Activities of Jorgo CHATZIMARKAKIS related to 2008/0013(COD)
Plenary speeches (1)
Greenhouse gas emission allowance trading system (debate)
Amendments (18)
Amendment 67 #
Proposal for a directive – amending act
Recital 13
Recital 13
(13) The additional effort to be made by the European economy requires inter alia that the revised Community scheme operate with the highest possible degree of economic efficiency and on the basis of fully harmonised conditions of allocation within the Community. Auctioning shouldmust therefore be the basic principle for allocation, as it is the simplest and generally considered to be the most economically efficient system. This should also eliminate windfall profits and put new entrants and higher than average growing economies on the same competitive footing as existing installations.
Amendment 72 #
Proposal for a directive – amending act
Recital 15
Recital 15
(15) Given the considerable efforts of combating climate change and of adapting to its inevitable effects, it is appropriate that at least 2100% of the proceeds from the auctioning of allowances should be used to reduce greenhouse gas emissions, to adapt to the impacts of climate change, to fund research and development for reducing emissions and adaptation, to develop renewable energies to meet the EU’s commitment to using 20% renewable energies by 2020, to meet the commitment of the Community to increase energy efficiency by 20% by 2020, for the capture and geological storage of greenhouse gases, to contribute to the Global Energy Efficiency and Renewable Energy Fund, for measures to avoid deforestation and facilitate adaptation in developing countries, and for addressing social aspects such as possible increases in electricity prices in lower and middle income households. This proportion is significantly below the expected net revenues for public authorities from auctioning, taking into account potentially reduced income from corporate taxes. In addition, proceeds from auctioning of allowances should be used to cover administrative expenses of the management of the Community scheme. Provisions should be included on monitoring the use of funds from auctioning for these purposes. Such notification does not release Member States from the obligation laid down in Article 88(3) of the Treaty, to notify certain national measures. The Directive does not prejudice the outcome of any future State aid procedures that may be undertaken in accordance with Articles 87 and 88 of the TreatyIn addition, proceeds from auctioning of allowances should be used to cover administrative expenses of the management of the Community scheme.
Amendment 82 #
Proposal for a directive – amending act
Recital 16
Recital 16
(16) Consequently, full auctioning should be the rule from 2013 onwards for the power sector, taking into account their ability to pass on the increased cost of CO2, and no free allocation should be given for carbon capture and storage as the incentive for this arises from allowances not being required to be surrendered in respect of emissions which are stored. Electricity generators may receive free allowances for heat produced through high efficiency cogeneration as defined by Directive 2004/8/EC in the event that such heat produced by installations in other sectors were to be given free allocations, in order to avoid distortions of competition.
Amendment 83 #
Proposal for a directive – amending act
Recital 16 a (new)
Recital 16 a (new)
(16a) Whether or not produced in combination with electricity, heat supplied for the use of industry, should receive free allowances in accordance with the proportion of free allowances allocated to the industrial sectors concerned. Whether or not produced in combination with electricity, heat supplied for the use of district heating qualifying under the Guidelines on State aid for environmental protection should receive free allowances to ensure equal treatment with regard to other producers of heat that are not covered by the community scheme.
Amendment 100 #
Proposal for a directive – amending act
Recital 18
Recital 18
(18) Transitional free allocation to installations should be provided for through harmonised Community-wide rules ("benchmarks") in order to minimise distortions of competition with the Community. These rules should take account of the most greenhouse gas and energy efficient techniques, substitutes, alternative production processes, use of biomass, renewables and greenhouse gas capture and storage. Any such rules should not give incentives to increase emissions and ensure that an increasing proportion of these allowances is auctioned. Allocations must be fixed prior to the trading period so as to enable the market to function properly. They shall also avoid undue distortions of competition on the markets for electricity and heatindustrial heat and gas supplied to industrial installations. These rules should apply to new entrants carrying out the same activities as existing installations receiving transitional free allocations. To avoid any distortion of competition within the internal market, no free allocation should be made in respect of the production of electricity by new entrants. Allowances which remain in the set-aside for new entrants in 2020 should be auctioned.
