34. Carbon dioxide (CO2) emission allowances
The below presented amounts of CO2 emission allowances for 2013-2020 are based on the draft regulations prepared by the Ministry of the Environment. On February 26th 2014, the European Commission approved the limits of free allocations of carbon dioxide emission allowances for 2013-2020.
Number of free CO2 emission allowances for 2013-2020 and actual CO2 emissions:
|in thousand tonnes||2013||2014||2015||2016||2017||2018||2019||2020||Razem|
under the National
Allocation Plan (1)
|Actual CO2 emissions (2)||1,745||-||-||-||-||-||-||-||1,745|
(1) Projected volumes of free CO2 emission allowances for 2013–2020 under the National Allocation Plan prepared by the National Centre for Emissions Balancing and Management, taking into account the cross-sectoral correction factor referred to in the Commission Decision 2013/448/EU. The European Commission approved draft specifications prepared by Poland, including lists of installations and the initial allocation volumes, thus providing the basis for further legislation work at the national level, aimed at efficiently passing the allowances over to Polish enterprises.
(2) CO2 emissions calculated on the basis of production data for installations included in the emissions trading system, in accordance with the report of January 10th 2014 presenting data as at December 31st 2013. The data will be subject to verification in accordance with Art. 59 of the Act on Trading in Greenhouse Gas Emission Allowances of April 28th 2011.
In addition, some of the Group companies have unused free CO2 emission allowances allocated for 2008–2012 under the National Allocation Plan; the aggregate amount of these allowances is 143 thousand tonnes, and they may be used to cover the emissions in 2013–2020.
As at December 31st 2013, considering the proposed amount of allowances to be allocated under the European Union Emissions Trading Scheme for 2013 and the actual volume of emissions, the Group reported a deficit of allocated CO2 emission allowances, and therefore a PLN 1,527 thousand provision was recognised in its financial statements. Moreover, to cover the 2013 deficit, the Group acquired CO2 emission allowances valued at PLN 23,430 thousand, which were disclosed in its statement of financial position under Other intangible assets (see Note 15).
As at December 31st 2012, the Company recognised a liability of PLN 954 thousand related to the purchase cost. The emissions limit for 2012 was set at 1,989 thousand tonnes (1,228 thousand tonnes under the National Allocation Plan and 761 thousand tonnes allocated by the Marshal of the Gdańsk Province), whereas the actual CO2 emissions totalled 2,033 thousand tonnes.
The Group's total allocation of CO2 emission allowances for the years 2008–2012 was 7,781 thousand tonnes (6,126 thousand tonnes under the National Allocation Plan and 1,655 thousand tonnes allocated by the Marshal of the Gdańsk Province), whereas its actual CO2 emissions in the years 2008–2012 totalled 7,551 thousand tonnes.
For information on the risk related to prices of CO2 emission allowances, see Note 32.2.