The Greenhouse Gas Emissions Trading Scheme (Amendment) (Extension to Maritime Activities) Order 2026

(37) (1) A person who is a maritime operator in relation to a scheme year may submit to the regulator an emissions reduction claim with respect to the carbon dioxide emissions from a fuel that— (a) is an eligible fuel in accordance with a direction given by the relevant national authority to the regulator under section 52 of the CCA 2008; (b) was purchased either— (i) in the scheme year to which the emissions reduction claim relates, or (ii) no more than three months before the start of the scheme year to which the emissions reduction claim relates; (c) has been delivered to a point of no return before 31st March in the year following the scheme year to which the emissions reduction claim relates; (d) has not been used by the person making the emissions reduction claim— (i) to obtain an emissions reduction in the UK ETS in relation to another scheme year; (ii) to obtain an emissions reduction or financial benefit in any scheme other than the UK ETS; (e) has not been sold to a third party. (2) Where the conditions in sub-paragraphs (1)(a) to (e) are met, the emission factor of the eligible fuel is zero. (3) An emissions reduction claim must be verified in accordance with Part 8. (4) The amount of fuel in respect of which the person in sub-paragraph (1) may make an emissions reduction claim must not exceed the total amount of fuel used by that person in respect of its maritime activities in that scheme year. (38) (1) The annual emissions report that a maritime operator is required to submit in accordance with paragraph 14 must contain the following information— (a) information relating to each ship whose emissions are being reported, including— (i) the name of the ship; (ii) the IMO ship identification number; (iii) the flag state and the state of registration of the bareboat charter (if applicable); (iv) information on each monitoring method used and the related level of uncertainty; (v) total amount of each type of fuel consumed; (vi) aggregated maritime emissions from all in-port activities; (vii) aggregated maritime emissions from all voyages other than those in sub-paragraph (viii); (viii) aggregated maritime emissions from all voyages between Great Britain and Northern Ireland; (ix) total aggregated maritime emissions from all maritime activities; (b) total aggregated maritime emissions from all maritime activities performed by all ships whose emissions are being reported; (c) details of any emissions reduction claim arising from eligible fuels; (d) details of any applicable surrender deduction under paragraph 15(1)(a); (e) total maritime emissions less any surrender deduction. (2) In this paragraph, “aggregated maritime emissions” means that data is separately provided for carbon dioxide, methane and nitrous oxide. (39) Verification of the maritime operator’s annual emissions report must be carried out in accordance with this Part. (40) In this Part— - “accreditation” means attestation by the national accreditation body that a verifier meets the requirements set by paragraph 67(2), and the requirements of this Part and is thus qualified to carry out the verification activities pursuant to this Part; - “analytical procedures” means the analysis of fluctuations and trends in the data including an analysis of the relationships that are inconsistent with other relevant information or that deviate from predicted amount; - “assessment team” means one or more assessors appointed by the national accreditation body to assess a verifier pursuant to this Part; - “assessor” means a person assigned by the national accreditation body to assess a verifier pursuant to this Part, individually or as part of an assessment team; - “competence” means the ability to apply knowledge and skills to carry out an activity; - “detection risk” means the risk of a verifier not detecting a material misstatement; - “independent reviewer” means a person assigned by the verifier specifically to carry out internal review activities, who belongs to the same entity but has not carried out any of the verification activities subject to review; - “inherent risk” means the susceptibility of a parameter in the annual emissions report to misstatements that could be material, individually or taken together, before taking into consideration the effect of any related control activities; - “internal verification documentation” means all internal documentation that a verifier has compiled to record documentary evidence and justification of activities carried out to verify an annual emissions report pursuant to this Part; - “lead assessor” means an assessor who is given overall responsibility for the assessment of a verifier pursuant to this Part; - “level of assurance” means the degree of assurance that the verifier provides on the verification report based on the objective of reducing the verification risk according to the circumstances of the verification engagement; - “material misstatement” means a misstatement that, in the opinion of the verifier, individually or when taken together with other misstatements, exceeds the materiality level or could affect the treatment of the maritime operator’s annual emissions report by the regulator; - “materiality level” means the quantitative threshold or cut-off point above which the verifier considers misstatements, individually or taken together, to be material; - “misstatement” means an omission, misrepresentation or error in the reported data, apart from the uncertainty permissible under this Part; - “national accreditation body” means the United Kingdom Accreditation Service[^f00008]; - “non-conformity” means— for the purpose of verifying an annual emissions report, one of the following— the maritime emissions and other relevant information are not reported in line with the monitoring methodology described in the emissions monitoring plan issued by the regulator; the reported data do not fulfil the requirements under this Part; for the purpose of accreditation, any act or omission by the verifier that is contrary to requirements under this Part; - “reasonable assurance” means a high but not absolute level of assurance, expressed positively in the verification opinion, as to whether the annual emissions report subject to verification is free of material misstatements; - “site”, for the purposes of verifying the annual emissions report means a location where the monitoring process is defined and managed, including locations where relevant data and information are controlled and stored; - “technical expert” means a person who provides detailed knowledge and expertise on a specific matter as required for the performance of verification activities for the purposes of paragraphs 45 to 61 and accreditation activities for the purposes of paragraphs 71 to 88; - “UK ETS auditor” means an individual member of a verification team responsible for verifying an annual emissions report, other than the UK ETS lead auditor; - “UK ETS lead auditor” means a UK ETS auditor in charge of directing and supervising the verification team, who is responsible for performing and reporting on the verification of an annual emissions report; - “verification risk” means the risk (a function of inherent, control and detection risk) of the verifier expressing an inappropriate verification opinion when the annual emissions report is not free of material misstatements. (41) (1) The verifier must carry out the verification and the activities required by this Part with the aim of providing a verification report that concludes with reasonable assurance that the maritime operator’s annual emissions report is free from material misstatements. (2) The verifier must plan and perform the verification with an attitude of professional scepticism, recognising that circumstances may exist that cause the information in the maritime operator’s annual emissions report to contain material misstatements. (3) The verifier must carry out verification in the public interest and be independent of the maritime operator and the regulator. (4) During the verification, the verifier must assess whether— (a) the maritime operator’s annual emissions report is complete and meets the requirements laid down in Part 7; (b) the maritime operator has acted in compliance with the requirements of the emissions monitoring plan issued by the regulator; (c) the data in the maritime operator’s annual emissions report are free from material misstatements; (d) information can be provided in support of the maritime operator’s data flow activities, control system and associated procedures to improve the performance of their monitoring and reporting. (5) For the purpose of sub-paragraph (4)(c), the verifier must obtain clear and objective evidence from the maritime operator to support the reported aggregated maritime emissions, any surrender deduction under paragraph 15(1)(a), and any emissions reduction claim made pursuant to paragraph 37, taking into account all other information provided in the maritime operator’s annual emissions report. (6) If the verifier discovers that a maritime operator is not complying with paragraphs 13 or 14 that irregularity must be included in the verification report. (7) If the emissions monitoring plan has not been issued by the regulator, is incomplete or if significant variations have been made during the scheme year which have not been accordingly approved by the regulator, the verifier must advise the maritime operator to apply to the regulator for an emissions monitoring plan, or a variation to its emissions monitoring plan. (8) Following the issue or variation of the emissions monitoring plan by the regulator, the verifier must continue, repeat or adapt the verification activities accordingly. (9) If the emissions monitoring plan has not been issued or varied before the issue of the verification report, the verifier must report this in the verification report. (42) A verifier that demonstrates conformity with the criteria laid down in ISO 14065:2020[^f00009], in conjunction with ISO/IEC 17029:2019[^f00010], will be presumed to comply with the requirements of paragraphs 43 to 70 of this Part in so far as the applicable standards cover those requirements. (43) (1) Before accepting a verification engagement, a verifier must obtain a proper understanding of the maritime operator and assess whether it can undertake the verification. (2) For this purpose the verifier must at least— (a) evaluate the risks involved to undertake the verification of the maritime operator’s annual emissions report in accordance with this Part; (b) undertake a review of the information supplied by the maritime operator to determine the scope of the verification; (c) assess whether the engagement falls within the scope of its accreditation; (d) assess whether it has the competence, personnel and resources required to select a verification team capable of dealing with the complexity of the maritime operator’s activities and fleet as well as whether it is capable of successfully completing the verification activities within the timeframe required; (e) assess whether it is capable of ensuring that the potential verification team at its disposal holds all the competence, and persons required to carry out verification activities for that specific maritime operator; (f) determine, for each verification engagement requested, the time allocation needed to properly carry out the verification. (3) The maritime operator must provide the verifier with all relevant information that enables the verifier to carry out the activities referred to in sub-paragraph (2). (44) (1) When determining the time allocation for a verification engagement referred to in paragraph 43(2)(f), the verifier must at least take into account— (a) the complexity of the maritime operator’s activities and fleet; (b) the level of information and the complexity of the issued emissions monitoring plan; (c) the required materiality level; (d) the complexity and completeness of the data flow activities and the control system of the maritime operator; (e) the location of information and data related to maritime emissions. (2) The verifier must ensure that the verification contract provides for the possibility for time to be charged in addition to the time agreed in the contract, where such