asked Her Majesty's Government:

Why the United Kingdom contribution towards scarcity of allocations in the second phase of the European Union Emissions Trading Scheme is less than in the first phase. [HL685]

The UK contribution to scarcity of allowances is not less in Phase II than in Phase I. The cap is higher in Phase II due to the inclusion of 9.5MtCO₂ from activities not included in Phase I. But this does not mean that the contribution to scarcity is less. The levels of scarcity reflect how much reduction is required from business as usual projections to meet the cap.

A comparison of the level of scarcity shows that in Phase I the UK allocation to installations covered by the scheme was 65MtCO₂ less than what was required in business as usual projections. This represents an annual effort of 21.66MtCO₂.

In Phase II the UK allocation to installations covered by the scheme is 145MtCO₂ less than what will be required in business as usual projections. This represents an annual effort of 29MtCO₂.

asked Her Majesty's Government:

To which companies and in what proportions United Kingdom allocations will be distributed in phase two of the European Emissions Trading Scheme. [HL738]

The UK's EU ETS Phase II National Allocation Plan (NAP) provides full details of all the UK installations that have been allocated phase II allowances and the number of allowances each will receive.

The NAP is published in full on the Defra website at: http://www.defra.gov.uk/environment/climate change/trading/eu/operators/phase-2.htm.