UK Emissions Trading Scheme: Isle of Wight
The question
To ask the Secretary of State for Energy Security and Net Zero, what assessment her Department has made of the potential impact of the extension of the UK Emissions Trading Scheme to maritime on defence manufacturing businesses on the Isle of Wight.
Answered by Department for Energy Security and Net Zero
The UK Emissions Trading Scheme expanded to include maritime emissions earlier this year.
The Scheme applies to ship owners and operators, who are responsible for monitoring and reporting emissions from in-scope activities and surrendering allowances.
This expansion does not place obligations on manufacturing businesses, including those in the defence sector.
An Impact Assessment was published on 25 November 2025.
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