This has marked the next step in the introduction of greenhouse gas allowances in the country
At a meeting on Wednesday, 23 September, the Cabinet of Ministers of Ukraine has adopted at once three Resolutions aimed at creating mechanisms for the introduction of the greenhouse gas emission allowances market in Ukraine.
Specifically, the Ukrainian Government has adopted the following Resolutions:
- On approval of the Procedure for monitoring of and reporting on greenhouse gas emissions;
- On approval of the list of activities resulting in greenhouse gas emissions to be monitored, reported and verified;
- On approval of the Procedure for verification of the operator’s greenhouse gas emissions report.
The Cabinet Resolutions are designed to create mechanisms for implementing the provisions of the Law No. 0875 “On the fundamentals of monitoring, reporting and verification of greenhouse gas emissions”. The document was adopted by the Verkhovna Rada in December 2019. It provides a basis for the introduction of greenhouse gas emission allowances in the country.
“As part of the Association Agreement with the EU, Ukraine has undertaken to implement a number of documents to combat climate change. The introduction of the greenhouse gas emission allowances market is a ‘plus’ to Ukraine’s reputation as a reliable participant in global processes to combat climate change. Moreover, Ukraine’s failure to launch a system for monitoring gas emissions in a timely manner will adversely affect businesses that will have to pay additional taxes on exports,” said the Prime Minister of Ukraine, Denys Shmyhal.
The system of monitoring, reporting and verification of CO2 emissions is scheduled to be launched in Ukraine on 1 January 2021. By 31 March 2022, companies must submit their first monitoring reports for 2021. At the same time, industrial companies will have three months to verify and submit reports.
Establishing national trading schemes for greenhouse gas emission allowances has been provided for by Directive 2003/87/EC. Ukraine has been consistently implementing this Directive in accordance with the EU-Ukraine Association Agreement.