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Waste and Emissions Trading Bill [HL]


Waste and Emissions Trading Bill [HL]
Part 1 — Waste
Chapter 1 — Waste sent to landfills

    1

 

A

Bill

To

Make provision about waste and about penalties for non-compliance with

schemes for the trading of emissions quotas. 

Be it enacted by the Queen’s most Excellent Majesty, by and with the advice and

consent of the Lords Spiritual and Temporal, and Commons, in this present

Parliament assembled, and by the authority of the same, as follows:—

Part 1

Waste

Chapter 1

Waste sent to landfills

Landfill targets

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 1     Target years

     (1)    The Secretary of State must by regulations specify the maximum amount by

weight of biodegradable municipal waste allowed, in each scheme year that is

a target year, to be sent to landfills from each of—

           (a)           the United Kingdom,

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           (b)           England,

           (c)           Scotland,

           (d)           Wales, and

           (e)           Northern Ireland.

     (2)    Amounts specified under subsection (1)(a) must be consistent with the

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obligations of the United Kingdom under Article 5(2) of Council Directive

1999/31/EC.

     (3)    The total of the amounts specified under subsection (1)(b) to (e) for a year must

not exceed the amount specified under subsection (1)(a) for that year.

     (4)    The Secretary of State must consult—

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HL Bill 353/2
 
 

Waste and Emissions Trading Bill [HL]
Part 1 — Waste
Chapter 1 — Waste sent to landfills

    2

 

           (a)           the Scottish Ministers before specifying amounts under subsection

(1)(c);

           (b)           the National Assembly for Wales before specifying amounts under

subsection (1)(d);

           (c)           the Department of the Environment before specifying amounts under

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subsection (1)(e).

     (5)    Regulations under this section shall not be made unless a draft of the statutory

instrument containing them has been laid before, and approved by a resolution

of, each House of Parliament.

 2     Non-target years

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     (1)    The Secretary of State may by regulations specify the maximum amount by

weight of biodegradable municipal waste allowed, in a scheme year that is not

a target year, to be sent to landfills from—

           (a)           England;

           (b)           Scotland;

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           (c)           Wales;

           (d)           Northern Ireland.

     (2)    The power under subsection (1)(b) is exercisable only with the agreement of

the Scottish Ministers.

     (3)    The power under subsection (1)(c) is exercisable only with the agreement of the

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National Assembly for Wales.

     (4)    The power under subsection (1)(d) is exercisable only with the agreement of

the Department of the Environment.

     (5)    Regulations under this section shall not be made unless a draft of the statutory

instrument containing them has been laid before, and approved by a resolution

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of, each House of Parliament.

 3     Non-target years: default rules

     (1)    If—

           (a)           for England, Scotland, Wales or Northern Ireland no amount is

specified under subsection (1) of section 2 for a year to which that

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subsection applies, and

           (b)           the year is followed (whether or not immediately) by a target year,

            the following sections of this Chapter shall have effect as if for that year (“the

default-rule year”) there had been specified under section 2(1) for that area the

amount given by the formula set out in subsection (2).

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     (2)    The formula is—
                                        equation:

     (3)    The formula shall be applied in accordance with subsection (4) if there is no

scheme year falling between—

           (a)           the last target year before the default-rule year, and

           (b)           the default-rule year,

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            for which an amount has been specified under 2(1) for the area; otherwise the

formula shall be applied in accordance with subsection (5).

 

 

Waste and Emissions Trading Bill [HL]
Part 1 — Waste
Chapter 1 — Waste sent to landfills

    3

 

     (4)    Where the formula is to be applied in accordance with this subsection—

                    L is the amount specified under section 1 for the area for the year that is

the last target year before the default-rule year,

                    N is the amount specified under section 1 for the area for the year that is

the first target year after the default-rule year,

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                    G is the number (if any) of scheme years falling between those target

years, and

                    B is the number (if any) of scheme years falling between—

                  (a)                 the earlier of those target years, and

                  (b)                 the default-rule year.

