UK Emissions Trading Scheme
The question
To ask the Secretary of State for Energy Security and Net Zero, what assessment he has made of the potential impact of the extension of the Emissions Trading Scheme to the municipal incineration of waste on local authority finances.
Answered by Sarah Jones
The UK Emissions Trading Scheme (ETS) Authority consulted on expanding the UK ETS to the waste sector in 2024, including the process for support local authorities until they have decarbonisation pathways in place. The Government understands the importance of supporting policies to ensure local authorities are not faced with unmanageable costs.
Illustrative estimates of the costs to local authorities were published in the Analytical Annex [1] that accompanied the 2024 consultation. Before expansion of the UK ETS to the waste sector we will publish further analysis as part of an impact assessment accompanying the final Authority response.
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