The Carbon Market

Emission Allowance Transfers

CITSS User Manual 5: Emission Allowance Transfers (PDF, 2.4 Mo) Documentation Join Us

The CITSS (Compliance Instrument Tracking System Service) is a Cap-and-Trade System tool for managing and monitoring accounts and emission allowances, (emission units, offset credits and early reduction credits) issued under the Cap-and-Trade System.

The system’s numerous functions include the issuance by the government of emission allowances, recording the ownership of emission allowances and account information, performing and recording emission allowance transfers, and facilitating the verification of compliance.

CITSS system accounts

All emitters and participants have accounts and the type of account depends on the type of entity.

General Account

Each emitter and participant in the CITSS system has a general account for their emission allowances. Emission allowances are currently transferred (purchased/sold) between the general accounts of emitters and participants.

Compliance Account

Only emitters have compliance accounts. The compliance account allows emitters to remit the emission allowances necessary to cover their GHG emissions under the requirements of the Regulation.

Examples of transfers

Under the cap-and-trade system, an emitter or participant will need to perform one or more of the following transfers:

1. Transfer between two emitters or participants (from the general account of an emitter or participant to the general account of another emitter or participant);
2. Transfer between an emitter’s accounts (from the emitter’s general account to its compliance account);
3. Transfer between an emitter or participant and the Minister (from a compliance account to a government account).