schedule 3A is added, which provides conditions for the issuing of temporary operators’ licences to international operators, where the vehicle used is not subject to a relevant international agreement previously mentioned.
References and interpretations are amended to reflect these changes.
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Jurisdiction: England & Wales
Commencement: 2nd October 2023
Amends: The Environmental Permitting (England and Wales) Regulations 2016
The Environmental Permitting (England and Wales) Regulations 2016 replace the Environmental Permitting (England and Wales) Regulations 2010 and were written to consolidate the high number of amendments made to the previous Environmental Permitting (England and Wales) Regulations 2010. The duties remain largely the same.
These Regulations cover:
There are many different types of facility or activity which require a permit, including ‘installations’, waste operations, certain types of mobile plant, surface water and ground water activities, flood risk activities, solvent emission activities, and radioactive substances activities.
Applications for environmental permits may be granted by the regulator (Environment Agency or Natural Resources Wales) to allow a person to operate a regulated facility.
N.B. Any existing enforcement notices, applications for a permit, applications to transfer a permit, etc. made under the 2010 Environmental Permitting Regulations continue to have effect but are now treated as having been made under these Regulations.
Various duties apply.
Changes are made to optimise the regulatory tools available for managing and protecting groundwater in England, with the aim of improving groundwater quality, reducing unnecessary business costs and to help ensure resources are used effectively. The changes come into force on 2nd October 2023.
Permits
A permit may now be granted in England for:
*Remediate means taking action to prevent or mitigate the effects of pollution and any action to restore the area to its former state.
Surrendering of an environmental permit
In England, the operator of an environmental permit may now notify the Environment Agency of their intention to surrender a permit for a stand-alone water discharge or groundwater activity that:
N.B. This does not apply to activity in a well or borehole.
Sewage
Small discharges of sewage effluent
Operators of sewage treatment plants and septic tanks must comply with ‘General binding rules for small sewage discharges (SSDs)’ by 2nd October 2023.
Discharges from sewage treatment plants and septic tanks must not pollute groundwater in a groundwater Source Protection Zone 1*.
*Groundwater Source Protection Zone 1 is any area:
Sewage offences
The offences for sewage undertakers are updated. Schedule 21 and Schedule 22 are amended accordingly.
Open-loop ground source heating and cooling systems
Wastewater from open-loop ground systems must not be discharged in Wales:
In England, wastewater from open-loop ground systems must not be discharged within a groundwater Source Protection Zone 1.
Closed-loop ground source heating and cooling systems*
The following requirements only apply to operators in England.
Operators of a closed-loop ground source heating and cooling system* must prevent pollution of surface water or groundwater.
Closed-loop ground source systems must:
Closed-loop ground source systems must not be located:
Low-risk burials
Schedule 3 adds requirements for low-risk burials in new cemeteries and extensions of cemeteries.
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As a social enterprise, each month, we like to let you know how, through supporting our business, you are directly supporting our charity.
This month, we look at Alan’s Story.
Alan* was recently referred to our charity, Newground Together, more specifically, their energy team. Our team learnt that following a hospital stay, Alan’s energy company fitted a prepayment meter without his knowledge. This led to Alan being unable to afford to heat his home or have running hot water for a shower. Upon hearing this, our team quickly issued Alan with fuel vouchers that meant he could turn his heating and hot water back on for at least a couple of weeks.
On top of this, the team also discovered that following a robbery, Alan no longer had a working fridge or oven and was living off microwave meals. With this in mind, the Energy Team also made a home visit to see if there was anything else they could help Alan with.
David Ellmore, NGT Energy Advice Officer, was aware of funds available to Calderdale residents for home appliances such as microwaves and fridge freezers and applied on Alan’s behalf. A few weeks later, both appliances were delivered and installed at Alan’s home.
“I can’t tell you the difference the Energy Team has made to my life. David has been a big help, and I can’t believe he managed to get me a new microwave and fridge freezer! Thank you to everyone at Newground Together. I would have been very cold and hungry without your help this winter.”
David said, “Seeing the difference this has made to Alan and his quality of life is very rewarding. I feel fortunate to be in a position where I can access additional funding required to make a difference to people’s lives.”
*Names have been changed to protect identity.
Polychlorinated Biphenyls (PCBs)* are toxic to the environment and have been banned in transformers** in England, Scotland and Wales.
