INTRODUCTION of UNFCCC and the KYOTO PROTOCOL

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• INTRODUCTION of UNFCCC and the KYOTO PROTOCOL
• Workshop on International Experience on
  Implementation of the Kyoto Protocol in CEE
  Countries
• Zsuzsanna Ivanyi
• 6-7 January, 2006

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OUTLINE

• 1. Background and Motivation for Climate Policy
• some scientific facts
• potential impacts
• 2. Milestones of Climate negotiations
• 3. The Kyoto Protocol
• provisions
• rulebook
• where are we?
• 4. Conclusions and the Way Ahead

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WHY DO WE NEED CLIMATE POLICY? Some science

• Background
• The greenhouse effect natural vs. human
• Since beginning of industrial revolution (1700)
  
• the major GHGs have increased
• Greenhouse Gases CO2, CH4, N2O, HFCs, PFCs, SF6

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Mauna Loa Curve
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GREENHOUSE GASES
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SCIENTIFIC FACTS 1
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SCIENTIFIC FACTS 2
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SCIENTIFIC FACTS 3

• 1990's was most likely the warmest decade
• ever, and 1998 the warmest year
• precipitation patterns have changed
• snow cover and ice extent have decreased
• global average sea level has risen
• the oceans are warming
• glaciers are shrinked
• circulation patterns are changing

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• IPCC Third Assessment Report (2001)
• Statements
• most of the earths warming over the last 50
  years (0.6 degrees Celsius) can be attributed to
  human activities ,
• effects are already felt
• global temperature is expected to increase by 1.4
  - 5.8 degrees Celsius over the next century
• Potential impacts
• increase in frequency and intensity of extreme
  climate events
• increase in risk of desertification
• human health

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SPECIALITIES of CLIMATE CHANGE ASSESSMENTS

• UNCERTAINTY the socio-economic development rate,
  its environmental impact and the feedback between
  them is uncertain.
• GEOGRAPHICAL SCALE climate change is a global
  phenomenon affecting the whole world, at the same
  time environmental and socio-economic impulses
  and responses are highly differentiated across
  regions.
• TIME SCALE climate change is a long-term
  phenomenon. Assessing impacts on environmental
  and socio-economic systems requires a long-run
  perspective.

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WHY DO WE NEED CLIMATE POLICY?

• Because
• Climate change is human induced
• Climate change is complex issue and economic
  characteristics highlight difficulty to cope with
• Joint international efforts, collective actions
  and control are needed, but
• Due to large economic and environmental
  asymmetries among world regions, actions are
  needed internationally coordinated and harmonized
  
• International environmental agreements

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MILESTONES of CLIMATE NEGOTIATIONS (1)

• 1979 First World Climate Conference in Geneva
• 1985 First major scientific international
  conference on the greenhouse effect, Villach
• 1988 Intergovernmental Panel on Climate Change
  (IPCC)
• 1990 Second World Climate Conference in Geneva,
  First Assessment Report of the IPCC
• 1992 Earth Summit Rio de Janeiro, UN
  Framework Convention on Climate Changeprevent
  dangerous warming from greenhouse gases, and sets
  initial target of reducing emissions from
  industrialized countries to 1990 levels by the
  year 2000

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UN Framework Convention on Climate Change

• The Convention
• an overall framework for intergovernmental
  efforts to tackle the challenge posed by climate
  change 
• recognizes that the climate system is a shared
  resource whose stability can be affected by
  industrial and other emissions of carbon dioxide
  and other greenhouse gases.
• Under the Convention the governments
• gather and share information on greenhouse gases
  emissions, national policies and best practices
• launch national strategies for addressing GHGs
  and adaptation, including the provision of
  financial and technological support to developing
  countries 
• cooperate in preparing for adaptation to the
  impacts of climate change.

