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UK Climate Change Act
29 October 2012
InterCLIMA 2012, Lima, Peru



                                               Alison Hall
                   Climate Change and Energy Department
                          Foreign & Commonwealth Office
                                   Alison.Hall@fco.gov.uk
UK commitment


     “I don’t want to hear warm words about the
environment. I want to see real action. I want this to
          be the greenest government ever”.


                                  DAVID CAMERON, 21 MAY 2010
Climate Change Act 2008

                  •   The world’s first long-term,
                      legally binding framework to
                      tackle the dangers of climate
                      change
                  •   Bill introduced to Parliament
                      November 2007
                  •   Became law November 2008
Climate Change Act 2008
                  Response to a number of factors:

                  •   Attitudes in UK towards climate
                      change started to shift

                  •   Pressure from the public / in
                      Parliament / NGO campaigns –
                      45,000 letters

                  •   Stern Review – showed it is
                      cheaper to act early

                  •   Political consensus

                  •   Why legislate?
Climate Change Act: Objectives
•   Meet UK and international climate change commitments

•   Clarity and certainty for industry, households and individuals to plan for
    and invest in a low carbon economy

•   Adapt to the impacts of unavoidable climate change

•   Low carbon growth

•   International leadership




                                    UNCLASSIFIED
Main provisions of the Act
                    •   Requiring us to cut emissions by 34% by 2020 and 80% by
Ambitious targets
                        2050 relative to 1990 levels


 Binding carbon     •   Five-year carbon budgets, set three budget periods ahead
    budgets
                    •   Requirement for Government to publish policies and
    A clear             proposals for meeting the carbon budgets
 accountability
  framework         •   Independent Committee on Climate Change to advise on
                        budgets and scrutinise delivery through annual reports

                    •   Government to report at least every five years on impacts on
   Adaptation           UK of climate change and publish a programme to address
Carbon Budgets
• Give us the mechanism to manage our response to the mitigation challenge
• Cutting emissions by 34% by 2020 and 80% by 2050 relative to 1990 levels




                                     7
Carbon Budgets
    Proposed by Government; approved by Parliament

                                                                         Going beyond
                                      Genuine financial
A concrete reporting cycle                                               international
                                   consequences if budgets
   set through UK law                                                  commitments and
                                         aren’t met
                                                                     ensuring their delivery


•    Setting limits on         •     Climate Change Act          •    Higher level of
     emissions for each five         means carbon budgets             ambition than our
     year period                     are legally binding              international
•    Set fifteen years in      •     Any shortfall must be            commitments require
     advance to give long-           met by purchase of          •    Clear framework
     term clarity                    international credits            enshrined in domestic
•    Regular reporting to      •     For a significant                law for delivering
     Parliament, and                 shortfall, this could run        economy-wide
     scrutiny by the                 to £billions                     emissions cuts
     Committee on Climate
     Change                                   8
Carbon Budgets
We have now set the first four carbon budgets

          Oct 2012 emissions projections                   Actual net UK carbon account
          Budget 1 indicative annual average               Budget 2 indicative annual average
          Budget 3 indicative annual average               Budget 4 indicative annual average
    700
    600
    500
    400
    300
M
O
C
2
e
t




    200
    100
      0
             8
             0
             2

                 9
                 0
                 2

                     1
                     0
                     2



                             1
                             0
                             2

                                 3
                                 1
                                 0
                                 2

                                      4
                                      1
                                      0
                                      2

                                          5
                                          1
                                          0
                                          2

                                               6
                                               1
                                               0
                                               2

                                                   7
                                                   1
                                                   0
                                                   2

                                                       8
                                                       1
                                                       0
                                                       2

                                                             9
                                                             1
                                                             0
                                                             2

                                                                 0
                                                                 2

                                                                     1
                                                                     0
                                                                     2

                                                                         0
                                                                         2

                                                                             3
                                                                             0
                                                                             2

                                                                                 4
                                                                                 0
                                                                                 2

                                                                                      5
                                                                                      0
                                                                                      2

                                                                                          6
                                                                                          0
                                                                                          2

                                                                                                7
                                                                                                0
                                                                                                2
                         P
                         1
                         0
                         2
                         )
                         (




                                               9
Carbon Plan
 Sets out the UK’s strategy for meeting our carbon budgets


 The Carbon Plan took a scenario
   based approach, recognising
uncertainty in planning to 2030 and
              beyond



