67 Amendments of Peter LIESE related to 2015/0148(COD)
Amendment 84 #
Proposal for a directive
Recital 2
Recital 2
(2) The European Council of October 2014 made a commitment to reduce the overall greenhouse gas emissions of the Union by at least 40% below 1990 levels by 2030. All sectors of the economy should contribute to achieving these emission reductions and the target will be delivered in the most cost-effective manner through the Union emission trading system (EU ETS) delivering a reduction of 43% below 2005 levels by 2030. This was confirmed in the intended nationally determined reduction commitment of the Union and its Member States submitted to the Secretariat of the UN Framework Convention on Climate Change on 6 March 201516 . The burden of the emission reductions should be fairly shared between sectors covered by the EU ETS, and comparable efforts should be made concerning aviation emissions from intra-Union flights. __________________ 16 http://www4.unfccc.int/submissions/indc/S ubmission%20Pages/submissions.aspx
Amendment 86 #
Proposal for a directive
Recital 2 a (new)
Recital 2 a (new)
(2a) In accordance with the Agreement adopted in Paris at the 21st Conference of the Parties of the United Nations Framework Convention on Climate Change of 12 December 2015 (the 'Paris Agreement') and in line with the commitment of the co-legislators expressed in Directive 2009/29/EC of the European Parliament and of the Council1a and Decision No 406/2009/EC of the European Parliament and of the Council1b , all sectors of the economy are required to contribute to the reduction of CO2 emissions. To this end, efforts to limit international maritime emissions through the International Maritime Organisation (IMO) are under way and should be encouraged, with the aim of establishing a clear IMO action plan for climate policy measures to reduce CO2 emissions from shipping at a global level. The adoption of clear targets to reduce international maritime emissions through the IMO has become a matter of great urgency and a prerequisite for the Union not to act further on the inclusion of the maritime sector within the EU ETS. __________________ 1aDirective 2009/29/EC of the European Parliament and of the Council of 23 April 2009 amending Directive 2003/87/EC so as to improve and extend the greenhouse gas emission allowance trading scheme of the Community (OJ L 140, 5.6.2009, p. 63). 1bDecision No 406/2009/EC of the European Parliament and of the Council of 23 April 2009 on the effort of Member States to reduce their greenhouse gas emissions to meet the Community's greenhouse gas emission reduction commitments up to 2020 (OJ L 140, 5.6.2009, p. 136).
Amendment 96 #
Proposal for a directive
Recital 3
Recital 3
(3) The European Council confirmed that a well-functioning, reformed EU ETS with an instrument to stabilise the market will be the main European instrument to achieve this target, with an annual reduction factor of 2.2% from 2021 onwards, free allocation not expiring but existing measures continuing after 2020 to prevent the risk of carbon leakage due to climate policy, as long as no comparable efforts are undertaken in other major economies, without reducing the share of allowances to be auctioned. The auction share should be expressed as a percentage figureclarity on the amount of auctioned allowances in the legislation, to enhance planning certainty as regards investment decisions, to increase transparency and to render the overall system simpler and more easily understandable.
Amendment 104 #
Proposal for a directive
Recital 4
Recital 4
(4) It is a key Union priority to establish a resilient Energy Union to provide secure, sustainable, competitive and affordable energy to its citizens. Achieving this requires continuation of ambitious climate action with the EU ETS as the cornerstone of Europe’s climate policy, and progress on the other aspects of Energy Union17. Implementing the ambition decided in the 2030 frameworkf the EU ETS is to remain the main Union instrument, its interaction with other Union and national policies that have an impact on the demand for EU ETS allowances needs to be taken into account. Implementing the ambition decided in the 2030 framework and adequately addressing the progress on other aspects of the Energy Union contributes to delivering a meaningful carbon price and continuing to stimulate cost-efficient greenhouse gas emission reductions. __________________ 17 COM(2015)80, establishing a Framework Strategy for a Resilient Energy Union with a Forward-Looking Climate Change Policy
Amendment 110 #
Proposal for a directive
Recital 4 c (new)
Recital 4 c (new)
(4c) Increased ambition in energy efficiency compared to the 27% target adopted by the Council, should lead to more free allowances for industry at risk of carbon leakage.
Amendment 113 #
Proposal for a directive
Recital 5
Recital 5
(5) Article 191(2) of the Treaty on the Functioning of the European Union requires that Union policy is based on the principle that the polluter should pay and, on this basis, Directive 2003/87/EC provides for a transition to full auctioning over time. Avoiding carbon and investment leakage is a justification to postpone fullsuch a transition, and targeted free allocation of allowances to industry is justified in order to address genuine risks of increases in global greenhouse gas emissions inand diversion of investments to third countries where industry is not subject to comparable carbon constraints as long as comparable climate policy measures are not undertaken by other major economies. Additional achievements in sectors not falling under the scope of the EU ETS and not subject to a risk of carbon leakage, in particular in the building sector and sustainable transport, will decrease the amount of effort needed from the Union’s industry.
