Draft guidance documents were put up for public consultation in June 2010. Bellona provided a number of comments, and is pleased that these are generally reflected in the final documents.
In particular, the earlier draft of guidance document 4 dealing with the financial security that operators need to provide in order to cover their obligations under the directive, was controversial. They final version recognizes that there is no commercial insurance available against the obligation to surrender Emission Unit Allowances (EUAs) in case of leakage. A Member State (individually or in co-operation with other Member States) may therefore decide to provide insurance against such risks. Bellona strongly encourages Member States to do so.
It is also welcome that guidance document 4 suggests that different financial security instruments may be provided for different obligations under the directive, thereby ensuring that the liquidity requirement for instruments is proportional to the probability of obligations occurring under the directive.
Bellona appreciates that the European Commission has left it to Member States to assess the likelihood of leakage from CO2 storage sites in order to establish adequate financial security through the surrendering of EUAs. If the Competent Authority applies permitting rules correctly, the likelihood of leakage from a CO2 storage site should be virtually nil.
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