CEEP: Climate agreement an opportunity to review Europe’s emission trading system

CEEP: Climate agreement an opportunity to review Europe’s emission trading system

The COP 21 climate conference in Paris was concluded by the adoption of an international agreement. The aim of the document, signed by close to 200 countries, is to reduce the increase in the global temperature, by below two degrees Celsius over the pre-industrial level. According to experts from Central Europe Energy Partners (CEEP), the concept of an emissions trading system (ETS), adopted by the European Union, has not been backed by other countries. This indicates how important it is for the EU to review the entire system. The fact that the adopted agreement has a global reach is undoubtedly an important achievement in the ongoing combat against climate change. It is also a major commitment. According to Marcin Bodio, the CEO of CEEP, the results of the Paris summit will need to be evaluated at the global, not regional level. „We need time to adopt the provisions of the agreement, and subsequently, launch the process of their implementation. The next climate conference, scheduled for 2023, will be a good opportunity to review the progress made. This date seems quite distant, but, when you take into consideration the perspective of average investment processes in the energy sector and energy-intensive industries, there is not that much time left,” Mr. Bodio observed. Another major achievement of the Paris summit is how it helped to raise awareness of climate change at the global level. „In the course of the entire conference, we witnessed vigorous discussions which spurred various schemes and plans to reduce the increase of global temperatures. The most ambitious position was taken by the European Union, which, not only advocated [...]

Oil companies split over rigorous climate solution

The leaders of ten of the biggest, global oil companies have offered their qualified support for a new global treaty on climate change, stating, in a written declaration, that they share the ambition to limit global warming to 2 degrees C. The Oil and Gas Climate Initiative, (OGCI) as the group calls itself, comprises a wide international mix: Britain’s BP and BG Group, Shell, Saudi Aramco, Total, Statoil of Norway, Italy’s ENI, Repsol of Spain, India’s Reliance Industries, and the Mexican company, Pemex. Their recent meeting, held in Paris, on October the 16th, revealed their intention to collaborate and inspire their industry to do more to combat global climate change, and the group signed a declaration which called for “an effective climate change agreement” at COP-21 in December. Their statement also acknowledged that the existing trend of the world’s net greenhouse gas emissions is not consistent with the aim of a 2 degree C future. The companies asserted that that they would make their own production operations more efficient, vowing to collaborate to limit gas flaring from their refineries, whilst reducing methane that escapes from oil and gas installations. They claimed that they had, in fact, already reduced their emissions by 20% over the past decade. They also promised to promote natural gas as a better option than coal, and invest in carbon capture and storage, as well as renewable energy. The OGCI further promised to work with car makers and consumers to improve vehicle fuel economy. However, notable by their absence at the Paris gathering were American companies, especially Chevron and Exxon Mobil. These oil majors seem to [...]