There are different schemes. One of them is the U.K. emission trading scheme. This is actually a scheme that was designed by a joint government-business group, the U.K. emission trading group, led by Sir Charles Nicholson from the BP.
That is the precursor to the EU emission trading scheme, which is now in full swing. It really covers all of Europe. The penalty indeed is 40 euros to 2008, and 100 euros to 2012. It is fully recognized that this is a pure regulatory market. It only exists because the government has made a decision that there will be scarcity in GHG emissions.
You cannot have a market without having the credibility of the penalty. Nobody I know has paid penalties in the first year of the emission trading scheme; I can't recall that anybody has done so. Some people may have been a little late in filing papers, but I don't remember anybody being out of compliance.
The record of compliance, both in the sulphur dioxide market and the EU ETS market, is extremely high, much higher than in any other regulatory regime.