additional time is found to be needed for the strategic analysis, risk analysis or other verification activities. (3) Situations where the additional time may be needed include the following— (a) during the verification where the data flow activities, control activities or logistics of the maritime operator seem to be more complex than initially anticipated; (b) where misstatements, non-conformities, insufficient data or errors in the data sets are identified by the verifier during the verification. (4) The verifier must record the time allocated in the internal verification documentation. (45) (1) A maritime operator must provide the verifier with the following supporting information prior to the strategic analysis and verification of the annual emissions report— (a) the latest version of the emissions monitoring plan as well as any other relevant versions of the emissions monitoring plan previously issued by the regulator; (b) the annual emissions report for the scheme year to be verified; (c) where applicable, a copy of the verified annual emissions report and verification report from the previous year, if the verification was not carried out by the same verifier; (d) a description of the maritime operator’s data flow activities; (e) the maritime operator’s risk assessment referred to in paragraph 27 and an outline of the overall control system; (f) the procedures mentioned in the emissions monitoring plan issued by the regulator, including procedures for data flow activities and control activities; (g) if the emissions monitoring plan was varied during the scheme year, a record of all those variations; (h) all relevant correspondence with the regulator, in particular information related to the notification of variations of the emissions monitoring plan; (i) where applicable, information on databases and data sources used for monitoring and reporting purposes; (j) where applicable, the approval from the regulator for carrying out a virtual site visit pursuant to paragraph 55; (k) a list of all ships in which the maritime operator carried out maritime activities; (l) any other relevant information necessary for planning and carrying out the verification. (2) A maritime operator must provide the verifier with the following supporting information in relation to each ship listed in accordance with sub-paragraph (1)(k) prior to verification of the annual emissions report— (a) a list of all voyages carried out by the ship in question during the scheme year; (b) where data gaps occurred during the scheme year— (i) the number of voyages for which data gaps occurred, and the circumstances and reasons for such data gaps; (ii) the estimation method for surrogate data applied as referred to in paragraph 33 and, where applicable, in the emissions monitoring plan; (iii) the amount of emissions calculated based on surrogate data; (c) copies of the ship’s official logbook and of the oil record book (if separate); (d) copies of bunkering documents; (e) copies of any relevant certificates concerning fuels for the purposes of determining emission factors in accordance with paragraph 36; (f) copies of any relevant documentation supporting an emissions reduction claim made under paragraph 37. (3) If relevant to the monitoring method applied, the verifier may ask the maritime operator to provide— (a) an overview of the IT landscape showing the data-flow for the relevant ship, including information on databases and where data is held and processed; (b) evidence of the maintenance of measurement equipment and flow meters; (c) evidence of the accuracy of measurement equipment and flow meters; (d) an extract of fuel consumption activity data from flow meters; (e) copies of evidence of fuel tank meter readings; (f) an extract of activity data from direct emissions measurement systems; (g) any other information relevant to the verification of the annual emissions report. (4) If the verifier asks for any of the information in sub-paragraph (3), the maritime operator must provide that information. (5) Before the verifier issues the verification report, the maritime operator must provide it with the final authorised and internally validated annual emissions report. (46) (1) At the beginning of the verification, the verifier must assess the likely nature, scale and complexity of the verification tasks by carrying out a strategic analysis of all activities relevant to the maritime operator. (2) The verifier must collect and review the information needed to assess that the verification team is sufficiently competent to carry out the verification, to determine that the time allocation indicated in the contract has been set correctly and to ensure that it is able to conduct the necessary risk analysis. (3) The information referred to in sub-paragraph (2) must include— (a) the information referred to in paragraph 45; (b) the information obtained from the verification in previous years, if the verifier is carrying out the verification for the same maritime operator; (c) the required materiality level. (4) When reviewing the information referred to in sub-paragraph (3), the verifier must assess the following— (a) the size and nature of the maritime operator, the distribution of information in different locations as well as the number and type of maritime activities; (b) the emissions monitoring plan issued by the regulator as well as the specifics of the monitoring methodology laid down in that emissions monitoring plan; (c) the nature, scale and complexity of emission sources and source streams as well as the equipment and processes that have resulted in maritime emissions data, including the measurement equipment described in the emissions monitoring plan and the origin and application of calculation factors and other primary data sources; (d) the data flow activities, the control system and the control environment; (e) the ships’ engines and fuel types used, as well as the number of voyages carried out by ships during the scheme year. (5) When carrying out the strategic analysis, the verifier must check— (a) whether the emissions monitoring plan presented to it is the most recent version issued by the regulator; (b) whether there have been any variations to the emissions monitoring plan during the scheme year and whether these variations have been notified to and, if required, issued by the regulator pursuant to paragraph 12. (47) (1) The verifier must identify potential risks relating to the monitoring and reporting process by comparing reported maritime emissions with estimated data based on ship tracking data and characteristics such as the installed engine power, and must carry out further analysis where significant deviations are found. (2) The verifier must identify potential risks relating to the different calculation steps by reviewing all data sources and methodologies used. (3) The verifier must consider any effective risk control methods applied by the maritime operator to reduce levels of uncertainty associated with the accuracy specific to the monitoring methods used. (4) The verifier must identify and analyse— (a) the inherent risks; (b) the control risks; (c) the detection risks. (5) When identifying and analysing the elements referred to in sub-paragraph (4), the verifier must at least consider— (a) the findings from the strategic analysis referred to in paragraph 46(1); (b) the information referred to in paragraph 45(1) and (2) and paragraph 46(3)(b); (c) the materiality level referred to in paragraph 46(3)(c). (6) If the verifier determines that the maritime operator has failed to identify the relevant inherent risks and control risks in its risk assessment, the verifier must inform the maritime operator of that determination. (7) When performing the risk analysis, the verifier must consider any areas of higher verification risk including— (a) the number of ships under the maritime operator’s responsibility during the scheme year; (b) the number of maritime operator changes for ships under the maritime operator’s responsibility during the scheme year; (c) the diversity of ships’ engines; (d) the number of different flag States; (e) the voyage data; (f) fuel consumption; (g) the fuel types used, including the diversity of fuel types used; (h) the application of any surrender deduction pursuant to paragraph 15(1)(a); (i) the application of any derogation pursuant to paragraph 19; (j) the maritime emissions; (k) the aggregation of the data in the annual emissions report. (8) When identifying and analysing the areas listed in sub-paragraph (7), the verifier must consider the existence, completeness, accuracy, consistency, transparency and relevance of the information reported. (9) Where appropriate, in light of the information obtained in the course of verification, the verifier must revise the risk analysis and modify or repeat the verification activities. (48) (1) The verifier must draft a verification plan commensurate with the information obtained and the risks identified during the risk analysis. (2) The verification plan must include— (a) a verification programme describing the nature and scope of the verification activities and the time and manner in which they are to be carried out; (b) a test plan setting out the scope and methods of testing the control activities as well as the procedures for control activities; (c) a data sampling plan setting out the scope and methods of data sampling relating to data points underlying the aggregated maritime emissions, fuel consumption or other relevant information in the annual emissions report. (3) The verifier must set up the test plan referred to sub-paragraph (2)(b) in a manner that allows it to determine the extent to which the relevant control activities may be relied on for the purposes of assessing compliance with the requirements mentioned in paragraph 41(4)(b) or (c). (4) When determining the sampling size and sampling activities for testing the control activities under sub-paragraph (2)(b), the verifier must consider the following elements— (a) the inherent risks; (b) the control environment; (c) the relevant control activities; (d) the requirement to deliver a verification opinion with reasonable assurance. (5) When determining the sampling size and sampling activities for sampling the data referred to in sub-paragraph (2)(c), the verifier must consider the following elements— (a) the inherent risks and control risks; (b) the results of the analytical procedures; (c) the requirement to deliver a verification opinion with reasonable assurance; (d) the materiality level; (e) the materiality of the contribution of an individual data element for the overall data set. (6) The verifier must set up and implement the verification plan such that the verification risk is reduced to an acceptable level to obtain reasonable assurance that the maritime operator’s report is free from material misstatements. (7) The verifier must update the risk analysis and the verification plan, and adapt the verification activities during the verification when it finds additional risks that need to be reduced or when there is less actual risk than initially expected. (49) (1) The verifier must implement the verification plan and, on the basis of the risk analysis, verify whether the monitoring and reporting systems, as described in the emissions monitoring plan, exist in practice and are properly implemented. (2) For the purpose of sub-paragraph (1), the verifier must consider carrying out the following types of processes— (a) enquiry with relevant staff; (b) document inspection; (c) observation and walkthrough procedures. (3) The verifier must verify the following— (a) the data flow activities and the systems used in the data flow, including information technology systems; (b) whether the control activities are appropriately documented, implemented, maintained and effective to mitigate the inherent risks; (c) whether the procedures listed in the emissions monitoring plan are effective to mitigate the inherent risks and control risks; (d) whether the procedures listed in the emissions monitoring plan are implemented, sufficiently documented and properly maintained. (4) For the purposes of sub-paragraph (3)(a), the verifier must track the data flow following the sequence and interaction of the data flow activities from primary source data to the compilation of the