The Swedish charge on emissions of nitrogen oxides 2018-12-04 The Swedish charge on emissions of nitrogen oxides Anna Engleryd Swedish Environmental Protection Agency anna.engleryd@naturvardsverket.se www.naturvardsverket.se 2018-12-04 Naturvårdsverket | Swedish Environmental Protection Agency

Presentation outline Description of the NOX charge Results +/- 2018-12-04 Presentation outline Description of the NOX charge Results +/- Future development Naturvårdsverket | Swedish Environmental Protection Agency 2018-12-04

The NOx charge Entered into force in 1992 2018-12-04 The NOx charge Entered into force in 1992 Payed on NOX emissions from combustion plants for energy production with a useful energy production > 25 Gwh/year. About 260 plants (400) boilers (about 8% of total NOx emissions) Calculated for each production unit (boiler, gas turbine, combustion engine) Charge 40 SEK (4,4 €) per kg NOX emitted Refund Emission Payment (REP): charge funds not used for administration are annually credited to those liable to the charge in relation to energy produced Naturvårdsverket | Swedish Environmental Protection Agency 2018-12-04

NOX emissions and energy production 2003 2018-12-04 NOX emissions and energy production 2003 1,03 €/MWh 4,4 €/kg NOX emissions: 15 836 tonnes 69,5 million € Energy production: 66 136 GWh Naturvårdsverket | Swedish Environmental Protection Agency 2018-12-04

Administration - Swedish EPA 25 jan Return submitted Administration - Swedish EPA Jan 1st November Refunding of “net charge” Checking, calculation,auditing Administration cost in 2003 € 0.5 million. September Invoicing of net charge Monitoring equipment checked once a year by an accredited inspector. August Decision on size of refund [SEK/MWh] Naturvårdsverket | Swedish Environmental Protection Agency 2018-12-04

Monitoring and reporting the emissions 2018-12-04 Monitoring and reporting the emissions Continuous monitoring of NOX emissions (cannot be calculated from fuel content) Parallel measurement by independent accredited laboratory once a year Replacement rules when monitoring equipment is not working Standardised level for those who don’t measure emissions: 250 mg/MJ Naturvårdsverket | Swedish Environmental Protection Agency 2018-12-04

EPA Administration 2003: Charge funds € 69,5 million 2018-12-04 Administration 99.3% € 69 million 100% € 69,5 million EPA It works like this: In 2003 the plants liable to the charge together paid close to 70 Meuro. The administration cost was half a million euro so 99,3 percent was refunded to the plants according to how much energy they produced. 2003: Charge funds € 69,5 million Administration cost € 0.5 million Naturvårdsverket | Swedish Environmental Protection Agency 2018-12-04

NOX emissions from units subject to the NOX charge 2018-12-04 NOX emissions from units subject to the NOX charge Utsläppsminskning av NOx Totala- och specifika NOx utsläpp från avgiftspliktiga pannor mellan 1992 och 2003, samt uppskattade utsläpp från dessa pannor 1990. I medel har anläggningarna i målgruppen som helhet minskat sina utsläpp per energienhet med ca 64 % sedan den NOx-lagen beslutades i juni 1990. En tidigare utredning fastställde att 50 % av utsläppsminskningarna uppnåddes mellan 1990 och 1992 som en konsekvens av att avgiftssystemet infördes. Mellan 1990 och 2003 har de specifika utsläppen minskat ännu mer, från ett medel på ca 160 milligram NOx per megajoule tillförd energi till 58 mg/MJ. Med utökningen av systemet 1996 och 1997, vilket tillförde ca 100 nya pannor till systemet, ökade också totala- och specifika utsläpp. För pannorna som har ingått i systemet i alla år har emellertid de specifika utsläppen minskat med ca 40 %. Naturvårdsverket | Swedish Environmental Protection Agency 2018-12-04

Net payers and receivers, sector and year 1992-2003 2018-12-04 Net payers and receivers, sector and year 1992-2003 Ger intrycket att det finns avgränsningar inom systemet, som inte finns. Naturvårdsverket | Swedish Environmental Protection Agency 2018-12-04

+ - Positive and negative Large emission reductions Energy efficiency Technology development Low administrative cost Well received Small effect on competition - Risk for unwanted emissions (NH3, N2O, VOC, PAH, CO) Rather expensive monitoring Some criticism due to money flow between industry sectors Naturvårdsverket | Swedish Environmental Protection Agency 2018-12-04

Raise the charge to 50 or 60 SEK per kg ? Refund within sectors? Future plans Extend the charge ? Raise the charge to 50 or 60 SEK per kg ? Refund within sectors? Naturvårdsverket | Swedish Environmental Protection Agency 2018-12-04

More information www.naturvardsverket.se Naturvårdsverket | Swedish Environmental Protection Agency 2018-12-04