33 efficient technologies or by using an energy source that generates less carbon, (ii) to purchase the allowances they need at market rates or (iii) to combine both approaches. 157. 95% of allowances will be granted to installations free of charge during the first stage of the scheme (2005-2007) and 90% during the second stage (20082012). 158. Since 1 January 2005, all installations covered by the emissions trading scheme have been required to hold a permit to emit greenhouse gases issued by the competent authority. 159. In Greece, 72% of allowances were allocated to the electricity generating industries, 59% of which went exclusively to lignite-fired power stations. Domestic standards General Obligations 160. The Greek Constitution, as amended in 2001, contains two Articles relating to the environment and health protection: “Article 21 … 3. The State shall care for the health of citizens and shall adopt special measures for the protection of young, elderly and disabled people and for the relief of the needy. Article 24 The protection of the natural and cultural environment is the state’s duty and everyone’s right. The state is required to adopt special preventive or enforcement measures for the preservation of the environment in accordance with the principle of sustainability. Matters pertaining to the protection of forests and afforested areas in general shall be regulated by law. The state shall compile a forest register. Alteration of the use of forests and afforested areas is prohibited, except where agricultural development or other uses necessitated by the public interest take priority in the interests of the national economy.” 161. The Environmental Protection Act No. 1650/19861, as amended by Act No. 3010/20022, is the first general law governing environmental matters in Greece. In section 2 of the Act the environment is defined as “the full range of natural and anthropogenic factors and features which interact with one another and affect ecological balances, quality of life, residents’ health, historical and cultural traditions and aesthetic values”. The aim of the Act is to “establish fundamental rules, criteria and mechanisms for the protection of the environment so that everyone, as an individual and a member of society, can live in a high quality environment, which protects his or health and fosters his or her personal development”. 1 Official Journal A 160 (16/10/1986). Official Journal A 91 (25/04/2002). This Act brings Act No. 1650/1986 into line with Directive 97/11/EC, amending Directive 85/337/EEC on the assessment of the effects of certain public and private projects on the environment, and with Directive 96/61/EC concerning integrated pollution prevention and control. 2