The Start of CO{sub}2 Emissions Trading In The EU: Policy update and current challenges for power generators in old and new member countries

摘要

The EU-wide emissions trading system is scheduled to begin operation on 1 January 2005. Until then, both, governments and companies in the energy sector in old and new member states of the EU are under great pressure to prepare for the start of the system. Success is by no means certain. Many governments in Europe lag significantly behind in providing the necessary legal framework to govern the trading system. Consequently, companies have to prepare for a "moving target", i.e. prepare to cope with regulation that is still in flux. In Germany, as an example for an "old" EU member, the legislative process for the introduction of CO{sub}2 emissions trading is taking place under great time pressure. Nevertheless, Germany is comparatively advanced as a draft "macro-allocation plan" was published already in January 2004 and its NAP was submitted in time on 31 March, 2004. It states a planned allocation of free allowances to about 2400 installations until 2008-2012 at an average 0.4% lower level compared to 2000-2002 emissions. This reduction obligation was the result of a very heated debate which showed deep rifts among top government officials, as the Minster of the Environment, in charge of emission trading, had initially proposed a much tougher reduction obligation of about 5%. It took the repeated intervention of the German Chancellor to find a last minute compromise, thus enabling the jeopardized timely implementation of the system in Germany.