European Regulations (coal, CO2 emissions)

1. European Regulations (coal, CO2 emissions) Regional Office of Silesia in Brussels Jerzy Buzek, Memberofthe European Parliament Member of the Industry, Research and Energy Committee Member of the Climate Change Committee Rapporteur of the 7FP for R&D in the EU Rapporteur of the European Strategic Energy Technology Plan (SET-Plan) 10.06.2008, Brussels

2. IPCC 4th Assessment Report (2007) Continued GHG emissions at or above current rates would cause furtherwarming and induce many changes in the global climate system during the 21st century that would very likely be larger than those observed during the 20th century.

3. Predicted Future Global Warming • Global Temperature • Global CO2 Emissions • Source: IPCC 2007

4. WEO 2007 Reference Scenario:World’s Top Five CO2 Emitters • China overtook the US to become the largest emitter in 2007, while India becomes the third-largest by 2015

5. The Kyoto Protocol The Kyoto Protocol is an international agreement made under the United Nations Framework Convention on Climate Change (UNFCCC) in Rio de Janeiro in 1992 It concerns reducing Greenhouse gases that cause climate change It was agreed on 11 December 1997 at the 3rd Conference of the Parties to the treaty when they met in Kyoto It entered into force on 16 February 2005 The Kyoto Protocol now covers more than 170 countries globally Countries that ratify this protocol commit to reducing their emissions of carbon dioxide and five other greenhouse gases (GHG), or engaging in emissions trading if they maintain or increase emissions of these gases

6. The United Nations Climate Change Conference:- Poznań, December 2008 (COP14)- Copenhagen, December 2009 (COP15) Deadline for the negotiations of the Post – Kyoto Protocol

7. Primary resources: Renewables,Fossil Fuels,Nuclear(coal, oil, gas) The goals for the EU: security of supply environmental protection (climatechange) competitive costs (Lisbon Agenda) Energy demands:doubling in 30 – 40 years

8. UE- Leaderin mitigating global warming Presidency Conclusions, Council March 2007 Targets for 2020 20% reduction of GHG emissions 20% energy savings 20% share of renewable energy

9. Climate and Energy Package • PROPOSAL published 23 January 2008 • Main components • Directive – Emissions Trading System (EU ETS) • Decision – Effort Sharing (non ETS) • Directive – Carbon Capture & Storage • Directive – Renewable Energy Sources • Guidelines on State Aid for Env Protection

10. Climate and Energy Package CONSEQUENCES: • Strategic Energy Technology Plan (SET – Plan) • Negotiations in the Council and European Parliament • 2008-2009 • EC intension: have it adopted before EP elections and new European Commission

11. Way of introduction: • Carbon emissions costs • New low – carbon technologies

12. Emission Trading System (ETS) • Successes of the EU ETS • Demonstrates EU “leadership” of climate change • Puts a price on carbon • Stimulated the development of JI/CDM and the resulting transfer of technology to developing/emerging countries • Problems with the EU ETS • Another cost of “doing business in Europe” • “Indirect impacts”, especially on energy intensive industries

13. How important is the long-term carbon price (e.g. in 2020) for new investments in your industry? 385 respondents – all from companies buying/selling/holding EUAs or CERs

14. Energy savings and energy efficiency Renewable electricity generation CO2 capture and storage technologies for zero emission power generation Renewable fuel production Clean coal technologies Renewables for heating and cooling Smart energy networks Knowledge for energy policy making FP 7 – Proposed Priority Topics in Energy Hydrogen and fuel cells

15. The Strategic Energy Technology Plan • Strengthening European energy research capacities through • European Industrial Initiatives • European Energy Research Alliance • Reinforced international cooperation

16. The SET-Plan: an effective implementation needed European Industrial Initiatives (EIIs): • European Wind Initiative • Solar Europe Initiative • Bio-energy Europe Initiative • European CO2 capture, transport and storage initiative • European electricity grid initiative • Sustainable nuclear fission initiative • EP proposition to include: 12 CCS demonstration projects, the so-called EU-Flagship Programme

17. Technology Map for the SET-Plan

18. Carbon Capture and StorageFlagship Programme of the EU Capture Transport 85-90% Storage

19. COAL IS THERE !

20. Integrated hydrogen genaration from fossil fuels, biomass and wind

22. The Energy and Climate Package SUMMARY Binding Targets:20% renewables, 20% GHG reduction, 20% energy savings, biofuels Benefits:Large scale innovation in the energy sector Energy security: reduction of oil and gas import of €50 billion per year (at $61 per barrel of oil) Costs:Direct cost: increased energy and non CO2 mitigation cost to meet both targets domestically: 0.6% of GDP in 2020, or some €90 billion Way of introduction:Emission costs + new technologies

23. Regional Office of Silesia in Brussels European Regulations (coal, CO2 emissions) THANK YOU FOR YOUR ATTENTION !!! JerzyBuzek, Memberofthe European Parliament Rapporteur of the 7FP for R&D in the EU Rapporteur of the European Strategic Energy Technology Plan (SET-Plan) 10.06.2008, Brussels