Does our activity need a GHG permit?

The EU ETS only applies to certain types of activity which produce greenhouse gases. The activities under ETS1 are listed in Annex I of the EU ETS Directive. A company cannot volunteer to be in the EU ETS. It is an offence to carry on an activity listed in Annex I of the Directive without a GHG permit. (Please note: From 1 January 2025 additional activities listed in Annex III of the Directive must also hold a GHG permit these are also known as ETS2 activities. There will be a separate area on our website dealing with ETS2.)

The stationary technical unit where the activity is carried out is known as the "installation". You come within the scope of the EU ETS1 if your installation carries out at least one Annex I activity of the EU ETS Directive. There are special rules for the most common activity ‘combustion of fuels in installations with a total rated thermal input > 20 MW’ and you are advised to carefully read the Guidance on Interpretation of Annex I of the EU ETS Directive (excl. aviation and maritime activities | Climate Action ( before deciding if your installation should be included in the EU ETS or not. This guidance will also be very useful in determining the boundaries of your installation.

If having read this guidance you believe you are covered by Annex 1 of the Directive, please contact and we will advise you how to proceed with an application for a Greenhouse Gas permit.

Useful information on the steps you will need to take as an ETS operator is given in the EU Commission’s Quick Guide for Stationary Operators

If you are not covered by Annex 1 of the ETS Directive, you may wish to take part in a voluntary carbon disclosure scheme such as the Carbon Disclosure Project. (ETS participants are also free to participate in this initiative.)