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     (5)    Where the formula is to be applied in accordance with this subsection—

                    L is the amount specified under section 2(1) for the area for the year that

is the last scheme year before the default-rule year for which an amount

has been specified for the area under section 2(1) (“the last fixed year”),

                    N is the amount specified under section 1 for the area for the year that is

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the first target year after the default-rule year,

                    G is the number (if any) of scheme years falling between the last fixed year

and that target year, and

                    B is the number (if any) of scheme years falling between the last fixed year

and the default-rule year.

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     (6)    For the purposes of subsections (4) and (5), the year ending with 16th July in

2004 shall be taken to be a target year for which the amount specified under

section 1 for England, Scotland, Wales or Northern Ireland is such amount as

may be specified in regulations made by the Secretary of State.

     (7)    The Secretary of State shall secure that an amount specified under subsection

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(6) is, or is a fair estimate of, the amount of biodegradable municipal waste sent

to landfills from the area concerned in the year ending with 31st March 2001.

     (8)    Before making regulations under subsection (6), the Secretary of State shall

consult the Scottish Ministers, the National Assembly for Wales and the

Department of the Environment.

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Landfill allowances scheme

 4     Allocation of landfill allowances

     (1)    Each allocating authority must—

           (a)           for each scheme year that is a target year, and

           (b)           for each other scheme year for which an amount is specified under

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section 2 for its area,

            make among waste disposal authorities in its area an allocation of allowances

authorising the sending in that year of amounts of biodegradable municipal

waste to landfills.

     (2)    In performing the duty under subsection (1), an allocating authority must

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ensure that the total amount of biodegradable municipal waste authorised to

be sent to landfills by the allowances it allocates for a year does not exceed the

amount for the year specified under section 1 or 2 for its area.

     (3)    An allocation under subsection (1) must be made before the beginning of the

year to which it relates.

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Waste and Emissions Trading Bill [HL]
Part 1 — Waste
Chapter 1 — Waste sent to landfills

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     (4)    As soon as an authority has made an allocation under subsection (1), it must

publish a statement—

           (a)           detailing, in relation to each waste disposal authority in its area, what

allowances have been allocated to it, and

           (b)           explaining the basis of the allocation.

5

     (5)    Nothing in this section shall be taken as requiring any allowances to be

allocated to any particular waste disposal authority.

 5     Alteration of allocations under section 4

     (1)    An authority that has made an allocation under section 4 may at any time alter

the allocation, subject to subsections (2) and (3).

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     (2)    The power under subsection (1) does not extend to withdrawing an allowance

that has already been utilised.

     (3)    In exercising the power under subsection (1), an authority must ensure that the

total amount of biodegradable municipal waste authorised to be sent to

landfills by allowances allocated by it for a year does not exceed the amount for

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the year specified under section 1 or 2 for its area.

     (4)    As soon as an authority has exercised the power under subsection (1), it must

publish a statement—

           (a)           detailing the alteration, and

           (b)           explaining the basis of it.

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 6     Borrowing and banking of landfill allowances

     (1)    An allocating authority may by regulations make provision for a waste

disposal authority in its area to utilise for a scheme year landfill allowances

allocated to it for a different scheme year.

     (2)    Regulations under subsection (1) may not provide for—

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           (a)           the utilisation for a target year of allowances not allocated for that year;

           (b)           the utilisation for a scheme year later than a target year of allowances

allocated for a scheme year earlier than that target year;

           (c)           the utilisation for a scheme year earlier than a target year of allowances

allocated for a scheme year later than that target year.

