Com bined ret rosp ectiv e ev aluat ion and prosp ecti ve im pact asse ssmen t su ppor t st udy on Emission
Trad ing Syst em ( ETS) Stat e Aid Guidelin es
For each Sect or Fiche, we h av e analysed the data provided by sect ors thr ough the
targ et ed consultation17 w hich w e have cr oss-checked w ith ou r Eurostat dat ab ase. The
list of r esp onses received fr om sectors is provided in Annex 13: Responses received
from sect ors. We have also con du ct ed independent research using publicly available
sources as w ell as interv iews w it h cert ain sect ors to cr it ically assess their statem en t s
regar ding th eir eligibilit y and level of com pensation required. For each int er view with
th e sect ors cont acted, a repr esent ati ve of the Comm ission wa s presen t.
We have first assessed the data p rovided by t he sectors, ev aluating t he robust ness of
th e dat a by checking data sou rces ( e.g. official sources lik e Eur ostat are deem ed to be
of high quality) , t h en t he represen t at iveness of the data in t er m s of sector coverage
and geograph ical scop e. Fin ally, we checked th e per iods cover ed b y t he dat a to ensu re
th at it can be used for th e im pact asse ssmen t of t he fut ure ETS Guid elin es fo r Phase I V.
For each of the 41 sectors identified by t he EC, we have prepared a specif ic Sect or Fiche
th at fir st assesses the r isk of carb on leak age f aced by t he sector and t herefore m akes
it el igi ble to r eceiv e a com p ensat io n f or ind ire ct cost s an d secon d, assesse s the ade qua te
lev el of aid t hat the secto r sh ould r eceiv e.
To assess t he sect or ’s risk of car bon leakage st emming from indir ect ETS cost s, and
th er ef or e the eligibility of t h e sect or, we have analysed t he risk of th e sect or by f our
cat egories, for which we assess a num ber of par ameters:
Ma rk et cha racteri stics: in th is category we assess the ex tent t o which
producers can pass on cost incr eases to cust omer s, and in part icular the
ability to p ass on higher elect ricity cost s. We also refer to ex isting and
future tradin g patterns, assessing param et ers such as t he bar gaining
posit ion of t he sect or, the p rice taker posit ion, and tradin g pa tte rns.
Prof it m a rgins: in th is cat egor y w e assess t he current and futu re
profit ability of th e sect or in the EU ETS ar ea. Under t his cat eg or y, we
assess par am et ers such as cur ren t and fu tu re dem and , o ut put p rice , c osts ,
investm ent, business demography of t he sector and su bstitut ab ilit y wit h
ot her pr oduc ts. We also consi der th e fe asibi lit y o f r eloca tio n f or the sect or.
Abat e m e nt p ot e ntia l: in t h is category we assess th e scope for en er gy
eff iciency inv est m ent s in ord er to r educe electricit y consum ption in t he
sect or . Under this category , w e assess parameters such as current
electricit y consumpt ion, int ernation al benchm arks and cur rent and fut ure
ado ptio n of Best Avai lable Techn ologi es (BAT) .
Fuel a n d ele ct r icit y sub st itut a bilit y: in t his cat egory we assess t he
ability of t he sect or to shift fr om fossil fu el ener gies t o elect ricity an d
evalu ate if t her e is a r isk tha t di ffer ences in t reatm ent bet ween dir ect and
indir ect cost com pensation m ay h inder the ener gy-efficient el ectr ifica tion
of t he se ctor .
For each sector, we have ana lysed w hether t he evidence r egardin g t he fut ure adop tion
of BAT t hat allows the sector t o reduce it s electricit y consum ption in the fut ure is
suf ficien t t o plead for a d egressiv ity pri nciple i n t he Guidelin es.
17 From 13 Febru ary 201 9 to 9 April 2 019, the Comm ission ran a t argeted consult ation
to gat her informat ion enablin g for t he d et er m in at ion of t he sect or s exposed t o car bon
leakage risk due t o indirect em ission costs. The q uestionnair e is pu blish ed on the DG
Competition’s con sultat ion website:
ht tps: // ec.eu ropa.eu/ compet it ion/con sultat ions/ 2019_ et s_guidelines/ in dex_ en.h tml