annual emissions report. (5) For the purposes of sub-paragraphs (3)(b) to (d), the verifier may use sampling methods specific to a ship provided that, based on the risk analysis, sampling is justified. (50) (1) The verifier must use analytical procedures to assess the plausibility and completeness of data where the inherent risk, the control risk and the aptness of the maritime operator’s control activities show the need for such analytical procedures. (2) In carrying out the analytical procedures referred to in sub-paragraph (1), the verifier must assess reported data to identify potential risk areas and to subsequently validate and tailor the planned verification activities. The verifier must at least— (a) assess the plausibility of fluctuations and trends over time or between comparable items; (b) identify immediate outliers, unexpected data and data gaps. (3) In applying the analytical procedures referred to in sub-paragraph (1), the verifier must perform the following procedures— (a) preliminary analytical procedures on aggregated data before carrying out the activities referred to in paragraph 49 in order to understand the nature, complexity and relevance of the reported data; (b) substantive analytical procedures on the aggregated data and the data points underlying these data for the purposes of identifying potential structural errors and immediate outliers; (c) final analytical procedures on the aggregated data to ensure that all errors identified during the verification process have been resolved correctly. (4) Where the verifier identifies outliers, fluctuations, trends, data gaps or data that are inconsistent with other relevant information or that differ significantly from expected amounts or ratios, the verifier must obtain explanations from the maritime operator supported by additional relevant evidence. (5) Based on the explanations and additional evidence provided, the verifier must assess the impact on the verification plan and the verification process to be performed. (51) (1) The verifier must verify the data reported in the annual emissions report through the following— (a) detailed testing, including by tracing the data back to the primary data source; (b) cross-checking the data with external data sources, including ship-tracking data; (c) performing reconciliations; (d) checking thresholds as regards appropriate data; (e) carrying out recalculations. (2) As part of the data verification referred to in sub-paragraph (1), the verifier must verify— (a) the completeness of the annual emissions report, including that all ships under the maritime operator’s responsibility during the scheme year and their corresponding emissions falling within this Schedule; (b) the completeness of emission sources as described in the emissions monitoring plan; (c) the completeness of data; (d) the consistency between reported aggregated data and data from relevant documentation or primary sources; (e) the consistency between aggregated fuel consumption and data on fuel purchased or otherwise supplied to the ship in question, if applicable; (f) the reliability and accuracy of the data; (g) the correctness of the calculations leading to the aggregated emissions data. (52) (1) Where methods laid down in the emissions monitoring plan issued by the regulator have been used to complete missing data pursuant to paragraph 33, the verifier must verify whether the methods used were appropriate for the specific situation and whether they have been applied correctly. (2) Where the methods referred to in sub-paragraph (1) were not issued beforehand, the verifier must verify whether the approach used by the maritime operator to complete the missing data ensures that the emissions are not underestimated and that that approach does not lead to material misstatements. (53) (1) For the purpose of verifying fuel consumption and maritime emissions data in the annual emissions report, the materiality level is 5% of the respective total reported for each item in the scheme year. (2) For the purpose of verifying an annual emissions report, when the sum of all ships’ total aggregated emissions to be reported under this Schedule— (a) exceeds 500 000 tonnes of CO₂ equivalent, the materiality level is 2% of the emissions data in the scheme year; (b) does not exceed 500 000 tonnes of CO₂ equivalent, the materiality level is 5% of the emissions data in the scheme year. (54) (1) At one or more appropriate times during the verification process, the verifier must carry out a site visit in order to verify an annual emissions report, in particular based on the outcome of the risk analysis pursuant to paragraph 47. (2) The verifier must also determine the activities to be performed and the time needed for the site visit. (3) The maritime operator must provide the verifier with access to its sites, including to its relevant onshore locations and its ships. (55) (1) For the purpose of verifying the annual emissions report, the verifier may, with the agreement of the maritime operator and subject to the approval of the regulator in accordance with sub-paragraph (4), carry out a virtual site visit instead of carrying out a physical site visit in accordance with paragraph 54. (2) Before any virtual site visit, the verifier must undertake a risk analysis that includes considering measures to reduce the verification risk to an acceptable level to obtain reasonable assurance that the maritime operator’s annual emissions report is free from material misstatements. (3) An application for the regulator’s approval for a virtual site visit must be submitted by a maritime operator on or before 28th February in the year after the scheme year to which the maritime operator’s report relates or such later date as the regulator may specify. (4) On an application being submitted, the regulator must take the following into consideration in deciding whether or not to approve the virtual site visit— (a) the information provided by the verifier on the outcome of the risk analysis; (b) information on how the virtual site visit will be carried out; (c) evidence that measures are taken to reduce the verification risk to an acceptable level; (d) any proposal to carry out a physical site visit after the virtual site visit; (e) any other information requested by the regulator to enable the regulator to decide whether or not to approve the virtual site visit. (5) When approving a virtual site visit, the regulator may impose conditions on the approval (including a condition that a physical site visit be carried out within a period specified by the regulator) and the maritime operator must ensure that any conditions are complied with. (56) (1) Where the verifier identifies misstatements, non-conformities, or non-compliance with the monitoring and reporting requirements in this Schedule in the course of the verification of the annual emissions report, it must inform the maritime operator of this without undue delay and request relevant corrections within a reasonable deadline. (2) The maritime operator must correct any misstatements or non-conformities communicated under sub-paragraph (1). (3) The verifier must document in the internal verification documentation, marking them as resolved, all misstatements, non-conformities or non-compliance with the monitoring and reporting requirements that have been corrected in the course of the verification. (4) Where the maritime operator does not correct the misstatements or non-conformities referred to in sub-paragraph (1), the verifier must, before issuing the verification report, ask the maritime operator to explain the main causes of the misstatements or non-conformities. (5) The verifier must assess whether— (a) the uncorrected misstatements, individually or together with other misstatements, have an impact on the total reported maritime emissions or other relevant information and whether that impact leads to material misstatements; (b) the uncorrected non-conformity, individually or when combined with other non-conformities, has an impact on the reported data and whether that leads to material misstatement. (6) The verifier must consider misstatements or non-conformities which, individually or together with other misstatements, are below the materiality level set in paragraph 53 as material misstatements where that is justified by their scale and nature or by the particular circumstances of their occurrence. (57) To complete the verification of the annual emissions report, the verifier must— (a) confirm that all verification activities required under this Part have been carried out; (b) perform final analytical procedures on the aggregated data to ensure that they are free of material misstatements; (c) verify whether the information in the report satisfies the requirements of the monitoring and reporting requirements in this Schedule; (d) assess whether the verification risk is at an acceptably low level to obtain reasonable assurance; (e) ensure that sufficient evidence has been gathered to be able to give a verification opinion with reasonable assurance that the annual emissions report is free from material misstatements; (f) ensure that the verification process is fully documented in the internal verification documentation and that a final judgment in the verification report can be given; (g) before issuing the verification report, prepare the internal verification documentation and the draft report and submit them to the independent reviewer in accordance with paragraph 61; (h) authorise a person to authenticate the report on the basis of the conclusions reached by the independent reviewer and the evidence of the internal verification documentation, and notify the maritime operator of this authorisation. (58) (1) The verifier must communicate to the maritime operator recommendations for improvement in relation to uncorrected misstatements and non-conformities not leading to material misstatements. (2) The verifier must communicate any other recommendations for improvement that it identifies relating to the following areas of the maritime operator’s performance— (a) the maritime operator’s risk assessment; (b) the development, documentation, implementation and maintenance of data flow activities and control activities as well as the evaluation of the control system; (c) the development, documentation, implementation and maintenance of procedures for data flow activities and control activities as well as other procedures that a maritime operator has to establish pursuant to Part 5; (d) the monitoring and reporting of emissions, including in relation to reducing risks and enhancing efficiency in the monitoring and reporting. (3) When communicating recommendations to the maritime operator, the verifier must remain impartial in relation to the maritime operator, the ships and the monitoring and reporting system and must not jeopardise its impartiality by giving advice or developing parts of the monitoring and reporting process. (4) During verification following a year in which recommendations for improvement were made in a verification report— (a) the verifier must verify whether the maritime operator has implemented those recommendations for improvement and the manner in which that has been done; (b) if the maritime operator has not implemented those recommendations, the verifier must assess whether that increases or may increase the risk of misstatements. (59) (1) On the basis of the information collected, the verifier must issue a verification report on each annual emissions report subject to verification. (2) The verification report must include a verification opinion verifying the annual emissions report as satisfactory or unsatisfactory. (3) For the purposes of sub-paragraph (2), the annual emissions report will be considered to have been verified as satisfactory only if it is free of material misstatements and must not be verified as satisfactory if— (a) it contains material misstatements that were not corrected before the verification report was issued; (b) the scope of verification is too limited pursuant to pursuant to paragraph 60 and the verifier could not obtain sufficient evidence to issue a verification opinion with reasonable assurance that the annual emissions report is free from material misstatements; (c) non-conformities, individually or combined with other non-conformities, provide