This archive contains all documents published by cep over the last few years:
cepAdhoc: Incisive comment on current EU policy issues.
cepPolicyBrief: Concise 4-page reviews of EU proposals (Regulations, Directives, Green Papers, White Papers, Communications) – including a brief summary and economic and legal assessments.
cepInput: Impulse to current discussions of EU policies.
cepStudy: Comprehensive examination of EU policy proposals affecting the economy.
Due to the economic crisis, the demand for and price of CO2 emission allowances are lower than originally expected. As a result, the Commission holds that the functionality of the EU emission trading system is jeopardised. Therefore, it wishes to be afforded the possibility to change the timetable for auctioning emission allowances in order to be able to temporarily hold back these allowances (“backloading“).
In order to limit global climate change to a global warming of below 2°C, the EU is to move towards a “competitive low carbon economy” in 2050. To this end, the Commission presents a roadmap for possible action up to 2050 which could enable the EU to meet its climate protection target for 2050. The roadmap is based on analysis of alternative scenarios.
Since 2005 the framework of EU emission trading system (ETS) allows for certain stationary installations (e.g. for power and heat supply, for metal production and processing, for paper production and for the chemical industry) and, as of 2012, air traffic may emit greenhouse gases only if the operators possess the according allowances. Pursuant to the ETS Directive as of 2012 Member States must auction all allowances for aviation and as of 2013 for stationary installations which are not allocated free of charge. The submitted Regulation Draft affects the timing, administration and other aspects of auctioning of these greenhouse gas emission allowances.
The latest economic crisis has led to a substantial reduction in EU greenhouse gas emissions. The Commission is examining the option of tightening greenhouse gas emission targets in 2020 from 20% to 30%. At the same time, it stresses that the current Communication’s purpose “is not to decide now” to move to a 30% target since “the conditions set are have clearly not yet been met”. However, it keeps this option still open.
The Commission criticises the fact that the agreement among 29 Heads of State and Government on the Copenhagen Accord “falls well short“ of the EU’s objective to reach a “robust and effective legally binding“ follow-up agreement to the Kyoto Protocol. The Commission gives its view on financing of climate actions and adaptation measures, on the shortcoming of the Kyoto Protocol ant on international emissions trading. In order to keep up the momentum of global efforts to tackle climate change, the Commission outlines the main features of its further strategy.
In order to attain independence from fossil fuels, the EU is planning to accelerate the development and introduction of various low carbon technologies with the help of the European Strategic Energy Technology Plan (“SET-Plan”). The Commission substantiates the strategic and technological targets, the planned measures and an estimation of how much private and public investment will be required for the research and development of low carbon technologies until 2020.
Without financial support for developing countries, it is likely that no global climate agreement will be reached. The Commission presents criteria for how these payments should be distributed among developed countries. Further the Commission discusses whether the share of the EU should be financed through the EU budget, a common EU climate fund or using the budgets of Member States.