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     (3)    Regulations under subsection (1) may (in particular)—

           (a)           make provision relating only to allowances allocated for specified

scheme years;

           (b)           make provision for allowances allocated for a scheme year to be utilised

for a different scheme year only if—

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                  (i)                 that different scheme year is a specified scheme year;

                  (ii)                specified conditions are satisfied;

           (c)           make provision for quantitative limits on inter-year utilisation of

allowances;

           (d)           make provision authorising the allocating authority to suspend inter-

40

year utilisation of allowances—

                  (i)                 whether indefinitely or for a fixed period, and

                  (ii)                whether generally or to a limited extent;

 

 

Waste and Emissions Trading Bill [HL]
Part 1 — Waste
Chapter 1 — Waste sent to landfills

    5

 

           (e)           make provision for a person to carry out, in relation to inter-year

utilisation of allowances, all or any of the functions of registrar and

overseer;

           (f)           make provision imposing, or enabling the imposition of, requirements

on waste disposal authorities to provide information in relation to their

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inter-year utilisation of allowances;

           (g)           make provision for an authority to be liable to a penalty if it fails to

comply with a requirement imposed on it by or under provision of the

kind mentioned in paragraph (f);

           (h)           make provision generally in connection with the administration or

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regulation of inter-year utilisation of allowances;

           (i)           make provision for the levying of fees and charges on persons engaged

in inter-year utilisation of allowances;

           (j)           make provision creating offences for breaches of provisions of

regulations under subsection (1).

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     (4)    In making provision of the kind mentioned in subsection (3)(j), regulations

under subsection (1) may provide for an offence—

           (a)           to be triable—

                  (i)                 only summarily, or

                  (ii)                either summarily or on indictment;

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           (b)           to be punishable—

                  (i)                 on summary conviction by imprisonment for a term not

exceeding such period as is stated in the regulations (which may

not exceed six months) or by a fine not exceeding such amount

as is so stated (which may not exceed £20,000), or by both, or

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                  (ii)                on conviction on indictment by imprisonment for a term not

exceeding such period as is so stated (which may not exceed

five years) or by a fine, or by both.

     (5)    In subsection (3) “specified” means specified by, or determined in accordance

with, regulations under subsection (1).

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 7     Trading and other transfer of landfill allowances

     (1)    An allocating authority may by regulations make provision for waste disposal

authorities in its area to transfer, whether by way of trade or otherwise, landfill

allowances allocated by that or any other allocating authority.

     (2)    Regulations under subsection (1) may not authorise—

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           (a)           the acquisition of landfill allowances by a person who is not a waste

disposal authority;

           (b)           the utilisation for a target year of allowances not allocated for that year;

           (c)           the utilisation for a scheme year later than a target year of allowances

allocated for a scheme year earlier than that target year;

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           (d)           the utilisation for a scheme year earlier than a target year of allowances

allocated for a scheme year later than that target year.

     (3)    Regulations under subsection (1) may (in particular)—

           (a)           make provision for allowances to be acquired, or disposed of, only if—

                  (i)                 allocated by the allocating authority or by specified allocating

45

authorities;

                  (ii)                allocated for specified scheme years;

 

 

Waste and Emissions Trading Bill [HL]
Part 1 — Waste
Chapter 1 — Waste sent to landfills

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                  (iii)               specified conditions are satisfied;

           (b)           make provision for quantitative limits on the transfer of allowances;

           (c)           make provision for controlling prices or values put on allowances for

the purpose of transferring them;

           (d)           make provision authorising the allocating authority to suspend the

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transfer of allowances—

                  (i)                 whether indefinitely or for a fixed period, and

                  (ii)                whether generally or to a limited extent;

           (e)           make provision for allowances acquired by a waste disposal authority

to be utilised by the authority for a scheme year only if allocated for that

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scheme year or for specified scheme years;

           (f)           make provision for licensing and regulating persons engaged as

brokers in the transfer of allowances;

           (g)           make provision for a person to carry out, in relation to the transfer of

allowances, all or any of the functions of registrar, clearing house and

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overseer;

           (h)           make provision imposing, or enabling the imposition of, requirements

on waste disposal authorities to provide information in relation to their

acquisition and disposal of allowances;

           (i)           make provision for an authority to be liable to a penalty if it fails to

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comply with a requirement imposed on it by or under provision of the

kind mentioned in paragraph (h);

           (j)           make provision generally in connection with the administration or

regulation of the trading of allowances;

           (k)           make provision for the levying of fees and charges on persons engaged

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(in any capacity) in the trading of allowances;

           (l)           make provision creating offences for breaches of provisions of

regulations under subsection (1) or of conditions of a broker’s licence.