insufficient clarity and prevent the verifier from stating with reasonable assurance that the maritime operator’s annual emissions report is free from material misstatement. (4) The verification report must contain the following elements— (a) the name of the maritime operator and the IMO unique company and registered owner identification number; (b) a title making it clear that it is a verification report; (c) the identity of the verifier, including the name and business email address of a contact person; (d) the objectives and scope of the verification; (e) a reference to the annual emissions report and the scheme year subject to verification; (f) details, including version number and date of issue, of any emissions monitoring plan issued by the regulator that is relevant to the verification as well as period of validity for each plan; (g) the aggregated maritime emissions data submitted in accordance with paragraph 38; (h) a reference to the verification standards used; (i) a summary of the verifier’s procedures, including information on and dates of site visits, information on the reasons for conducting virtual site visits; (j) the responsibilities of the maritime operator, regulator and verifier; (k) a verification opinion; (l) a description of uncorrected misstatements and non-conformities as referred to in paragraph 56, including their nature and scale, whether or not they have a material impact and the elements of the annual emissions report to which they relate, if any; (m) any issues of non-compliance with the monitoring and reporting requirements in this Schedule which have become apparent during the verification; (n) a description of any non-conformity issue as defined in sub-paragraph (a)(ii) of the definition of non-conformity in paragraph 40, which have become apparent during the verification; (o) any data gaps and the corresponding amount of emissions; (p) where applicable, recommendations for improvement; (q) the names of the UK ETS lead auditor, the independent reviewer and, where applicable, the UK ETS auditor and the technical expert that were involved in the verification of the annual emissions report; (r) the date of the verification report and signature of an authorised person on behalf of the verifier, including the name of that person. (5) The verifier must describe the misstatements, non-conformities and non-compliances in sufficient detail in the verification report to allow the maritime operator as well as the regulator to understand, including the following aspects— (a) the size and nature of the misstatement, non-conformity or non-compliance; (b) why the misstatement has material effect, or not; (c) to which element of the annual emissions report the misstatement refers, or to what element of the emissions monitoring plan the non-conformity refers; (d) to which paragraph in this Schedule the non-compliance relates. (60) The verifier may conclude that the scope of the verification referred to in paragraph 59(3)(b) is too limited in any of the following situations— (a) data are missing that prevent a verifier from obtaining the evidence required to reduce the verification risk to the level needed to obtain reasonable assurance; (b) the emissions monitoring plan is not issued by the regulator; (c) the emissions monitoring plan does not provide sufficient scope or clarity to conclude on the verification; (d) the maritime operator has failed to make sufficient information available to enable the verifier to carry out the verification. (61) (1) The independent reviewer must review the internal verification documentation and the draft verification report to verify that the verification process has been conducted in accordance with this Part and that due professional care and judgment have been exercised. (2) The independent reviewer must not have carried out any verification activities that are subject to their review. (3) The scope of the independent review must encompass the complete verification process laid down in paragraphs 45 to 60 and must include an assessment of whether the evidence gathered is sufficient to enable the verifier to issue a verification report with reasonable assurance. (4) Where circumstances occur which may cause changes in the verification report after the review, the independent reviewer must also review those changes and the supporting evidence. (5) After the report has been authenticated in accordance with paragraph 57(h), the verifier must include the results of the independent review in the internal verification documentation. (62) (1) The verifier must establish, document, implement and maintain a continued competence process to ensure that all personnel entrusted with verification activities are competent for the tasks that are allocated to them. (2) For the purposes of the competence process referred to in sub-paragraph (1), the verifier must establish, document, implement and maintain the following aspects— (a) general competence criteria for all personnel undertaking verification activities; (b) specific competence criteria for each function within the verifier undertaking verification activities, in particular for the UK ETS lead auditor, the UK ETS auditor, the independent reviewer and the technical expert; (c) a method for ensuring the continued competence and regular evaluation of the performance of all personnel undertaking verification activities; (d) a process for ensuring ongoing training of the personnel undertaking verification activities; (e) process for assessing whether the verification engagement falls within the scope of the verifier’s accreditation, and whether the verifier has the competence, personnel and resources required to select the verification team and successfully complete the verification activities within the timeframe required. (3) In evaluating the competence of the personnel pursuant to sub-paragraph (2)(c), the verifier must assess that competence against the competence criteria referred to in sub-paragraph (2)(a) and (b). (4) The process referred to in sub-paragraph (2)(e), must also include a process for assessing whether the verification team holds all the competence and personnel required to carry out verification activities for a specific maritime operator. (5) The verifier must develop general and specific competence criteria which are in conformity with the criteria laid down in paragraphs 63(4), 64, 65 and 66. (6) The verifier must monitor regularly, and at least annually, the performance of all personnel undertaking verification activities in order to confirm their continued competence. (7) The verifier must regularly review the continued competence process referred to in sub-paragraph (1) to ensure that— (a) the competence criteria referred to in paragraph (2)(a) and (b), are developed in accordance with the competence requirements under this Part; (b) all issues that may be identified related to the setting of the general and specific competence criteria pursuant to paragraph (2)(a) and (b), are addressed; (c) all the requirements in the competence process are updated and maintained as appropriate. (8) The verifier must have a system for recording the results of the activities carried out in the competence process referred to in sub-paragraph (1). (9) A sufficiently competent evaluator must assess the competence and performance of the UK ETS auditor and UK ETS lead auditor. (10) The competent evaluator must monitor those auditors during the verification of an annual emissions report on the site of the maritime operator as appropriate, to determine whether they meet the competence criteria. (11) If a member of personnel fails to demonstrate that the competence criteria for a specific task allocated to that member have been fully met, the verifier must identify and organise additional training or supervised work experience. The verifier must monitor that member until the member demonstrates to the verifier that the member meets the competence criteria. (63) (1) For each particular verification engagement, the verifier must assemble a verification team capable of performing the verification activities referred to in paragraphs 43 to 61. (2) The verification team must at least consist of a UK ETS lead auditor and, where the verifier’s conclusions during the assessment referred to in paragraph 43(2)(e) and the strategic analysis so require, a suitable number of UK ETS auditors and technical experts. (3) For the independent review of the verification activities related to a particular verification engagement, the verifier must appoint an independent reviewer who is not part of the verification team. (4) Team members must have a clear understanding of their specific role in the verification process and must be able to communicate effectively in the language required to perform their verification tasks and to examine the information submitted by the maritime operator. (5) The verification team must include at least one person with the technical competence and understanding required to assess the specific technical monitoring and reporting aspects related to the maritime activities carried out by the maritime operator. (6) Where the verification team consists of one person, that person must meet all the competence requirements for the UK ETS auditor and the UK ETS lead auditor and meet the requirements laid down in sub-paragraphs (4) and (5). (64) (1) UK ETS auditors must have the competence to perform the verification. (2) For the purpose of sub-paragraph (1), UK ETS auditors must have, at least— (a) knowledge of this Schedule, relevant standards and applicable guidelines; (b) knowledge and experience of data and information auditing, including— (i) data and information auditing methodologies, application of the materiality level and assessing the materiality of misstatements; (ii) analysing inherent and control risks; (iii) sampling techniques in relation to data sampling and checking control activities; (iv) assessing data and information systems, IT systems, data-flow activities, control activities, control systems and procedures for control activities; (c) the ability to perform the activities related to the verification of an annual emissions report as required by paragraphs 45 to 61. (3) In addition, sector-specific knowledge and experience of relevant aspects as specified in sub-paragraph (5) must be taken into consideration by verifiers for the purposes of verifying annual emissions reports. (4) A UK ETS lead auditor must meet the competence requirements for a UK ETS auditor and must have demonstrated competence to lead a verification team and to be responsible for carrying out the verification activities in accordance with this Part. (5) For the purposes of paragraph (3), knowledge and experience of the following must be taken into consideration— (a) possible synergies between monitoring and reporting in accordance with this Schedule and existing maritime-specific management systems (including the ISM Code) and other relevant sector-specific guidance (such as guidance on the development of the ship energy efficiency management plan (SEEMP)); (b) emission sources on board each ship; (c) registration of voyages and procedures ensuring the completeness and accuracy of the list of voyages and of the list of ships (as submitted by the maritime operator); (d) reliable external sources (including ship-tracking data) that could serve to cross-check information with data from ships; (e) fuel consumption calculation methods, as applied by ships in practice; (f) the application of uncertainty levels in accordance with Part 4 and relevant guidance; (g) the application of emission factors for all fuels and emission sources used on board the ship, and for all maritime emissions covered by this Schedule; (h) understanding of which fuels are eligible for an emissions reduction claim pursuant to paragraph 37 and which documents are required to support such a claim; (i) fuel handling, fuel cleaning, tank systems; (j) ship maintenance and quality control of metering equipment; (k) bunkering documents, including BDN; (l) operational logs, voyage abstracts and port abstracts, ship deck logs; (m) commercial documentation, such as charter party agreements, bills of lading; (n) existing statutory requirements; (o) operation of the ship’s bunkering systems; (p) determination of fuel density by