UK Manifesto: emissions trading key to EU climate strategy

The EU Emissions Trading Scheme (ETS) is a key part of the EU’s strategy for reducing emissions from industry, states the UK Manifesto. The document was signed by around fifty corporations, environmental organisations and two Secretaries of State in the UK. They hope to rally up support for a sound footing for the EU ETS after 2012.

A well-designed emissions trading scheme puts a price on current and future emissions. Thus, the EU ETS places the responsibility for greenhouse gas emissions at the responsible industry’s doorstep. Businesses then have the choice to either improve their own energy efficiency, invest in technologies to use low-carbon fuels, or to develop innovative low-carbon technologies.

“Businesses rightly want long term certainty to influence their investment choices,” says UK Environment Secretary David Miliband. “EU environment ministers have responded positively to this call by agreeing to challenging emissions cuts up to 2020. It will be for the heads of state to back up this agreement later this week.”

WWF UK Head of Climate Change Keith Allott adds: “If the ETS is to help Europe on to a low carbon path, businesses and governments must now support clear and ambitious targets beyond 2012.”

Further information:

UK Manifesto for the EU Emissions Trading Scheme (in pdf)

Stern and Mandil climate and energy advisors for Barroso

José Manuel Barroso, the President of the European Commission, will have a group of world renowned advisors on energy and climate change. Among the advisors are Sir Nicholas Stern, who recently advised the UK Government on the economic cost of climate change, and Claude Mandil, Executive Director of the International Energy Agency.

The group met for the first time yesterday, focusing on today and tomorrow’s European Council. The Advisory group will provide independent advice to Barroso, who said: "Energy and climate change are two of the global challenges we face. Europe is part of the solution and I am determined that the European Union will maintain its leadership role, including in the G8. I am delighted that so many world renowned experts have agreed to give their time to advise me on these issues."

The Advisory Group consists of:

• Cesar Dopazo, Professor, Universidad de Zaragoza.
• Nicolas Hulot, Founder, Fondation Nicolas Hulot, Paris.
• Claudia Kemfert, Professor, Deutsche Institut für Wirtschaftsforschung (DIW), Berlin.
• Allan Larsson, University of Lund, Sweden.
• Claude Mandil, International Energy Agency (IEA), Paris.
• Carlo Rubbia, Professor, CERN, and Nobel Prize Laureate in Physics 1984, Geneva.
• Hans Joachim Schellnhuber, Director, Potsdam Institute for Climate Impact Research (PIK), Berlin.
• Sir Nicholas Stern, Adviser to the UK Government on the economics of climate change and development, and former Chief Economist of the World Bank, London.
• Peter Sutherland, Chairman, BP plc, London.
• José Viriato Soromenho Marques, Professor, Department of Philosophy, Universidade de Lisboa.
• Michael Zammit Cutajar, Ambassador for Climate Change, Malta, and former Executive Secretary of the UN Framework Convention on Climate Change, Geneva.

More information:

Press Release: "The Advisory Group on Energy and Climate Change"

European wide platform ‘Energy Efficiency Watch’ launched

Yesterday politicians, the energy efficiency industry and NGOs launched “Energy Efficiency Watch”. This is a European wide platform on energy efficiency. Its goal is to ensure ambitious national energy efficiency action plans within the EU.

The platform is initiated by Members of the European Parliament Mechtild Rothe (Vice President), Anders Wijkman, Claude Turmes, Fiona Hall; and member of the Dutch Parliament Boris van der Ham. “Whether building, cars or electrical equipment, Europe has to be more energy efficient”, according to the starting statement from Energy Efficiency Watch.

Energy Efficiency Watch accompanies and monitors the developments around the Energy Efficiency Directive and the national energy efficiency action plans in the coming years. It will offer best practice advice to decision-makers in governments and parliaments and host a platform for the energy efficiency community within Europe.

IEA compliments UK for energy efficiency policy

Presenting the 2007 review of the UK’s energy policy, the IEA’s executive Director Claude Mandil yesterday complimented the UK government for creating “a robust and simple framework with Energy Efficiency Commitment.”

The compliment was part of an overall review, executed by the International Energy Agency and presented in London yesterday. Warning London about an increasing dependence on gas, the IEA outlined some challenges on the future security of supply. “The UK government’s Energy Review is a significant step in the right direction on these matters. The IEA agrees with the UK government that no technology should be ruled out on principle, but that it should be up to market participants to decide on the fuels of their new power stations”, said Mr. Mandil.

The IEA says the UK Energy Efficiency Commitment (EEC) is a model for other countries in Europe and worldwide. The EEC combines market-compatible incentives with simple administration. The EEC was introduced in 2002 as an energy-saving programme under which suppliers must achieve efficiency targets in households. It was considerably expanded for the period 2006 - 2012. However, challenges such as the requirement that 50% of savings come from low-income households, remain. The EEC could also be improved to include business consumers and new low carbon technologies under the scheme.

UK puts green fuel plan on the road

UK Transport Minister Stephen Ladyman has launched a consultation on the renewable fuel obligation. The legislation aims to make sure that 5% of all fuels sold in the UK comes from renewable sources by 2010.

The plan is called Renewable Transport Fuel Obligation or (RTFO) and it should save 1 million tonnes of carbon a year by 2010. “In carbon terms,” says Transport Minister Ladyman, “it’s expected to be the equivalent of taking a million cars off the road.”

The consultation, which was launched 22 February, is part of a legislative procedure which stems from the 2004 Energy Act. In the consultation, all parties involved are invited by letter to share their views. Members of the public can have their say as well. “I look forward to hearing people’s views on this and other issues as soon as possible,” said Transport Minister Ladyman. The consultation on RTFO is open until 17 May 2007.

The Chancellor has announced that the RTFO would start in April 2008 with 2.5% renewable, rising to 3.75% in 2009 and 5% in 2010.

For the time being 5% is regarded as the maximum renewable percentage, since a higher share would invalidate vehicle warranty, said a Ministry spokesman.

Further information:

DfT webpage on RTFO consultation