For allocation of allowances for greenhouse gas emissions trading for participation of bulgaria in the european greenhouse gas emission

Summary of allocation principles for the allocation of the allowances

	In this NAP the government allocates 42,433,833 allowances for emissions of СО2 annually. This quantity is determined with a Decision of the EC of 26 October 2007 and a Decision of the EC of 04 December 2008 – Revision of Decision of the Commission of 26 October 2007 on the project for Bulgarian NAP for the period 2008-2012.
	The allocation of allowances on Installation level is based on the verified emissions from the annual reports for 2007 and 2008 of the operators of the installations, participating in the European Trading Scheme for GHG emissions. The quantities are corrected with the required reduction to equalize to the total annually permitted quantity, to account for the quantity for avoiding the double counting effect on approved projects Joint implementation and setting aside a Reserve for the purpose of new entrants for each year after 2008.
	The allocation on Sector level is the sum of the allowances allocated to all installations in a given sector.
4.	Grounds for issuing of allowances for installations are: a) submission of application and of the required data to the competent authority; b) holding of a valid GHG emissions permit.
5	The planned reserve for cancellation to avoid double counting of GHG emission reductions from JI projects equals to 5,929,567. The planned reserve for new entrants equals to 23,894,360 allowances for the period 2008 – 2012, of which 1,320,541 are allocated to new entrants registered before 30.09.2009. The remaining 22,573,819 allowances will be allocated to new entrants, registered after 30.09.2009 г., in the year and month that the installation starts operation - according to the rule for new entrant. Allowances have been allocated to installations that started operation during 2008 together with the allocation to installations that have been in operation during 2007 and 2008. The allocation has been done according to the common rules, and not from the reserve for new entrants.