32 Amendments of Ondřej KNOTEK related to 2022/0394(COD)
Amendment 89 #
Proposal for a regulation
Title 1
Title 1
Proposal for a REGULATION OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL establishing a Union certification framework for carbon removals and carbon farming
Amendment 90 #
Proposal for a regulation
Citation 1
Citation 1
Having regard to the Treaty on the Functioning of the European Union, and in particular Articles 43(2) and 192(1) thereof,
Amendment 113 #
Proposal for a regulation
Recital 3
Recital 3
(3) The aim of this Regulation is to develop a voluntary Union certification framework for carbon removals and carbon farming, with the view to incentivise the uptake of high- quality carbon removals and, in the case of carbon farming, biogenic emissions reduction, in full respect of the biodiversity and the zero-pollution objectives. It is a tool to support the achievement of the Union objectives under the Paris Agreement, notably the goal of collective climate neutrality by 2050 laid down in Regulation (EU) 2021/1119 of the European Parliament and of the Council24 . The Union also committed to generate negative emissions after 2050. An important instrument to enhance carbon removals in terrestrial ecosystems is Regulation (EU) 2018/841 of the European Parliament and of the Council25 , which is currently under review. The objective of the review is to set out a Union net removals target of 310 Mt CO2 eq by 2030, and to allocate respective targets to each Member State. In this regard, the planned revision of the Regulation should also look at how to incorporate the carbon removals achieved through carbon farming in the EU and national targets. Furthermore, in the case of biogenic emissions reduction, the Commission should consider how to include those in the ETS trading system. __________________ 24 Regulation (EU) 2021/1119 of the European Parliament and of the Council of 30 June 2021 establishing the framework for achieving climate neutrality and amending Regulations (EC) No 401/2009 and (EU) 2018/1999 (‘European Climate Law’) (OJ L 243, 9.7.2021, p. 1). 25 Regulation (EU) 2018/841 of the European Parliament and of the Council of 30 May 2018 on the inclusion of greenhouse gas emissions and removals from land use, land use change and forestry in the 2030 climate and energy framework, and amending Regulation (EU) No 525/2013 and Decision No 529/2013/EU (OJ L 156, 19.6.2018, p. 1).
Amendment 124 #
Proposal for a regulation
Recital 4
Recital 4
(4) The Union certification framework will support the development of carbon removal activities in the Union that result in an unambiguous net carbon removal benefit, while avoiding greenwashing. In the case of carbon farming, such certification framework should also encourage the uptake ofachieving biogenic emissions reduction together with carbon removal activitis, as these that generate co-benefits for biodiversity, therefore achievwo are intrinsically linked ing their nature restoration targets set out in Union law on nature restorational cycles. Biogenic emissions reduction will require their own methodology for accounting and certification, alongside carbon removals. . The Union certification framework will be instrumental in meeting the Union climate change mitigation objectives set in international agreements and in the Union legislation.
Amendment 129 #
Proposal for a regulation
Recital 4 a (new)
Recital 4 a (new)
(4a) The Union voluntary certification framework builds on and contributes to the ongoing public and private work regarding the certification of carbon removals.
Amendment 131 #
Proposal for a regulation
Recital 5
Recital 5
(5) In order to support operators willing to make additional efforts to increase carbon removals in a sustainable way, the Union certification framework should take into account the different types of carbon removal and carbon farming activities, their specificities and related environmental impacts. Therefore, this Regulation should provide clear definitions of carbon removal, carbon removal activities, and other elements of the Union certification frameworkfarming, carbon farming storage, biogenic emission reductions, carbon removal and carbon farming activities, and other elements of the Union certification framework and specify broad range of financing possibilities, either private or public.
Amendment 145 #
Proposal for a regulation
Recital 6
Recital 6
(6) This Regulation should set out the requirements under which carbon removals and biogenic emission reduction should be eligible for certification under the Union certification framework. To this end, carbon removals should be quantified in an accurate and robust way; and they should be generated only by carbon removal activities that generate a net carbon removal benefit, are additional, aim to ensure long-term storage of carbon, and have a neutral impact or co-benefit on sustainability objectives. For the carbon removals and biogenic emissions reductions achieved through carbon farming, these should also be quantified in an accurate and robust way, with information provided through the LPIS database; they should also be additional and create co-benefits. Furthermore, carbon removals should be subject to independent third-party auditing in order to ensure the credibility and reliability of the certification process. Mandatory Union carbon pricing rules established through Directive 2003/87/EC of the European Parliament and of the Council26 are in place which regulate the treatment of emissions from activities covered by that Directive. This Regulation should be without prejudice to Directive 2003/87/EC, except in relation to the certification of removals of emissions from sustainable biomass which are zero-rated in accordance with Annex IV thereto. __________________ 26 Directive 2003/87/EC of the European Parliament and of the Council of 13 October 2003 establishing a scheme for greenhouse gas emission allowance trading within the Community and amending Council Directive 96/61/EC (OJ L 275, 25.10.2003, p. 32).
