Member

I say to the noble Earl, Lord Russell, that when the scheme was established, the cap for the legislated period of the UK ETS—2021 to 2030—was set at 5% below the UK’s expected notional share of the EU ETS cap for the same period. However, this was not consistent with the UK’s net-zero trajectory for the traded sector, so this instrument brings the overall UK ETS cap in line with our net-zero target and carbon budgets under the Climate Change Act. I know that he would not want to hold me responsible for what happened under a previous Government. Given the new commitment we have made to 2035, we will have to see how this relates to the scheme and, obviously, make changes if necessary.