Amendment 121 #
Proposal for a directive
Recital 6
Recital 6
(6) The auctioning of allowances remains the general rule, with free allocation as the exception. Consequently, and as confirmed by the European Council, the share of allowances to be auctioned, which was 572% over the period 2013-2020, should not be reduced. The Commission's Impact Assessment18 provides details on the auction share and specifies that this 57% share is made up of allowances auctioned on behalf of Member States,. Allowances originally covered by the transitional Union-wide rules for harmonised free allocation (which includinge allowances set aside for new entrants but not allocated, and allowances for modernising electricity generation in some Member States and allowances which are to be auctioned at a later point in time because of their placement in the Market Stability Reserve established by Decision (EU) 2015/… of the European Parliament and of the Council19 . __________________ 18 19Decision (EU) 2015/… of the European Parliament and of the Council of … concerning the establishment and operation of a market stability reserve for the Union greenhouse gas emission trading scheme and amending Directive 2003/87/EC (OJ L […], […], p. […]).that are unallocated due to closures and partial cessations) should not be considered to be auctioned allowances for the purposes of the calculation of the auction share. __________________ 18 SEC(2015)XX SWD(2015)135
Amendment 127 #
Proposal for a directive
Recital 7
Recital 7
(7) To preserve the environmental benefit of emission reductions in the Union while actions by other countries do not provide comparable incentives to industry to reduce emissions, free allocation should continue to installations in sectors and sub- sectors at genuine risk of carbon leakage. Experience gathered during the operation of the EU ETS confirmed that sectors and sub-sectors are at risk of carbon leakage to varying degrees, and that free allocation has prevented carbon leakage. While some sectors and sub-sectors can be deemed at a higher risk of carbon leakage, others are able to pass on a considerable share of the costs of allowances to cover their emissions in product prices without losing market share and only bear the remaining part of the costs so that they are at a low risk of carbon leakage. The Commission should determine and differentiate the relevant sectors based on their trade intensity and their emissions intensity to better identify sectors at a genuine risk of carbon leakage. Where, based on these criteria, a threshold determined by taking into account the respective possibility for sectors and sub-sectors concerned to pass on costs in product prices is exceeded, the sector or sub-sector should be deemed at risk of carbon leakage. Others should be considered at a low risk or at no risk of carbon leakage. Taking into account the possibilities for sectors and sub-sectors outside of electricity generation to pass on costs in product prices should also reduce windfall profits. In order to address the problem of investment leakage, the 5% most efficient installations should get an extra amount of free allowances.
Amendment 135 #
Proposal for a directive
Recital 8
Recital 8
(8) In order to reflect technological progress in the sectors concerned and adjust them to the relevant period of allocation, provisbenchmarks for free allocations to installations, should be made updated before the valuesstart of the benchmarks for free allocations to installations, determined on the basis of data from the years 2007-8, to be updated in line with observed average improvementfourth trading period in order to base free allocations on actual technological progress. That update should be carried out on the basis of robust, objective and verified data from installations. For reasons of predictability, thifurther updates should be done through applying a factor that represents the best assessment of progress across sectors, which should then take into accountalso be based on robust, objective and verified data from installations so that sectors whose rate of improvement differs considerably from this factor have a benchmark value closer to their actual rate of improvement. Where the data shows a substantial difference from that factor reduction of more than 0.5% of the 2007-8 value higher or lower per year over the relevant period, the related benchmark value shall be adjusted by that percentage. To ensure a level playing field for the production of aromatics, hydrogen and syngas in refineries and chemical plants, the benchmark values for aromatics, hydrogen and syngas should continue to be aligned to the refineries benchmarks.
Amendment 139 #
Proposal for a directive
Recital 9
Recital 9
(9) Member States should partially compensate, in accordance with state aid rules, certain installations in sectors or sub-sectors which have been determined to be exposed to a significant risk of carbon leakage because of costs related to greenhouse gas emissions passed on in electricity prices. The Protocol and accompanying decisions adopted by the Conference of the Parties in Paris need to provide for the dynamic mobilisation of climate finance, technology transfer and capacity building for eligible Parties, particularly those with least capabilities. Public sector climate finance will continue to play an important role in mobilising resources after 2020. Therefore, auction revenues should also be used for climate financing actions in vulnerable third countries, including adaptation to the impacts of climate. The amount of climate finance to be mobilised will also depend on the ambition and quality of the proposed Intended Nationally Determined Contributions (INDCs), subsequent investment plans and national adaptation planning processes. Member States should also address the social aspects of decarbonising their economies and use auction revenues to promote skill formation and reallocation of labour affected by the transition of jobs in a decarbonising economy.
Amendment 152 #
Proposal for a directive
Recital 10
Recital 10
(10) The main long-term incentive from this Directive for thecarbon capture and storage of CO2(CCS) and carbon capture and use (CCSU), new renewable energy technologies and breakthrough innovation in low-carbon technologies and processes is the carbon price signal it creates and that allowances will not need to be surrendered for CO2 emissions which are permanently stored or avoided. In addition, to supplement the resources already being used to accelerate demonstration of commercial CCS and CCU facilities and innovative renewable energy technologies, EU ETS allowances should be used to provide guaranteed rewards for deployment of CCS and CCU facilities, new renewable energy technologies and industrial innovation in low-carbon technologies and processes in the Union for CO2 stored or avoided on a sufficient scale, provided an agreement on knowledge sharing is in place. The majority of this support should be dependent on verified avoidance of greenhouse gas emissions, while some support may be given when pre-determined milestones are reached taking into account the technology deployed. The maximum percentage of project costs to be supported may vary by category of project.
