eu4journalists

Environment

3. Climate change

Issues

• Trading emissions to meet Kyoto targets, fight climate change
• Reducing use of fossil fuels, moving to renewable energy
• Making transport users pay the full environmental costs of their journey

“Climate change is happening. EU citizens expect EU leadership on this issue”, said environment commissioner Stavros Dimas in spring 2007. According to a Eurobarometer opinion survey, half of EU citizens are very much concerned about the effects of climate change and global warming. Some 80 percent of them agree that the EU should set a minimum percentage for renewable energy in every member state in order to support climate change policies.

Europe is seen to have taken a global frontrunner’s role in the fight against climate change – a role for which the EU has received international praise. The European Commission took its first climate-related initiative already in 1991, when it issued the Community Strategy to limit carbon dioxide (CO2) emissions and improve energy efficiency.

In March 2000, the European Commission launched the first European Climate Change Programme (ECCP). This was set up to create policies, measures and an emissions trading scheme to ensure the EU cuts emissions to 8% below their 1990 levels by 2008-2012, in line with its Kyoto Protocol commitments. The development of the first ECCP involved all the relevant groups of stakeholders working together, including representatives from the Commission’s different departments (DGs), the member states, industry and environmental groups. The programme covered a wide-range of initiatives, including the promotion of renewable energy and energy-efficient cars.

The second phase of the European Climate Change Programme (ECCP II) was launched in October 2005. It consists of several working groups: ECCP I review, aviation, CO2 and cars, carbon capture and storage, adaptation measures and review of the emissions trading scheme.

The EU greenhouse gas emissions trading scheme EU ETS plays a key role in Europe’s fight against climate change. It commenced operation in January 2005 as the largest, multi-country, multi-sector emission trading scheme in the world. The scheme allows companies that exceed their individual CO2 emissions target to buy allowances from ‘greener’ ones – helping the EU reach its overall Kyoto emissions targets. Some 12 000 large industrial plants are able to buy and sell permits to release CO2 into the atmosphere, covering about 40 percent of the EU’s total CO2 emissions. Power production, iron and steel, glass and cement industries are among those covered by the scheme. Some CO2- intense sectors, however, such as transport and buildings, are currently not covered in emissions trading. Too, the over-allocation of CO2 allowances by some member states has forced carbon prices down, thus undermining the scheme’s credibility.

In January 2007 the Commission proposed that the EU cut greenhouse gas emissions by 20 percent by 2020, compared to 1990 levels. The Commission hoped the move would “set the pace for a new industrial revolution.” The ambitious binding target was endorsed by the EU Summit in March 2007. The EU shall pursue this target unilaterally, with or without an international agreement on how to move forward after the Kyoto deadline of 2012. The EU hopes that setting an example shall entice countries such as the United States and China to follow. To achieve this goal the Commission proposes that the internal market for electricity and gas in the EU be completed. Also, of all energy use 20 percent must come from renewable energy sources such as solar and wind energy and of all fuels used 10 percent must be biofuels. A further goal is a 20 percent cut in total energy consumption.