Compliance with the European Emissions Trading System

The 12,000 largest producers of greenhouse gas in Europe are subject to mandatory emissions trading (ETS) and must submit their emission allowances in line with their emissions to regulators on a yearly basis. Participation in the ETS is complicated and expensive. Companies, therefore, need a robust strategy to efficiently meet their emissions trading obligations. First Climate has been supporting businesses to achieve compliance with ETS regulations for over 15 years.

Our analyses bring clarity

Nowadays companies in various sectors are confronted with climate risks and climate protection requirements. A systematic climate strategy helps to reduce a company’s carbon footprint in the long term whilst also saving costs and improving the sustainability of products. Rely on our broad experience for formulating and implementing climate strategies.

First Climate is the partner of choice for fulfilling the technical requirements of the European and Swiss emissions trading systems. We conduct baseline analyses, forecast emissions and allowance allocations, and analyze the latest developments in the carbon markets to support you throughout the compliance process:

  • Creation of monitoring plans
  • Annual emissions reporting to the relevant authorities
  • Applications for electricity price compensation
  • Allocation calculations for new installations and capacity expansions

Emissions trading is our core business

Our experts are familiar with emissions trading from the perspectives of both regulators and private entities. Early in development of the compliance carbon market, we worked alongside regulators in defining the legal guidelines. We have also provided guidance to numerous companies in Europe and Switzerland on ETS topics and have provided access to trading services for emission allowance and reduction certificates.


Looking beyond 2020

In July 2015, the European Commission presented the legislative proposal for a revision of the EU emissions trading system post-2020. By 2030, total European emissions must have decreased by at least 40% compared to 1990 levels. In order to achieve this goal, companies covered by the EU ETS are to annually reduce their emissions by 2.2%, starting in 2020 (currently 1.74%). The EU Commission also proposes a revision of the procedure for free allocation of emission rights to the companies in question. The main criteria here is the likelihood that a company would shift its operations to a country outside of Europe because of its emissions trading obligations (otherwise known as “carbon leakage”).

Trading carbon certificates

First Climate is a renowned and reliable partner in the carbon market. Our customers and trading partners include industrial firms, energy suppliers, financial institutions and specialized trading companies.

We buy and sell emission allowances and reduction certificates, including European Emission Allowances (EUA’s), Swiss Emissions Allowances (CHU), as well as Certified Emission Reductions issued according to Kyoto Protocol rules. We also offer more complex solutions such as options and swaps between different types of certificates.


Enabling your voluntary engagement

For businesses with voluntary emissions targets, our experts provide comprehensive solutions to calculate emission footprints, assess internal abatement potentials and identify options for using carbon offsets. Find out more here about voluntary climate action and emissions compensation.

Learn more about our services for voluntary climate action and emissions compensation >>


Urs Brodmann
  +41 44 298 28 00

Yves Keller
  +41 44 298 28 00