As of 2013, the EU ETS Directive has introduced a harmonised approach to free allocation of allowances to European industry. Industrial sectors deemed exposed to a significant risk of carbon leakage will receive higher share of free allowances compared to non-exposed sectors. Articles 10(a) 14-17 of the EU ETS Directive set the quantitative and qualitative criteria (additional costs incurred by the EU ETS and trade exposure) to be used for the assessment of sectors.
In 2009, the Commission determined the carbon leakage list valid until the end of 2014. Article 10(a) 13 of the ETS Directive requires the Commission to determine a new list for the period 2015-2019. Some assumptions needed for the application of the criteria are not defined in the ETS Directive and thus will be subject to an Impact Assessment and decided by the Commission.
The objective of the consultation is to provide stakeholders a possibility to provide their views on these assumptions, and on the more general issues on this subject.
For more information, see this website