Amendment 112 #
Proposal for a directive – amending act
Recital 20
Recital 20
(20) The Commission should therefore review the situation by June 20110 at the latest, consult with all relevant social partners, and, in the light of the outcome of the international negotiations, submit a report accompanied by any appropriate proposals. In this context, the Commission should identify which energy intensive industry sectors or sub-sectors are likely to be subject to carbon leakage not later than 30 June 2010. Itshould be identified in the body of the directive. It is vital that this list should be able to be supplemented so that all industrial sectors and sub-sectors liable to this risk can be identified by 30 June 2009 at the latest. This list could be reviewed or supplemented subsequently so as to take into account - using the same criteria - the effects of changes in the global situation. The Commission should base its analysis on the assessment of the inabilidifficulty tof passing on the cost of required allowances in product prices without significant loss of market share to installations outside the Community not taking comparable action to reduce emissions. Energy-intensive industries which are determined to be exposed to a significant risk of carbon leakage could receive a higher amount of free allocation or an effective carbon equalisation system could be introduced with a view to putting installations from the Community which are at significant risk of carbon leakage and those from third countries on a comparable footing. Such a system could apply requirements to importers that would be no less favourable than those applicable to installations within the EU, for example by requiring the surrender of allowances. Any action taken would need to be in conformity with the principles of the UNFCCC, in particular the principle of common but differentiated responsibilities and respective capabilities, taking into account the particular situation of Least Developed Countries. It would also need to be in conformity with the international obligations of the Community including the WTO agreement. Comparable undertakings assumed between developed countries and the contributions of developing countries, particularly the most economically advanced developing countries, should be measurable, verifiable and reportable. The methods of measurement and verification should be recognised at international level.
Amendment 122 #
Proposal for a directive – amending act
Recital 22
Recital 22
(22) In order to provide predictability, operators should be given certainty about their potential after 2012 to use CERs and ERUs up to the remainder of the level which they were allowed to use in the period 2008 to 2012and other emission reduction credits up to 10,5 % of their annual emissions, from project types which were accepted by allt least one Member States in the Community scheme during the period 2008 toup to and including 2012. As carry-over by Member States of CERs and ERUs held by operators between commitments periods under international agreements (‘banking’ of CERs and ERUs) cannot take place before 2015, and only if Member States choose to allow the banking of those CERs and ERUs within the context of limited rights to bank such credits, this certainty should be given by requiring Member States to allow operators to exchange such CERs and ERUs issued in respect of emission reductions before 2012 for allowances valid from 2013 onwards. However, as Member States should not be obliged to accept CERs and ERUs which it is not certain they will be able to use towards their existing international commitments, this requirement should not extend beyond 31 December 2014. Operators should be given the same certainty concerning such CERs issued from projects that have been established before 2013 in respect of emission reductions from 2013 onwards.
Amendment 140 #
Proposal for a directive – amending act
Article 1 – point 2 – point b
Article 1 – point 2 – point b
Directive 2003/87/EC
Article 3 – point h
Article 3 – point h
h) 'new entrant' means any installation carrying out one or more of the activities indicated in Annex I, which has obtained a greenhouse gas emission permit or updated its greenhouse gas emission permit because of a change in its character or operation, or a significant extension of the installation itself, or of its capacity’s use, subsequent to the submission to the Commission of the list referred to in Article 11(1);";
Amendment 149 #
Proposal for a directive – amending act
Article 1 – point 2 – point c
Article 1 – point 2 – point c
Directive 2003/87/EC
Article 3 – point u
Article 3 – point u
[(u)] 'Electricity generator' means an installation or part of an installation that, on or after 1 January 2005, has produced electricity for sale to third parties, and which is only covered by the category 'Supply of power or heat' in Annex I. The supply of electricity under a purchase obligation shall not be considered a sale to a third party, unless the take-over tariff contains an adjustment mechanism enabling the price of allowances to be reflected in the tariff.
Amendment 167 #
Proposal for a directive – amending act
Article 1 – point 7
Article 1 – point 7
Directive 2003/87/EC
Article 10
Article 10
1. From 2013 onwards, Member States shall auction all allowances which are not allocated free of charge in accordance with Article 10a. 2. The total quantity of allowances to be auctioned by each Member State shall be composed as follows: (a) allowances to be auctioned being distributed amongst Member States in shares that are identical to the share of verified emissions under the Community scheme in 2005 of the Member State concerned (b) allowances to be auctioned being distributed amongst certain Member States for the purpose of solidarity and growth within the Community, thereby increasing the amount of allowances that those Member States auction under point (a) by the percentages specified in Annex IIa. For the purposes of point (a), in respect of Member States which did not participate in the Community scheme in 2005, their share shall be calculated using their verified Community scheme emissions under the Community scheme in 2007. If necessary, the percentages referred to in point (b) of the first subparagraph shall be adapted in a proportional manner to ensure that the redistribution is 10%. 