Recent attempts to soften the rules for Polish entrepreneurs with respect to allocation of free greenhouse gas emission allowances to the energy sector were to no avail.

The decision had been made unanimously by the member states in November 2010 at the meeting of the EU Committee on Climate Change, which consists of the representatives of all member states, and was formally approved by the Commission on March 29, 2011.

The European Commission approved the rules of temporary allocation of free greenhouse gas emission allowances to the energy sector. Ten member states, including Poland, will be able to decide about the allocation to their power plants of a limited number of the free allowances instead of selling them.

The Commission established the rules which will have to be observed by the member states if they decide to allocate free emission allowances to those power plants which meet relevant criteria.

Contact person: Paweł Nowak, pn@pnplaw.pl, Peter Nielsen and Partners Law Office