Summer 2026 environment and net-zero roundup: waste, development and CCUS
Three significant environmental and net-zero regulatory changes land in summer 2026: a major reform of the waste-carrier registration system (draft, not yet in force), new statutory prioritisation rules for Environmental Delivery Plans (in force 9 July 2026), and a compulsory ring-fenced decommissioning fund regime for CCUS licensees (in force 10 July 2026).
Change event:Environmental Permitting (Waste Controlling or Transporting) and Relevant Functions of Primary Authorities (Amendment) (England) Regulations 2026
This digest covers three distinct but connected regulatory changes affecting environmental and net-zero obligations in England during summer 2026. Together they touch waste carriers and brokers, property developers, and operators of carbon capture, utilisation and storage (CCUS) infrastructure.
The broadest change — affecting tens of thousands of businesses — is the proposed replacement of waste-carrier registration with full environmental permitting. This is a draft instrument that is not yet in force; it has been laid before Parliament and is subject to approval. If approved, substantive obligations are expected to commence approximately 12 months after the instrument is made. Businesses should begin reviewing their position now.
The two instruments that are already made — the Environmental Delivery Plans (Appropriate Prioritisation) Regulations 2026 (SI 2026/655) and the Carbon Dioxide Transport and Storage (Financing of Costs of Offshore Decommissioning) Regulations 2026 (SI 2026/632) — come into force on 9 July and 10 July 2026 respectively. Both are narrow in immediate business impact but significant in establishing the regulatory architecture for the Nature Restoration Fund and the CCUS sector.
Two smaller items — a UK ETS lime benchmark revision (already in force 24 June 2026) and a draft fee uplift for OPRED offshore oil and gas environmental regulation — are noted briefly at the end.
Legislative changes covered
3 instruments (plus 2 rate/fee items)
Period
June–July 2026
24 June 2026
UK ETS Lime Benchmark (England) Order 2026 (SI 2026/566) in force — free-allocation benchmark for lime sub-installations raised 0.725 → 0.798 t CO2e/tonne
9 July 2026
Environmental Delivery Plans (Appropriate Prioritisation) Regulations 2026 (SI 2026/655) in force — avoidance → mitigation → compensation hierarchy binding on Natural England
10 July 2026
Carbon Dioxide Transport and Storage (Financing of Costs of Offshore Decommissioning) Regulations 2026 (SI 2026/632) in force — ring-fenced decommissioning fund regime for CCUS licensees
Waste carriers reform — date TBC
UKDSI 9780348283471 (draft affirmative, laid 20 May 2026): substantive provisions expected approximately 12 months after the instrument is made, subject to Parliamentary approval
Waste carriers reform: registration replaced by environmental permitting (DRAFT — not yet in force)
Who this applies to: all businesses in England currently registered as waste carriers, brokers or dealers under the Control of Pollution (Amendment) Act 1989, and any business that organises or physically transports waste as part of its operations.
The Environmental Permitting (Waste Controlling or Transporting) and Relevant Functions of Primary Authorities (Amendment) (England) Regulations 2026 (UKDSI 9780348283471) were laid before Parliament on 20 May 2026 as a draft affirmative instrument. They have not been approved or brought into force. Substantive provisions are expected to commence approximately 12 months after the instrument is made, with administrative provisions entering force 21 days after making; both dates remain subject to Parliamentary approval.
The reform replaces the existing light-touch registration system with full environmental permitting under the Environmental Permitting (England and Wales) Regulations 2016. Three new regulated-activity categories are created: waste controlling (organising collection, classification, transportation or destination of waste), waste transporting (physically moving waste between locations), and waste controlling-transporting (combined operations). Businesses carrying out these activities will need either an Environment Agency environmental permit or a registered exemption. Drivers transporting waste must carry their permit number and a unique driver number.
Certain activities are exempt, including waste produced by operators during their own business operations, activities by registered charities, control or transport of extractive waste and animal by-products, and removal of illegally deposited waste. The regulations apply to England only; Wales, Scotland and Northern Ireland maintain separate frameworks. Given the scale of change — transitioning tens of thousands of currently-registered carriers and brokers from registration to permitting — businesses should identify which new category applies to them and start engaging with the Environment Agency's permit application process ahead of any confirmed commencement date.
Environmental Delivery Plans: statutory mitigation hierarchy now in force (9 July 2026)
Who this applies to: developers and housebuilders in England who are, or expect to be, subject to habitats regulations assessments or species-level mitigation requirements, and who may use the Nature Restoration Fund levy route in place of project-specific mitigations.
The Environmental Delivery Plans (Appropriate Prioritisation) Regulations 2026 (SI 2026/655), in force on 9 July 2026, bind Natural England to a statutory mitigation hierarchy when selecting conservation measures within Environmental Delivery Plans (EDPs). EDPs are the core instrument of the Nature Restoration Fund (NRF), introduced by the Planning and Infrastructure Act 2025. Under an EDP, Natural England identifies strategic conservation measures to address the cumulative effects of development on protected habitats and species; developers covered by an EDP pay a levy into the NRF rather than securing individual site-level mitigations.
