GHG Emissions and Reduc0ons in Agriculture What is happening in the - PowerPoint PPT Presentation

GHG Emissions and Reduc0ons in Agriculture What is happening in the EU? Rob Vierhout, MSc ISCC Sustainability Conference 27 October 2016 - São Paulo

Agenda The EU Energy & Climate policy post 2020 The Agricultural sector and its emissions Concluding remarks 161027 - ISCC Sustainability Conference, São Paulo 2

Why ambiKous targets are needed Source: EEA, Commission (DG CA) 161027 - ISCC Sustainability Conference, São Paulo 3

Agenda The EU Energy & Climate policy post 2020 The Agricultural sector and its emissions Concluding remarks 161027 - ISCC Sustainability Conference, São Paulo 4

The EU’s Energy & Climate Policy: the targets In October 2014 the European Council agreed the 2020-2030 policy framework and targets for Climate and Energy The only targets? 161027 - ISCC Sustainability Conference, São Paulo 5

The EU’s Energy & Climate Policy post 2020: GHG targets & instruments Saving to be Sector How achieved Binding for the EU At least 40% Overall Economy-wide 28 + Norway+ compared to 2009 Iceland High energy Market-based 43% compared to ETS* consuming emission rights 2005 industries (allowances) AG , waste NaKonally binding 30% compared to management, Non-ETS reducKon targets 2005 transport, (ESD / R) buildings * ETS stands for Emissions Trading Scheme, covering over 11 000 large installaKons 161027 - ISCC Sustainability Conference, São Paulo 6

The EU “Effort sharing” policy • The Effort Sharing Decision (2009) established binding annual GHG emission targets for Member States (MS) for the period 2013–2020 • Only applicable for non-ETS sectors : transport (except aviaKon and internaKonal mariKme shipping), buildings, agriculture and waste • Proposal on the table to update the Effort Sharing policy with binding targets for 2021-2030 • More ambiIous than the present ESD: • 30% reducKon instead of 10% now • Nine MS may achieve their target by covering some emissions with EU ETS allowances but no more than 100 Mtons CO 2 • MS may use to a certain level savings from certain land use categories • Banking and borrowing possible, as well as buying and selling between MS 161027 - ISCC Sustainability Conference, São Paulo 7

GHG emission targets comparison for each MS 2013-2020 and 2021–2030 20 Targets 10 2013 - 2020 0 GHG emission % -10 Targets 2021 - -20 2030* -30 * SKll under discussion by -40 MS & EP Luxembourg Sweden Denmark Finland Germany France UK Netherlands Austria Belgium Italy Ireland Spain Cyprus Malta Portugal Greece Slovenia Czech Republic Estonia Slovakia Lithuania Poland CroaKa Hungary Latvia Romania Bulgaria EU total carbon dioxide (CO2), methane (CH4), nitrous oxide (NO2), hydrofluorocarbons (HFCs), perfluorocarbons (PFCs) and sulphur hexafluoride (SF6) 161027 - ISCC Sustainability Conference, São Paulo 8

Agenda The EU Energy & Climate policy post 2020 The Agricultural sector and its emissions Concluding remarks 161027 - ISCC Sustainability Conference, São Paulo 9

Global GHG emissions by economic sector (2010) Source: IPCC 2014, 5th assessment report 161027 - ISCC Sustainability Conference, São Paulo 10

AG GHG Emissions in the EU (excluding LULUCF) 2012 471 MtCO 2eq (2012): - Manure management (CH 4 , N 2 O): 16.8% - Livestock (CH 4 ): 31,3% - Agricultural soils (N 2 O): 51.3% Source: European Environment Agency 2015 161027 - ISCC Sustainability Conference, São Paulo 11

Development of AG GHG emission CO 2eq in the EU (1990-2012) Source: European Environment Agency 2015 161027 - ISCC Sustainability Conference, São Paulo 12

Changes in the EU-28 GHG emissions by sector (1990-2012) Source: European Environment Agency 2015 161027 - ISCC Sustainability Conference, São Paulo 13