Amendment 173 #
Proposal for a directive
Recital 14
Recital 14
(14) The existing provisions which are in place for small installations to be excluded from the EU ETS allow the installations which are excluded to remain so, and it should be made possible for Member States to update their list of excluded installations and for Member States currently not making use of this option to do so at the beginning of each trading period. Member States should ensure that alternative measures for installations that have opted out do not result in higher compliance costs. For small emitters covered by the EU ETS, monitoring, reporting and verification requirements should be simplified for such installations.
Amendment 180 #
Proposal for a directive
Article 1 – point -1 b (new)
Article 1 – point -1 b (new)
Directive 2003/87/EC
Article 3 – point h
Article 3 – point h
(-1 b) In Article 3, point h is replaced by the following: '(h) ‘new entrant'’ means: - any installation carrying out one or more of the activities indicated in Annex I, which has obtained a greenhouse gas emissions permit for the first time after 30 June 20118, - any installation carrying out an activity which is included in the Community scheme pursuant to Article 24(1) or (2) for the first time, or - any installation carrying out one or more of the activities indicated in Annex I or an activity which is included in the Community scheme pursuant to Article 24(1) or (2), which has had a significant extension after 30 June 20118, only in so far as this extension is concerned;'
Amendment 183 #
Proposal for a directive
Article 1 – point -1 d (new)
Article 1 – point -1 d (new)
Directive 2003/87/EC
Article 3 – point u b (new)
Article 3 – point u b (new)
(-1d) In Article 3, the following point is added: '(ub) “small emitter” means an installation with low emissions which meets at least one of the following criteria: – the average annual emissions of that installation reported in the verified emission reports during the trading period immediately preceding the current trading period, with the exclusion of CO2 stemming from biomass and before subtraction of transferred CO2, were less than 50 000 tonnes of CO2(e) per year; – the average annual emissions referred to in the first indent are not available to that installation or are no longer applicable to that installation because of changes in the installation's boundaries or changes to the operating conditions of the installation, but the annual emissions of that installation for the next five years, with the exclusion of CO2 stemming from biomass and before subtraction of transferred CO2, is expected to be, based on a conservative estimation method, less than 50 000 tonnes of CO2(e) per year;'
Amendment 188 #
Proposal for a directive
Article 1 – point -1 g (new)
Article 1 – point -1 g (new)
Directive 2003/87/EC
Article 3 c – paragraph 2
Article 3 c – paragraph 2
Amendment 193 #
Proposal for a directive
Article 1 – point -1 j(new)
Article 1 – point -1 j(new)
Directive 2003/87/EC
Article 3 d – paragraph 2
Article 3 d – paragraph 2
(-1j) In Article 3d, paragraph 2 is replaced by the following: '2. From 1 January 2013, 1521, 50 % of allowances shall be auctioned. This percentage may be increased as part of the general review of this Directive.'
Amendment 197 #
Proposal for a directive
Article 1 – point 1 a (new)
Article 1 – point 1 a (new)
Directive 2003/87/EC
Article 3 d – paragraph 4 – subparagraph 1
Article 3 d – paragraph 4 – subparagraph 1
Amendment 201 #
Proposal for a directive
Article 1 – point 1 b (new)
Article 1 – point 1 b (new)
Directive 2003/87/EC
Article 3 e – paragraph 1 a (new)
Article 3 e – paragraph 1 a (new)
(1b) In Article 3e, the following paragraph is added: '1 a Given the expectation of a global market-based measure (GMBM) applying from 2021, any free allocation of allowances under this Directive from 2021 shall only be given if it is confirmed by a subsequent decision made by the European Parliament and the Council.'
Amendment 203 #
Proposal for a directive
Article 1 – point 2 a (new) Directive 2003/87/EC
Article 1 – point 2 a (new) Directive 2003/87/EC
(2a) The following Chapter is inserted: 'Chapter IIa Shipping Article 3ga Inclusion of shipping in the absence of progress at international level As from 2019, in the absence of a comparable system operating under the IMO, CO2 emissions emitted in Union ports and during voyages to and from Union ports of call, shall be accounted for through a self-regulated system that ensures contributions at the level of the market price for allowances in the preceding year or through the surrendering of allowances in the EU ETS.'
Amendment 219 #
Proposal for a directive
Article 1 – point 3
Article 1 – point 3
Directive 2003/87/EC
Article 9 – paragraphs 2 and 3
Article 9 – paragraphs 2 and 3
Starting in 2021, the linear factor shall be 2.2%. of the Union-wide quantity defined in paragraph 1, and the quantity of allocations shall decrease from the year 2021 onwards compared to the level of the average annual verified emissions for the period 2018 to 2020."