                                      MtCO2e/ year
It set out a three stage strategy:

 •Phase 1: Complete and prepare –
  From now to 2020

 •Phase 2: Mass deployment – In the
  2020s and 2030s

 •Phase 3: Finalising – From 2030
  onward
                                                     10
                                                             10
Carbon Plan
Specifies policies and proposals to meet the first four Carbon Budgets


•   Quantified emissions savings by policy for the period until 2022
•   In line with Carbon Budgets

                         Projected non-traded sector emissions savings by policy – residential sector (MtCO 2e)




                                                                                     11
Carbon Plan
Specifies policies and proposals to meet the first four Carbon Budgets


•    Scenario-based approach for the period 2023 – 2027


Aggregate non-traded emissions under illustrative scenarios for 4th Carbon Budget   • Scenario 1 implies,
                                                                                      by 2030:
                                                                                    • 6 million low carbon
                                                                                      heat installations
                                                                                    • Average new car
                                                                                      emissions 60gCO2/Km
                                                                                    • 3.7 million solid wall
                                                                                      insulations 2023-2030
Longer term scenarios
We looked at a range of possible scenarios for 2050




 These are just indicative – but they give a sense of common messages, and no regrets
                                  action we can take now                                13
Committee on Climate Change
Independent advisors to the UK Government on tackling and preparing
for climate change




                                                                      14
CCC: Responsibilities
• Advice on:
    - levels of emissions reduction targets and carbon budgets
    - the contributions that different sectors could make
    - the extent to which offsetting could be used to meet the budgets

• Annual reports to Parliament on progress against the carbon budgets

• Advice on international aviation and shipping in carbon budgets

• Advice, on request, on any other climate change issues

• Also advises the Devolved Administrations (in Scotland, Wales and
Northern Ireland) on their targets




                                                                         15
CCC: 4th Progress Report (2012)
Confirms that the UK remains on track to overachieve against the level
of the first three carbon budgets

•   Looks at emissions trends over the past year and evaluates underlying progress
    in implementing carbon-reduction measures and policies

•   Assesses performance of government policies in driving down emissions

•   Greenhouse Gas Emissions fell by 7%. 0.8% of this can be linked directly to
    implementation of proactive carbon lowering measures

•   Highlights challenges which remain across key areas:
     o investment in renewable energy and low carbon power
     o energy efficiency and renewable heat in buildings
     o cleaner transport and travel




                                                                                     16
CCC: 4th Progress Report (2012)
Government response…

… confirms commitment to meet the targets set out in the Climate Change Act and the
carbon budgets; acknowledges the scale of the challenge.

…highlights progress on :
•Reforming the electricity market to support low carbon generation and stimulate investment
in low carbon technology
•Supporting take-up of energy efficiency measures through the Green Deal and Energy
Company Obligation
•Building a market for renewable heat through the world’s first Renewable Heat Incentive
•Measures to support the take-up of ultra low emission vehicles
•Installing smart meters in 53 million premises across the UK by 2019
•Introducing a Green Investment Bank to catalyse private investment

…re-states our commitment to Carbon Capture and Storage and our determination to press
for the EU to show more ambition by moving to a tighter 2020 emissions target.


                                                                                              17
Adaptation: Legislative Framework




      UK Climate
                          Policy Analysis
      Projections


                                            18
Climate Change Risk Assessment
Provides an evidence base to help us understand the risks




• First assessment of its kind for the UK
• The first in a 5 year cycle
• Will inform development of National Adaptation Programme
                                                             19
National Adaptation Programme
Helping UK businesses, local authorities and civil society to become
more resilient to climate change impacts



     Innovative Approach – “Co-Creation”                        5 Themes



 •   Defra (environment ministry) is working         •   Business and services;
     alongside businesses, local authorities and     •   Health and wellbeing;
     civil society to ‘co-create’ the National
                                                     •   Built environment and
     Adaptation Programme.
                                                         infrastructure;
 •   Stimulating innovative policymaking
                                                     •   Agriculture and forestry
 •   Empowering a wide variety of non-
                                                     •   Natural environment
     government organisations to take
     responsibility for finding the best solutions
     for their sector

