The document discusses the European Climate Change Programme (ECCP) and the European Union's efforts to meet its Kyoto targets. It provides an overview of the ECCP, which was launched in 2000 to identify cost-effective policies to reduce emissions. Major achievements of the ECCP include new legislation and a policy mix that is projected to reduce emissions by 350-430 million tons of CO2eq per year, meeting the EU's Kyoto target. A key part of the ECCP is the EU Emissions Trading System, which has been operational since 2005, covers around 50% of EU emissions, and involves over 12,000 installations. The trading system taps market dynamics to reduce the costs of meeting emissions targets.

1. European Commission: DG Environment
The European Climate
Change Programme
Artur Runge-Metzger
European Commission
Seminar of Governmental Experts, 16-17 May 2005, Bonn
A presentation on behalf of the EU

2. European Commission: DG Environment
The EU’s Challenge: EU-15 projected
progress towards Kyoto Commitments
Figure 1: EU-15 greenhouse gas emissions until
2002 and projections until 2010
90
92
94
96
98
100
102
104
106
108
1990 1995 2000 2005 2010
Year
1990
GHG
Emissions
=
100
Business as usual
with existing
policies
with additional
policies
Kyoto target path
Kyoto mechanisms
2002

3. European Commission: DG Environment
The EU’s Response: European Climate
Change Programme (ECCP)
 Objective
 Identify and develop cost effective elements of EC strategy to meet
the EU’s Kyoto target in cooperation with stakeholders
 Major Milestones
 Launch March 2000; October 2001: EC commitment on concrete
Action Plan supplementary to Member States’ efforts
 2004: new legislation largely put in place, wide policy mix
 New phase in 2005 (e.g. review, energy efficiency, aviation, CCS,
adaptation)
 Major Achievements
 EU Measures currently “in implementation”: potential of 350-430
Mt CO2eq./year (equals Kyoto target for EU-15)

4. European Commission: DG Environment
EU Emissions Trading: operational
since 1st January 2005
 a new, market based instrument, covering close to 50%
of EU-25 CO2 emissions – the largest ever implemented
 taps on the market dynamics and innovation capacity of
the industrial sectors, reduces Kyoto compliance cost
 covers major energy intensive industries, in total 12000
installations
 approximately 2 billion allowances per year (2005-2007)
 total value of allowances: 32 billion € at current prices
 linking with JI/CDM: direct access of credits to EU ETS
 linking with other domestic schemes enabled through
current regulatory framework

5. European Commission: DG Environment
EU Emissions Trading: Price & Traded
Volumes in the EU ETS
Source: Point Carbon's Carbon Market Daily

6. European Commission: DG Environment
More information on EU climate change policy
http://europa.eu.int/co
mm/environment/climat
/home_en.htm