Part 1 of the guideline explains the basics of the new allocation rules in the second allocation period of the fourth trading period and provides an overview of the following:

• Significant changes to the allocation rules compared to the first allocation period in the fourth trading period
• Principles for allocation based on updated emission values
• Data requirements
• Actors and their tasks in the allocation process
• Requirements and key steps of the allocation procedure for existing installations

Only available in German.

Part 2 guides you through creating an allocation application in the Forms Management System (FMS).

The following points have been addressed:

• The application procedure
• FMS application software
• The basis for determining the data required for the allocation application and the monitoring methodology plan
• General information about the allocation application
• Breakdown of the installation into sub-installations taking into account the risk of carbon leakage and the carbon border adjustment mechanism (CBAM)
• Assignment of inputs, outputs and emissions, as well as the balancing of allocation-relevant quantities
• Description of sub-installations, determination of historical activity levels and data requirements for updating benchmarks

Only available in German.

Part 3a supports you in considering cross-system heat flows in allocation applications.

The following points are covered in this guideline:

• Definitions
• The principles of the allocation rules for cross-system heat flows
• Heat supply to or from heat networks
• Requirements and evidence for recognising heat supplies as district heating and heat consumption for products at risk of CL (CBAM/non-CBAM)
• Case studies

Only available in German.

Part 3b of the guideline describes the rules for determining historical activity levels and the allocation rules concerning residual gases, emissions from safety flares and the residual gas balance. It includes four case studies from the sugar industry, the iron and steel industry, a chemical production plant and a ‘complex installation’ as detailed in Guideline Part 2. These case studies describe and clarify the aspects relating to the generation and utilisation of residual gases.

Only available in German.

Part 3c supports you in applying one or more allocation elements with product emission values in allocation applications.

The following points are discussed:

• Definition of the product emission value
• Benchmark number according to Guidance Document 9 of the European Commission
• Status of the risk of carbon leakage (CL risk)
• Membership of the CO2 border carbon adjustment mechanism (CBAM)
• Associated activity under the Greenhouse Gas Emissions Trading Act (TEHG)
• Special regulations
• Definition of the unit of production
• Definition and explanation of products with product emission values
• Definition and explanation of the associated processes and emissions

Only available in German.

Part 3d of the guideline helps you complete the format template for creating climate neutrality plans. It is based on the ‘Guidance Document’ 11 of the European Commission.

The following points are discussed:

• Conditions for free allocation under Article 10a of the amended Directive 2003/87/EC
• Trend and implementation process for climate neutrality plans
• Preparation of climate neutrality plans

Only available in German.

Part 4 of the Guideline from the first allocation period has not been revised.

Updated information and additional details on verification for the second allocation period can be accessed directly in the revised Parts 1 to 3 of the Guideline (mainly Part 2). Additionally, guidance on verification can be found in Guidance Document Number 4 ‘On the harmonised free allocation methodology for the EU ETS 2024 revision – Verification of FAR Baseline Data Reports and Annual Activity Level Reports" (GD 4). This document will be linked here as soon as it has been published by the EU Commission. The general information on accreditation and the verification procedure in Part 4 of the guidelines from the first allocation period continues to apply unchanged.

Table 1 in Part 1 of the Guideline provides an overview of important changes to the allocation rules in the second allocation period of the fourth trading period.

Further Information

(available in German only)

Leitfaden: Teil 4 - Hinweise zur Verifizierung von Zuteilungsanträgen sowie von Daten zur Aktualisierung der Emissionswerte

Link to the EU Commission page on free allocation

Part 5 of the guideline is the key document for the preparation of methodological plans and annual allocation data reports, as well as for allocation applications from new market participants.