|EU ETS Standard Capacity Utilisation Factor (SCUF)|
|European Union Carbon Market Glossary|
Sandard Capacity Utilisation Factors (SCUF) are values set ex ante by the European Commission's decision in accordance with the EU ETS rules, by which the initial installed capacity of the installation are multiplied, which are used to determine the level of free allocation of emission permits for new entrants and installations which had a significant capacity extension or reduction.
The standard capacity utilisation factors are particularly important for new entrant industrial installations, for which a product benchmark has been determined (in Annex I to Decision 2011/278/EU), which are eligible for free allocation of emission permits in the period 2013-2020 of the European Union Emission Trading Scheme.
The key parameter influencing the volume of free allocation for these installations is the installation's product-related activity level, which for new entrants can't be determined using historic activity data.
Due to lacking historic data, for the purposes of free allocation of emission permits for new entrant installations this activity level is determined by multiplying the initial installed capacity for the production of the relevant product with the standard capacity utilisation factor, which is set ex ante by the European Commission's decision (the exact values for each SCUF for each product see below).
For installations which had a significant capacity extension or reduction, standard capacity utilisation factors are used to determine the product-related activity level of the added or reduced capacity of the sub-installation concerned.
The standard capacity utilisation factor should be the 80-percentile of the average annual capacity utilisation of all installations producing the product concerned.
The process to determine this product-related activity level of installations is carried out by Member States in accordance with Article 18 of Decision 2011/278/EU. The legal basis for the said process represents Article 10a of the Directive 2003/87/EC of the European Parliament and of the Council of 13 October 2003 establishing a scheme for greenhouse gas emission allowance trading within the Community and amending Council Directive 96/61/EC.
The values for standard capacity utilisation factors per product benchmark applicable for the period apply 2013 to 2020 are laid down in the Annex to the European Commission Decision of 5 September 2013 on the standard capacity utilisation factor pursuant to Article 18(2) of Decision 2011/278/EU (2013/447/EU) and are set out below.
|Last Updated on Wednesday, 06 April 2016 11:36|