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What should the ESD look like? The German perspective Jasper Braam Federal Ministry for the Environment, Nature Protection, Building and Nuclear Safety The Effort Sharing Decision Post-2020: How to ensure the EUs largest climate isntrument is


  1. What should the ESD look like? The German perspective Jasper Braam Federal Ministry for the Environment, Nature Protection, Building and Nuclear Safety The Effort Sharing Decision Post-2020: How to ensure the EU‘s largest climate isntrument is fit for purpose? Brussels, 1 June 2016

  2. Target-setting • Formula set by the European Council, based on current rules (GDP/capita) • GDP/capita > EU average: GDP/capita + cost-efficiency • Starting point as important for climate ambition as end point. Thus: use real emissions, capped by 2020 target 2700 2600 2500 2400 2300 Mt -24% 2200 2100 2000 -30% 1900 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 Real emissions in 2020 (WEM) Trajectory from the 2020 target Possible trajectory

  3. LULUCF • LULUCF plays an important role in climate action, in particular in order to reach GHG neutrality • Important: set incentives for climate action in LULUCF • At the same time: preserve targets and ambition levels in other sectors • This double objective can basically be reached in all three options to integrate LULUCF into 2030 framework (separate pillar, AFOLU pillar,

  4. Flexibility • Current flexibilities yet unproven due to oversupply (banking, borrowing, trade) – but should work in principle. • Problem: trade unlikely to occur under scarcity post-2020 • Idea: possibility to finance GHG reduction projects in other MS and count resulting mitigation towards own target  “European Project Mechanism”? • Create a win-win situation and make the ESD more attractive. • No environmental risk.

  5. Reflecting Paris • Paris Agreement requires five-yearly regular stock-take and NDC review, starting in 2018-2020 • EU must actively participate in this process and keep all options open, including to raise ambition by 2020 • Need to reflect PA in 2030 legislation, including ESD • Most solid: Requirement to review 2030 target in 2019, but other options possible

  6. Thank you for your kind attention! Jasper Braam Federal Ministry for the Environment, Nature Protection, Building and Nuclear Safety The Effort Sharing Decision Post-2020: How to ensure the EU‘s largest climate isntrument is fit for purpose? Brussels, 1 June 2016

  7. ESD Bibliography Ecologic on ESD reform: http://ecologic.eu/13650 Ecologic on flexibility: http://ecologic.eu/12247 Ecologic on ESD auctioning: http://ecologic.eu/13133 Öko-Institut on target-setting: http://www.oeko.de/publikationen/p-details/eu-effort- sharing-for-the-2021-2030-period/ Öko-Institut on flexibility: http://www.oeko.de/oekodoc/2373/2015-537-en.pdf

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