Under the revised EU ETS Directive", one single EU ETS cap covers the EU Member States and the three participating non-EU Member States (Norway, Iceland and Liechtenstein), i.e. there are no further differentiated caps by country. For allowances allocated to the EU ETS sectors, annual caps have been set for the period from 2013 to 2020, these decrease by 1.74% annually, starting from the average level of allowances issued by Member States for the second trading period (2008-2012). The annual caps imply interim targets for emission reductions in sectors covered by the EU ETS for each year until 2020. For further information on the EU ETS and for information on the use of flexible mechanisms in the EU ETS see the EU-BR1 (Chapter 4.2.2) and EU-BR2 (Chapter 3.1). Non-ETS emissions are addressed under the Effort Sharing Decision (ESD)." The ESD covers emissions from all sources outside the EU ETS, except for emissions from international maritime, domestic and international aviation (which were included in the EU ETS from 1 January 2012) and emissions and removals from land use, land-use change and forestry (LULUCF). It thus includes a diverse range of small-scale emitters in a wide range of sectors: transport (cars, trucks), buildings (in particular heating), services, small industrial installations, fugitive emissions from the energy sector, emissions of fluorinated gases from appliances and other sources, agriculture and waste. Such sources currently account for about 55% of total GHG emissions in the EU.2 While the EU ETS target is to be achieved by the EU as a whole, the ESD target was divided into national targets to be achieved individually by each Member State (Figure 3.1). In the Effort Sharing Decision national emission targets for 2020 are set, expressed as percentage changes from 2005 levels. For Slovakia, this percentage changes from 2005 levels are +13%. These changes have been