EU to meet Kyoto targets – Will it accept CDM/JI credits post 2012?

Posted on October 24, 2011 by


As per the latest report from ‘Progress towards Achieving the Kyoto Objectives’, the European Union is on track to meet its Kyoto Protocol emissions reduction targets despite an increase in greenhouse gas emissions in 2010.

Report illustrates that;

  • Overall emissions of the 27 EU countries in 2010 were 15.5%   below the 1990 level (most EU countries have a target of 8% below the 1990 level)
  • Fall in GHGs emissions of 7.1% between 2008 and 2009 as a result of the economy.
  • The EU is considering supporting a Kyoto Protocol extension to 2020 if developing countries pledge to begin reducing emissions by then.

What is EU-ETS?

The European Union Emission Trading System (EU-ETS) is the largest emissions trading scheme in the world and also a first cap and trade system of CO2 started in 2005. Under the EU-ETS, large emitters of carbon dioxide within the European Union must monitor and annually report their CO2 emissions. EU-ETS was enacted before the Kyoto Protocol became legally binding in international and EU law and it would have become operational even if the Kyoto Protocol had not entered into force in February 2005. Although it is inspired by the Kyoto Protocol but it is independent of it.

Accepting CDM/JI credits

As per the European Commission –Climate Action website, The EU supports the design of new sectoral crediting mechanisms for actions in developing countries, preferably within the UNFCCC framework. From 2013 onwards, operators covered by the EU ETS could use sectoral credits as substitutes for the project-based Joint Implementation/Clean Development Mechanisms (JI/CDM) credits for compliance within the overall limits determined by the supplementarity provisions.

Reference;

European Commission –Climate Action website

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Posted in: Carbon Markets