BETA

Activities of Barbara KAPPEL related to 2015/0148(COD)

Plenary speeches (1)

2016/11/22
Dossiers: 2015/0148(COD)

Shadow opinions (1)

2016/11/22
Committee: ITRE
Dossiers: 2015/0148(COD)
Documents: PDF(283 KB) DOC(142 KB)

Amendments (25)

Proposal for a directive
Recital 6

(6) The auctioning of allowances remains the general rule, with free allocation as the exception. Consequently, and as confirmed by the European Council, the share of allowances to be auctioned, which was 572.5% over the period 2013- 2020, should not be reduced. The ~~Commission's Impact Assessment18 provides details on the auction share and specifies that this 57% share is made up of allowances auctioned on behalf of Member States, including~~auctioning share is calculated based on the number of allowances uset aside for new entrants but not allocated, allowances for modernising electricity generation in some Member States and allowances which are to be auctioned at a later point in time because of their placement in the Market Stability Reserve established by Decision (EU) 2015/… of the European Parliament and of the Council19 d or earmarked for free allocation in the third trading period. __________________ 18 SEC(2015)XX 19 Decision (EU) 2015/… of the European Parliament and of the Council of … concerning the establishment and operation of a market stability reserve for the Union greenhouse gas emission trading scheme and amending Directive 2003/87/EC (OJ L […], […], p. […]).

2016/06/23
Committee: ITRE

Proposal for a directive
Recital 7

(7) To preserve the environmental benefit of emission reductions in the Union while actions by other countries do not provide comparable incentives to industry to reduce emissions, free allocation at benchmark levels of efficiency should continue to installations in sectors and sub- sectors at genuine risk of carbon leakage. Experience gathered during the operation of the EU ETS confirmed that sectors and sub-sectors are at risk of carbon leakage to varying degrees, and that free allocation has prevented carbon leakage. While some sectors and sub-sectors can be deemed at a higher risk of carbon leakage, others are able to pass on a considerable share of the costs of allowances to cover their emissions in product prices without losing market share and only bear the remaining part of the costs so that they are at a low risk of carbon leakage, such that best performers can produce and grow without incurring a carbon cost penalty. The Commission should determine ~~and differentiate~~ the relevant sectors based on their trade intensity and their emissions intensity to better identify sectors at a genuine risk of carbon leakage. Where, based on these criteria, a threshold determined by taking into account the respective possibility for sectors and sub- sectors concerned to pass on costs in product prices is exceeded, the sector or sub-sector should be deemed at risk of carbon leakage. Others should be considered at a low risk or at no risk of carbon leakage. Taking into account the possibilities for sectors and sub-sectors outside of electricity generation to pass on costs in product prices should also reduce windfall profits.

2016/06/23
Committee: ITRE

Proposal for a directive
Article 1 – paragraph 1 – point 4 – point a

COM(2015)337
Article 10 – Paragraph 1, Sentence 2

From 2021 onwards, the share of allowances issued in any one year to be auctioned by Member States shall be ~~57%~~in principle 52.5% but subject to reduction according to Article 10a(5).

2016/06/23
Committee: ITRE

Proposal for a directive
Article 1 – paragraph 1 – point 4 – point a

COM(2015)337
Article 10a Paragraph 1

2% of the total quantity of allowances between 2021 and 2030 shall be auctioned without reducing the absolute amount of free allocation determined according to Article 10a of this Directive by making them available from the auctioning volume, to establish a fund to improve energy efficiency and modernise the energy systems of certain Member States as set out in Article 10d of this Directive (“the Modernisation Fund”).