Amendment 224 #
Proposal for a directive
Article 1 – point 3 a (new)
Article 1 – point 3 a (new)
Directive 2003/87/EC
Article 9 – paragraph 3 a (new)
Article 9 – paragraph 3 a (new)
(3a) In Article 9, the following third paragraph is added: 'Prior to setting the cap for a Phase, the Commission shall identify and quantify the impact of Union and national policies that lead to GHG emission reductions in sectors covered by the EU ETS, in order to assess their implications on the level of demand for allowances. A report shall be transmitted to the European Parliament and to the Council well in advance before the start of a new Phase, with a view to setting the appropriate baseline for the EU ETS cap before the start of each Phase, and ensuring a central role for the EU ETS. The cap shall be set at the beginning of each Phase, to signal the overall target level of scarcity.'
Amendment 225 #
Proposal for a directive
Article 1 – point 3 b (new)
Article 1 – point 3 b (new)
Directive 2003/87/EC
Article 9 – paragraph 3 b (new)
Article 9 – paragraph 3 b (new)
(3b) In Article 9, the following fourth paragraph is added: 'If a Union policy is introduced within a Phase that causes a material impact on the EU ETS, then an analysis of the implications on the supply-demand balance in the EU ETS shall be carried out, ex-ante, to assess whether the cap of the EU ETS may be adjusted for the following Phase. That analysis shall also assess the implications of such a change, in terms of predictability for market participants and ensuring a central role for the EU ETS. On the basis of the analysis referred to in the third paragraph, the Commission shall, where appropriate, submit a legislative proposal to the European Parliament and to the Council amending this Directive reflecting the outcome of such analysis.'
Amendment 227 #
Proposal for a directive
Article 1 – point 3 c (new)
Article 1 – point 3 c (new)
Directive 2003/87/EC
Article 9 – paragraph 3 c (new)
Article 9 – paragraph 3 c (new)
(3c) In Article 9, the following fifth paragraph is added: 'Every 5 years, in line with the regular reviews foreseen in the Paris Agreement, the Union shall review its level of ambition in the context of global mitigation efforts following a global stocktake of nationally-determined contributions. Where the increase in the level of climate ambition in the Union leads to greater ambition in the EU ETS, then any tightening of the EU ETS shall take place with at least 3 years advance notice before auctioning volumes in any given year can be changed.'
Amendment 266 #
Proposal for a directive
Article 1 – point 4 – point b b (new)
Article 1 – point 4 – point b b (new)
Directive 2003/87/EC
Article 10 – paragraph 3 – introductory part
Article 10 – paragraph 3 – introductory part
(bb) In paragraph 3, the introductory part is replaced by the following: '3. Member States shall determine the use of revenues generated from the auctioning of allowances. At least 850 % of the revenues generated from the auctioning of allowances referred to in paragraph 2, including all revenues from the auctioning referred to in paragraph 2, points (b) and (c), or the equivalent in financial value of these revenues, shouldall be used for one or more of the following:'
Amendment 267 #
Proposal for a directive
Article 1 – point 4 – point b b (new)
Article 1 – point 4 – point b b (new)
(bb) In paragraph 3, the introductory part is replaced by the following: '3. Member States shall determine the use of revenues generated from the auctioning of allowances. At least 750 % of the total revenues generated from the auctioning of allowances referred to in paragraph 2 , including all revenues from the auctioning referred to in paragraph 2, points (b) and (c), or the equivalent in financial value of theose revenues, shouldall be used for one or more of the following:'
Amendment 274 #
Proposal for a directive
Article 1 – point 4 – point b f (new)
Article 1 – point 4 – point b f (new)
Directive 2003/87/EC
Article 10 – paragraph 3 – point f
Article 10 – paragraph 3 – point f
(bf) In paragraph 3, point (f) is replaced by the following: '(f) to encourage a shift to low- emission and public forms of transport; and compensate electrified transport modes such as railways for their indirect EU ETS costs unless measures with an equivalent effect on other surface transport modes are taken.'
Amendment 282 #
Proposal for a directive
Article 1 – point 4 – point c
Article 1 – point 4 – point c
Directive 2003/87/EC
Article 10 – paragraph 3 – point l
Article 10 – paragraph 3 – point l
'(l) to create a just transition fund in order to cushion the social impact of the decarbonisation of their economies and promote skill formation and reallocation of labour affected by the transition of jobs in a decarbonising economy in close coordination with the social partners.'
Amendment 292 #
Proposal for a directive
Article 1 – point 4 – point d a (new)
Article 1 – point 4 – point d a (new)
Directive 2003/87/EC
Article 10 – paragraph 4 – subparagraph 4 a (new)
Article 10 – paragraph 4 – subparagraph 4 a (new)
(da) In paragraph 4, the following subparagraph is added: 'In that report Member States shall also communicate to the Commission the closures of electricity generation capacity as a result of national measures.'
Amendment 296 #
Proposal for a directive
Article 1 – point 4 – point d c (new)
Article 1 – point 4 – point d c (new)
Directive 2003/87/EC
Article 10 – paragraph 5
Article 10 – paragraph 5
(dc) paragraph 5 is replaced by the following: '5. The Commission shall monitor the functioning of the European carbon market. Each year, it shall submit a report to the European Parliament and to the Council on the functioning of the carbon market including the implementation of the auctions, liquidity and the volumes traded. In its monitoring report, the Commission shall give particular attention to the risk of carbon and investment leakage. The report shall also address the interaction between the EU ETS, non-ETS and other climate and energy measures at Union and national level, and shall analyse the effects of various policy instruments on the level of demand for Union allowances and its consequences on the supply- demand balance in the carbon market. The Commission shall calculate the equivalent number of allowances for closures that are reported by Member States. If necessary, Member States shall ensure that any relevant information is submitted to the Commission at least two months before the Commission adopts the report.'
