Under the EU ETS Registry Regulation 2216/2004/EC, each Member State establishes a national registry that links to the others and to the Community Independent Transaction Log (CITL). Each national registry connects to the backbone which in turn ensures a secure, compatible and smooth integration of all systems under one European umbrella. The sum of all registries together with the CITL operates as the Registries System.  Allowances are issued to registry accounts established for each affected facility.


EU Emissions Trading


Domestic or regional emissions trading schemes that use Kyoto units also undertake their settlement through these registry systems. For example, under the second phase of the European Union emissions trading scheme, EU allowances are specific Kyoto units which have been designated as being valid for trading under the scheme. Transactions in EU allowances are therefore recorded automatically as transactions under the Kyoto Protocol.

As EU trading legislation sets in place rules over and above those agreed for the Kyoto Protocol, a supplemental transaction log has been implemented by the European Commission. The Community Independent Transaction Log has been in place since the start of the scheme in 2005 and EU registries are now operating with it.

For the start of the Kyoto commitment period in 2008, EU registries are to switch their connections from the CITL to the ITL. The ITL will conduct “Kyoto checks” on transactions proposed by both EU and non-EU registries. In the case of transactions involving EU registries, the ITL will forward information to the CITL so that it can conduct “supplementary checks” defined under the EU scheme.


The ITL verifies transactions proposed by registries to ensure they are consistent with rules agreed under the Kyoto Protocol. Each registry sends transaction proposals to the ITL, which checks each proposal and returns to the registry its approval or rejection. Once approved, registries complete the transaction. In the event that a transaction is rejected, the ITL sends a code indicating which ITL check has been failed and the registry terminates the transaction.

Data Exchange Standards coordinate the functions of systems when processing transactions. They define technical requirements for the communication between the ITL and registries. They also define the checks performed by the ITL, embodying the policy rules agreed by Parties for the accounting of their assigned amounts and their use of the Kyoto mechanisms.

Each registry is to be connected to the ITL through secure communication channels established across the Internet.

The ITL is required to conduct the following automated checks: (

  1. In all transactions: units previously retired or cancelled; units existing in more than one registry; units for which a previously identified discrepancy has not been resolved; units improperly carried over; units improperly issued, including those which infringe upon the limits contained in decision 16/CMP.1; and the authorization of legal entities
    involved to participate in the transaction;
  2. In the case of transfers between registries: the eligibility of Parties involved in the transaction to participate in the mechanisms; and infringement upon the commitment period reserve of the transferring Party;
  3. In the case of acquisitions of CERs from land use, land-use change and forestry projects under Article 12: infringement of the limits contained in decision 16/CMP.1;
  4. In the case of a retirement of CERs: the eligibility of the Party involved to use CERs to contribute to its compliance under Article 3, paragraph 1 (5/CMP.1, Annex, paragraph 42).



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