2016/06/23
Committee: ITRE

Proposal for a directive
Article 1 – paragraph 1 – point 5 – point (-a)

COM(2015)337
Article 10(a) Paragraph 1 – subparagraph -1

From 2021 onwards, [x]% of the total quantity of allowances between 2021 and 2030 shall be auctioned without reducing the absolute amount of free allocation determined in Article 10a of this Directive, to establish a fund to fully compensate sectors or sub-sectors which are exposed to a genuine risk of carbon leakage due to significant indirect costs passed on in electricity prices as set out in Article 10(a) Paragraph 6 of this Directive ("the Indirect Leakage Fund")

2016/06/23
Committee: ITRE

Proposal for a directive
Article 1 – paragraph 1 – point 5 – point a

COM(2015)337
Article 10(a) 1, second paragraph

The Commission shall be empowered to adopt a delegated act in accordance with Article 23. This act shall also provide for additional allocation from the new entrants reserve for significant production increases by applying the same thresholds and allocation adjustments as apply in respect of partial cessations of operation. This act shall also provide for continuation of the existing amount and extent of free allocation for installations, which have been substituted by new low carbon technologies able to comply with a greenhouse gas emission reduction of more than 60% if the necessary enabling external conditions would be in place, avoiding undue over-allocation by taking the provisions according to the cessation of operation into account but also by not granting free allocation as a new entrant except for production growth.

2016/06/23
Committee: ITRE

Proposal for a directive
Article 1 – paragraph 1 – point 5 – point b

Directive 2003/87/EC
Article 10 a – paragraph 3

The benchmark values for free allocation shall be adjusted for the fourth trading period in order to avoid windfall profits as well as undue carbon costs of most efficient installations and reflect technological progress in the period between 2007-8 and each later period for which free allocations are determined in accordance with Article 11(1). This adjustment shall reduce the benchmark values set by the act adopted pursuant to Article 10a by 1% of the value that was set based on 2007-8 data in respect of each year between 2008 and the middle, taking into consideration the whole amount of CO2 from waste gases used for electricity production. Benchmarks in individual sectors and sub-sectors shall be updated based on the average of the verified emissions of the 10% most efficient installations in a sector or sub sector in the Union in the years 2013-2017 for the 2020-2030 period. Benchmarks shall be set ofn the ~~relevant period of free allocation, unless:~~basis of objective, faire and non-discriminatory criteria.

2016/06/23
Committee: ITRE

Proposal for a directive
Article 1 – paragraph 1 – point 5 – point b

Directive 2003/87/EC
Article 1 (5) b

(i) On the basis of information submitted pursuant to Article 11, the Commission shall identify whether the values for each benchmark calculated using the principles in Article 10a differ from the annual reduction referred to above by more than 0.5% of the 2007-8 value higher or lower annually. If so, that benchmark value shall be adjusted either 0.5% or 1.5% in respect of each year between 2008 and the middle of the period for which free allocation is to be made;deleted

2016/06/23
Committee: ITRE

Proposal for a directive
Article 1 – paragraph 1 – point 5 – point b

Directive 2003/87/EC
Article 10 a 2

(ia) applicants may demonstrate that even most efficient installations of a sector or sub-sector may face undue carbon costs, because, even when applied to their real production, the amount of allowances which a specific benchmark value allows to allocate, does not meet their needs. If so, that benchmark value shall be adjusted to meet the needs of the most efficient installations of a sector or sub-sector concerned, but not more than by 20%.

2016/06/23
Committee: ITRE

Proposal for a directive
Article 1 – paragraph 1 – point 5 – point c

COM(2015)337
Article 10(a)5 Sentence 2

In order to respect the auctioning share set out in Article 10, the sum of free allocations in every year where the sum of free allocations does not reach the maximum level that respects the Member State auctioning share, the remaining allowances up to that level shall be used to prevent or limit reduction of free allocations to respect the Member State auctioning share in later years. Where, nonetheless, the maximum level is reached, the share of allowances to be auctioned by Member States shall be reduced by up to [X] percentage points but not more than needed to avoid reaching the maximum level. If, in spite of a reduction of the Member State auctioning share at the level of [X] percentage points, the maximum level is reached, free allocations shall be adjusted accordingly. Any such adjustment shall be done in a uniform manner.