Amendment 299 #
Proposal for a directive
Article 1 – point 4 – point d e (new)
Article 1 – point 4 – point d e (new)
Directive 2003/87/EC
Article 10 – paragraph 5 a (new)
Article 10 – paragraph 5 a (new)
(de) the following paragraph is added: '5a. After assessment by the Commission, Member States may surrender a corresponding volume of allowances and place them into the Market Stability Reserve or retire them.'
Amendment 322 #
Proposal for a directive
Article 1 – point 5 – point b
Article 1 – point 5 – point b
Directive 2003/87/EC
Article 10a – paragraph 2 –subparagraph 3 – introductory part
Article 10a – paragraph 2 –subparagraph 3 – introductory part
The benchmark values for free allocation shall be adjusted in order to avoid windfall profits and reflect technological progress in the period between 2007- to 2008 and each later period for which free allocations are determined in accordance with Article 11(1). This adjustment shall reduce the benchmark values set by the act adopted pursuant to Article 10a by 1% of the value that was set based on 2007-8 data in respect of each year between 2008 and the middle of the relevant period of free allocation, unless:
Amendment 335 #
Proposal for a directive
Article 1 – point 5 – point b
Article 1 – point 5 – point b
Directive 2003/87/EC
Article 10a – paragraph 2 – subparagraph 3 – point i
Article 10a – paragraph 2 – subparagraph 3 – point i
Amendment 349 #
Proposal for a directive
Article 1 – point 5 – point b
Article 1 – point 5 – point b
Directive 2003/87/EC
Article 10a – paragraph 2 – subparagraph 3 – point ii
Article 10a – paragraph 2 – subparagraph 3 – point ii
Amendment 372 #
Proposal for a directive
Article 1 – point 5 – point c
Article 1 – point 5 – point c
Directive 2003/87/EC
Article 10a – paragraph 5
Article 10a – paragraph 5
In order to respect the auctioning share set out in Article 10, the sum of free allocations in every year where the sum of free allocations does not reach the maximum level that respects the Member State auctioning share, the remaining allowances up to that level shall be used to prevent or limit reduction of free allocations to respect the Member State auctioning share in later years. Where, nonetheless, the maximum level is reached, free allocations shall be adjusted accordingly. Any such adjustment shall be done in a uniform mantargeted in accordance with the risk of carbon leakage and shall in any case guarantee that 100% free allocation up to the level of the benchmarks is maintainerd.
Amendment 395 #
Proposal for a directive
Article 1 – point 5 – point e – point i
Article 1 – point 5 – point e – point i
Directive 2003/87/EC
Article 10a – paragraph 7 – subparagraph 1
Article 10a – paragraph 7 – subparagraph 1
Allowances from the maximum amount referred to in Article 10a(5) of this Directive which were not allocated for free up to 2020 shall be set aside for new entrants and for significant production increases, together with of more than 10% expressed as the rolling average of verified production data for the two preceding years compared to the production activity reported in accordance with Article 11. In addition, 250 million allowances placed in the market stability reserve pursuant to Article 1(3) of Decision (EU) 2015/… of the European Parliament and of the Council(*). 1814 shall be set aside for this purpose.
Amendment 417 #
Proposal for a directive
Article 1 – point 5 – point f
Article 1 – point 5 – point f
Directive 2003/87/EC
Article 10a – paragraph 8 – subparagraph 1
Article 10a – paragraph 8 – subparagraph 1
400 million allowances shall be available to support, taken from the share of allowances to be auctioned, shall be available to support and leverage investments, using different instruments managed by the European Investment Bank, in innovation in low-carbon technologies and processes in industrial sectors listed in Annex I, and to help stimulate the construction and operation of commercial demonstration projects that aim at the environmentally safe capture and geological storage (CCS) of CO2CCS and CCU as well as demonstration projects of innovative renewable energy technologies, energy conversion and storage, as well as electric battery development in the territory of the Union.
Amendment 438 #
Proposal for a directive
Article 1 – point 5 – point f
Article 1 – point 5 – point f
Directive 2003/87/EC
Article 10a – paragraph 8 – subparagraph 3
Article 10a – paragraph 8 – subparagraph 3
In addition, 50 million unallocated allowances from the market stability reserve established by Decision (EU) 2015/…1814 shall supplement any existing resources remaining under this paragraph as a consequence of funds resulting from NER300 allowance auctions for the period between 2013 and 2020 not having been used, for projects referred to abovein subparagraphs 1 and 2, with projects in all Member States including small-scale projects, before 2021 and from 2018 onwards. Projects shall be selected on the basis of objective and transparent criteria, taking into account their relevance in relation to the decarbonisation of the sectors concerned. Projects supported under this subparagraph may also receive further support under subparagraphs 1 and 2.
