You don’t need to participate in the UK Emissions Trading Scheme if your installation emits less than 2,500 tonnes of carbon dioxide equivalent (CO2eq) in the relevant period.

You can instead register your installation as an ‘ultra-small emitter’ (USE) under the Ultra-small Emitter scheme. You must continue to monitor your emissions and notify the regulator if your emissions exceed the agreed threshold.

This guidance tells you:

• how to register your installation as an USE
• how to comply with your emissions targets as an USE
• what to do if your installation no longer qualifies as an USE

Eligibility

Eligibility for the 2021 to 2025 allocation period

Your installation is classed as an USE if it is included in the ultra-small emitter list for the 2021 to 2025 allocation period.

List of ultra-small emitters for the 2021 to 2025 allocation period

ODS, 26.8 KB

This file is in an OpenDocument format

There will be no new USEs during this allocation period.

Installations on the ultra-small emitters list for 2021 to 2025 had their greenhouse gas emissions permit or excluded installation emissions permit revoked in December 2020, as a permit is no longer required.

Eligibility for the 2026 to 2030 allocation period

Your installation is eligible if:

• you were carrying out a regulated activity at your installation on or before 1 January 2021, and your installation’s reportable emissions arewere 2,5002,499 tonnes of CO2eq or below in scheme years 2021, 2022 and 2023
• you commenced a regulated activity at your installation between 2 January 2021 and 1 January 2022, and your installation’s reportable emissions were carrying2,499 outtonnes of CO2eq or below in scheme years 2022, 2023 and 2024
• you commenced a regulated activity at your installation onbetween 2 January 2022 and 1 January 2023, and your installation’s reportable emissions were 2,499 tonnes of CO2eq or beforebelow in scheme years 2023 and 2024
• you commenced a regulated activity at your installation between 2 January 2023 and 1 January 20212024, and your installation’s reportable emissions were 2,499 tonnes of CO2eq or below in scheme year 2024

How to apply for USE status for the 2026 to 2030 allocation period

Between 1 April and 30 June 2025, all installation operators within scope of the UK Emissions Trading Scheme (UK ETS) are required to submit data to their regulator ahead of the next allocation period. If you wish to have the status of an Ultra Small Emitter (USE) for the 2026 to 2030 period, you must participate and apply.

The USE data collection template and guidance are designed for existing USEs who are applying for USE status for the 2026 to 2030 period. Existing USEs will be asked to submit their USE data collection report, with the verification report appended to it, to their regulator by email (see the Regulator contact details).

Read the guidance before filling in the USE data collection template. The template includes instructions on how to complete it correctly.

Existing Greenhouse Gas Emitters (GHGE) or Hospital and Small Emitter (HSE) operators wishing to apply to join the USE list for the first time should complete the 2025 Baseline Data Collection and scheme status applications, rather than the templates here. Guidance for these will be available separately in advance of the application period and submission windows.

If you are an existing USE applying to join the USE list for 2026 to 2030, paragraph 3 of Schedule 8 to the Order sets out the information you are required to submit.

The operator must provide:

a. Details of the installation.
b. Evidence that the installation’s reportable emissions in each of the 2021, 2022 and 2023 scheme years do not exceed the maximum amount.
c. A verification report which verifies evidence of emissions as satisfactory.

Existing USEs making an application for USE status are required to have their evidence verified as satisfactory in accordance with the Verification Regulation 2018. As such, their emissions data must have been verified as satisfactory by a UKAS accredited verifier to demonstrate the fulfilment of the USE qualifying criteria. Please use the verification template here.

A site visit will be required by the verifier in accordance with Schedule 8, paragraph 4 (11) of the UK ETS Order, which refers out to the Verification Regulation 2018.  The site must have been visited at least once during the 2021 to 2025 allocation period.

Ultra-small emitter data template, verification report and guidance

• Ultra-Small Emitter data collection template (MS Excel Spreadsheet, 4.41 MB)
• Ultra-Small Emitter verification report (MS Excel Spreadsheet, 130 KB)
• Ultra-Small Emitter application process guidance (PDF, 461 KB, 19 pages)

Regulator contact details

Use these contact details for queries and submissions:

• for sites in England - the Environment Agency (EA) at etsdatacollection@environment-agency.gov.uk
• for sites in Scotland - the Scottish Environment Protection Agency (SEPA) at emission.trading@sepa.org.uk 
• for sites in Wales - National Resources Wales (NRW) at GHGHelp@naturalresourceswales.gov.uk
• for sites in Northern Ireland - the Northern Ireland Environment Agency (NIEA) at emissions.trading@daera-ni.gov.uk

After you have submitted your application

Once you submit your application, your regulator will make a preliminary assessment of whether your installation meets the conditions required to be an USE.

Your regulator will then send this preliminary assessment to the UK ETS authority for a final assessment. If the UK ETS authority considers that the installation meets the criteria, it will include it in the ultra-small emitter list for 2026 to 2030.

If your installation is included in the list, it will be a USE for the 2026 to 2030 allocation period. This list will be published by the UK ETS authority by 30 April 2025.

The regulator will then revoke any existing greenhouse gas emissions permit or hospital or small emitter permit.

You do not need any type of UK ETS permit during the period in which your installation is an USE.

How to comply with your emissions targets

You must monitor your emissions and notify your regulator if you emit more than 2,500 tonnes of CO2eq in any scheme year.

To monitor your emissions, you must follow the methodology set out in your monitoring plan. Your plan must be kept up to date in line with the provisions in the UK ETS Order and must ensure this remains fit for purpose.

If your installation no longer qualifies as an ultra-small emitter

Your installation cannot voluntarily cease to be an USE during the allocation periods.

Your installation will no longer be an USE if its reportable emissions exceed 2,500t CO2eq in either:

• any of the 2021 to 2023 scheme years in relation to the 2021 to 2025 allocation period
• any of the 2026 to 2028 scheme years in relation to the 2026 to 2030 allocation period

If your installation ceases to be an USE, you must notify your regulator by 31 March of that scheme year. If you do not, you will be liable to a civil penalty.

Your regulator will then send you a notice requiring you to either:

• join the UK ETS main scheme
• join the Hospital and Small Emitter scheme (if you meet the eligibility criteria)

You must then apply for either a greenhouse gas emissions permit or a hospital or small emitter permit.

You will remain liable for any unpaid penalties and any further sanctions applied for non-payment of those penalties arising from your time as an USE.