Projected emissions/ carbon sink from Land Use, Land Use Change, Forestry (LULUCF) - 2005-2030 Source: European Commission, COM(2016)479 final, IA 161027 - ISCC Sustainability Conference, São Paulo 14

Reducing emissions from agriculture • ExpectaKon is that by 2030 compared to 2005 AG emission reducKon will be around only -2.4% • Main reason is that the cost-efficient miKgaKon potenKal of non-CO 2 emissions is low* • However, there is more potenKal in reducKon of CO 2 emissions in AG land. Carbon sequestraKon through land-use, land-use change, crop producKon; ferKlizer applicaKon; zero Kllage; wetland/peatland restoraKon** • The role of the AG sector as food supplier makes this a long-term opKon • Other sectors (transport, buildings, waste) need to deliver relaKvely more GHG emissions reducKon to achieve the -30% target * An economic assessment of GHG miKgaKon policy opKon for EU AG, JRC, 2016 ** EffecKve performance of tools for climate acKon policy. Ricardo-AEA, 2016 161027 - ISCC Sustainability Conference, São Paulo 15

ExisKng policy and policy under consideraKon • Greening the CAP • Change in ferKlizer use • Beter accounKng of emissions for LULUCF and linkage to ESD 161027 - ISCC Sustainability Conference, São Paulo 16

Greening the Common Agricultural Policy (CAP) • 'Greening', a major innovaKon brought in under the 2013 CAP reform making the direct payments system more environment-friendly: farmers who use farmland more sustainably and care for natural resources benefit financially • Core elements: • diversifying crops - mandatory crop rotaKon (farm size-related) • maintaining permanent grassland (task for authoriKes) • dedicaKng 5% of arable land to 'ecologically beneficial elements' ('ecological focus areas’) such as: fallow land, field margins, hedges and trees, buffer strips • Small-holders are excluded from ‘greening’ 161027 - ISCC Sustainability Conference, São Paulo 17

Land Use, Land Use Change, Forestry (LULUCF) • Following the COP Paris Agreement there is a bill under discussion to have in EU law the Kyoto Protocol principle of the “ no debit rule ” by incorporaKng land use and forestry into the EU's emission-reducKon efforts (excluded now from GHG emission saving targets) • Ensure that GHG emissions from land use are compensated by an equivalent absorpKon of CO₂ by addiKonal acKon in the sector: AccounIng instead of just reporKng • The proposed measures are binding for countries not for farmers (yet) • The “no debit rule” applies to the overall EU target and the individual MS targets • LULUCF credits (net emission savings) can be used for ESD compliance; one way though 161027 - ISCC Sustainability Conference, São Paulo 18

Circular economy - ferKlizer • December last year a major policy change was proposed to create a circular economy in Europe: resource-efficient use of materials, less waste, more re-use of waste • In March this year as a first deliverable of the circular economy package was presented: a proposal on organic and waste-based ferKlizers • The objecKves are: a) more stringent standards for fossil-based ferKlizers, and b) creaKng an internal market for organic ferKliser reducing the need for fossil-based ferKlizers 161027 - ISCC Sustainability Conference, São Paulo 19

Agenda The EU Energy & Climate policy post 2020 The Agricultural sector and its emissions Concluding remarks 161027 - ISCC Sustainability Conference, São Paulo 20

Concluding remarks • The EU is on track reducing its GHG emissions as planned but ambiKous post 2020 EU targets had to be agreed upon to stay on track • For the non-ETS sectors all MS (except Bulgaria) need to realise emission savings but under a system that allows more flexibility • The EU is planning to abandon targets on transport and fuels, an excepKon is being considered for advanced biofuels but the overall objecKve is maximum flexibility of the MS to achieve GHG emission targets • GHG emission savings (non-CO 2 emissions) in the EU AG sector are a challenge (too costly); savings would need to come from LU, LUC and F 161027 - ISCC Sustainability Conference, São Paulo 21

QuesKons • What will be the future of convenKonal biofuels? • What might be the impact of the new E&E policy for the agricultural sector here in South-America? 161027 - ISCC Sustainability Conference, São Paulo 22