prop · GS0318 · 2004-09-28 00:00:00 — (t)long-term CER (lCER) is a CER issued for an afforestation or reforestation project activity under the CDM which, subject to the decisions adopted pursuant to the UNFCCC or the Kyoto Protocol, expires at the end of the crediting period of the afforestation or reforestation project activity under the CDM for which it was issued; (u)third country registry means a registry established, operated and maintained by a country listed in to the Kyoto Protocol which has ratified the Kyoto Protocol and is not a Member State; (v)transaction means the issue, transfer, acquisition, surrender, cancellation and replacement of allowances and the issue, transfer, acquisition, cancellation and retirement of ERUs, CERs, AAUs and RMUs and carry-over of ERUs, CERs and AAUs; (w)UNFCCC independent transaction log means the independent transaction log established, operated and maintained by the Secretariat of the United Nations Framework Convention on Climate Change; (x)verifier means a competent, independent, accredited verification body with responsibility for performing and reporting on the verification process, in accordance with the detailed requirements established by the pursuant to of Directive 2003/87/EC; (y)year means a calendar year, defined according to Mean Time. Chapter II Registries and transaction logs 1.A registry in the form of a standardised electronic database shall be established by each and the Commission by . 2.Each registry shall incorporate the hardware and software set out in , be accessible via the Internet, and conform to the functional and technical specifications required by this Regulation. 3.Each registry shall be capable of executing correctly all the processes concerning verified emissions and accounts set out in , the reconciliation process set out in and all the administrative processes set out in by . Each registry shall be capable of executing correctly all the processes concerning allowances and Kyoto units set out in by , with the exception of the processes with process types 04-00, 06-00, 07-00 and 08-00. Each registry shall be capable of executing the processes concerning allowances and Kyoto units with process types 04-00, 06-00, 07-00 and 08-00 set out in by 31 2005. A or the Commission may establish, operate and maintain their registry in a consolidated together with one or more other Member States or the Community, provided that its registry remains distinct. The Community independent transaction log 1.The Community independent transaction log shall be established in the form of a standardised electronic database by . 2.The Community independent transaction log shall incorporate the hardware and software set out in , be accessible via the Internet, and conform to the functional and technical specifications required by this Regulation. 3.The Central Administrator designated pursuant to Article 20 of Directive 2003/87/EC shall operate and maintain the Community independent transaction log in accordance with the provisions of this Regulation. 4.The Central Administrator shall provide the administrative processes referred to in in order to facilitate the integrity of the data within the registries system. 5.The Central Administrator shall only perform processes concerning allowances, verified emissions, accounts or Kyoto units where necessary to carry out its functions as Central Administrator. 6.The Community independent transaction log shall be capable of executing correctly all the processes concerning allowances, verified emissions, accounts or Kyoto units set out in and by . The Community independent transaction log shall be capable of executing correctly the reconciliation process set out in and the administrative processes set out in by . Communication link between registries and the Community independent transaction log A communication link between each registry and the Community independent transaction log shall be established by . The Central Administrator shall activate the communication link after the testing procedures set out in and the initialisation procedures set out in have been completed successfully and notify the relevant registry administrator thereof. From 1 January 2005 until the communication link referred to in Article 7 has been established, all processes concerning allowances, verified emissions and accounts shall be completed through the exchange of data via the Community independent transaction log. The Commission may instruct the Central Administrator to temporarily suspend a process referred to in Annexes VIII and IX initiated by a registry if that process is not being executed in accordance with Articles 32 to 37. The Commission may instruct the Central Administrator to temporarily suspend the communication link between a registry and the Community independent transaction log or to suspend all or some of the processes referred to in Annexes VIII and IX, if that registry is not operated and maintained in accordance with the provisions of this Regulation. Communication link between the independent transaction logs A communication link between the Community independent transaction log and the UNFCCC independent transaction log shall be established promptly after the UNFCCC independent transaction log has been established. After such a link is established, all processes concerning allowances, verified emissions, accounts and Kyoto units shall be completed through the exchange of data via the UNFCCC independent transaction log and thereon to the Community independent transaction log. 1.Each and the Commission shall designate a registry administrator to operate and maintain its registry in accordance with the provisions of this Regulation. Member States and the Commission shall ensure that there is no conflict of interest between the registry administrator and its account holders or between the registry administrator and the Central Administrator. 