2016/06/23
Committee: ITRE

Proposal for a directive
Article 1 – paragraph 1 – point 5 – point c

COM2015(337)
Article 10(a) Para 5 new

The reference production volume for each installation shall be recalculated starting for the allocation due in the year 2021 by applying the relevant production data of the 2nd last year before the year concerned for allocation, using data and reporting requirements established under article 14 of this Directive.

2016/06/23
Committee: ITRE

Proposal for a directive
Article 1 – paragraph 1 – point 5 – point c

COM(2015)337
Article 1(5)c

In any year beginning 2021, the free allocation of allowances to installations in sectors at risk of carbon leakage shall be adjusted by placing [X] percentage points of allowances into, or withdrawing allowances from the reserve established under paragraph 7 of this Directive, so as to ensure the full free allocation of allowances up to benchmark levels in respect of actual production to installations in sectors at risk of carbon leakage. The number of allowances to be placed in or released from the reserve under this paragraph shall be calculated by reference to the benchmarked carbon emissions in respect of the actual production of an installation and the number of allowances allocated for free to that installation in year x. Any excess allowances over production emissions given to an installation will be withheld from, and any shortfall in allowances over production emissions will be added to, the allowances allocated to the installation in year x+1.

2016/06/23
Committee: ITRE

Proposal for a directive
Article 1 – paragraph 1 – point 5 – point d

COM(2015)337
Article 10a Paragraph 6

~~Member States should adopt financial measures in favour of~~A fund for sectors or sub- sectors which are exposed to a genuine risk of carbon leakage due to significant indirect costs that are actually incurred from greenhouse gas emission costs passed on in electricity prices, taking into account any effects on the internal market, shall be established from the period 2021-30 onwards ("the Indirect Leakage Fund") to fully compensate for such costs. Such financial measures to compensate ~~part of~~ these costs shall be in accordance with state aid rules and fully off-set by harmonised and transparent rules in all Member States, through free allocation based on realistic benchmarks.

2016/06/23
Committee: ITRE

Proposal for a directive
Article 1 – paragraph 1 – point 5 – point d

COM(2015)337
Article 10(a), Paragraph 6, Sentence 2

[x]% of the total quantity of allowances of every trading period from 2021 onwards shall be auctioned as set out in Article 10 of this Directive, without reducing the absolute amount of free allocation determined according to Article 10a of this Directive, to finance that fund.

2016/06/23
Committee: ITRE

Proposal for a directive
Article 1 – paragraph 1 – point 5 – point d

COM(2015)337
Article 10a(6), Sentence 3

The compensation granted by the fund shall be based on ex-ante benchmarks of the indirect emissions of CO2 per unit of production. The ex-ante benchmarks shall be calculated for a given sector or subsector as the product of the electricity consumption per unit of production corresponding to the most efficient available technologies and of the CO2 emissions of the relevant European Electricity production mix, taking the relevant marginal production fully into account.

2016/06/23
Committee: ITRE

Proposal for a directive
Article 1 – paragraph 1 – point 5 – point d

COM(2015)337
Article 10a Paragraph 6, Sentence 4 (new)

The Commission shall adopt an implementing act for this purpose in accordance with Article 22a.

2016/06/23
Committee: ITRE

Proposal for a directive
Article 1 – paragraph 1 – point 5 – point e – point i

Any allowances from the maximum amount referred to Article 10a(5) ~~of this Directive~~ which were not allocated for free up to 2020 ~~shall be set aside for new entrants and significant production inc~~because of the application of Article 10a(11) shall be placed into a reasesrve, together with 250 million allowances placed in the market stability reserve pursuant to Article 1(3) of Decision (EU) 2015/… of the European Parliament and of the Council(*).

2016/06/23
Committee: ITRE

Proposal for a directive
Article 1 – paragraph 1 – point 5 – point e – point i

COM(2015)337
Article 10(7), 2

From 2021, allowances not allocated to installations because of the application of paragraphs 19 and 20 shall be added to the reserve. In the event that this reserve is exhausted, the Commission shall be empowered to adopt a delegated act in accordance with Article 23 transferring allowances into this reserve from the market stability reserve established by Decision (EU) 2015/....

