Carbon Leakage Regulation (BECV): This is how your company remains competitive

The consideration and implementation of the Carbon Leakage Regulation (BECV) is of high importance for companies within the EU to secure their competitiveness in the international context. Carbon leakage describes the shifting of CO₂e emissions to countries with less stringent climate protection regulations, which occurs due to cost pressure on companies facing intense international competition. With the introduction of the BECV, such unintended effects of the Fuel Emissions Trading Act are to be avoided by supporting affected companies with certain relief measures. Companies should not only thoroughly understand the Carbon Leakage Regulation but also analyze its effects on their international competitiveness.

We provide you with a free Excel template as well as a guide to precisely understand the requirements of the Carbon Leakage Regulation (BECV) and recognize its economic advantages. With our free template and guide, you can appropriately implement your compliance measures and simplify the complex application process for possible assistance.

Carbon Leakage Regulation (BECV): The essentials at a glance

• Companies use the BECV to avoid carbon leakage and competitive disadvantages.

• Free Excel templates assist in the implementation of the BECV and the application for assistance.

• The provided resources help companies in the implementation of compliance measures.

Basics of the Carbon Leakage Regulation (BECV)

The BECV regulation is an important legislative step to prevent carbon leakage and ensure effective climate protection in affected sectors and companies. To carry out your compliance measures correctly, it is important for companies to have a legal overview with the necessary tools and information.

Definition and significance: What is carbon leakage?

Carbon leakage describes the phenomenon where the reduction of emissions in one country can lead to an increase in emissions in another country. This occurs when companies relocate production facilities to countries with less stringent emission regulations due to climate protection costs. Carbon leakage thus jeopardizes global efforts in climate protection.

BECV Carbon Leakage: Compliance and overview

The BECV (Fuel Emissions Trading Act-Carbon Leakage Regulation) includes measures to prevent carbon leakage. It represents a regulation that supports companies subject to national fuel emissions trading. Through the regulation, vulnerable sectors receive assistance and incentives to implement energy management systems. We describe more specific conditions under which assistance can be applied for in greater detail in the free guide.

Sectors and companies affected by the BECV

Primarily, energy-intensive sectors are affected by the BECV, such as the coal industry and companies that have a high risk of carbon leakage. The regulation aims to support these companies in switching to more climate-friendly processes to enhance their economic viability and thus maintain competitiveness.

Practical tips for implementing the Carbon Leakage Regulation (+ Excel template)

Effective implementation of compliance measures is essential for companies to meet the requirements of the BEHG Carbon Leakage Regulation (BECV). Here, both the application of recognized standards and the precise recording and strategic investment play a key role.

Application of ISO 50001 and ISO 50005 standards

The ISO 50001 is an internationally recognized standard for energy management systems, which helps companies systematically improve their energy efficiency. By integrating ISO 50001 into operational processes, companies are enabled to transparently manage energy consumption, including total final energy consumption, and identify energy-saving measures. Additionally, ISO 50005 provides guidance for the simplified implementation of an energy measurement concept, especially for small and medium-sized enterprises.

• Benefits:

  • Systematic identification of energy-saving potentials

  • Improvement of overall energy-related performance

Recording and monitoring of emissions

The careful recording and monitoring of emissions, including total energy consumption, is essential to transparently present the company's emission intensity and recognize changes promptly. The German Emissions Trading Authority (DEHSt) provides guidelines to ensure that companies accurately record and report their emissions data. This data forms the basis for assessing the risks posed by carbon leakage and for appropriate protective measures.

• Key components:

  • Accuracy of emission data

  • Continuous monitoring and adjustment of emissions trading data

Investment requirements for companies

To meet the requirements of the BECV, targeted investments in technologies and processes are necessary to support energy efficiency and the reduction of greenhouse gas emissions. Companies must make investment decisions that are both economically beneficial and environmentally oriented to maintain their competitiveness without neglecting ecological goals.

• Focus points:

  • Long-term reduction of emission intensity

  • Strategic planning of environmentally-friendly technology investments as well as energy-saving measures

For more detailed information on the basics of the Energy Efficiency Act and practical assistance in improving your investment decisions, the free Energy Efficiency Act (EnEfG) guide and an Excel template are available to you. The template supports you in implementing energy-saving measures and making economically viable and environmentally friendly decisions that sustainably strengthen your competitiveness.

Application and receipt of assistance under the Carbon Leakage Regulation

Applying for assistance under the BEHG Carbon Leakage Regulation (BECV) requires a precise approach, which is prepared for you in our free guide. Companies must observe specific steps and carefully compile all required documents.

Application procedure and required documents

The application procedure starts with submitting the application to the German Emissions Trading Authority (DEHSt). Companies must document their company-specific emission intensity accurately. Evidence of undertaken investments for emission reduction is also required. An evaluation by DEHSt checks the completeness and accuracy of the information provided.

Calculation of the amount of assistance and compensation rates of the Carbon Leakage Regulation (+ Excel template)

The amount of assistance depends on the extent to which the company is affected by the Carbon Leakage Regulation. Compensation rates are determined based on the eligible companies and their specific situation. Our free Carbon Leakage Excel template helps you calculate the amount of assistance correctly.

Conditions and counter-performance of the BECV for companies

Conditions and counter-performances for granting assistance are an integral part of the BECV. Companies commit themselves to sustainable action and further reduction of their emissions. Through this counter-performance, they secure their eligibility, make economically advantageous investment decisions, and actively contribute to climate protection.

We provide you with a free Excel template as well as a guide to precisely understand the requirements of the Carbon Leakage Regulation (BECV) and improve your compliance measures. They simplify the application process and provide an overview of all necessary information, enabling companies to efficiently and correctly follow all required steps. The entry into force of the Carbon Leakage Regulation (BEHV) marks an important step for environmental protection and industry. Download now our created materials for you and contribute as a company.

Frequently asked questions about the Carbon Leakage Regulation (BECV)

How do the requirements of the BECV differ from those of the BEHG?

The BECV focuses on measures to prevent carbon leakage in the national fuel emissions trading system, while the BEHG regulates the CO₂ pricing for fuels.

How can effective data recording be ensured?

Effective data recording is ensured, for example, by a structured template that allows for systematic recording of total final energy consumption and emissions data. This simplifies tracking and reporting.

What role does the DEHSt play in implementing and monitoring the BECV?

The German Emissions Trading Authority (DEHSt) is responsible for monitoring compliance with the BECV. Our free Excel template can provide you with the required information in a format that meets the DEHSt requirements and facilitates communication with the authority.