3. At least 20% of the revenues generated from the auctioning of allowances referred to in paragraph 2, including all revenues from the auctioning referred to in point (b) thereof, should be used for the following: (a) to reduce greenhouse gas emissions, including by contributing to the Global Energy Efficiency and Renewable Energy Fund, to adapt to the impacts of climate change and to fund research and development for reducing emissions and adapting, including participation in initiatives within the framework of European Strategic Energy Technology Plan; (b) to develop renewable energies to meet the commitment of the Community to using 20% renewable energies by 2020, and to meet the commitment of the Community to increase energy efficiency by 20% by 2020; (c) for the capture and geological storage of greenhouse gases, in particular from coal power stations; (d) for measures to avoid deforestation, in particular in Least Developed Countries; (e) to facilitate developing countries' adaptation to the impacts of climate change; (f) to address social aspects in lower and middle income households, for example by increasing their energy efficiency and insulation; and (g) to cover administrative expenses of the management of the Community scheme. 4. Member States shall include information on the use of revenues for each of these purposes in their reports submitted under Decision No 280/2004/EC. 5. By 31 December 2010, the Commission shall adopt a Regulation on timing, administration and other aspects of auctioning to ensure that it is conducted in an open, transparent and non- discriminatory manner. Auctions shall be designed to ensure that operators, and in particular any small and medium size enterprises covered by the Community scheme, have full access and any other participants do not undermine the operation of the auction. That measure, designed to amend non-essential elements of this Directive by supplementing it, shall be adopted in accordance with the regulatory procedure with scrutiny referred to in Article [23(3)]. a Community body shall auction all allowances which are not allocated free of charge in accordance with Article 10a. 90% of the total quantity of 10% of the total quantity of 3. The EU shall use 100 % of the revenues generated from the auctioning of allowances for the following: (a) to reduce greenhouse gas emissions, including by contributing to the Global Energy Efficiency, Renewable Energy and Non-Carbon Energy Fund, to adapt to the impacts of climate change and to fund research and development for reducing emissions and adapting, including participation in initiatives within the framework of European Strategic Energy Technology Plan; (b) to develop renewable energies to meet the commitment of the Community to using 20% renewable energies by 2020, and to meet the commitment of the Community to increase energy efficiency by 20% by 2020; (c) for the capture and geological storage of greenhouse gases, in particular from coal power stations; (ca) development of clean energy vectors; (d) for measures to avoid deforestation, in particular in Least Developed Countries; (e) for aid to some Member States to promote solidarity and growth in the Community, up to 10% of the revenue from the auctions for all these Member States, and for aid to facilitate developing countries' adaptation to the impacts of climate change; (f) to address social aspects in lower and middle income households, for example by increasing their energy efficiency and insulation; and (g) to cover administrative expenses of the management of the Community scheme, up to [x% to be decided] of the total revenue from the auctions. 4. The Commission shall include information on the use of revenues for each of these purposes in their reports submitted under Decision No 280/2004/EC. 5. By 31 December 2009, the Commission shall adopt a Regulation in accordance with the regulatory procedure with scrutiny referred to in Article 23(3) on timing, administration and other aspects of auctioning to ensure that it is conducted in an open, transparent and non- discriminatory manner. The auction system shall be designed to ensure a continuously liquid and transparent market. To ensure that these objectives are achieved, the above Regulation shall be based on the following principles : - use of a single system, accessible from a distance, simple (one round), effective, available at an acceptable cost, and its integrity guaranteed by a single manager at Community level; - guaranteed access to the auction at minimal cost for any actor providing proof of solvency and holding an open account in the allowances register; - the regulation shall lay down a timetable of volumes to be auctioned, consistent with deadlines for repayment of allowances and with the undertakings’ financial constraints; this timetable shall exclude recourse to a single auction for the whole period. The Regulation shall provide for supervision of this market by an existing organisation or one to be set up, with a similar remit to that of supervisory bodies for raw materials markets.
Amendment 201 #
Proposal for a directive – amending act
Article 1 – point 8
Article 1 – point 8
Directive 2003/87/EC
Article 10a – paragraph 1 – subparagraph 1
Article 10a – paragraph 1 – subparagraph 1
1. The Commission shall, by 30 June 20110, adopt Community wide and fully- harmonised implementing measures for allocating the allowances referred to in paragraphs 2 to 6 and 8 in a harmonised manner. For sectors or branches of industry that are subject to ‘carbon leakage’, the proportion of allowances allocated free of charge shall be 100% until an international agreement has been reached that is considered satisfactory, under the criteria set out in Article 28(1) of this directive .
Amendment 218 #
Proposal for a directive – amending act
Article 1 – point 8
Article 1 – point 8
Directive 2003/87/EC
Article 10a – paragraph 1 – subparagraph 3
Article 10a – paragraph 1 – subparagraph 3
The measures referred to in the first subparagraph shall, to the extent feasible, ensure that allocation takes place in a manner that gives incentives for greenhouse gas and energy efficient techniques and for reductions in emissions, by taking account of the most efficient techniques, substitutes, alternative production processes, use of biomass and greenhouse gas capture and storage, and shall not give incentives to increase emissions. No free allocation shall be made in respect of any electricity production.., except for cogeneration and electricity generation for own use.
