Elliott-Smith v Secretary of State for Business, Energy And Industrial Strategy & Ors [2021] EWHC 1633 (Admin) (15 June 2021)

Elliott-Smith v Secretary of State for Business, Energy And Industrial Strategy & Ors [2021] EWHC 1633 (Admin) (15 June 2021)

The court held that the defendants' decision to set the initial UK ETS cap at 5% below the UK's notional share of the EU ETS, with a transitional auction reserve price, was not unlawful. The defendants had regard to the relevant statutory duties, the advice of the Committee on Climate Change, and the need to balance climate ambition with economic and market stability. The scheme was expressly designed to be temporary and subject to revision following further advice. There was no irrationality or failure to take into account relevant considerations.

Citation
[2021] EWHC 1633 (Admin)
Parties
Claimant: Georgia Elliott-Smith; First Defendant: Secretary of State for Business, Energy and Industrial Strategy; Second Defendant: Department for Agriculture, Environment and Rural Affairs Northern Ireland; Third Defendant: Scottish Ministers; Fourth Defendant: Minister for Environment, Energy and Rural Affairs Welsh Government
Jurisdiction
England and Wales
Judgment Date
15 June 2021
Procedural Posture
Judicial Review / High Court Judgment
Outcome
Claim dismissed
Legal Topics
Climate Change, Emissions Trading Scheme, Carbon Pricing, Judicial Review, Statutory Interpretation
Administrative Law Environmental Law Public Law Climate Change Emissions Trading Scheme Carbon Pricing Judicial Review Statutory Interpretation

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 3 Authorities cited 3 Party arguments 2 Amounts and remedies 4
Sign in to unlock

Parties

Georgia Elliott-Smith

Claimant

Secretary of State for Business, Energy and Industrial Strategy

First Defendant

Department for Agriculture, Environment and Rural Affairs Northern Ireland

Second Defendant

Scottish Ministers

Third Defendant

Minister for Environment, Energy and Rural Affairs Welsh Government

Fourth Defendant

Procedural Posture

Judicial Review / High Court Judgment

Legal Issues

  1. 1 Whether the design of the UK Emissions Trading Scheme (UK ETS), specifically the initial cap and auction reserve price, is unlawful for failing to align with the UK's net zero obligations and statutory duties under the Climate Change Act 2008 and the Paris Agreement.
  2. 2 Whether the defendants failed to take into account relevant considerations or acted irrationally in setting the UK ETS cap and related mechanisms.

Ratio Decidendi

The court held that the defendants' decision to set the initial UK ETS cap at 5% below the UK's notional share of the EU ETS, with a transitional auction reserve price, was not unlawful. The defendants had regard to the relevant statutory duties, the advice of the Committee on Climate Change, and the need to balance climate ambition with economic and market stability. The scheme was expressly designed to be temporary and subject to revision following further advice. There was no irrationality or failure to take into account relevant considerations.

Court Disposition

Claim dismissed

Orders

  • No order quashing the Greenhouse Gas Emissions Trading Scheme Order 2020.
  • Declarations sought by the claimant refused.