First Report Contents

Instruments of interest

Firearms Regulations 2019 (SI 2019/1420)

47.This Home Office instrument introduces changes to the controls on firearms to implement the requirements of Directive (EU) 2017/853 (‘the Directive’): the main change for the UK is to require notification to the authorities of deactivated firearms acquired after 14 September 2018.5 As at present, all newly deactivated firearms must be verified by a competent authority, which in the UK is one of the two Proof Houses, who will issue a certificate of conformity if they are satisfied prescribed specifications have been met. They will also permanently affix a mark showing when and where the firearm was deactivated. Firearms deactivated before 8 April 2016 do not have to be declared unless they are transferred or placed on the market in which case they must be upgraded to meet the current specifications. Deactivated firearms brought into the UK will also have to conform to the Directive’s standards and evidenced by the certificate and the mark which must be clearly visible.

M4 Motorway (Junctions 3 to 12) (Variable Speed Limits) Regulations 2019 (SI 2019/1430)

48.This instrument has been laid by the Department for Transport (DfT) alongside an Explanatory Memorandum (EM).6 The Regulations enable the operation of variable mandatory speed limits on the M4 motorway between Junctions 3 and 12 and extend further westwards by 117 metres the start of the maximum 60mph speed limit on the eastbound carriageway of the M4 at Junction 4.

49.Paragraph 7.2 of the EM notes that the M4 Junction 3 to Junction 12 smart motorway scheme (“the Scheme”) is part of Highways England’s programme to add capacity to the existing strategic road network to support economic growth and maintain mobility. The EM notes that:

“This section of the M4 carries more than 130,000 vehicles per day with a trend of higher than average road traffic incidents and casualties. It is expected that the scheme will: increase motorway capacity and reduce congestion; smooth traffic flows; provide more reliable journey times; increase and improve the quality of information for the driver.”

50.The consultation on the proposal to introduce variable mandatory speed limits on the M4 Junctions 3 to 12 ran from 12 January to 22 February 2015. Clarification was sought on paragraph 10.4 of the EM regarding the number of consultation responses which included concerns about the Scheme; the Committee has been provided with additional information from Highways England which we are publishing at Appendix 1. The Committee is disappointed that the EM did not note the correct number of consultation responses which included concerns about the Scheme.

Greenhouse Gas Emissions Trading Scheme (Amendment) (No. 3)Regulations 2019 (SI 2019/1440)

51.These Regulations amend an earlier instrument7 which transposed the EU Emissions Trading System Directive into UK law. The EU Emissions Trading System (EU ETS) seeks to reduce CO2 emissions by putting a cap on overall emissions for specific sectors which is lowered gradually over time, requiring relevant operators to reduce their emissions accordingly. Within this cap, operators receive or buy emission allowances which they may trade with each other. A limit on the total number of allowances available ensures that they have a value. Each year operators must surrender enough allowances to cover their emissions or pay a fine. The Department for Business, Energy and Industrial Strategy (BEIS) explains that as the EU ETS is moving from Phase III (2013 to 2020) to Phase IV (2021 to 2030), the EU has introduced legislative changes which the UK is obliged to transpose while it is a Member State. BEIS says that the UK has missed the transposition deadline of 9 October 2019 because of delays in a consultation on the future of UK carbon pricing and that this delay has been communicated to the Commission. Amongst other changes, the instrument enables the UK to apply opt-out schemes for small and ultra-small emitters as set out in Articles 27 and 27a of the revised EU ETS Directive.8 BEIS says that the opt-out for small emitters and hospitals which applied during Phase III will continue and that, additionally, there will be new opt-outs for ultra-small emitters. The Department emphasises that the use of the opt-outs will minimise the regulatory costs for relevant operators, while maintaining the obligation on them to reduce their CO2 emissions at the same annual rate (2.2%) as the main EU ETS scheme. Small and ultra-small emitters represent less than 2% and 0.1% of emissions respectively across the system and the Department expects 160 (or 95%) of all eligible ultra-small emitters and 195 (or 70%) of all eligible small emitters to make use of the opt-outs, producing an estimated net saving of £120.2 million and a Total Net Present (Social) Value benefit of £164.3 million.

Water Abstraction (Transitional Provisions) (Amendment) (England) Regulations 2019 (SI 2019/1455)

52.These Regulations extend the deadline by which businesses or individuals who abstract water and are currently exempt from the requirement for an abstraction licence must apply for a licence from 31 December 2019 to 30 June 2020. The Department for Environment, Food and Rural Affairs (Defra) explains that an earlier instrument9 introduced a five-year transition period for the removal of exemptions which started on 1 January 2018 and gives abstractors two years to make an application and the Environment Agency (EA) three years to determine licences. Abstractors can continue taking water during this transition period. The Department says that removing the exemptions will improve the EA’s ability to manage water resources and prevent damage to the environment. According to Defra, an extension of the deadline is needed as there have been fewer licence applications than expected, due to drought, difficulties in identifying and contacting those affected and other factors. The Department says that, while the extension will allow businesses and individuals more time to apply for a licence, it will not affect the overall timetable for removing the exemptions: the EA will still be required to determine all applications by 31 December 2022, as originally intended. Defra estimates that between 4,000 and 5,000 abstractors that are currently exempt from licensing in England will be affected, compared with some 20,000 abstractors that are already licensed. The Impact Assessment for the earlier instrument estimated net direct cost to business of £3 million per year from the compliance costs of licensing and the impact on the economic output of the abstractors affected. Given the lower than expected number of applications, we asked the Department what it was doing to encourage applications. We are publishing Defra’s response at Appendix 2.


5 This instrument is linked to SI 2019/1419 Firearms No 2 Order (not subject to parliamentary procedure) which transposes technical provisions.

6 The EM referred to in this note is the version laid on 31 October 2019.

7 Greenhouse Gas Emissions Trading Scheme Regulations 2012 (SI 2012/3038).

8 Small emitters are those that produce fewer than 25,000 tonnes of CO2 per year and have an installed thermal input capacity of less than 35 megawatt. This category also includes hospitals. Ultra-small emitters are those that produce fewer than 2,500 tonnes of CO2 per year.

9 The Water Abstraction (Transitional Provisions) Regulations 2017 (SI 2017/1047). See: Secondary Legislation Scrutiny Committee, 10th Report, Session 2017–19 (HL Paper 37).




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