Amendment 442 #
Proposal for a directive
Article 1 – point 5 – point f
Article 1 – point 5 – point f
Directive 2003/87/EC
Article 10a – paragraph 8 – subparagraph 3 a (new)
Article 10a – paragraph 8 – subparagraph 3 a (new)
The timetable for monetisation of allowances shall be published no later than 18 months before the start of Phase IV and shall ensure the gradual monetisation of the allowances spread out throughout that Phase.
Amendment 447 #
Proposal for a directive
Article 1 – point 5 – point i b (new)
Article 1 – point 5 – point i b (new)
Directive 2003/87/EC
Article 10a – paragraph 20
Article 10a – paragraph 20
(ib) paragraph 20 is replaced by the following: 'The Commission shall, as part of the measures adopted under paragraph 1, include measures for defining installations that partially cease to operate or significantly reduce their capacity, and measures for adapting, as appropriate, the level of free allocations given to them accordingly. Those measures shall provide flexibility for industry sectors where capacity is regularly transferred between operating installations in the same company.'
Amendment 448 #
Proposal for a directive
Article 1 – point 5 – point i b (new)
Article 1 – point 5 – point i b (new)
Directive 2003/87/EC
Article 10a – paragraph 20
Article 10a – paragraph 20
(ib) paragraph 20 is replaced by the following: 'The Commission shall, as part of the measures adopted under paragraph 1, include measures for defining installations that partially cease to operate or significantly reduce or increase their capacity or their production by more than 10% (expressed as the rolling average of verified production data for the two preceding years compared to the production activity reported in accordance with Article 11), and measures for adapting, as appropriate, the level of free allocations given to them accordingly.'
Amendment 454 #
Proposal for a directive
Article 1 – point 6
Article 1 – point 6
Directive 2003/87/EC
Article 10b – paragraph 1
Article 10b – paragraph 1
1. Sectors and sub-sectors where the product exceeds 0.2 fromThe level to which sectors are exposed to the risk of carbon leakage shall be assessed by multiplying their intensity of trade with third countries, defined as the ratio between the total value of exports to third countries plus the value of imports from third countries and the total market size for the European Economic Area (annual turnover plus total imports from third countries), by their emission intensity, measured in kgCO2 divided by their gross value added (in €), shall be deemEUR). Considering that some sectors and subsectors exposed to be atthe risk of carbon leakage. Such sectors and sub-sectors are able to pass on more of the cost of allowances in product prices than others, sectors and sub-sectors exposed to the risk of carbon leakage shall be allocated allowances free of charge for the period up to 2030 at 100%the following percentages of the quantity determined in accordance with the measures adopted pursuant to Article 10a. : (a) for sectors and sub-sectors where the result is equal to or exceeds 1,6, the percentage shall be 100%; (b) for sectors and sub-sectors where the result is below 1,6, the percentage shall be allocated exactly according to the level of the risk of carbon leakage calculated as a result from multiplying their intensity of trade with third countries by their emission intensity (according to a straight line).
Amendment 457 #
Proposal for a directive
Article 1 – point 6
Article 1 – point 6
Directive 2003/87/EC
Article 10b – paragraph 1
Article 10b – paragraph 1
1. Sectors and sub-sectors where the product exceeds 0.2 from multiplying their intensity of trade with third countries, defined as the ratio between the total value of exports to third countries plus the value of imports from third countries and the total market size for the European Economic Area (annual turnover plus total imports from third countries), by their emission intensity, measured in kgCO2 divided by their gross value added (in €), shall be deemed to be at high risk of carbon leakage. Such sectors and sub- sectors shall be allocated allowances free of charge for the period up to 2030 at 100% of the quantity determined in accordance with the measures adopted pursuant to Article 10a. To ensure a level playing field for the production of hydrogen and syngas in refineries and chemical plants, hydrogen and syngas shall continue to be deemed to be at the same risk of carbon leakage as the refinery sector.
Amendment 460 #
Proposal for a directive
Article 1 – point 6
Article 1 – point 6
Directive 2003/87/EC
Article 10b – paragraph 1 a (new)
Article 10b – paragraph 1 a (new)
Amendment 473 #
Proposal for a directive
Article 1 – point 6
Article 1 – point 6
Directive 2003/87/EC
Article 10b – paragraph 2 – introductory sentence
Article 10b – paragraph 2 – introductory sentence
2. Sectors and sub-sectors where the product from multiplying their intensity of trade with third countries by their emission intensity is above 0.18,12 as well as sectors that were deemed at risk of carbon leakage between 2013 and 2020 and that have a trade intensity of at least 40 %, may be included in the group referred to in paragraph 1, on the basis of a qualitative assessment using the following criteria:
Amendment 480 #
Proposal for a directive
Article 1 – point 6
Article 1 – point 6
Directive 2003/87/EC
Article 10b – paragraph 2 – point c
Article 10b – paragraph 2 – point c
(c) profit margins or the inability to pass on carbon costs as a potential indicator of long-run investment or relocation decisions.
Amendment 495 #
Proposal for a directive
Article 1 – point 6
Article 1 – point 6
Directive 2003/87/EC
Article 10b – paragraph 3
Article 10b – paragraph 3
3. Other sectors and sub-sectors are considered to be able to pass on more of the cost of allowances in product prices without losing market share, and shall be allocated allowances free of charge for the period up to 2030 at 30% of the quantity determined in accordance with the measures adopted pursuant to Article 10a.