Amendment 157 #
Proposal for a regulation
Recital 7
Recital 7
(7) A carbon removal and carbon farming activity should result in a net carbon removal benefit showing that it delivers a positive climate impact. The net carbon removal benefit should be computed following two steps. First, operators should quantify the amount of additional carbon removals that a carbon removal activity has generated in comparison to a baseline. Furthermore, in the case of carbon farming, operators should also quantify the biogenic emissions reductions set against the baseline. A standardised baseline reflecting the standard performance of comparable activities in similar social, economic, environmental and technological circumstances and geographical locations should be preferred because it ensures objectivity, minimises compliance and other administrative costs, and positively recognises the action of first movers who have already engaged in carbon removal activities. In the context of carbon farming, the use of available digital technologies, including electronic databases and geographic information systems, remote sensing, artificial intelligence and machine learning, and of electronic maps should be promoted to decrease the costs of establishing baselines and of monitoring carbon removal activities. However, where it is not possible to set such a standardised baseline, a project-specific baseline based on the operator’s individual performance may be used. In order to reflect the social, economic, environmental and technological developments and to encourage ambition over time in line with the Paris Agreement, baselines should be periodically updated.
Amendment 169 #
Proposal for a regulation
Recital 8
Recital 8
(8) The second step for quantifying the net carbon removal benefit should consist of subtracting any increase in greenhouse gas emissions related to the implementation of the carbon removal activity. Relevant greenhouse gas emissions that should be taken into consideration include direct emissions, such as those resulting from the use of more fertilisers, fuel or energy, or indirect emissions, such as those resulting from land use change, with consequent risks for food security due to displacement of agricultural production. A reduction in greenhouse gas emissions resulting from the implementation of the carbon removal activity should not be taken into account to quantify the net carbon removal benefit, but should be considered as a co-benefit towards the sustainability objective of climate change mitigation; by being reported on the certificates, decreases in greenhouse gas emissions (like the other sustainability co-benefits) can increase the value of the certified carbon removals. However, for carbon farming activities, the reduction of biogenic emissions shall be counted towards the net benefit of the activity, especially due to the interconnected nature of carbon and nitrogen cycles.
Amendment 173 #
Proposal for a regulation
Recital 9
Recital 9
(9) A carbon removal activity delivers a net carbon removal benefit when the carbon removals above the baseline outweigh any increase in greenhouse gas emissions due to the implementation of the carbon removal activity. For instance, in the case of activities that deliver permanent carbon storage by injecting carbon underground, the amount of permanently stored carbon should outweigh the energy- related greenhouse gas emissions from the industrial process. In the case of carbon farming, the carbon captured by an afforestation activity or the carbon kept in the ground by a peatland re-wetting activity should outweigh the emissions from the machinery used to carry out the carbon removal activity or the indirect land use change emissions that can be caused by carbon leakage. Farmers, forest owners and managers should strive to achieve biogenic emission reductions rather, which shall be quantified and accounted for as part of the net removal benefit.
Amendment 182 #
Proposal for a regulation
Recital 10
Recital 10
(10) Carbon removals should be quantified in a relevant, accurate, complete, consistent and comparable manner. Uncertainties in the quantification should be duly reported and accounted in order to limit the risk of overestimating the quantity of carbon dioxide removed from the atmosphere. Carbon removals and biogenic emissions reductions generated by carbon farming should be quantified with a high level of accuracy to assure the highest quality and minimise uncertainties. Moreover, in order to incentivise synergies between Union climate and biodiversity objectives, enhanced monitoring of land needs to be required, thereby helping to protect and enhance the resilience of nature-based carbon removals throughout the Union. The satellite and on-site monitoring and reporting of emissions and removals need to closely reflect those approaches, and make the best use of advanced technologies available under Union programmes, such as Copernicus, making full use of already existing tools, and ensure consistency with the national greenhouse gas inventories.