*PCBs include:
**Transformers are used to reduce the voltage of electricity from the grid.
Transformers whose oil contains more than 0.005% PCBs but less than 0.05% and a total PCB volume of 50 ml are currently exempt from this ban. The Compliance People consultant Katie Pritchard looks at this exemption and its upcoming repeal.
Transformers containing more than 0.005% PCBs but less than 0.05% and a total PCB volume of 50 ml must be decommissioned or disposed of by 31st December 2025.
Transformers contaminated with PCBs are considered as hazardous waste and persistent organic pollutants. As such, the transformers must be disposed of in a way that destroys the PCB content.
If the PCB content cannot be destroyed, the Environment Agency or the Scottish Environment Protection Agency may permit you to permanently store the equipment underground.
Records of disposal and decontamination must be retained and provided upon request.
Once decontaminated or decommissioned, transformers contaminated with PCBs must be removed from the contaminated equipment register*.
*The contaminated equipment register is a register maintained by the Environment Agency and the Scottish Environment Protection Agency. The register sets out a list of all transformers that still contain PCBs.
You may need to provide information on laboratory test reports and waste consignment notes.
Transformers containing more than 0.005% PCBs but less than 0.05% and a total PCB volume of 50 ml must be decommissioned or disposed of by 31st December 2025.
If you need more help, why not get in touch with us? – Our professional team of consultants offer independent, periodic compliance evaluations and support for both environment and health & safety.
There is a common misconception that waste batteries can be disposed of via household tips. The Compliance People Consultant Katie Pritchard advises how organisations can dispose of waste batteries safely and in compliance with the law.
Waste produced by organisations, including waste batteries, is classed as controlled waste* and in England and Wales is regulated under:
*Controlled waste is household, industrial or commercial waste that is subject to legislative requirements.
Organisations have a duty of care to ensure that their waste is disposed of in a way that does not harm the environment or human health.
Organisations must:
*An authorised waste facility is a facility that is authorised to receive waste.
**A waste carrier is a person or organisation that transports waste.
Waste duty of care extends to batteries.
Organisations must:
Organisations must not dispose of batteries via household tips. Batteries must be collected by a registered waste carrier and taken to an authorised waste facility.
For more information on waste duty of care, have a look at our waste duty of care training.
If you need more help, why not get in touch with us? - Our professional team of consultants offer independent, periodic compliance evaluations and support for both environment and health & safety.
Jurisdiction: England
Commencement: 30th June 2023
Amends: The Packaging Waste (Data Reporting) (England) Regulations 2023
The Packaging Waste (Data Reporting) (England) Regulations 2023 are in force from 28th February 2023.
Duties are imposed on producers* in England to collect data on the amount and type of packaging** they put on the United Kingdom (UK) market from March 2023 (or from January 2023, if they have this data). The data is required to calculate the fees that producers will have to pay from 2024 as part of the new Extended Producer Responsibility (EPR). The new EPR system aims to deliver a more circular economy by charging producers to cover the collection and disposal costs of their packaging once it becomes waste.
*Producer, for the purposes of these Regulations, means an organisation operating in the UK as:
**Packaging is any material that is used to cover or protect goods that are sold to consumers and includes anything that is designed to be filled at the point of sale, e.g. coffee cups.
Exempt packaging
The following types of packaging are exempt from the requirements of these Regulations.
N.B. These Regulations will be replaced in December 2023 by The Producer Responsibility Obligations (Packaging and Waste) Regulations 2023, which will include provisions for the introduction of the EPR.
The Producer Responsibility Obligations (Packaging Waste) Regulations 2007
These 2023 Regulations are currently in addition to The Producer Responsibility Obligations (Packaging Waste) Regulations 2007 which also put duties on organisations that handle packaging. They extend the responsibilities of those already obligated under the 2007 Regulations, and capture more organisations by reducing the threshold of packaging handling to 25 tonnes, and reducing the financial turnover threshold.
Producer obligations
The obligations imposed by these Regulations vary depending on whether the producer is classed as a small or large producer.
An organisation will be classed as a small producer if either:
An organisation will be classed as a large producer if:
Small producers
To comply with these Regulations, small producers must do the following.
*Data collection period means:
Large producers
To comply with these Regulations, large producers must do the following.
Details on the data that needs to be collected and submitted are available for each type of producer in Schedule 1 (Collection and reporting information) and Schedule 2 (Licensors and Pub Operating Businesses).
