How a quota holder can transfer fluorinated gas (F gas) quota to another producer or importer, or authorise an importer or manufacturer of pre-charged equipment to use their quota.
If you’re an incumbent GB F gas quota holder you can transfer some of your quota to another producer or importer.
You cannot transfer:
- any of your quota if you’re a new entrant (you did not put HFCs on the market between 2015 and 2019)
- additional quota you’ve applied for as an incumbent
You can authorise another company to use some or all of your quota to import or manufacture pre-charged equipment. If you’re a new entrant and you authorise another company to use your quota, you will need to demonstrate that you have physically supplied the corresponding amount of HFCs.
You cannot transfer quota from the EU system to the GB system.
Import or manufacture equipment pre-charged with HFCs
To import equipment containing HFCs, you must:
- register for an F gas account
- get enough HFC quota authorisations from a quota holder
The quota holder must authorise you to use their quota.
If you’re an authorisation manager with a quota authorisation from a quota holder, you can delegate your quota authorisation to an F gas equipment importer.
Before you use quota authorisations, you must get a letter from the quota holder:
- authorising you to use the HFCs
- confirming that they won’t put those HFCs on the market
You must write a declaration of conformity using the template.
This is to certify that the HFCs in the equipment are covered by a quota.
You’ll need to show your declaration of conformity to a verifier when asked.
You don’t need quota authorisations to import:
- HFC-free models of refrigeration, air conditioning and other equipment which use, for example, hydrocarbons
- equipment that is ‘empty’ of HFCs, but with a holding charge such as nitrogen - you can charge the equipment with HFCs you have bought in the UK and which are accounted for in the quota system
If you import F gas to GB solely for re-export and not for the GB market, you may be able to use the inward processing procedure. This would mean you do not need GB quota.
Importing bulk HFCs to pre-charge equipment for export
If you want to import to the UK bulk HFCs to pre-charge equipment you’ll need:
- a UK quota to import the bulk gas to the UK
- EU quota authorisations to export the pre-charged equipment to the EU
If you import F gas to the UK solely for re-export and not for the UK market, you may be able to use the inward processing procedure. This would mean you do not need UK quota.
If you get bulk gas from an EU-based producer or importer, they could authorise you to use their EU quota to export equipment back to the EU. This is because they will not need to use their EU quota to send the gas to you.
You must label ‘empty’ equipment correctly.
Equipment you place on the market must comply with product bans.
Converting EU quota authorisations into GB authorisations
You can apply to exchange your unused EU authorisations, including delegated authorisations, for GB authorisations to place pre-charged equipment on the GB market.
You can only exchange EU authorisations you held before 31 December 2020.
To do this you’ll need to:
- register for an F gas account to get an organisation ID
- email email@example.com with the amount you want to convert
If your regulator approves your application they will register the GB authorisations on the GB F gas system in your name.
You must tell the European Commission and your regulator before 31 March 2021 the quantity that you have exchanged.
You may make a request to the European Commission and your appropriate regulator once during the period 1 January 2021 to 31 March 2021.
You must not use the same authorisations in both the UK and EU markets
When you make your request you must provide independently verified evidence to your regulator that you:
- held a sufficient quantity of unused EU authorisations
- have notified the European Commission of the quantity exchanged
This evidence must include:
- copies of transactions in 2020 and 2021
- your annual F gas report for 2019 and 2020 as submitted in the EU reporting system
- confirmation that you notified the European Commission of the amount of quota you will exchange
If you do not provide this evidence to your regulator by 31 March 2021, your request will not be processed.
It is against the law to import pre-charged products or equipment if you do not have enough quota authorisations. You could receive a civil penalty for breaking the law. For further information, see the Environment Agency enforcement sanctions policy.