ships in practice; (q) machinery and technical systems used on board the ship to determine fuel consumption and other relevant information. (65) (1) The independent reviewer must have the appropriate authority to review the draft conclusions on the draft verification report and internal verification documentation pursuant to paragraph 61. (2) The independent reviewer must meet the competence requirements applying to UK ETS lead auditors, as referred to in paragraph 64(4). (3) In order to assess whether the internal verification documentation is complete and whether enough evidence has been gathered in the course of the verification activities, the independent reviewer must have the necessary competence to— (a) analyse the information provided and confirm its completeness and integrity; (b) challenge missing or contradictory information; (c) check data trails to assess whether the internal verification documentation is complete and provides sufficient information to support the draft conclusions on the draft verification report and conclusions examined in the internal review. (66) (1) When carrying out verification activities, a verifier may use technical experts to provide detailed knowledge and expertise on a specific subject matter needed to support the UK ETS auditor and UK ETS lead auditor in carrying out their verification activities. (2) Where the independent reviewer does not have the competence to assess a particular issue in the review process, the verifier must request the support of a technical expert. (3) The technical expert must have the competence and expertise required to support the UK ETS auditor and the UK ETS lead auditor, or the independent reviewer, where necessary, effectively on the subject matter for which knowledge and expertise of such expert is requested and must also have a sufficient understanding of the issues referred to in paragraph 64. (4) The technical expert must undertake specified tasks under the direction and full responsibility of the independent reviewer or of the UK ETS lead auditor of the verification team in which the technical expert is operating. (67) (1) The verifier must establish, document, implement and maintain one or more procedures and processes for the verification activities described in paragraphs 45 to 61. (2) When establishing and implementing such procedures and processes, the verifier must carry out the activities in accordance with ISO 14065:2020, in conjunction with ISO/IEC 17029:2019. (3) The verifier must establish, document, implement and maintain a quality management system to ensure consistent development, implementation, improvement and review of the procedures and processes in accordance with the standard referred to in sub-paragraph (2). (4) The quality management system referred to in sub-paragraph (3) must include the following— (a) policies and responsibilities; (b) management review; (c) internal audits; (d) corrective action; (e) actions to address risk and opportunities and to take preventive action; (f) control of documented information. (5) In addition, the verifier must establish the following procedures, processes and arrangements in accordance with the standard referred to in sub-paragraph (2)— (a) a process and policy for communication with the maritime operator; (b) adequate arrangements to safeguard the confidentiality of information obtained; (c) a process for dealing with appeals; (d) a process for dealing with complaints (including indicative timescale); (e) a process for issuing a revised verification report where an error in the verification report or annual emissions report is identified after the verifier has submitted the verification report to the maritime operator; (f) a procedure or process for outsourcing verification activities to other organisations; (g) a procedure or process to ensure the verifier takes full responsibility for verification activities performed by contracted individuals; (h) processes ensuring the proper functioning of the quality management system as referred to in sub-paragraph (3), including— (i) processes for the review of the management system at least once a year, not exceeding 15 months between management reviews; (ii) processes for conducting internal audits at least once a year, not exceeding 15 months between internal audits; (iii) processes for identifying and managing non-conformities in the verifier’s activities and taking corrective action to address those non-conformities; (iv) processes for identifying risks and opportunities in verifier’s activities and taking preventive actions to mitigate those risks; (v) processes for the control of documented information. (68) (1) The verifier must prepare and compile internal verification documentation containing at least— (a) the results of the verification activities performed; (b) the verification plan, the strategic analysis and the risk analysis; (c) sufficient information to support the draft verification report, including justifications for judgments as to whether or not misstatements were material. (2) The internal verification documentation must be drafted in such a way that the independent reviewer referred to in paragraph 61 and the national accreditation body are able to assess whether the verification has been performed in accordance with this Part. (3) The verifier must, upon request, provide the regulator with access to the internal verification documentation and other relevant information to facilitate an evaluation of the verification by the regulator and the regulator may set a timeframe within which the verifier must provide access to that documentation. (69) (1) The verifier must maintain and manage records to demonstrate compliance with this Part, including as regards the competence and impartiality of their personnel. (2) The verifier must, on a regular basis, make information available to the maritime operator in accordance with the standard referred to in paragraph 67(2). (3) The verifier must safeguard the confidentiality of information obtained in the course of the verification, in accordance with the standard referred to in paragraph 67(2). (70) (1) The verifier must be independent from the maritime operator and impartial in carrying out its verification activities. (2) To ensure independence and impartiality, the verifier and any part of the same legal entity must not be a maritime operator, the owner of such a maritime operator or owned by such a maritime operator, and must not have relations with the maritime operator that could affect its independence and impartiality. (3) The verifier must also be independent from bodies that trade emission allowances under the UK ETS. (4) The verifier must be organised in such a way as to safeguard their objectivity, independence and impartiality. For the purposes of this Part, the relevant requirements laid down in the standard referred to in paragraph 67(2) apply. (5) The verifier must— (a) not carry out verification activities for a maritime operator that poses an unacceptable risk to their impartiality or in respect of which they have a conflict of interests; (b) not use personnel or contracted persons in the verification of an annual emissions report that involves an actual or potential conflict of interest; (c) ensure that the activities of personnel or organisations do not affect the confidentiality, objectivity, independence and impartiality of the verification and must, for this purpose, monitor the risks to impartiality and take appropriate action to address those risks. (6) For the purpose of sub-paragraph (5), the verifier must monitor the risks to impartiality and take appropriate actions to address those risks. (7) An unacceptable risk to impartiality or a conflict of interests will be considered to have arisen, in particular, where a verifier, or any part of the same legal entity, provides— (a) consulting services to develop part of the monitoring and reporting process described in the emissions monitoring plan, including development of the monitoring methodology, drafting of the annual emissions report and drafting of the emissions monitoring plan; (b) technical assistance to develop or maintain the system for monitoring and reporting emissions or other relevant information under this Schedule. (8) A conflict of interest for a verifier in the relations between it and the maritime operator will be considered to have arisen in particular in either of the following cases— (a) where the relationship between the verifier and the maritime operator is based on common ownership, common governance, common management or personnel, shared resources, common finances and common contracts or marketing; (b) where the maritime operator has received consulting services referred to in sub-paragraph (7)(a), or technical assistance referred to in sub-paragraph (7)(b), from a consultancy body, technical assistance body or another organisation having relations with the verifier and threatening the impartiality of the verifier. (9) For the purposes of sub-paragraph (8)(b), the verifier’s impartiality will be considered compromised where the relations between the verifier and the consultancy body, technical assistance body or the other organisation are based on common ownership, common governance, common management or personnel, shared resources, common finances, common contracts or marketing and common payment of sales commission or other inducement for the referral of new clients. (10) The verifier must not outsource the independent review or the issuance of the verification reports. (11) Where the verifier outsources other verification activities, they must meet the relevant requirements laid down in the standard referred to in paragraph 67(2). (12) For the purposes of sub-paragraph (11), contracting individuals to carry out verification activities will not constitute outsourcing if the verifier, when contracting those persons, takes full responsibility for the verification activities performed by contracted personnel. When contracting individuals for carrying out verification activities, the verifier must require those individuals to sign a written agreement that they comply with the procedures of the verifier and that there is no conflict of interest in carrying out those verification activities. (13) The verifier must establish, document, implement and maintain a process to ensure their continuous impartiality and independence, and those of the parts of the same legal entity, of other organisations referred to in sub-paragraphs (8) and (9), and of all personnel and contracted persons involved in the verification. That process must include a mechanism to safeguard the impartiality and independence of the verifier and meet the relevant requirements laid down in the standard referred to in paragraph 67(2). (14) When verifying the same maritime operator as in the previous year, the verifier must assess the risk to impartiality and take measures to reduce the risk to impartiality. (15) If the UK ETS lead auditor undertakes annual verifications of annual emissions reports for a period of six consecutive years for a given maritime operator, the UK ETS lead auditor must take a three consecutive years’ break from providing verification of annual emissions reports for that same maritime operator. (71) (1) Where no specific provisions concerning the accreditation of verifiers are laid down in this Part the relevant provisions of Regulation (EC) No 765/2008 apply. (2) With respect to the minimum requirements for accreditation and the requirements for accreditation bodies, the standard pursuant to ISO/IEC 17011:2017 concerning general requirements for accreditation bodies accrediting conformity assessment bodies[^f00011] apply. (72) The scope of accreditation of verifiers must cover the verification of annual emissions reports in accordance with this Part. (73) In the course of the accreditation process and of the annual surveillance of accredited verifiers, in accordance with paragraphs 75 to 80, the national accreditation body must assess whether the verifier and its personnel undertaking verification activities— (a) have the competence to verify annual emissions reports in accordance with this Part; (b) are in fact verifying annual emissions reports in accordance with this Part; (c) meet the requirements for verifiers referred to in paragraphs 62 to 