                                                                                    20
Mexico: General Law of Climate
Change (LGCC)

•   Second country in the world to legislate on climate change;
•   Legislation seeks to reduce greenhouse gas emissions by 30% in
    2020 and by 50% in 2050. Goal of 35% of Mexico's electricity
    coming from clean sources by 2024.
•   Sets a new institutional framework
•   Planning instruments
•   Surveillance by the Federal Environmental Protection Agency
    (Procuraduría Federal de Protección al Ambiente)




                                                                     21
Lessons learned from UK
experience
• Cross Government coordination is vital – UK has put in place a cross-
  Departmental management board

• Transparency and public visibility is important – UK has published
  projections, the Carbon Plan and modelling to 2050

• Government needs expert advice – UK set up the independent Committee
  on Climate Change

• Regular interim targets provide certainty for investors – UK has set interim
  Carbon Budgets



                                                                                 22
Questions?

Alison Hall
Climate Change and Energy Department
Foreign & Commonwealth Office (UK)
Alison.Hall@fco.gov.uk

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Climate change act prestn october 2012 - alison hall

  • 1. UK Climate Change Act 29 October 2012 InterCLIMA 2012, Lima, Peru Alison Hall Climate Change and Energy Department Foreign & Commonwealth Office Alison.Hall@fco.gov.uk
  • 2. UK commitment “I don’t want to hear warm words about the environment. I want to see real action. I want this to be the greenest government ever”. DAVID CAMERON, 21 MAY 2010
  • 3. Climate Change Act 2008 • The world’s first long-term, legally binding framework to tackle the dangers of climate change • Bill introduced to Parliament November 2007 • Became law November 2008
  • 4. Climate Change Act 2008 Response to a number of factors: • Attitudes in UK towards climate change started to shift • Pressure from the public / in Parliament / NGO campaigns – 45,000 letters • Stern Review – showed it is cheaper to act early • Political consensus • Why legislate?
  • 5. Climate Change Act: Objectives • Meet UK and international climate change commitments • Clarity and certainty for industry, households and individuals to plan for and invest in a low carbon economy • Adapt to the impacts of unavoidable climate change • Low carbon growth • International leadership UNCLASSIFIED
  • 6. Main provisions of the Act • Requiring us to cut emissions by 34% by 2020 and 80% by Ambitious targets 2050 relative to 1990 levels Binding carbon • Five-year carbon budgets, set three budget periods ahead budgets • Requirement for Government to publish policies and A clear proposals for meeting the carbon budgets accountability framework • Independent Committee on Climate Change to advise on budgets and scrutinise delivery through annual reports • Government to report at least every five years on impacts on Adaptation UK of climate change and publish a programme to address
  • 7. Carbon Budgets • Give us the mechanism to manage our response to the mitigation challenge • Cutting emissions by 34% by 2020 and 80% by 2050 relative to 1990 levels 7
  • 8. Carbon Budgets Proposed by Government; approved by Parliament Going beyond Genuine financial A concrete reporting cycle international consequences if budgets set through UK law commitments and aren’t met ensuring their delivery • Setting limits on • Climate Change Act • Higher level of emissions for each five means carbon budgets ambition than our year period are legally binding international • Set fifteen years in • Any shortfall must be commitments require advance to give long- met by purchase of • Clear framework term clarity international credits enshrined in domestic • Regular reporting to • For a significant law for delivering Parliament, and shortfall, this could run economy-wide scrutiny by the to £billions emissions cuts Committee on Climate Change 8
  • 9. Carbon Budgets We have now set the first four carbon budgets Oct 2012 emissions projections Actual net UK carbon account Budget 1 indicative annual average Budget 2 indicative annual average Budget 3 indicative annual average Budget 4 indicative annual average 700 600 500 400 300 M O C 2 e t 200 100 0 8 0 2 9 0 2 1 0 2 1 0 2 3 1 0 2 4 1 0 2 5 1 0 2 6 1 0 2 7 1 0 2 8 1 0 2 9 1 0 2 0 2 1 0 2 0 2 3 0 2 4 0 2 5 0 2 6 0 2 7 0 2 P 1 0 2 ) ( 9
  • 10. Carbon Plan Sets out the UK’s strategy for meeting our carbon budgets The Carbon Plan took a scenario based approach, recognising uncertainty in planning to 2030 and beyond MtCO2e/ year It set out a three stage strategy: •Phase 1: Complete and prepare – From now to 2020 •Phase 2: Mass deployment – In the 2020s and 2030s •Phase 3: Finalising – From 2030 onward 10 10