2.Each notify the Commission of the identity and contact details of the registry administrator for its registry by in accordance with the initialisation procedures set out in . 3.The Member States and the Commission shall retain ultimate responsibility and authority for the operation and maintenance of their registries. 4.The Commission shall coordinate the implementation of the requirements of this Regulation with the registry administrators of each and the Central Administrator. Chapter III Contents of the registries SECTION 1 REPORTING AND CONFIDENTIALITY 1.Each registry administrator shall make available the information listed in at the frequencies and to the recipients set out in in a transparent and organised via his registry web site. Registry administrators shall not release additional information held in the registry. 2.The Central Administrator shall make available the information listed in at the frequencies and to the recipients set out in in a transparent and organised via the Community independent transaction log web site. The Central Administrator shall not release additional information held in the Community independent transaction log. 3.Each web site shall allow the recipients of the reports listed in to query those reports using search facilities. 4.Each registry administrator is responsible for the accuracy of the information that originates from his registry and is made available via the Community independent transaction log website. 5.Neither the Community independent transaction log nor registries shall require account holders to submit price information concerning allowances or Kyoto units. 1.All information, including the holdings of all accounts and all transactions made, held in the registries and the Community independent transaction log shall be considered confidential for any purpose other than the implementation of the requirements of this Regulation, Directive 2003/87/EC or national law. Information held in the registries may not be used without the prior consent of the relevant account holder except to operate and maintain those registries in accordance with the provisions of this Regulation. Each competent authority and registry administrator shall only perform processes concerning allowances, verified emissions, accounts or Kyoto units where necessary to carry out their functions as competent authority or registry administrator. SECTION 2 - ACCOUNTS 1.From 1 January 2005 onwards, each registry shall contain at least one Party holding account created in accordance with Article 12. 2.From 1 January 2005 onwards, each registry shall contain one operator holding account for each installation created in accordance with Article 15 and each registry shall contain at least one person holding account for each person created in accordance with Article 19. 3.From 1 January 2005 onwards, each registry shall contain one retirement account and one cancellation account for the 2005-2007 period, created in accordance with Article 12. 4.From 1 January 2008 and from 1 January of the first year of each subsequent five- year period, each registry shall contain one retirement account and the cancellation and replacement accounts required by the relevant decisions adopted pursuant to the UNFCCC or the Kyoto Protocol for the 2008-2012 period and for each subsequent five-year period, created in accordance with Article 12. 5.Unless otherwise provided, all accounts shall be capable of holding allowances and Kyoto units. SECTION 3 - PARTY ACCOUNTS Creation of Party accounts 1.The relevant body of the and the Commission shall submit an application to their respective registry administrator for the creation in their registries of the accounts referred to in Article 11(1), (3) and (4). The applicant shall provide the registry administrator with the information reasonably required by the registry administrator. That information shall include the information set out in . 2.Within 10 days of the receipt of an application in accordance with paragraph 1 or the activation of the communication link between the registry and the Community independent transaction log, whichever is the later, the registry administrator shall create the account in the registry in accordance with the account creation process set out in . 3.The applicant referred to in paragraph 1 shall notify its registry administrator within 10 days of any changes in the information provided to its registry administrator pursuant to paragraph 1. Within 10 days of the receipt of such a notification the registry administrator shall update that information in accordance with the account update process set out in . 4.The registry administrator may require the applicants referred to in paragraph 1 to agree to comply with reasonable terms and conditions addressing the issues set out in . Closure of Party accounts Within 10 days of the receipt of an application from the relevant body of a or from the Commission to close a Party holding account, its registry administrator shall close the account in accordance with the account closure process set out in . The registry administrator shall immediately notify the account holder of the creation or update of his Party accounts and of the closure of his Party holding accounts. SECTION 4 - OPERATOR HOLDING ACCOUNTS Creation of operator holding accounts 1.Within 14 days of the issue of each greenhouse gas emissions permit to the operator of an installation where the installation has not previously been covered by such a permit or the activation of the communication link between the registry and the Community independent transaction log, whichever is the later, the competent authority, or the operator where the competent authority so requires, shall provide the registry administrator of the registry with the information set out in . 