Amendment 496 #
Proposal for a directive
Article 1 – point 6
Article 1 – point 6
Directive 2003/87/EC
Article 10b – paragraph 3
Article 10b – paragraph 3
3. Other sectors and sub-sectors at risk of carbon leakage are considered to be able to pass on more of the cost of allowances in product prices, and shall be allocated allowances free of charge for the period up to 2030 at 30% of the quantity determined in accordance with the measures adopted pursuant to Article 10a.
Amendment 497 #
Proposal for a directive
Article 1 – point 6
Article 1 – point 6
Directive 2003/87/EC
Article 10b – paragraph 3 a (new)
Article 10b – paragraph 3 a (new)
Amendment 499 #
Proposal for a directive
Article 1 – point 6
Article 1 – point 6
Directive 2003/87/EC
Article 10b – paragraph 4
Article 10b – paragraph 4
4. By 31 December 2019, the Commission shall adopt a delegated act for the preceding paragraphs for activities at a 4-digit level (NACE-4 code) or activities which are at the relevant level of disaggregation based on public and sector specific data as appropriate to comprise those activities covered by the EU ETS, as concerns paragraph 1, in accordance with Article 23,. The assessment of the intensity of trade shall be based on data for the three most recent calendar years available. For the calculation of the emission intensity the lowest value of kgCO2 since the establishment of the EU ETS shall be used.
Amendment 509 #
Proposal for a directive
Article 1 – point 6
Article 1 – point 6
Directive 2003/87/EC
Article 10b – paragraph 4 a (new)
Article 10b – paragraph 4 a (new)
4a. An extra amount of free allowances shall be allocated to the 5% most efficient installations in a sector in order to prevent investment leakage. The Commission is empowered to adopt a delegated act in accordance with Article 23 to supplement this Directive concerning the implementation this paragraph.
Amendment 517 #
Proposal for a directive
Article 1 – point 6
Article 1 – point 6
Directive 2003/87/EC
Article 10c – paragraph 1
Article 10c – paragraph 1
Amendment 529 #
Proposal for a directive
Article 1 – point 6
Article 1 – point 6
Directive 2003/87/EC
Article 10c – paragraph 1
Article 10c – paragraph 1
1. By derogation from Article 10a(1) to (5), Member States which had in 2013 a GDP per capita in €EUR at market prices below 60% of the Union average may give a transitional free allocation to installations for electricity productionelectricity and heat generators, including district heating, for the modernisation of the energy sector.
Amendment 535 #
Proposal for a directive
Article 1 – point 6
Article 1 – point 6
Directive 2003/87/EC
Article 10c – paragraph 2 – introductory part
Article 10c – paragraph 2 – introductory part
2. The Member State concerned shall organise a competitive bidding process for projects with a total amount of investment exceeding €10 millionminimum total amount for eligible investments is EUR 10 million. The Member State concerned shall organise a competitive bidding process to select the investments to be financed with free allocation. This competitive bidding process shall:
Amendment 544 #
Proposal for a directive
Article 1 – point 6
Article 1 – point 6
Directive 2003/87/EC
Article 10c – paragraph 2 – subparagraph 1 – point b
Article 10c – paragraph 2 – subparagraph 1 – point b
(b) ensure that only projects which contribute to the diversification of their energy mix and sources of supply, the necessary restructuring, environmental upgrading and retrofitting of the infrastructure, clean technologies and modernisation of the energy production (electricity and heat), transmission and distribution sectors are eligible to bid;
Amendment 545 #
Proposal for a directive
Article 1 – point 6
Article 1 – point 6
Directive 2003/87/EC
Article 10c – paragraph 2 – subparagraph 1– point b a (new)
Article 10c – paragraph 2 – subparagraph 1– point b a (new)
(ba) ensure that modernisation projects benefiting electricity generation facilities: (i) are economically justified based on a cost benefit analysis – including a carbon price which reflects the marginal damage of each unit of harmful emissions (e.g. CO2, NOx, Sox and fine particulate matter); (ii) have CO2 emissions of less than 550gCO2/kWh.
Amendment 562 #
Proposal for a directive
Article 1 – point 6
Article 1 – point 6
Directive 2003/87/EC
Article 10c – paragraph 2 – subparagraph 3
Article 10c – paragraph 2 – subparagraph 3
Amendment 565 #
Proposal for a directive
Article 1 – point 6
Article 1 – point 6
Directive 2003/87/EC
Article 10c – paragraph 2 – subparagraph 3
Article 10c – paragraph 2 – subparagraph 3
Where investments with a value of less than €EUR 10 million are supported with free allocation, the Member State shall select projects based on objective and transparent criteria. Those criteria shall be subject to public consultation, ensuring full transparency and accessibility of relevant documents, and fully take into account comments raised by stakeholders. The results of this selection process shall be published for public commentnsultation. On this basis, the Member State concerned shall establish and submit a list of investments to the Commission by 30 June 2019.
