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Briefing item

Parliament to debate energy and climate change package
Environment - 28-11-2008 - 09:48
On Thursday from 8.30am, MEPs will debate the state of the ongoing negotiations between Parliament, Council and Commission on the climate change package. The package lays down the legislative measures needed to achieve the EU's climate targets agreed by the March 2007 European Council for the year 2020: to cut the EU's greenhouse gas emissions by 20%, to increase the share of renewable energies in the energy consumption to 20% and the share of biofuels to 10%.

Current timetable
Negotiations between Parliament, Council and Commission are still ongoing Environment Council: 8 December
European Council: 11 and 12 December
Plenary: 16 December (debate), 17 December (vote) in Strasbourg
 
Key points
 
Reducing greenhouse gas emissions by at least 20% by 2020 compared to 1990 levels (aim for a 30% reduction by 2020, if an international climate change agreement is agreed on)
 
Avril DOYLE (EPP-ED, IE) report on greenhouse gas emission allowance trading system: The Environment Committee backs the Commission plans to reduce greenhouse gas (GHG) emissions from most industrial sectors by 21% from 2005 levels by 2020, and phase out free emission permits, leading to full auctioning, with an exception for energy-intensive sectors. MEPs want permit auction revenues to be used for climate change protection measures. They support the proposed single cap and the yearly reduction in emission allowances and agree that from 2013, full auctioning of emission allowances should be the rule. MEPs, say that 85% of all emission allowances for the manufacturing sector should be allocated free of charge in 2013 (not 80%, as proposed by the Commission) and will be reduced to 0 % in 2020. The committee backed the Commission's proposed exception for sectors at serious risk of "carbon leakage". They agree that these sectors might receive up to 100 % of free allowances until 2020.
 
Satu HASSI (Greens/EFA, FI) on effort of Member States to reduce greenhouse gas emissions: Member States should face strict fines and sanctions if they fail to meet national reduction targets for greenhouse gas emissions from sources that are not covered by the EU Emissions Trading System says the Environment Committee. MEPs backed national targets proposed by the Commission for 2013-2020. In addition, they set new EU long-term (post-2020) reduction targets of at least 50% by 2035 and of 60% to 80% percent by 2050 compared to 1990 levels.
 
Member State whose greenhouse gas emissions are below its limit should be able to transfer, sell or lend part of its entitlement to another Member State, to help it meet its target. The transfer revenues should then be invested in energy efficiency, renewable energy or climate-friendly modes of transport, says the amended text. MEPs want the EU to provide grant-based financial assistance for developing countries to help them adapt to climate change. This assistance should increase from €5 billion in 2013 to at least €10 billion in 2020.
 
Chris DAVIES (ALDE, UK) report on geological storage of carbon dioxide (CCS): The Environment Committee wants all larger power stations built from 2015 onwards to be equipped with the new carbon capture and storage technology (CCS). MEPs want the financing of 12 demonstration projects to be secured by ETS allowances. The Environment Committee adopted a new provision, which the rapporteur had termed the "Schwarzenegger clause", introducing an "emission performance standard" for new power plants with a capacity of more than 300 MegaWatts.
 
MEPs agreed on a fund for monitoring and remediation of closed storage sides, and want the operator to remain responsible for a closed storage side for at least 50 years.
 
Guido SACCONI (PES, IT) report on CO2 emissions from cars: A large majority of Environment Committee MEPs backed the Commission's target of an average of 120g of CO2/km for the whole car industry by 2012, compared to the current levels of 160g/km. A target of 130g/km is to be reached by improvements in vehicle motor technology. A further 10g/km reduction, to reach the 120g/km target should be obtained by using other technical improvements such as better tyres or the use of biofuels. MEPs rejected proposals for transitional measures for the car industry until 2015. From 2012, car manufacturers exceeding the targets will have to pay fines - "excess emissions premiums" - for every excess gram of CO2. In line with Parliament's resolution of 24 October 2007, MEPs agreed to set a long-term target of average emissions of no more than 95g CO2 per km as from 1 January 2020, by means of improvement in vehicle motor technology.
 
MEPs agree with the Commission on allowing small independent manufacturers which produce less than 10.000 new registered cars per year to be released from their specific emissions targets. The committee gives larger independent car manufacturers - producing 10,000 to 300,000 new registered cars per year - the chance to apply for an alternative target of reducing their average specific emissions by 25 per cent compared to 2006 levels.
 
Claude TURMES (Greens/EFA, LU) report on renewable energy (including biofuels and sustainability criteria), sets national targets for each Member State. On 11 September 2008, the Industry Committee supported the proposal to set binding national targets for each Member State to increase the share of renewable energy in the electricity, heating and cooling and transport sectors.
 
The committee backed the 10% target for the road transport sector for 2020 but stipulated that at least 40% of this target (i.e. 4% of all transport fuels) would have to come from second-generation biofuels, electricity or hydrogen. MEPs also decided to set an interim target of 5% by 2015 for renewables in road transport fuel, insisting that at least 1% should come from these new alternatives that do not compete with food production.
 
Besides, by 2020, energy efficiency in transport must improve by at least 20% compared to 2005, says the report. The committee also tightened up the proposed environmental sustainability criteria for biofuels and introduced social criteria, such as respect for the land rights of local communities.

Council and Comission statements - climate change and energy
Debate : 04.12.2008
Further information :EU Emission Trading Scheme: use permit revenues to fund climate change protection, says Environment Committee
Fine Member States that fail to meet national emission reduction targets, says Environment Committee
Equipping power plants to store CO2 underground
Environment Committee insists on 2012 target for reducing CO2 from new cars
More sustainable energy in road transport targets

Last updated: 4 December 2008Legal notice