UK Emissions Trading Scheme: Regulating cross-boundary CCS pipelines

The Authority is seeking feedback on options being considered to streamline the UK Emissions Trading Scheme ( ETS ) regulatory requirements for cross-boundary CCS pipelines. The options aim to reduce the number of UK ETS permits a CCS pipeline crossing into multiple jurisdictions will require, which could simplify the monitoring and enforcement requirements for both operators and regulators. The consultation is aimed at anyone with an interest in CCS policy in the UK ETS , especially companies who plan to operate CCS pipelines. UK Emissions Trading Scheme: Regulating cross-boundary CCS pipelines PDF , 997 KB , 23 pages UK Emissions Trading Scheme: Regulating cross-boundary CCS pipelines (accessible webpage) HTML Cynllun Masnachu Allyriadau'r DU: Rheoleiddio piblinellau dal a storio carbon trawsffiniol y DU PDF , 558 KB , 21 pages Cynllun Masnachu Allyriadau'r DU: Rheoleiddio piblinellau dal a storio carbon trawsffiniol y DU (tudalen we hygyrch) HTML UK Emissions Trading Scheme: Regulating cross- boundary CCS pipelines A joint consultation of the UK Government, the Scottish Government, the Welsh Government and the Department of Agriculture, Environment and Rural Affairs for Northern Ireland Closing date: 4 June 2026 UK ETS Authority (March 2026) © Crown copyright 2026 This publication is licensed under the terms of the Open Government Licence v3.0 except where otherwise stated. To view this licence, visit nationalarchives.gov.uk/doc/open- government-licence/version/3. Where we have identified any third-party copyright information you will need to obtain permission from the copyright holders concerned. 3 Contents Introduction ________________________________________________________________ 4 General information __________________________________________________________ 5 Why we are consulting ______________________________________________________ 5 Consultation details ________________________________________________________ 5 How to respond ___________________________________________________________ 7 Confidentiality and data protection _____________________________________________ 7 Quality assurance _________________________________________________________ 7 Regulation of CCS pipelines that cross UK ETS regulatory boundaries __________________ 8 Determining the onshore regulator _____________________________________________ 9 Determining the offshore regulator ____________________________________________ 11 Monitoring infrastructure for the onshore/offshore boundary ________________________ 12 Compliance and monitoring infrastructure costs _________________________________ 13 Welsh language __________________________________________________________ 14 Consultation questions ______________________________________________________ 15 Next steps ________________________________________________________________ 17 Annex – Analytical summary __________________________________________________ 18 UK ETS background ______________________________________________________ 18 CCS summary ___________________________________________________________ 18 Analytical summary _______________________________________________________ 19 Conclusion ______________________________________________________________ 22 UK Emissions Trading Scheme: Regulating cross-boundary CCS pipelines 4 Introduction The UK Emissions Trading Scheme (ETS) is jointly run by the UK ETS Authority (hereafter ‘the Authority’) made up of the UK Government, Scottish Government, Welsh Government, and the Department of Agriculture, Environment and Rural Affairs for Northern Ireland (DAERA). Carbon capture and storage (CCS) will be crucial for the UK to meet its net zero targets, especially for hard to abate sectors such as steel, cement, and chemicals that lack alternatives for deep decarbonisation. Track-1 CCS projects that plan to transport carbon dioxide (CO2) from industrial clusters via pipeline to permanent geological storage have received their final investment decisions (FID) and plan to commence operations towards the end of this decade. Other CCS projects utilising a CO2 pipeline transport network are also planned and working towards the FID milestone. Pipeline transport of greenhouse gases intended for geological storage is currently regulated by the UK ETS.1 However, the Authority has recognised the default permitting framework in the UK ETS could be amended to be less complex and burdensome for operators and regulators of CO2 pipeline transport networks that cross national boundaries in the UK (referred to in this document as ‘cross-boundary CCS pipelines’). This consultation seeks views on options that could simplify which regulator(s), in respect of the UK ETS, are responsible for permitting, monitoring compliance, and enforcement in respect of: • the onshore section of a cross-boundary CCS pipeline (i.e. the portion of the pipeline on land), and • the offshore section of a cross-boundary CCS pipeline (i.e. from when the pipeline enters UK 

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