70, including those regarding impartiality and independence. (74) (1) Requests for accreditation must contain the information required on the basis of the standard referred to in paragraph 71(2). (2) In addition, prior to the start of the assessment referred to in paragraph 75, the verifier applying for accreditation (‘the applicant’) must make available to the national accreditation body information on the following aspects— (a) the procedures and processes referred to in paragraph 67(1) and the quality management system referred to in paragraph 67(3); (b) the competence criteria referred to in paragraph 62(2)(a) and (b), the results of the continuous competence process referred to in that paragraph and other relevant documentation on the competence of all personnel involved in verification activities as referred to in paragraphs 64 and 65; (c) the process for ensuring continuous impartiality and independence, as referred to in paragraph 70(13), including relevant records on the impartiality and independence of the applicant and its personnel; (d) the technical experts and key personnel involved in the verification of annual emissions reports; (e) the procedures and processes for ensuring appropriate verification, including those concerning the internal verification documentation referred to in paragraph 68; (f) records, as referred to in paragraph 69; (g) all other information requested by the national accreditation body. (75) (1) For the purposes of the assessment referred to in paragraph 73, the assessment team appointed in accordance with paragraph 83 must, at least— (a) review all relevant documents and records supplied by the applicant pursuant to paragraph 74; (b) carry out an on-site visit to review a representative sample of the internal verification documentation and assess the implementation of the applicant’s quality management system and the procedures or processes for verification activities referred to in paragraph 67; (c) witness the performance and competence of a representative number of the applicant’s staff involved verifying annual emissions reports to ensure that they operate in accordance with this Part. (2) The assessment team must carry out the activities outlined in sub-paragraph (1) in compliance with the requirements of the standard referred to in paragraph 71(2). (3) The assessment team must report its findings and any non-conformities to the applicant and request a response, in accordance with the requirements of the standard referred to in paragraph 71(2). (4) The applicant must take corrective action to address any non-conformities reported pursuant to sub-paragraph (3) and submit a response with an indication of what action it has taken, or plans to take within a time set by the national accreditation body, to resolve them. (5) The national accreditation body must review the response that the applicant submits pursuant to sub-paragraph (4). (6) Where the national accreditation body finds the applicant’s response or the action taken to be insufficient or ineffective, it must ask the applicant to submit further information or take further action. (7) The national accreditation body may also request evidence of, or carry out a follow-up assessment to assess, the actual implementation of the corrective action. (76) (1) When preparing and taking the decision on whether to grant, extend or renew the accreditation of an applicant, the national accreditation body must take into account the requirements of the standard referred to in paragraph 71(2). (2) Where the national accreditation body has decided to grant or renew an applicant’s accreditation, it must issue an accreditation certificate to that effect. (3) The accreditation certificate must contain at least the information required on the basis of the standard referred to in paragraph 71(2). (4) The accreditation certificate will be valid for a period not exceeding five years after the date on which the national accreditation body has issued that certificate. (77) (1) The national accreditation body must carry out annual surveillance of each verifier to which it has issued an accreditation certificate. (2) The surveillance referred to in sub-paragraph (1) must comprise, at least— (a) an on-site visit as referred to in paragraph 75(1)(b); (b) witnessing the performance and assessing the competence of a representative number of the verifier’s staff in accordance with paragraph 75(1)(c); (2) The national accreditation body must carry out the first surveillance of a verifier in accordance with sub-paragraph (1) within 12 months of the date on which its accreditation certificate was issued. (3) The surveillance planning must allow the national accreditation body to assess representative samples of the verifier’s activities within the scope of the accreditation certificate and of the staff involved in the verification activities, in accordance with the requirements of the standard referred to in paragraph 71(2). (4) Where a verifier carries out verification in another country, the national accreditation body that has accredited the verifier may ask the national accreditation body of that other country to carry out surveillance activities on its behalf and under its responsibility. (78) (1) Before the expiry of an accreditation certificate which it has issued, the national accreditation body must reassess the verifier in question to determine whether the validity of the certificate can be extended. (2) The reassessment planning must ensure that the national accreditation body assesses a representative sample of the verifier’s activities covered by the certificate. (3) In planning and carrying out the reassessment, the national accreditation body must satisfy the requirements of the standard referred to in paragraph 71(2). (79) (1) The national accreditation body may conduct an extraordinary assessment of the verifier at any time to ensure that it continues to meet the requirements of this Part. (2) In order to enable the national accreditation body to assess the need for an extraordinary assessment, the verifier must inform that body without delay of any significant changes relevant to its accreditation concerning any aspect of its status or operation, including changes mentioned in the standard referred to in paragraph 71(2). (80) (1) The national accreditation body may suspend, withdraw or reduce the scope of an accreditation of a verifier where the verifier does not meet the requirements of this Part. (2) The national accreditation body must suspend, withdraw or reduce the scope of an accreditation of a verifier where the verifier so requests. (3) The national accreditation body must establish, document, implement and maintain a procedure for the suspension, withdrawal and reduction of scope of the accreditation in line with the standard referred to in paragraph 71(2). (4) The national accreditation body must suspend a verifier’s accreditation, or reduce the scope of an accreditation where the verifier has— (a) committed a serious breach of the requirements of this Part; (b) persistently and repeatedly failed to meet the requirements of this Part; (c) breached any other specific terms and conditions laid down by the national accreditation body. (5) The national accreditation body must withdraw a verifier’s accreditation where— (a) the verifier has failed to remedy the grounds for a decision to suspend the accreditation certificate; (b) a member of the top management of the verifier or a verifier’s staff involved in verification activities under this Part has been found guilty of fraud; (c) the verifier has intentionally provided false information or has intentionally concealed information. (6) Decisions of a national accreditation body to suspend, withdraw or reduce the scope of an accreditation in accordance with sub-paragraphs (1), (4) and (5) are subject to appeal in accordance with the procedures established by the national accreditation body for the resolution of appeals. (7) Decisions of a national accreditation body to suspend, withdraw or reduce the scope of the accreditation take effect upon being notified to the verifier. The national accreditation body must consider the impact on activities carried out prior to those decisions in the light of the nature of the non-compliance. (8) The national accreditation body must terminate the suspension of an accreditation certificate where it has received satisfactory information and concludes that the verifier meets the requirements of this Part. (81) (1) The tasks related to accreditation pursuant to this Part must be carried out by the national accreditation body. (2) For the purposes of this Part, the national accreditation body must carry out their functions in accordance with the requirements of the standard referred to in paragraph 71(2). (82) (1) The national accreditation body must be organised in a manner that guarantees its full independence from verifiers it assesses and its impartiality in carrying out its accreditation activities. (2) For the purpose of sub-paragraph (1), the national accreditation body must not— (a) offer or provide any activities or services provided by a verifier; (b) provide consultancy services, own shares in or otherwise have a financial or managerial interest in a verifier. (3) Without prejudice to paragraph 81(2), the structure, responsibilities and tasks of the national accreditation body must be clearly distinguished from those of the regulator and those of other national authorities. (4) The national accreditation body must take all final decisions pertaining to the accreditation of verifiers but may sub-contract certain activities, subject to the requirements set out in the standard referred to in paragraph 71(2). (83) (1) The national accreditation body must appoint an assessment team for each assessment carried out under the requirements of the standard referred to in paragraph 71(2). (2) An assessment team must consist of a lead assessor responsible for carrying out an assessment in accordance with this Part and, where necessary, a suitable number of assessors or technical experts with relevant knowledge and experience for the specific scope of accreditation. (3) An assessment team must include, at least, one person with the following skills— (a) sufficient knowledge of this Schedule; (b) competence and understanding required to assess the verification activities referred to in paragraph 45 to 61 and sufficient knowledge of the characteristics of the various types of vessels and of monitoring and reporting of maritime emissions, fuel consumption and other relevant information pursuant to this Schedule. (84) (1) Assessors must have the competence to carry out the activities under paragraphs 75 to 80. To that end, the assessor must— (a) meet the requirements of the standard referred to in paragraph 71(2); (b) have sufficient knowledge of data and information auditing, as referred to in paragraph 64(2)(b), obtained through training or access to a person who has knowledge and experience of such data and information; (c) have sufficient knowledge of this Schedule as well as applicable guidelines as referred to in paragraph 64(2)(a). (2) In addition to the competence requirements set out in sub-paragraph (1), lead assessors must demonstrate competence to lead an assessment team and be responsible for carrying out an assessment in accordance with this Part. (3) In addition to the competence requirements set out in sub-paragraph (1), internal reviewers and persons taking decisions on the granting, extending or renewing of an accreditation must have sufficient knowledge and experience to evaluate the accreditation. (85) (1) The national accreditation body may include technical experts in the assessment team to provide detailed knowledge and expertise on a specific subject matter needed to support the lead assessor or assessor. (2) A technical expert must have— (a) the competence required to support the lead assessor and assessor effectively on the subject matter for which knowledge and expertise of such expert is requested; (b) sufficient knowledge of this Schedule as well as applicable guidelines as referred to in paragraph 64(2)(a). (c) a sufficient understanding of verification activities. (3) Technical experts must undertake specified tasks under the direction and full responsibility of the lead assessor of the assessment