Amendment 191 #
Proposal for a regulation
Recital 11
Recital 11
(11) In order to ensure that the Union certification framework channels incentives toward carbon removals and biogenic emissions reductions that go beyond the standard practice, carbon removal and carbon farming activities should be additional. Therefore, these activities should go beyond statutory requirements, that is, operators should carry out activities that are not already imposed upon them by the applicable law. Moreover, carbon removal and carbon farming activities should take place due to the incentive effect provided by the certification. Such effect is present when the incentive created by the potential revenues, resulting from the certification, changes the behaviour of operators in such a way that they engage in the additional carbon removal activity to achieve additional carbon removals.
Amendment 195 #
Proposal for a regulation
Recital 12
Recital 12
(12) A standardised baseline should reflect the statutory and market conditions in which the carbon removal or carbon farming activity takes place. If a carbon removal activity is imposed upon operators by the applicable law, or it does not need any incentives to take place, its performance will be reflected in the baseline. For this reason, a carbon removal activity that generates carbon removals in excess of such a baseline should be presumed to be additional. Hence, the use of a standardised baseline should simplify the demonstration of additionality for operators. Therefore, it should reduce the administrative burden of the certification process, which is particularly important in the case of small- scale land managers.
Amendment 200 #
Proposal for a regulation
Recital 13
Recital 13
(13) Atmospheric and biogenic carbon that is captured and stored through a carbon removal activity risks being released back into the atmosphere (e.g. reversal) due to natural or anthropogenic causes. Therefore, operators should take all relevant preventive measures to mitigate those risks and duly monitor that carbon continues to be stored over the monitoring period laid down for the relevant carbon removal activity. The validity of the certified carbon removals should depend on the expected duration of the storage and the different risks of reversal associated with the given carbon removal activity. Among other possibilities, activities that store carbon in geological formations provide enough certainties on the very long-term duration of several centuries for the stored carbon and can be considered as providing permanent storage of carbon. Carbon farming or carbon storage in products are more exposed to the risk of voluntary or involuntary release of carbon into the atmosphere. To account for this risk, the validity of the certified carbon removals generated by carbon farming and carbon storage in products should not be subject to an expiry date matching with the end of the relevant monitoring period. Thereafter, thebut should be further defined per carbon farming activity in the certification methodology. The risk of reversibility of carbon storage should be assumed to be released into the atmosphere, unless the economic operator proves the maintenance of the carbon stoccounted for in the discount rate set for the carbon farming activity. Moreover, in order not to discourage sequestration actions, which in the short term can account for significant amounts of carbon, short- term storage should be encouraged to stimulate farmers' transition and investments in sequestration practices. Various mechanisms exist to integragte through uninterrupted monitoring activitieshort-term storage into the carbon market and the associated risk which should be deployed such as reserve funds, insurance, rebate systems.
Amendment 217 #
Proposal for a regulation
Recital 15
Recital 15
(15) Carbon removal activities have a strong potential to deliver win-win solutions for sustainability, even if trade- offs cannot be excluded. Therefore, it is appropriate to establish minimum sustainability requirements to ensure that carbon removal activities have a neutral impact or generate co-benefits for the sustainability objectives of climate change mitigation and adaptation, the protection and restoration of biodiversity and ecosystems, the sustainable use and protection of water and marine resources, the transition to a circular economy, and pollution prevention and control. Those sustainability requirements should, as appropriate, and taking into consideration local conditions, build on the technical screening criteria for Do Not Significant Harm concerning forestry activities and underground permanent geological storage of CO2, laid down in Commission Delegated Regulation (EU) 2021/213928 , and on the sustainability criteria for forest and agriculture biomass raw material laid down in Article 29 of Dire. Carbon farming activities should contribute to at least one additional practivce (EU) 2018/2001 of the European Parliament and of the Council29 . Practices, such as forest monocultures, that produce harmful effects forset out, such as prevention and improvement of water quality, protection of biodiversity shouland not be eligible for certificationhers. __________________ 28 Commission Delegated Regulation (EU) 2021/2139 of 4 June 2021 supplementing Regulation (EU) 2020/852 of the European Parliament and of the Council by establishing the technical screening criteria for determining the conditions under which an economic activity qualifies as contributing substantially to climate change mitigation or climate change adaptation and for determining whether that economic activity causes no significant harm to any of the other environmental objectives (OJ L 442, 9.12.2021, p. 1). 29 Directive (EU) 2018/2001 of the European Parliament and of the Council of 11 December 2018 on the promotion of the use of energy from renewable sources (OJ L 328, 21.12.2018, p. 82).