Members of registered compliance schemes
A producer who is a member of a registered compliance scheme* is exempt from the data reporting obligations under these Regulations. Instead, the operator of the registered scheme must report the packaging data for them.
*Compliance schemes are third party organisations that help producers meet their EPR requirements. The public register of compliance schemes can be accessed here.
Regulator powers and duties
The EA is responsible for the enforcement of these Regulations. The EA must:
The EA may also approve a person to verify the information submitted directly by a producer or provided by a producer to the operator of a scheme. The approved person would be, where the producer:
Offences and penalties
A producer who contravenes the duties under these Regulations, or fails (without reasonable excuse) to comply with any direction from the EA, is guilty of an offence which is punishable by a fine.
Clarifications are made on when a brand owner is a producer in relation to packaging and responsibility for certain packaging is assigned to packers / fillers instead of brand owners. Also, responsibility for certain packaging is assigned to importers. These Regulations came into force on 30th June 2023 and apply to England only.
Where different individual branded or unbranded products are packed to be sold together, the brand owner is considered the producer for the packaging of an individual branded product, and the packer/filler is the producer in relation to any unbranded packaging they filled.
Brand owners
When more than one brand appears on filled packaging, the brand owner who makes the first supply of the filled packaging is to be treated as the brand owner and producer in relation to that packaging.
Packers / fillers
Packers / fillers are considered producers, where:
Importers
An importer is also considered a producer:
Schedule 1 (collection and reporting information) is amended to clarify and simplify the data reporting requirements for reusable and refillable packaging for producers. Certain requirements on collecting and reporting information are either simplified or removed.
Minor corrections are also made to the drafting and some incorrect cross-references are fixed.
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Jurisdiction: Scotland
Commencement: 1st March 2024
Amends: The Deposit and Return Scheme for Scotland Regulations 2020
The Deposit and Return Scheme for Scotland Regulations 2020 are made under section 84 of the Climate Change (Scotland) Act 2009, which allows for the creation of a deposit and return scheme in Scotland for the purpose of waste reduction and promoting recycling.
They set out the legal requirements for producers* and retailers** of scheme articles*** for a deposit and return scheme where consumers are charged a deposit of 20p for each scheme article sold.
* The definition of a producer depends on where the scheme article produced has been branded. Producers are defined as:
A retailer of scheme articles can also be classed as a producer if they package and seal scheme articles themselves and then sell them to consumers for consumption off of the premises.
**Retailers are persons who market or sell scheme articles in Scotland.
***Scheme articles*are drinks sold in packaging that:
In addition to charging deposits, these Regulations require:
These Regulations come into force in the following stages and are expanded upon in the duties section:
These Regulations were bought into force by the Scottish Government to promote a circular economy, encouraging people through monetary incentives to return waste so they can be recycled.
Various duties apply.
The scheme is delayed and now fully comes into force on 1st March 2024.
Low Volume Drink Sales
The marketing or sale (including through online retail or vending machine sales to a consumer in Scotland) of a low volume drink product (a drink product with fewer than 5000 units sold per year) will now be prohibited, unless the producer is listed or registered with Scottish Environment Protection Agency (SEPA). The seller must also inform the purchaser that the product is not eligible under the return scheme.
Further guidance is issued in the addition of Schedule 5.
Information to be included in the application for producer registration for low volume drink sales can be found here.
Date changes
Regulation 5 (obligations relating to charging deposits and marketing, offering for sale or selling articles) now comes into force on 1st March 2024.
Producers must now apply for producer registration before 12th January 2024 or within 28 days from becoming a producer. In subsequent years, applications must be made before 1st March each year.
SEPA now has 42 days in receipt of an application to either grant or refuse it. The registration takes effect from March 2024 and then 1st April in any subsequent relevant year.
Return points
A retailer whose number of sales of eligible scheme items to consumers for consumption on the premises constitutes 90% or more of that retailer’s total number of sales of scheme articles is exempt from operating a return point. Any exempt premises are required to display exemption information on the premises.
Return point operators are allowed to refuse returned items of a particular material if that material would put them in breach of legal obligations relating to food safety or health and safety. If this is the case then the operator must display signage explaining which materials will not be accepted, and where the nearest accepted return point is.
Hospitality retailers are required to retain scheme packaging for collection by a producer or scheme administrator.