team in question. (86) Where the national accreditation body has received a complaint concerning the verifier from the regulator, the maritime operator, or other interested parties, the national accreditation body must, within a reasonable time but no later than three months from the date of its receipt— (a) decide on the validity of the complaint; (b) ensure that the verifier concerned is given the opportunity to submit its observations; (c) take appropriate actions to address the complaint; (d) record the complaint and action taken; (e) respond to the complainant. (87) (1) The national accreditation body must keep records on each person involved in the accreditation process. Those records must include records related to relevant qualifications, training, experience, impartiality and competence necessary to demonstrate compliance with this Part. (2) The national accreditation body must keep records of the verifier in line with the standard referred to in paragraph 71(2). (88) (1) The national accreditation body must, on a regular basis, make publicly available and update information about the national accreditation body and its accreditation activities. (2) The national accreditation body must make, in accordance with point 4 of Article 8 of Regulation (EC) No 765/2008, adequate arrangements to safeguard, as appropriate, the confidentiality of information obtained. (89) (1) The UK ETS authority must establish an effective exchange of appropriate information and effective cooperation between the national accreditation body and the regulator. (2) The Environment Agency or such other regulator as may be designated by the UK ETS authority from time to time is to be the focal point for the exchange of information, for the purpose of this Chapter for coordinating the cooperation referred to in sub-paragraph (1), and for the activities referred to in this Chapter. (90) (1) By 31st December of each year, the national accreditation body must make available an accreditation work programme to the regulator containing the list of verifiers accredited by the national accreditation body. The accreditation work programme must contain the following information in relation to each verifier— (a) information on activities that the national accreditation body has planned for that verifier, including surveillance and reassessment activities; (b) dates of anticipated witnessing audits to be performed by the national accreditation body to assess the verifier; (c) information on whether the national accreditation body has requested the national accreditation body from another country to carry out surveillance activities pursuant to paragraph 77(4). (2) Where changes occur in the information referred to in sub-paragraph (1), the national accreditation body must submit to the regulator an updated work programme by 31st January of each year. (3) Following the submission of the accreditation work programme in accordance with sub-paragraph (1), the regulator must provide the national accreditation body with any relevant information, including any applicable national legislation and guidelines. (4) By 1st June of each year, the national accreditation body must make available a management report to the regulator which must contain the following information in relation to each verifier that has been accredited by the national accreditation body— (a) accreditation details of verifiers that were newly accredited by the national accreditation body; (b) summarised results of surveillance and reassessment activities carried out by the national accreditation body; (c) summarised results of extraordinary assessments that have taken place, including reasons for initiating such extraordinary assessments; (d) any complaints filed against the verifier since the last management report and the actions taken by the national accreditation body; (e) details of action taken by the national accreditation body in response to the information that is shared by the regulator. (91) If the national accreditation body has imposed administrative measures on the verifier pursuant to paragraph 80 or if a suspension of the accreditation has been terminated or a decision on appeal has reversed the decision of the national accreditation body to impose administrative measures referred to in paragraph 80, the national accreditation body must inform the regulator. (92) (1) The regulator must annually communicate to the national accreditation body at least the following— (a) relevant results from checking the annual emissions reports and the verification reports, in particular of any issue of reported data that did not fulfil the requirements under this Part; (b) results from the inspection of the maritime operator where those results are relevant for the national accreditation body concerning the verifier’s accreditation and surveillance or where those results include any identified issue of data that did not fulfil the requirements under this Part; (c) results from the evaluation of the internal verification documentation of that verifier where the regulator has evaluated the internal verification documentation pursuant to paragraph 68(3); (d) complaints received by the regulator concerning that verifier. (2) Where the information referred to in sub-paragraph (1) provides evidence that the regulator has identified issues in the reported data that did not fulfil the requirements under this Part, the national accreditation body must treat the communication of that information as a complaint by the regulator concerning that verifier within the meaning of paragraph 86. (3) The national accreditation body must take appropriate action to address such information and respond to the regulator within a reasonable time, but no later than three months from the date of its receipt. (4) In responding to the regulator pursuant to sub-paragraph (3), the national accreditation body must inform the regulator of the action taken by it and, where relevant, the administrative measures imposed on the verifier. (93) The national accreditation body must set up and manage a database which must be publicly available and contain the following information— (a) the name, accreditation number and business address of each verifier accredited by that national accreditation body; (b) each verifier’s scope of accreditation; (c) the date on which the accreditation was granted and its expiry date; (d) information on administrative measures imposed on the verifier. (94) (1) For the purposes of enabling the national accreditation body to draft the accreditation work programme and the management report referred to in paragraph 90, a verifier must, by 15th November of each year, send the following information to the national accreditation body— (a) the planned time and place of the verifications that the verifier is scheduled to perform; (b) the business address and contact details of the maritime operators whose annual emissions reports are subject to its verification; (c) the names of the members of the verification team and the scope of the verification under which the maritime activity falls. (2) Where changes occur in the information referred to in sub-paragraph (1), the verifier must notify those changes to the national accreditation body within a timeframe agreed with the national accreditation body. (95) (1) The maritime operator must ensure that any analyses, sampling, calibrations and validations for the determination of emission factors are carried out by applying methods based on corresponding EN standards. (2) Where EN standards are not available, the methods must be based on suitable ISO standards or national standards. (3) Where no applicable published standards exist, suitable draft standards, industry best-practice guidelines or other scientifically proven methodologies must be used, limiting sampling and measurement bias. (4) The result of any analysis must be used only for the delivery period or batch of fuel for which the samples have been taken, and for which the samples were intended to be representative. (5) When determining a specific parameter, the maritime operator must use the results of all analyses made with regard to that parameter. (96) (1) Where emission factors are determined by analyses, the maritime operator must submit to the regulator for approval, for each fuel a sampling plan in the form of a written procedure, which contains information on methodologies for the preparation of samples, including information on responsibilities, locations, frequencies and quantities, and methodologies for the storage and transport of samples. (2) The maritime operator must ensure that the derived samples are representative for the relevant batch or delivery period and free of bias. (3) Relevant elements of the sampling plan must be agreed with the laboratory carrying out the analysis for the respective fuel, and evidence of that agreement must be included in the plan. (4) The maritime operator must make the plan available for the purposes of verification pursuant to Part 8. (5) The maritime operator must, in agreement with the laboratory carrying out the analysis for the respective fuel and subject to the approval of the regulator, adapt the elements of the sampling plan where analytical results indicate that the heterogeneity of the fuel significantly differs from the information on heterogeneity on which the original sampling plan for that specific fuel was based. (97) (1) The maritime operator must ensure that laboratories used to carry out analyses for the determination of emission factors are accredited in accordance with EN ISO/IEC 17025[^f00012], as updated from time to time, for the relevant analytical methods. (2) Laboratories not accredited in accordance with EN ISO/IEC 17025 may be used for the determination of emission factors only where the maritime operator can demonstrate to the satisfaction of the regulator that access to laboratories referred to in sub-paragraph (1) is technically not feasible or would incur unreasonable costs, and that the non-accredited laboratory meets requirements equivalent to EN ISO/IEC 17025. (3) The regulator must deem a laboratory to meet requirements equivalent to EN ISO/IEC 17025 within the meaning of sub-paragraph (2) where the maritime operator provides, to the extent feasible, evidence in accordance with sub-paragraphs (4) and (5). (4) With respect to quality management, the maritime operator must produce an accredited certification of the laboratory in conformity with EN ISO/IEC 9001[^f00013], as updated from time to time, or other certified quality management systems that cover the laboratory. In the absence of such certified quality management systems, the maritime operator must provide other appropriate evidence that the laboratory is capable of managing its personnel, procedures, documents and tasks in a reliable manner. (5) With respect to technical competence, the maritime operator must provide evidence that the laboratory is competent and able to generate technically valid results using the relevant analytical procedures. Such evidence must cover at least the following elements— (a) management of the personnel’s competence for the specific tasks assigned; (b) suitability of accommodation and environmental conditions; (c) selection of analytical methods and relevant standards; (d) where applicable, management of sampling and sample preparation, including control of sample integrity; (e) where applicable, development and validation of new analytical methods or application of methods not covered by international or national standards; (f) uncertainty estimation; (g) management of equipment, including procedures for calibration, adjustment, maintenance and repair of equipment, and record keeping thereof; (h) management and control of data, documents and software; (i) management of calibration items and reference materials; (j) quality assurance for calibration and test results, including regular participation in proficiency testing schemes, applying analytical methods to certified reference materials, or inter-comparison with an accredited laboratory; (k) management of outsourced processes; (l) management of assignments, customer complaints, and ensuring timely corrective action. (98) (1) The maritime operator must apply the minimum frequencies for analyses for relevant fuels, as set out in Table C3.