Amendment 226 #
Proposal for a regulation
Recital 16
Recital 16
(16) Farming practices that remove CO2 from the atmosphere contribute to the climate neutrality objective and should be rewarded, either via the Common Agricultural Policy (CAP) or other public or private initiatives. Specifically, this Regulation should take into account farming practices as referenced in the Communication on Sustainable Carbon Cycles30 . __________________ 30 Communication from the Commission, Sustainable Carbon Cycles, COM (20221) 800.
Amendment 236 #
Proposal for a regulation
Recital 17
Recital 17
(17) Operators or groups of operators may report co-benefits that contribute to the sustainability objectives beyond the minimum sustainability requirements. To this end, their reporting should comply with the certification methodologies tailored to the different carbon removal activities, developed by the Commission. Certification methodologies should, as much as possible, incentivise the generation of co-benefits for biodiversity going beyond the minimum sustainability requirements. These additional co-benefits will give more economic value to the certified carbon removals and will result in higher revenues for the operators. In the light of these considerations, it is appropriate for the Commission to prioritise the development of tailored certification methodologies on carbon farming activities that provide significant co-benefits for biodiversity.
Amendment 244 #
Proposal for a regulation
Recital 18
Recital 18
(18) It is appropriate to develop detailed certification methodologies for the different carbon removal and carbon farming activities in order to apply, in a standardised, verifiable and comparable way, the quality criteria laid down in this Regulation. Those methodologies should ensure the robust and transparent certification of the net carbon removal benefit generated by the carbon removal activity, while avoiding disproportionate administrative burden for operators or group of operators, in particular for small farmers and forest holders. To this end, the Commission should be empowered to supplement this Regulation by adopting delegated acts establishing detailed certification methodologies for the different carbon removal activities. Those methodologies should be developed in close consultation with the Expert Group on Carbon Removals and all other interested actors. They need to be based on the best available scientific evidence, build upon existing public and private schemes and methodologies for carbon removal certification, and take into account any relevant standard and rules adopted at national and Union level. The development of these methodologies should include a call for evidence supporting the drafting of the methodologies and a call for feedback on the draft methodologies, providing all interested stakeholders the possibility to contribute.
Amendment 251 #
Proposal for a regulation
Recital 19
Recital 19
(19) In order to ensure a credible and reliable certification process, carbon removal and carbon farming activities should be subject to independent third- party auditing. In particular, carbon removal and carbon farming activities should be subject to an initial certification audit before their implementation, verifying their compliance with the quality criteria set out in this Regulation, including the correct quantification of the expected net carbon removal benefit. Carbon removal and carbon farming activities should also be subject to periodic re- certification audits to verify the compliance of the generated carbon removals. To this end, the Commission should be empowered to adopt implementing acts to set out the structure, technical details, maximum prices for certification audit, and the minimum information to be contained in the description of the carbon removal activity, and in the certification and re- certification audit reports.
Amendment 266 #
Proposal for a regulation
Recital 21
Recital 21
(21) It is appropriate that carbon removal and carbon farming certificates underpin different end- uses, such as the compilation of national and corporate greenhouse gas inventories, including with regard to Regulation (EU) 2018/841 of the European Parliament and of the Council31 , the proof of climate- related and other environmental corporate claims (including on biodiversity), or the exchange of verified carbon removal units through voluntary carbon offsetting markets. To this end, the certificate should contain accurate and transparent information on the carbon removal activity, including the total removals and net carbon removal benefit and, in the case of carbon farming, biogenic emissions reduction, that comply with the quality criteria set out in this Regulation. The Commission should be also empowered to adopt delegated acts to further specify or amend Annex II which lists the minimum information to be contained in the certificates. __________________ 31 Regulation (EU) 2018/841 of the European Parliament and of the Council of 30 May 2018 on the inclusion of greenhouse gas emissions and removals from land use, land use change and forestry in the 2030 climate and energy framework, and amending Regulation (EU) No 525/2013 and Decision No 529/2013/EU (OJ L 156, 19.6.2018, p. 1).