2.Within 10 days of the receipt of the information in paragraph 1 or the activation of the communication link between the registry and the Community independent transaction log, whichever is the later, the registry administrator shall create an operator holding account referred to in Article 11(2) for each installation in its registry in accordance with the account creation process set out in . 3.The competent authority, or the operator where the competent authority so requires, shall notify the registry administrator within 10 days of any changes in the information provided to the registry administrator pursuant to paragraph 1. Within 10 days of the receipt of such a notification the registry administrator shall update the operators details in accordance with the account update process set out in . 4.The registry administrator may require operators to agree to comply with reasonable terms and conditions addressing the issues set out in . Holding of Kyoto units in operator holding accounts An operator holding account shall be capable of holding Kyoto units where authorised by or Community legislation. Closure of operator holding accounts 1.The competent authority shall notify the registry administrator within 10 days of a greenhouse gas emissions permit being revoked or surrendered for an installation that is, as a result, not covered by any such permit. Without prejudice to paragraph 2, the registry administrator shall close all operator holding accounts relating to that revocation or surrender in accordance with the account closure process set out in on 30 the year after the revocation or surrender took place if the relevant installations entry in the latest year of the compliance status table is greater than or equal to zero. If the relevant installations entry in the latest year of the compliance status table is less than zero, the registry administrator shall close its account the day after the entry is greater than or equal to zero or the day after the competent authority has instructed the registry administrator to close the account because there is no reasonable of further allowances being surrendered by the installations operator. 2.If there is a positive balance of allowances or Kyoto units in an operator holding account which the registry administrator is to close in accordance with paragraph 1, the registry administrator shall first request the operator to specify another account within the registry system to which such allowances or Kyoto units shall then be transferred. If the operator has not responded to the registry administrators request within 60 days, the registry administrator shall transfer the balance to the Party holding account. The registry administrator shall immediately notify the account holder of the creation, update or closure of his operator holding account. SECTION 5 - PERSON HOLDING ACCOUNTS Creation of person holding accounts 1.An application for the creation of a person holding account shall be submitted to the registry administrator of the registry concerned. The applicant shall provide the registry administrator with the information reasonably required by the registry administrator. That information shall include the information set out in . 2.Within 10 days of the receipt of an application in accordance with paragraph 1 or the activation of the communication link between the registry and the Community independent transaction log, whichever is the later, the registry administrator shall create a person holding account in its registry in accordance with the account creation process set out in . The registry administrator shall not establish more than 99 person holding accounts in any one persons name in its registry. 3.The applicant shall notify the registry administrator within 10 days of any changes in the information provided to the registry administrator pursuant to paragraph 1. Within 10 days of the receipt of such a notification the registry administrator shall update the persons details in accordance with the account update process set out in . 4.The registry administrator may require the applicants referred to in paragraph 1 to agree to comply with reasonable terms and conditions addressing the issues set out in . Holding of Kyoto units in person holding accounts A person holding account shall be capable of holding Kyoto units where authorised by or Community legislation. Closure of person holding accounts 1.Within 10 days of the receipt of an application from a person to close a person holding account, the registry administrator shall close the account in accordance with the account closure procedure set out in . 2.If a person holding account has a zero balance and no transactions have been recorded during a period of 12 months, the registry administrator shall notify the account holder that the person holding account shall be closed within 60 days unless the registry administrator receives within that period a request from the account holder that the person holding account be maintained. If the registry administrator does not receive any such request from the account holder, it shall close the account in accordance with the account closure process set out in . The registry administrator shall immediately notify each account holder of the creation, update or closure of his person holding account. 1.Each account holder shall appoint a primary and a secondary authorised representative for each account created in accordance with Articles 12, 15 and 19. Requests to the registry administrator to carry out processes shall be submitted by an authorised representative on behalf of the account holder. 2.Each and the Commission may allow account holders in its registry to nominate an additional authorised representative whose agreement is required in addition to the agreement of the primary or secondary authorised representative to submit a request to their registry administrator to carry out one or more of the processes pursuant to Articles 49(1), 52, 53 and 62. 3.Each verifier shall appoint at least one authorised representative to enter or approve the entry of the annual verified emissions for an installation into the verified emissions table in accordance with Article 51(1). 