UK Maritime ETS Enters Compliance Phase

1st July 2026

Ship operators will be required to begin monitoring emissions under the UK Emissions Trading Scheme (UK ETS) from 1 July 2026, following new guidance issued by the Environment Agency.

The scheme applies to vessels of 5,000 GT and above operating between UK ports and during in-port activities. Operators must establish an emissions monitoring plan, track CO₂, methane (CH₄) and nitrous oxide (N₂O) emissions, and submit verified annual emissions reports. The first reporting period runs from 1 July to 31 December 2026. Operators will need to surrender UK ETS allowances for their emissions, with the first compliance deadline set for 30 April 2028, covering emissions from both 2026 and 2027.

Failure to surrender sufficient allowances could result in financial penalties and an obligation to make up any shortfall. The guidance also confirms simplified monitoring arrangements for high-frequency domestic operators and sets out the responsibilities of shipowners and ISM companies under the scheme. The Environment Agency will regulate maritime operators based in England and those located outside the UK. Find out more at https://www.protea.ltd.uk/news.

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