(2) The regulator may allow the maritime operator to use a frequency that differs from those referred to in sub-paragraph (1), where minimum frequencies are not available or where the maritime operator demonstrates that using the required frequency would incur unreasonable costs.

SCHEDULE 2 — FURTHER AMENDMENTS TO THE 2020 ORDER

Introductory

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The 2020 Order is amended as follows.

Amendments to article 4 (Interpretation)

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• (1) Article 4 is amended as follows.

• (2) In paragraph (1)—

• (a) for the definition of “emissions monitoring plan”, substitute—

• “emissions monitoring plan” has the meaning given in article 28(1) in relation an aircraft operator and the meaning given in paragraph 9(1) of Schedule 2A in relation to a maritime operator;

• (b) after the definition of “installation”, insert—

• “maritime activity” has the meaning given in paragraph 7 of Schedule 2A;
• “maritime emissions” means emissions of carbon dioxide, methane and nitrous oxide from maritime activities;
• “maritime operator” has the meaning given in paragraph 3 of Schedule 2A;
• “maritime operator holding account” means a maritime operator holding account opened under paragraph 13A(3) of Schedule 5A;

• (c) for the definition of “regulator”, substitute—

• “regulator” must be construed in accordance with articles 9 to 13A;

• (d) after the definition of “surrender condition”, insert—

• surrender deduction” means any deduction arising in accordance with paragraph 15(1)(a) of Schedule 2A;

• (e) for the definition of “verification report”, substitute—

• “verification report” has, in relation to an operator or aircraft operator, the same meaning as in the Verification Regulation 2018 and, in relation to a maritime operator, means a verification report issued pursuant to paragraph 59 of Schedule 2A.

Amendments to article 9 (Meaning of regulator)

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• (1) Article 9 is amended as follows.

• (2) In paragraph (2), after sub-paragraph (b), insert—

(c) in relation to a maritime operator, the regulator determined in accordance with article 13A.

Insertion of article 13A (Meaning of regulator: maritime operators)

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After article 13, insert—

(13A) (1) This article applies for the purposes of article 9. (2) The regulator of a maritime operator is— (a) the Environment Agency, where the maritime operator— (i) has its registered office or place of residence in England; or (ii) does not have a registered office or a place of residence in the United Kingdom; (b) NRW, where the maritime operator has its registered office or place of residence in Wales; (c) SEPA, where the maritime operator has its registered office or place of residence in Scotland; (d) the chief inspector, where the maritime operator has its registered office or place of residence in Northern Ireland.

Amendments to article 16 (UK Emissions Trading Scheme)

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• (1) Article 16 is amended as follows.

• (2) In paragraph (2)—

• (a) at the end of sub-paragraph (a) delete “and”;

• (b) after sub-paragraph (b) insert—

(c) maritime activities by maritime operators.

Amendments to article 19 (Cap for trading period)

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• (1) Article 19 is amended as follows.

• (2) In paragraph (b), for “302,924,924” substitute “312,248,470”.

Amendments to article 22 (Cap: base for scheme years)

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• (1) Article 22 is amended as follows.

• (2) In table B in column 2 (base)—

• (a) for “79,059,690” substitute “80,063,992”;

• (b) for “70,127,996” substitute “72,317,337”;

• (c) for “53,498,502” substitute “55,618,096”;

• (d) for “50,918,572” substitute “52,964,678”;

• (e) for “49,320,164” substitute “51,284,366”.

Amendments to article 24 (Monitoring and reporting of emissions)

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• (1) Article 24 is amended as follows.

• (2) Renumber the text of article 24 as paragraph (1) and after that paragraph insert—

(2) Paragraph (1) does not apply to the monitoring and reporting of maritime emissions.

Amendments to article 25 (Verification of data and accreditation of verifiers)

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• (1) Article 25 is amended as follows.

• (2) Renumber the text of article 25 as paragraph (1) and after that paragraph insert—

(2) Paragraph (1) does not apply to the verification of maritime emissions.

Amendments to article 35 (Charges)

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• (1) Article 35 is amended as follows.

• (2) In paragraph (1), after “aircraft operator”, insert “, maritime operator”.

• (3) In paragraph (2)(h), after “article 45” insert “, a determination of maritime emissions under article 45A or a determination of the emissions figure for surrender under article 45B”.

• (4) In paragraph (3), for “or aircraft operator” substitute “, aircraft operator or maritime operator”.

Amendments to article 44A (Deficit notices)

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• (1) Article 44A is amended as follows.

• (2) In paragraph (1), after sub-paragraph (b), insert—

(c) a person who is a maritime operator in relation to a scheme year (the “relevant scheme year”) fails to surrender allowances in accordance with paragraph 15 of Schedule 2A.

• (3) For paragraph (3)(a) to (c), substitute—

(a) the relevant scheme year and— (i) the installation’s reportable emissions; (ii) the person’s aviation emissions; or (iii) the person’s maritime emissions less any surrender deduction, in that year; (b) the number of allowances (if any) surrendered in compliance with article 27, the requirements of a surrender or revocation notice, article 34 or paragraph 15 of Schedule 2A (including any surrendered after the date by which allowances were required to be surrendered); (c) the number of allowances representing the difference (the “deficit”) between allowances equal to— (i) the installation’s reportable emissions; (ii) the person’s aviation emissions; or (iii) the person’s maritime emissions less any surrender deduction, in the relevant scheme year and the number referred to in sub-paragraph (b);

• (4) In paragraph (8), after sub-paragraph (b), insert—

(ba) to a person who is a maritime operator in relation to a scheme year, if the person’s maritime operator holding account has been closed under paragraph 28A of that Schedule;

Insertion of articles 45A and 45B

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After article 45 insert—