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MILESTONES of CLIMATE NEGOTIATIONS (2)

• 1994 Entry-into-force by UNFCCC
• ultimate objective () stabilisation of
  greenhouse gas concentrations in the atmosphere
  at a level that would prevent dangerous
  anthropogenic interference with the climate
  system () (Art. 2),
• emphasising that () the Parties should protect
  the climate system () on the basis of equity and
  in accordance with their common but
  differentiated responsibilities and respective
  capabilities. (Art. 3)
• ? Application of the UNFCCC represented crucial
  step towards the Kyoto process
• 1995 first meeting of Conference of Parties
  COP-1 in Berlin Berlin Mandate
• 1997 COP-3 in Kyoto Kyoto Protocol

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KYOTO PROTOCOL (1)

• shares the Conventions objective, principles and
  institutions,
• strengthens the Convention by committing Annex I
  Parties to individual, legally-binding targets to
  limit or reduce GHGs,
• legally binding commitments for emission
  reduction, on average 5 from 1990 levels in the
  commitment period 2008-2012,
• only Parties to the Convention that have also
  become Parties to the Protocol (i.e by ratifying,
  accepting, approving, or acceding to it) will be
  bound by the Protocols commitments,
• only developed countries are required to making
  commitments. The individual targets for Annex I
  Parties are listed in the Kyoto Protocols Annex
  B.

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Individual Target (1990 - 2008/2012)

• Countries included in Annex B to the Kyoto
  Protocol
• EU-15, Bulgaria, Czech Republic, Estonia,
  Latvia, Liechtenstein, Lithuania, Monaco,
  Romania, Slovakia, Slovenia, Switzerland-8
• US-7
• Canada, Hungary, Japan, Poland-6
• Croatia-5
• New Zealand, Russian Federation, Ukraine 0
• Norway1
• Australia8
• Iceland10
• To achieve these targets, the KP foresees the
  following two broad strategies Mitigation and
  Adaptation

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KYOTO PROTOCOL (2)

• 1.The KP indicates also a variety of policies and
  measures that should be employed in order to
  achieve the targets
• Increase of sinks (forest and cropland
  management)
• Increase share of RES
• Increase energy efficiency
• 2. The KP foresees that the national measures are
  integrated with international measures aimed at
  achieving the targets in a cost-effective
  wayEstablishment of flexible mechanisms
  (additional to domestic)
• Joint Implementation
• Clean development Mechanism
• Emissions Trading

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KYOTO PROTOCOL (3)

• Joint Implementation (ERUs) GHG mitigation
  projects between developed countries as defined
  in Art. 6 of the KP,
• Clean Development Mechanism (CERs)GHG
  mitigation projects between developed and
  developing countries as established in Art. 12 of
  the KP,
• purposes assisting developing countries in
  achieving sustainable development and helping
  Annex I parties meet their emissions targets
• Emissions Trading (AAUs)Defined in Art. 17 of
  the KP, transfer some of emissions under its
  assigned amount (AAUs) or EURs,CERS, RMUs
• ?to increase the cost-effectiveness of climate
  policies by reducing the countries abatement
  costs

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KYOTO PROTOCOL (4)

• Rulebook Marrakesh Accords (COP 7, 2001),
• adopted at COP 11, 2005
• 1.Compliance Committee Facilitative and
• 
  Enforcement Branch
• 2. Set the ground for KMs
• Eligibility requirements
• Ratification of the KP
• Assigned amounts have to be calculated
• National system for estimating GHG sources and
  sinks must be put in place
• National registry must be put in place
• Annually report information on emission and
  removals

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KYOTO PROTOCOL (5)

• Where are we now?
• Ratified in 2005
• US pulled out, but Russia's participating
• CDM and JI are operational
• EU ETS is in test phase
• The protocol is a first and small step compared
  to what will be needed

Commitments so far defined for the period from
1990 (base year) to 2012
New commitment discussions for 2nd period
Test Period EU Emission Trading
1st Commitment Period
2nd Commitment Period
3rd Commitment Period
Year
2022
2017
2012
2008
2005
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CONCLUSIONS

• Project based FMs are excellent tools to attract
  foreign investments and thereby to promote
  technological upgrading
• Projects under the FMs need to follow
  international provisions and demonstrate real
  emission reduction
• JI/CDM projects are operational and achieved
  ERUs/CERs can be used for investing countries to
  meet compliance with Kyoto target
• In participating FMs proper national legal,
  institutional and administrative background is
  needed.

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• Thank you very much for your attention!
• zivanyi_at_rec.org
• www.rec.org/REC/Programs/ClimateChange.html