     (4)    In making provision of the kind mentioned in subsection (3)(l), regulations

under subsection (1) may provide for an offence—

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           (a)           to be triable—

                  (i)                 only summarily, or

                  (ii)                either summarily or on indictment;

           (b)           to be punishable—

                  (i)                 on summary conviction by imprisonment for a term not

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exceeding such period as is stated in the regulations (which may

not exceed six months) or by a fine not exceeding such amount

as is so stated (which may not exceed £20,000), or by both, or

                  (ii)                on conviction on indictment by imprisonment for a term not

exceeding such period as is so stated (which may not exceed

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five years) or by a fine, or by both.

     (5)    In subsection (3) “specified” means specified by, or determined in accordance

with, regulations under subsection (1).

 8     Duty not to exceed allowances

     (1)    If the allocating authority for an area has made an allocation under section 4 for

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a scheme year, each waste disposal authority in the area owes a duty to the

allocating authority to secure that the amount of biodegradable municipal

waste sent to landfills in that year in pursuance of arrangements made by the

 

 

Waste and Emissions Trading Bill [HL]
Part 1 — Waste
Chapter 1 — Waste sent to landfills

    7

 

     (1)    waste disposal authority does not exceed the amount authorised by the landfill

allowances available to that authority for the year.

     (2)    A waste disposal authority that fails to comply with a duty imposed on it by

subsection (1) is liable to a penalty.

     (3)    If—

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           (a)           a waste disposal authority is liable under subsection (2) to a penalty in

respect of a target year, and

           (b)           the total amount of biodegradable municipal waste sent in the year to

landfills in pursuance of arrangements made by waste disposal

authorities in the United Kingdom exceeds the amount specified for the

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year under section 1(1)(a),

            the authority is also liable to a supplementary penalty.

     (4)    For the purposes of this section, the landfill allowances available to a waste

disposal authority for a scheme year are the landfill allowances held by the

authority at the end of the year that have not been utilised for an earlier scheme

15

year and that, in the case of—

           (a)           allowances allocated to the authority for an earlier or later scheme year,

or

           (b)           allowances originally allocated to another waste disposal authority,

            are allowed by regulations under section 6 or 7 to be utilised by the authority

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for the year.

Scheme operation and monitoring etc

 9     Monitoring authorities

     (1)    Each allocating authority must by regulations appoint a person to be the

monitoring authority for its area.

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     (2)    The monitoring authority for an area shall—

           (a)           monitor the operation in the area of the provisions of this Chapter

relating to landfill allowances and, in particular, monitor how much

biodegradable municipal waste is sent to landfills in pursuance of

arrangements made by waste disposal authorities in the area;

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           (b)           audit the performance of waste disposal authorities in the area in

complying with their obligations under this Chapter;

           (c)           comply with any directions by the allocating authority for the area as to

the supply to the allocating authority of information acquired by the

monitoring authority in carrying out any of its functions under this

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Chapter;

           (d)           without delay notify the allocating authority for the area of any case

where it appears to the monitoring authority that a waste disposal

authority in the area is or may be liable to a penalty under this Chapter;

           (e)           comply with any directions by the allocating authority for the area as to

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the supply to the allocating authority of information or evidence in

connection with any case where it appears to the allocating authority or

the monitoring authority that a waste disposal authority in the area is

or may be liable to a penalty under this Chapter;

           (f)           co-operate with the monitoring authority for any other area.

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