2016/06/23
Committee: ITRE

Proposal for a directive
Article 1 – paragraph 1 – point 5 – point f

COM(2015)337
Article 10a (8), 3rd paragraph

The revenue from 400 million allowances to be auctioned by Member States in the fourth trading period shall be available to support innovation in low-carbon technologies and processes in industrial sectors listed in Annex I, and to the extent of a maximum of 50 million allowances to help stimulate the construction and operation of commercial demonstration projects that aim at the environmentally safe capture and geological storage (CCS) or industrial utilization of CO2 as well as demonstration projects of innovative renewable energy technologies, in the territory of the Union.

2016/06/23
Committee: ITRE

Proposal for a directive
Article 1 – paragraph 1 – point 5 – point f

COM(2015)337
Article 10a (8), 3rd paragraph

The allowances shall be made available for innovation in low-carbon industrial technologies and processes, carbon lean operation modes in existing installations and support for demonstration projects for the development of a wide range of CCS, CCU and innovative renewable energy technologies that are not yet commercially viable in geographically balanced locations. In order to promote innovative projects, up to 680% of the relevant costs of projects, operating costs due to modifications in existing installations or investments in existing installations may be supported, out of which up to 40% may not be dependent on verified avoidance of greenhouse gas emissions provided that pre-determined milestones are attained taking into account the technology or process adaption deployed.

2016/06/23
Committee: ITRE

Proposal for a directive
Article 1 – paragraph 1 – point 5 – point f

COM(2015)337
Article 10(a) 8, 3rd Paragraph

In addition, 50 million unallocated allowances from the market stability reserve established by Decision (EU) 2015/… shall supplement any existing resources remaining under this paragraph for projects operating costs or investments referred to above, with projects in all Member States including small-scale projects, before 2021. Projects shall be selected on the basis of objective and transparent criteria.

2016/06/23
Committee: ITRE

Proposal for a directive
Article 1 – paragraph 1 – point 6

COM(2015)337
Article 10(b)

1. Sectors and sub-sectors where the product exceeds 0.2 from multiplying their intensity of trade with third countries, defined as the ratio between the total value of exports to third countries plus the value of imports from third countries and the total market size for the European Economic Area (annual turnover plus total imports from third countries), by their emission intensity, measured in kgCO2 divided by their gross value added (in €), shall be deemed to be at risk of carbon leakage. Such sectors and sub-sectors shall be allocated allowances free of charge for the period up to 2030 at 100% of the quantity required to cover their actual production level in the year x-1 at benchmark standards of carbon efficiency determined in accordance with the measures adopted pursuant to Article 10a.

2016/06/23
Committee: ITRE

Proposal for a directive
Article 1 – paragraph 1 – point 6

COM(2015)337
Article 10b – paragraph 2

2. Sectors and sub-sectors where the product from multiplying their intensity of trade with third countries by their emission intensity is ~~above~~below 0.182 may be included in the group referred to in paragraph 1, on the basis of a qualitative assessment using the following criteria:

2016/06/23
Committee: ITRE

Proposal for a directive
Article 1 – paragraph 1 – point 6

COM(2015)337
Article 10b – paragraph 2 – point a

(a) the extent to which it is possible for individual installations in the sector or sub- sectors concerned to reduce emission levels or electricity consumption, including when appropriate, the increase in production costs, that the related investment may entail for instance on the basis of the most efficient techniques and technologies applied;

2016/06/23
Committee: ITRE

Proposal for a directive
Article 1 – paragraph 1 – point 22 a (new)

Directive 2003/87/EC
Article 30 (5 new)

(22a) By 1 December 2024 the Commission submits to the European Parliament and the Council a report and, if possible, corresponding proposals for the revision of that Directive on how a mechanism could be put in place by which one operator, which has introduced deep decarbonisation by having invested into fundamental changes in production technology and thus is operating such decarbonized production, does not incur CO2-costs for operating not yet transformed installations when not all production lines can be adapted at the same time.

2016/06/29
Committee: ITRE