NGOs Call for Improvement of Carbon Trading Scheme

Ljubljana, 20 March

Representatives of European NGOs meeting in Ljubljana urged decision-makers on Thursday to improve the proposed changes the EU Greenhouse Gas Emission Trading Scheme (ETS). The environmental efficiency of the system is the theme of a two-day international conference that kicked off at the parliament building on Thursday.

The organisations believe that changes to the ETS, which the European Commission included in the environment and energy package, are necessary because the existing legislation on emission trading has not brought the desired environmental results.
The Commission's proposal represents progress, but it requires certain improvement for the scheme to be more efficient, non-governmental experts on emission trading told the press ahead of the conference.
According to Sanjeev Kumar of the European Policy Unit, the main shortcoming of the proposal which needs to be eliminated relates to the auctioning of emission coupons. Exclusion of certain sectors from 100% auctioning could affect the efficiency of the scheme and abandon the necessary structural changes, he said.
Thomas Wyns of the Climate Action Network Europe meanwhile said that the auctioning would enable adequate pricing of coupons, which is necessary for the development and introduction of low-carbon technologies, which are of key importance for achieving the set emission reduction goals.
The participating NGOs call for 100% auctioning in all sectors in the ETS system as of 2013. An improvement of the scheme could make this instrument the backbone of the global emission trading scheme, said Wyns, adding that similar mechanisms were being planned or introduced in the US, Australia, Japan and New Zealand.
The organisations also promote the idea that 50% of the revenue from the auctioning should be earmarked for aid to transition economies in their efforts to mitigate and adjust to climate change. The remaining 50% would be used by the EU for the development and introduction of tools and technologies for cutting carbon emissions.
Kumar and Wyns emphasised that the EU should take measures as soon as possible. A delay would only bring additional costs in achieving the goal of cutting emissions by 2050 at least by 80% compared to 1990. "This goal is viable if measures are taken in due time," said Wyns.
Households, construction sector, transport, agricultural sector and waste are excluded from the ETS, while the scheme includes all major industrial polluters, currently about 10,000 plants.
The conference is organised by NGO Slovenski E-forum and the Focus society for sustainable development in cooperation with the National Council, the upper chamber of parliament.

NGOs Call for Improvement of Carbon Trading Scheme

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