Amendment 590 #
Proposal for a directive
Article 1 – point 7
Article 1 – point 7
Directive 2003/87/EC
Article 10d – paragraph 1 – subparagraph 1
Article 10d – paragraph 1 – subparagraph 1
A fund to support and leverage investments in modernising energy systems, including district heating, and improving energy efficiency in Member States with a GDP per capita below 60% of the Union average in 2013 or 2014 shall be established for the period 2021-30 and financed as set out in Article 10.
Amendment 658 #
Proposal for a directive
Article 1 – point 8
Article 1 – point 8
Directive 2003/87/EC
Article 11 – paragraph 1 – subparagraph 2
Article 11 – paragraph 1 – subparagraph 2
A list of installations covered by this Directive for the fivthree years beginning on 1 January 2021 shall be submitted by 30 September 2018, and. The lists for the subsequent fivthree years shall be submitted every five years thereafterby 30 September 2021 and the list for the four last years by 30 September 2024. Each list shall include information on production activity, transfers of heat and gases, electricity production and emissions at sub- installation level over the five calendar years preceding its submission. Free allocations shall only be given to installations where such information is provided.
Amendment 676 #
Proposal for a directive
Article 1 – point 11 a (new)
Article 1 – point 11 a (new)
Directive 2003/87/EC
Article 14 – paragraph 1 – subparagraph 1
Article 14 – paragraph 1 – subparagraph 1
Amendment 682 #
Proposal for a directive
Article 1 – point 15 a (new)
Article 1 – point 15 a (new)
Directive 2003/87/EC
Article 21 – paragraph 2 a (new)
Article 21 – paragraph 2 a (new)
(15a) In Article 21, the following paragraph is inserted: '2 a. The report shall, using data provided through the cooperation referred to in Article 18b, include a list of operators subject to the requirements of this Directive who have not opened a registry account.'
Amendment 687 #
Proposal for a directive
Article 1 – point 19 – point a
Article 1 – point 19 – point a
Directive 2003/87/EC
Article 24 – paragraph 1 – subparagraph 1
Article 24 – paragraph 1 – subparagraph 1
From 2008, Member States may apply emission allowance trading in accordance with this Directive to activities and to greenhouse gases which are not listed in Annex I, taking into account all relevant criteria, in particular the effects on the internal market, potential distortions of competition, the environmental integrity of the Community scheme and the reliability of the planned monitoring and reporting system, provided that inclusion of such activities and greenhouse gases is approved by the Commission. Any such unilateral inclusion shall be proposed and approved no later than 18 months before the start of a new trading period in the EU ETS.
Amendment 691 #
Proposal for a directive
Article 1 – point 22
Article 1 – point 22
Directive 2003/87/EC
Article 25a – paragraph 1 – subparagraph 1
Article 25a – paragraph 1 – subparagraph 1
Where a third country adopts measures for reducing the climate change impact ofa commitment under the Paris Agreement, the Commission shall adopt amendments to provide for flights departarriving from thate third country which land in the Community, the Commissconcerned to be excluded from the aviation, after consulting with that third country, and with Member States within the Committee referred to in Article 23(1), shall consider options available in order to provide for optimal interaction between the Communityctivities listed in Annex I. The Commission is empowered to adopt delegated acts in accordance with Article 23 to supplement this Directive concerning sucheme and that country’s measure amendments.
Amendment 692 #
Proposal for a directive
Article 1 – point 22
Article 1 – point 22
Directive 2003/87/EC
Article 25a – paragraph 1 – subparagraph 2
Article 25a – paragraph 1 – subparagraph 2
Amendment 708 #
Proposal for a directive
Article 1 – point 22 d (new)
Article 1 – point 22 d (new)
Directive 2003/87/EC
Article 28
Article 28
Amendment 711 #
Proposal for a directive
Article 1 – point 22 e (new)
Article 1 – point 22 e (new)
Directive 2003/87/EC
Article 29
Article 29
(22e) Article 29 is amended as follows: 'Report to ensure the better functioning of the carbon market If, on the basis of the regular reports on the carbon market referred to in Article 10(5), the Commission has evidence that the carbon market is not functioning properly, it shall submit a report to the European Parliament and to the Council. The report shall include a section dedicated to the interaction of other Union and national policies with the EU ETS in terms of the volumes of emission reductions and the cost-effectiveness of such policies. The report may be accompanied, if appropriate, by proposals aiming at increasing transparency of the carbon market and addressing measures to improve its functioning.'
Amendment 712 #
Proposal for a directive
Article 1 – point 22 f (new)
Article 1 – point 22 f (new)
Directive 2003/87/EC
Article 30 a (new)
Article 30 a (new)
(22f) The following Article is inserted: 'Article 30a Adjustments upon global stocktake under the UNFCCC and the Paris Agreement Every 5 years, in line with the regular reviews foreseen in the Paris Agreement, the Union shall assess its INDC in the context of global mitigation efforts following a global stocktake of nationally- determined contribution. The Commission shall submit a report assessing, in particular, the following elements: the implication of the options required at Union level; the efforts undertaken by other major economies; the Union industries' competitiveness in the context of carbon and investment leakage risks as well as the impact on the Union's industrialisation target of 20%. If, on that basis, the Commission deems it necessary to submit a legislative proposal to amend this Directive it shall in parallel present a full impact assessment and take into account the differentiated abilities and costs of decarbonisation in the power and industrial sectors covered by the EU ETS.'