The role of the WTO in the Climate Change Debate WTO Public Forum 2007

1. The role of the WTO in the Climate Change DebateWTO Public Forum 2007 Ludivine Tamiotti WTO, Trade and Environment Division Legal Affairs Officer ludivine.tamiotti@wto.org

2. Trade and climate change Increased trade implies more transportation, more consumption Trade may help mitigate climate change, e.g. trade emission rights, liberalization of environmental goods 3 key links Climate change mitigation measures may modify conditions of competition and therefore have an impact on international trade

3. The role of the WTO The issue of climate change, per se, is not part of the WTO's work programme and no WTO rules are climate change specific A negotiating forum Specialized committees But, the core functions of the WTO may have a place in the trade and climate change debate: The administration of a set of rules The monitoring, surveillance and enforcement mechanisms

4. Negotiations on Environment (DDA Para. 31) Relationship between existing WTO rules & specific trade obligations set out in MEAs Procedures for regular information exchange between MEAs and relevant WTO committees and the criteria for the granting of observer status Reduction/elimination of tariff and non-tariff barriers to Environmental goods and services

5. Negotiations on environmental goods The key aim is to reduce or eliminate import tariffs and non tariff barriers on environmental goods In developed country Members: 2% (0%-4.2%) In the category of renewable energy products, on average, the MFN applied duty is: In developing country Members: 7% (0%-25.3%) In LDC Members: 10% (2.6%-30.7%)

6. Negotiations on environmental goods Hydropower turbines Including on a number of key climate change mitigation technologies, e.g. Solar water heaters Tanks for the production of biogas Landfill liners for methane collection

7. The role of the WTO A negotiating forum Specialized committees The core functions of the WTO may have a place in the trade and climate change debate: The administration of a set of rules The monitoring, surveillance and enforcement mechanisms

8. Specialized Committees E.g. discussion of the environmental benefits of removing restrictions in the energy sector, the forestry sector, the effect of energy efficiency labelling on market access Committee on Trade and Environment (CTE) In recent years the CTBT discussed a number of product standards and labelling requirements targeted to energy efficiency or emission control. Committee Technical Barriers to Trade (CTBT)

9. The role of the WTO A negotiating forum Specialized committees The core functions of the WTO may have a place in the trade and climate change debate: The administration of a set of rules The monitoring, surveillance and enforcement mechanisms

10. Relevant rules Disciplines on tariffs (border measures) General prohibition against border quotas General non-discrimination principle, consisting of the most-favoured-nation and national treatment principles Rules on subsidies Rules on technical regulations and standards Disciplines relevant to trade in services Rules for trade-related intellectual property rights

11. The role of the WTO A negotiating forum Specialized committees The core functions of the WTO may have a place in the trade and climate change debate: The administration of a set of rules The monitoring, surveillance and enforcement mechanisms

12. Monitoring, surveillance and enforcement mechanisms of the WTO The WTO dispute settlement mechanism can be triggered by any Member alleging that its rights or obligations under the WTO rules have been impaired by another Member.