The hierarchy — avoidance first, then mitigation, then compensation — mirrors established best practice but is now a statutory obligation rather than a policy expectation, subject to Natural England's assessment of value for money in each case. Natural England notified the Secretary of State in December 2025 of its intention to prepare 23 EDPs, including those covering nutrient pollution from development and great crested newt effects across England. The breadth of EDP coverage will determine how widely the NRF levy route is available to developers as an alternative to project-specific mitigation. These regulations do not replace or affect the separate mandatory Biodiversity Net Gain requirement under the Environment Act 2021.
CCUS decommissioning financing: compulsory ring-fenced funds from 10 July 2026
Who this applies to: holders of Section 7 licences to conduct carbon dioxide transport and storage activities under the Energy Act 2023, and any persons subject to Section 29 notices regarding covered offshore infrastructure — principally CCUS network operators and CO2 pipeline and storage site licence holders participating in government-sanctioned CCUS clusters.
The Carbon Dioxide Transport and Storage (Financing of Costs of Offshore Decommissioning) Regulations 2026 (SI 2026/632) come into force on 10 July 2026 with no transitional period; compliance obligations apply from that date. The regulations mirror the well-established decommissioning fund requirements for offshore oil and gas operators, adapted for the emerging CO2 transport and storage sector under the Energy Act 2023.
Core obligations are: preparing and submitting fund estimates of projected decommissioning costs for Secretary of State approval; establishing ring-fenced offshore decommissioning funds with approved holding arrangements; submitting funding and investment strategies; making monthly contributions to the fund; providing annual accounts and infrastructure reports; and obtaining Secretary of State approval before making any payments out of the fund. Fund assets must be managed with reasonable care and skill, held in segregated accounts, and used only for permitted activities. These regulations concern financial provisioning for end-of-operational-life decommissioning and are distinct from the separate CCUS offshore safety and environmental regulations governing operations during production.
Rates and fees: two smaller items
UK ETS Lime Benchmark (England) Order 2026 (SI 2026/566, in force 24 June 2026). Raises the free-allocation benchmark for lime sub-installations from 0.725 to 0.798 t CO2e per tonne of product. This is a beneficial change for lime and cement ETS installations in England, increasing the number of free allowances allocated per tonne produced and reducing net purchase requirements at current carbon prices.
Pollution Prevention and Control (Fees) (Miscellaneous Amendments) Regulations 2026 (UKDSI 9780348283112, draft affirmative — not yet in force). Proposes to raise the hourly fee rates charged by the Offshore Petroleum Regulator for Environment and Decommissioning (OPRED) for environmental regulation of offshore oil and gas activities. The instrument was laid before Parliament on 14 May 2026; an in-force date has not been confirmed pending Parliamentary approval.
Combined action checklist
Actions for businesses affected by the changes in this digest:
Waste carriers and brokers (England): identify which of the three new categories — waste controlling, waste transporting, or waste controlling-transporting — your operations will fall into under the proposed permitting regime. Begin reviewing the Environment Agency's environmental permit application process and prepare internal records. Do not treat current registration as lapsing until Parliamentary approval is confirmed and an in-force date is announced.
All waste-producing businesses: check whether any of the draft exemptions (own-business waste, charity operations, extractive waste) apply to your transport or disposal arrangements; if not, review contracts with registered carriers to understand how their compliance status will change.
Developers and housebuilders (England): monitor Natural England's EDP publication programme to determine whether your development area will be covered by an EDP and therefore eligible to use the Nature Restoration Fund levy route in place of project-specific habitats mitigation.
CCUS licensees: with no transitional period for SI 2026/632, confirm from 10 July 2026 that you have initiated the fund estimate and holding arrangement approval process with the Secretary of State; establish segregated accounts and document monthly contribution obligations from the outset.
Lime and cement ETS installations: verify that your free-allocation calculations for 2026 reflect the updated lime benchmark of 0.798 t CO2e/tonne (SI 2026/566, in force 24 June 2026).
Offshore oil and gas operators: note the proposed OPRED fee uplift (draft, not yet in force); factor potential increased environmental regulation fees into budget planning once Parliamentary approval is confirmed.
Covers the current registration requirements under the Control of Pollution (Amendment) Act 1989, who must register, and how to apply — relevant background before the proposed permitting regime takes effect.
Step-by-step guidance on applying to the Environment Agency for an environmental permit — the regime that waste carriers, brokers and dealers will move into under the proposed reform.
Helps you determine whether your activities require an environmental permit or qualify for an exemption under the Environmental Permitting (England and Wales) Regulations 2016.