4.Each registry administrator and the Central Administrator shall appoint at least one authorised representative to operate and maintain their registry and the Community independent transaction log on behalf of that administrator. 2.From 1 January 2005 onwards, each registry shall contain one verified emissions table, one surrendered allowances table, and one compliance status table. Each registry may contain additional tables for other purposes. The Community independent transaction log shall contain one national allocation plan table for each for the 2005-2007 period, the 2008-2012 period and for each subsequent five-year period. The Community independent transaction log may contain additional tables for other purposes. 3.The tables in each registry shall contain the information set out in . The operator holding accounts and person holding accounts shall contain the information set out in . The national allocation plan table in the Community independent transaction log shall contain the information set out in . SECTION 7 - CODES AND IDENTIFIERS Each registry shall contain the input codes set out in and the response codes set out in in order to ensure the correct interpretation of information exchanged during each process. Account identification codes and alphanumeric identifiers Before creating an account the registry administrator shall assign to each account a unique account identification code and the alphanumeric identifier specified by the account holder as part of the information given under Annexes III and IV respectively. Before creating an account, the registry administrator shall also assign to the account holder a unique account holder identification code comprising the elements set out in . Chapter IV - Checks and processes SECTION 1 BLOCKING OF ACCOUNTS Blocking of operator holding accounts 1.If, on of each year starting in 2006, an installations annual verified emissions for the preceding year have not been entered into the verified emissions table in accordance with the verified emissions entry process set out in , the registry administrator shall block the transfer of any allowances out of the operator holding account for that installation. 2.When the installations annual verified emissions for the year referred to in paragraph 1 have been entered into the verified emissions table, the registry administrator shall unblock the account. 3.The registry administrator shall immediately notify the relevant account holder and the competent authority of the blocking and unblocking of each operator holding account. 4.Paragraph 1 shall not apply to the surrender of allowances pursuant to Article 52 or the cancellation and replacement of allowances pursuant to Articles 60 and 61. SECTION 2 AUTOMATED CHECKS AND THE DATA Detection of discrepancies by the Community independent transaction log 1.The Central Administrator shall ensure that the Community independent transaction log conducts the automated checks set out in , and for all processes concerning allowances, verified emissions, accounts and Kyoto units to ensure that there are no discrepancies. 2.If the automated checks referred to in paragraph 1 identify a discrepancy in a process under , and , the Central Administrator shall immediately inform the registry administrator or administrators concerned by returning an automated response detailing the exact nature of the discrepancy using the response codes set out in , and . Upon receiving such a response code for a process under or , the registry administrator of the initiating registry shall terminate that process and inform the Community independent transaction log. The Central Administrator shall not update the information contained in the Community independent transaction log. The registry administrator or administrators concerned shall immediately inform the relevant account holders that the process has been terminated. Detection of inconsistencies by the Community independent transaction log 3.The Central Administrator shall ensure that the Community independent transaction log periodically initiates the data reconciliation process set out in . For that purpose the Community independent transaction log shall record all processes concerning allowances, accounts and Kyoto units. Through that process, the Community independent transaction log shall check that the holdings of Kyoto units and allowances in each account in a registry are identical to the records held in the Community independent transaction log. If an inconsistency is detected during the data reconciliation process, the Central Administrator shall immediately inform the registry administrator or administrators concerned. If the inconsistency is not resolved, the Central Administrator shall ensure that the Community independent transaction log does not allow any further process under and concerning any of the allowances, accounts or Kyoto units which are the subject of the earlier inconsistency to proceed. Detection of discrepancies and inconsistencies by the UNFCCC independent transaction log 4.If the UNFCCC independent transaction log, following an automated check, informs the registry administrator or administrators concerned of a discrepancy in a process, the registry administrator of the initiating registry shall terminate the process and inform the UNFCCC independent transaction log thereof. The registry administrator or administrators concerned shall immediately inform the relevant account holders that the process has been terminated. If the UNFCCC independent transaction log has detected an inconsistency, the Central Administrator shall ensure that the Community independent transaction log does not allow any further process under and concerning any of the Kyoto units which are the subject of the earlier inconsistency, and which is not subject to the UNFCCC independent transaction logs automated checks, to proceed.