  • 11. Carbon Plan Specifies policies and proposals to meet the first four Carbon Budgets • Quantified emissions savings by policy for the period until 2022 • In line with Carbon Budgets Projected non-traded sector emissions savings by policy – residential sector (MtCO 2e) 11
  • 12. Carbon Plan Specifies policies and proposals to meet the first four Carbon Budgets • Scenario-based approach for the period 2023 – 2027 Aggregate non-traded emissions under illustrative scenarios for 4th Carbon Budget • Scenario 1 implies, by 2030: • 6 million low carbon heat installations • Average new car emissions 60gCO2/Km • 3.7 million solid wall insulations 2023-2030
  • 13. Longer term scenarios We looked at a range of possible scenarios for 2050 These are just indicative – but they give a sense of common messages, and no regrets action we can take now 13
  • 14. Committee on Climate Change Independent advisors to the UK Government on tackling and preparing for climate change 14
  • 15. CCC: Responsibilities • Advice on: - levels of emissions reduction targets and carbon budgets - the contributions that different sectors could make - the extent to which offsetting could be used to meet the budgets • Annual reports to Parliament on progress against the carbon budgets • Advice on international aviation and shipping in carbon budgets • Advice, on request, on any other climate change issues • Also advises the Devolved Administrations (in Scotland, Wales and Northern Ireland) on their targets 15
  • 16. CCC: 4th Progress Report (2012) Confirms that the UK remains on track to overachieve against the level of the first three carbon budgets • Looks at emissions trends over the past year and evaluates underlying progress in implementing carbon-reduction measures and policies • Assesses performance of government policies in driving down emissions • Greenhouse Gas Emissions fell by 7%. 0.8% of this can be linked directly to implementation of proactive carbon lowering measures • Highlights challenges which remain across key areas: o investment in renewable energy and low carbon power o energy efficiency and renewable heat in buildings o cleaner transport and travel 16
  • 17. CCC: 4th Progress Report (2012) Government response… … confirms commitment to meet the targets set out in the Climate Change Act and the carbon budgets; acknowledges the scale of the challenge. …highlights progress on : •Reforming the electricity market to support low carbon generation and stimulate investment in low carbon technology •Supporting take-up of energy efficiency measures through the Green Deal and Energy Company Obligation •Building a market for renewable heat through the world’s first Renewable Heat Incentive •Measures to support the take-up of ultra low emission vehicles •Installing smart meters in 53 million premises across the UK by 2019 •Introducing a Green Investment Bank to catalyse private investment …re-states our commitment to Carbon Capture and Storage and our determination to press for the EU to show more ambition by moving to a tighter 2020 emissions target. 17
  • 18. Adaptation: Legislative Framework UK Climate Policy Analysis Projections 18
  • 19. Climate Change Risk Assessment Provides an evidence base to help us understand the risks • First assessment of its kind for the UK • The first in a 5 year cycle • Will inform development of National Adaptation Programme 19
  • 20. National Adaptation Programme Helping UK businesses, local authorities and civil society to become more resilient to climate change impacts Innovative Approach – “Co-Creation” 5 Themes • Defra (environment ministry) is working • Business and services; alongside businesses, local authorities and • Health and wellbeing; civil society to ‘co-create’ the National • Built environment and Adaptation Programme. infrastructure; • Stimulating innovative policymaking • Agriculture and forestry • Empowering a wide variety of non- • Natural environment government organisations to take responsibility for finding the best solutions for their sector 20
  • 21. Mexico: General Law of Climate Change (LGCC) • Second country in the world to legislate on climate change; • Legislation seeks to reduce greenhouse gas emissions by 30% in 2020 and by 50% in 2050. Goal of 35% of Mexico's electricity coming from clean sources by 2024. • Sets a new institutional framework • Planning instruments • Surveillance by the Federal Environmental Protection Agency (Procuraduría Federal de Protección al Ambiente) 21
  • 22. Lessons learned from UK experience • Cross Government coordination is vital – UK has put in place a cross- Departmental management board • Transparency and public visibility is important – UK has published projections, the Carbon Plan and modelling to 2050 • Government needs expert advice – UK set up the independent Committee on Climate Change • Regular interim targets provide certainty for investors – UK has set interim Carbon Budgets 22
  • 23. Questions? Alison Hall Climate Change and Energy Department Foreign & Commonwealth Office (UK) Alison.Hall@fco.gov.uk