Takeback services
A large retailer must provide a takeback service free of charge to a consumer that:
A large retailer providing a takeback service must now:
Where a takeback service is provided voluntarily by a retailer other than a large retailer, that retailer must comply with the obligations of a large retailer in this regulation.
Review
The 2020 Regulations are now required to be reviewed by 21st October 2027.
Collection Targets
Beginning from 1st January 2025 and ending 31st December 2025, the collection target of the scheme is 80%.
From 1st January 2026 the collection target is increased to 90%.
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Jurisdiction: Great Britain
Commencement: 19th July 2023
Amends: GB Retained: Regulation (EC) 1907/2006 concerning the Registration, Evaluation, Authorisation and Restriction of Chemicals (REACH)
Regulation (EC) No 1907/2006 concerning the Registration, Evaluation, Authorisation and Restriction of Chemicals (the “REACH” Regulation) concerns the registration, evaluation, authorisation and restriction of chemicals. The Regulation places duties primarily on the manufacturers and importers of chemical substances. There are also duties and restrictions on downstream users of some very hazardous chemicals.
Application in Great Britain
Following the UK’s departure from the European Union (EU), the European Union (Withdrawal) Act 2018 incorporated all directly acting EU Regulations into law in Great Britain (GB). The GB versions of those EU Regulations have been amended to revise various definitions, terminology, authorities, etc. to GB rather than EU references and to provide for regulation and enforcement by GB rather than EU bodies. This entry describes the GB version of the REACH Regulation.
N.B. HSE guidance refers to ‘UK’ REACH’, even though UK REACH applies only in Great Britain. In order to remain consistent with HSE documentation, this summary uses the same terminology i.e. ‘UK’ REACH but it is important to note that UK REACH only applies in Great Britain.
Application in Northern Ireland
Although Northern Ireland has also left the EU, under the terms of the Northern Ireland Protocol, the EU version of REACH continues to apply in Northern Ireland, not the UK version. There are however different arrangements for certain goods imported from Northern Ireland into GB. See the section about transitional arrangements and Northern Ireland in the duties section below.
Application to all substances
REACH concerns all chemical substances whether or not they are hazardous. However, certain substances are excluded entirely or almost entirely from REACH including radioactive substances, waste, food and food stuffs, cosmetics and medicines.
The REACH Regulation complements the GB version of Regulation (EC) No 1272/2008 on classification, labelling and packaging of substances and mixtures (the ‘GB CLP Regulation’). Both apply duties primarily to manufacturers, importers and suppliers. There are also some more limited implications for downstream users. Organisations involved in manufacture and supply of chemicals need to be familiar with both Regulations.
Registration
Organisations which manufacture or import into GB 1 tonne or more of any chemical substance (whether or not it is hazardous) have a duty to gather information on the properties of the substance and register the information in a central database managed by the Health and Safety Executive (“HSE”). An organisation which manufactures or places substances on the market without registering them commits an offence.
Supplying information
Manufacturers and suppliers must provide information to customers about any hazardous properties of the substances they manufacture or supply. This duty is usually complied with by supplying Safety Data Sheets.
Very hazardous substances
One of the objectives of REACH is to restrict and ultimately phase out the use of some of the most hazardous substances (see “substances of very high concern” below). In pursuance of this objective and in accordance with REACH, the HSE will maintain lists of some ‘substances of very high concern’. Manufacturers, suppliers and downstream users must apply to the HSE for authorisation to manufacture, supply or use some of these substances. There are specific restrictions which apply to some of the listed substances. Eventually, GB may prohibit entirely the manufacture, supply and use of some of these most hazardous substances.
Note that registrations and authorisations granted by the European Chemicals Agency (‘ECHA’) to GB-based organisations prior to the end of the Brexit implementation period (31st December 2020) are automatically transferred across to the GB system, though the relevant organisation holding the registration or authorisation is required to notify certain information concerning the registration or authorisation to the HSE – see the transitional arrangements section below.
Various duties apply.
Following Brexit, in order to allow the Government time to develop a new transitional registration model for REACH, the following UK REACH information submission deadlines are extended by 3 years to:
The period during which the Health and Safety Executive (HSE) is required to carry out compliance checks on at least 20% certain types of registration dossiers is extended to 27th October 2027.
It is expected that it will take until late 2024 to develop and legislate for the new model for transitional REACH registrations.
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