CO2 row worst for power generators

The UK Government issued all businesses covered by the European Union's Emissions Trading Scheme with their carbon emissions allocations on 14 February 2005. However, the Government is in dispute with the European Commission for allowing British industry to emit more carbon dioxide than was agreed with Brussels in July 2004. If the UK is forced by the Commission to return to its original lower allocation of emissions allowances the Government would comply by removing allocations from electricity generating companies.