Editor's Notes

  1. Ensure the UK can take advantage of the significant business opportunities in the green economy
  2. Decarbonising our energy supply : seven-fold increase in renewable energy by 2020, alongside nuclear energy and clean fossil fuels through CCS Greener homes and communities, with huge increases in energy efficiency , and community level measures such as district heating Transforming our transport system , with ultra-low carbon vehicles entering the market, and decarbonising public transport such as rail Changing our jobs and workplaces as more people are employed in industries delivering the low carbon technologies of the future Transforming our agriculture and use of land , using new methods to reduce emissions while still meeting our society’s needs UK low carbon economy already worth £122bn and employs 940,000. One of few sectors to grow during the economic downturn
  3. Carbon budgets are equivalent to a 34% cut in greenhouse gas emissions in 2020 . ....and will be tightened if the EU moves to 30% – around 42%?? The UK will also cut emissions by 80% by 2050. Fourth Carbon Budget: 1950 MtCO 2 e for the 2023-27 period, in line with the recommendations of the independent Committee on Climate Change A world first - no other country has a targets stretching into the 2020s Equates to a 50% reduction by 2025 on 1990 level We will review progress in EU climate negotiations in early 2014 We will also publish a package of measures to support energy intensive industries by the end of this year
  4. Carbon Plan = December 2011 Part of clear accountability framework – meets r equirement for Government to publish policies and proposals for meeting the carbon budgets The UK Low Carbon Transition Plan, published on 15 July 2009, plots how the UK will meet the 34 percent cut in emissions on 1990 levels by 2020 – UK emissions of the basket of six greenhouse gases covered by the Kyoto Protocol were 22.0 per cent lower in 2008 than in the base year, down from 779.9 to 608.4 million tonnes carbon dioxide equivalent. The Plan shows how reductions in the power sector and heavy industry; transport; homes and communities; workplaces and jobs; and farming, land and waste sectors could enable carbon budgets to 2022 to be met.
  5. The Carbon Plan specifies the policies and proposals the UK intends to use to meet the first four Carbon Budgets. It goes into a lot of detail. The tables are just examples so that you can see how detailed the plan is. You don’t need to read the actual numbers. On policies: The Carbon Plan lists the quantity of emissions which each policy is designed to save. And it tells you which year that saving will be made in.
  6. On scenarios: The Carbon Plan also uses illustrative scenarios for planning because we cannot know exactly what technology developments will be that far ahead. Each scenario shows different combinations of emissions saving that would enable us to meet our Carbon Budgets.
  7. The challenge ahead: Getting the policy mix right to meet the targets, on: Energy supply Electricity Market Reform (carbon floor price, emissions performance standard) Support for Carbon Capture and Storage Renewables Obligation, Feed-in Tariffs, Renewable Heat Incentive Energy demand Green Deal from late 2012 Smart meter roll-out from summer 2012 Financial incentives Green Investment Bank from 2013/14
  8. The Department of Energy and Climate Change has announced Lord Deben PC (the RT Hon John Gummer) as the new Chair of the Committee on Climate Change. He takes over from Lord Turner who stepped down earlier this year to focus on his role as Chair of the Financial Services Authority.
  9. , which means the rate of underlying progress is only a quarter of what is needed to meet future carbon budgets.
  10. The Government published the UK Climate Change Risk Assessment in January 2012
  11. Defra = Department for Environment, Food and Rural Affairs
  12. After three years of debates and revision, on 12 April 2012 the Mexican House of Deputies passed the Climate Change Bill with a vote of 210 for, 10 against and 1 abstention. The Law will come into force on the 12 of October 2012. The Law makes Mexico the second country in the world after the UK and the first developing country to have legislated in climate change; that helps Mexico to get a good reputation at international level in line with the evolution of the United Nations Framework Convention on Climate Change. Definition of the principle of concurrency of functions among the three levels of Government (Federal, State and Municipal); Regulation of the greenhouse gas emissions; Regulation of policies and actions in mitigation and adaptation; Reduction of vulnerability of human and natural systems to climate change; Promotion of education, research, development, diffusion and technology transfer; Promotion of a transition to competitive, sustainable and low carbon economy bringing environmental, social and economic benefits.