Amendment 272 #
Proposal for a regulation
Recital 22
Recital 22
(22) To ensure an accurate, robust and transparent verification, certification bodies responsible for performing the certification of carbon removal activities should have the required competences and skills and should be accredited by national accreditation authorities pursuant to Regulation (EC) No 765/2008 of the European Parliament and of the Council32 . For the purposes of carbon farming, these national accreditation authorities should be national paying agencies. To avoid possible conflicts of interest, the certification bodies should also be completely independent from the operator carrying out the carbon removal activity that is subject to the certification. In addition, Member States should contribute towards ensuring the correct implementation of the certification process by supervising the operation of certification bodies that are accredited by national accreditation authorities, and by informing the certification schemes about relevant non-conformity findings. __________________ 32 Regulation (EC) No 765/2008 of the European Parliament and of the Council of 9 July 2008 setting out the requirements for accreditation and market surveillance relating to the marketing of products and repealing Regulation (EEC) No 339/93 (OJ L 218, 13.8.2008, p. 30).
Amendment 318 #
Proposal for a regulation
Article 1 – paragraph 1 – introductory part
Article 1 – paragraph 1 – introductory part
1. The objective of this Regulation is to facilitate the deployment of carbon removals and carbon farming by operators or groups of operators. To that end, this Regulation establishes a voluntary Union framework for the certification of carbon removals by laying down:and carbon farming by laying down: (This amendment applies throughout the text. Adopting it will necessitate corresponding changes throughout.)
Amendment 347 #
Proposal for a regulation
Article 1 – paragraph 2
Article 1 – paragraph 2
2. This voluntary Union framework for the certification of carbon removals and carbon farming does not apply to emissions falling within the scope of Directive 2003/87/EC, with the exception of the storage of carbon dioxide emissions from sustainable biomass that are zero- rated in accordance with Annex IV thereto.
Amendment 380 #
Proposal for a regulation
Article 2 – paragraph 1 – point c a (new)
Article 2 – paragraph 1 – point c a (new)
Amendment 395 #
Proposal for a regulation
Article 2 – paragraph 1 – point f
Article 2 – paragraph 1 – point f
(f) ‘monitoring period’ means a period, the duration of which is determined in accordance to the type of carbon removal or carbon farming activity, over which the storage of carbon is monitored by the operator;
Amendment 435 #
Proposal for a regulation
Article 2 – paragraph 1 – point i
Article 2 – paragraph 1 – point i
(i) ‘carbon storage in products’ means a carbon removal or carbon farming activity that stores atmospheric and biogenic carbon in long- lasting products or materials;
Amendment 439 #
Proposal for a regulation
Article 2 – paragraph 1 – point k
Article 2 – paragraph 1 – point k
(k) ‘certification scheme’ means a schemen initiative, composed of set of commitments, managed by a private or public organisation that oversees the certification of compliance of operators or group of operators with this Regulation;
Amendment 449 #
Proposal for a regulation
Article 2 – paragraph 1 – point o
Article 2 – paragraph 1 – point o
(o) ‘carbon removal unit’ means one tonne of certified net carbon removal benefit generated by a carbon removal or carbon farming activity and registered by a certification scheme.
Amendment 450 #
Proposal for a regulation
Article 2 – paragraph 1 – point o a (new)
Article 2 – paragraph 1 – point o a (new)
(oa) “biogenic emission reduction unit” means one tonne of CO2 or CO2 equivalent certified GHG emission reduction generated by carbon farming activity and registered by a certification scheme.
Amendment 534 #
Proposal for a regulation
Article 4 – paragraph 6
Article 4 – paragraph 6
6. By way of derogation from paragraph 5, where duly justified, tThe baseline may be based on the individual carbon removal performance of that activity.
Amendment 761 #
Proposal for a regulation
Article 9 – paragraph 5
Article 9 – paragraph 5
5. The Commission may adopt implementing acts to set out the structure, format, technical details of the comprehensive description of the carbon removal or carbon farming activity referred to in paragraph 1, and of the certification and re-certification audit reports referred to in paragraphs 2 and 3, as well as maximum price for certification audit set in relation to total net carbon removal benefit of operator or group of operators. Those implementing acts shall be adopted in accordance with the examination procedure referred to in Article 17.
Amendment 887 #
Proposal for a regulation
Annex I – paragraph 1 – point k a (new)
Annex I – paragraph 1 – point k a (new)
(ka) standard setting for the price point of emission offsets.