Amendment 244 #
Proposal for a directive – amending act
Article 1 – point 8
Article 1 – point 8
Directive 2003/87/EC
Article 10a – paragraph 3
Article 10a – paragraph 3
3. Free allocation may be given to electricity generators in respect of the production of heat through high efficiency cogeneration as defined by Directive 2004/8/EC for economically justifiable demand to ensure equal treatment with regard to other producers of heat. In each year subsequent to 2013, the total allocation to such installations in respect of Whether or not produced in combination with electricity, heat supplied for the use of industry shall receive free allowances in accordance with the proportion of free allowances allocated to the industrial sectors concerned. Whether or not produced in combination with electricity, heat supplied for the use of district heating qualifying under the Guidelines on State aid for environmental protection shall receive free allowances to ensure equal treatment with regard to other productioners of theat theat shall be adjusted by the linear factor referred to in Article 9are not covered by the EU ETS.
Amendment 277 #
Proposal for a directive – amending act
Article 1 – point 8
Article 1 – point 8
Directive 2003/87/EC
Article 10a – paragraph 6 – subparagraph 3 a (new)
Article 10a – paragraph 6 – subparagraph 3 a (new)
By 30 June 2010 at the latest, the Commission shall publish the harmonised rules on allocation to new entrants and rules intended to optimise the industrial plant – pooling, closures, transfers within the EU – drawn up and adopted in accordance with the regulatory procedure with scrutiny referred to in Article 23(3).
Amendment 291 #
Proposal for a directive – amending act
Article 1 – point 8
Article 1 – point 8
Directive 2003/87/EC
Article 10a – paragraph 8
Article 10a – paragraph 8
Amendment 315 #
Proposal for a directive – amending act
Article 1 – point 8
Article 1 – point 8
Directive 2003/87/EC
Article 10b
Article 10b
Amendment 337 #
Proposal for a directive – amending act
Article 1 – point 9
Article 1 – point 9
Directive 2003/87/EC
Article 11a
Article 11a
Amendment 377 #
Proposal for a directive – amending act
Article 1 – point 21
Article 1 – point 21
Directive 2003/87/EC
Article 28
Article 28
1. Upon the conclusion by the Community of an international agreement on climate change leading, by 2020, to mandatory reductions of greenhouse gas emissions exceeding the minimum reduction levels agreed upon by the European Council, paragraphs 2, 3 and 4 shall apply. 2. From the year following the conclusion of the international agreement referred to in paragraph 1,the Commission shall carry out a comprehensive impact assessment of the economic effects of the procedures for implementing these reductions and on the effects of other measures adopted in the international agreement. The impact assessment shall also determine whether the following conditions have been met : - the international agreement commits all countries possessing or likely to develop production in the sector concerned by this directive; - the linear factor shall increase so that the Community quantity of allowances in 2020 is lower than that established pursuant to Article 9, by a quantity of allowances equivalent to the overall reduction of greenhouse gas emissions by the Community below 20% to which the international agreement commits the Community, multiplied by the share of overall greenhouse gas emission reductions in 2020 which the Community scheme is contributing pursuant to Articles 9 and 9a. 3. Operators may use CERs, ERUs or other credits approved in accordance with paragraph 4 from third countries which have concluded the agreement, up to half of the reduction taking place in accordance with paragraph 2. 4. The Commission may adopt measures to provide for the use of additional project types by operators in the Community scheme to those referred to in paragraphs 2 to 5 of Article 11a or the use by such operators of other mechanisms created under the international agreement, as appropriate. Those measures, designed to amend non- essential elements of this Directive by supplementing it, shall be adopted in accordance with the regulatory procedure with scrutiny referred to in Article [23(3)]ternational agreement imposes: o in the developed countries, for the sectors mentioned in Annex I of this directive, equivalent restrictions to those imposed in the European Union; o in the developing countries, particularly the most economically advanced ones, for the sectors mentioned in Annex I of this directive, an adequate contribution according to their responsibilities and respective capacities; - the commitments by the developed countries and the contributions by the developing countries, particularly the more economically advanced ones, shall be: o measured and verified in accordance with internationally recognised methods, and o reported. 2. From the year following the entry into force of the international agreement referred to in paragraph 1, and in the light of the results of the impact assessment provided for in that same paragraph, particularly if the three conditions referred to therein have been met, the Commission shall propose an amended factor so that the fraction of the Community quantity of allowances in 2020, pursuant to Articles 9 and 9a, contributes to the overall reduction of greenhouse gas emissions by the Community below 20% to which the international agreement will commit the Community. international 4. In the light of the results of the impact assessment provided for in paragraph 1 of this article, in particular if the three conditions referred to therein have been met, the Commission may adopt measures to provide for the use of additional project types by operators in the Community schema to those referred to in paragraphs 2 to 5 of Article 11a or the use by such operators of other mechanisms created under the international agreement, as appropriate.