[ParlTrack]

Proposal for a directive
Recital 17 a (new)

(17a) In order to ensure a level playing field for vessels operating in ice conditions, this Directive ought not to apply to ice classified vessels.

2022/02/22
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Recital 28

(28) Achieving the increased climate ambition will require substantial public resources in the EU as well as national budgets to be dedicated to the climate transition. To complement and reinforce the substantial climate-related spending in the EU budget, all auction revenues that are not attributed to the Union budget should be used for climate-related purposes. This includes the use for financial support to address social aspects in lower- and middle-income households by reducing distortive taxes. Further, to address distributional and social effects of the transition in low-income Member States, an additional amount of 2,5 % of the Union-wide quantity of allowances from [year of entry into force of the Directive] to 2030 should be used to fund the energy transition of the Member States with a gross domestic product (GDP) per capita below 65 % of the Union average in 2016-2018, through the Modernisation Fund referred to in Article 10d of Directive 2003/87/EC.deleted

2022/02/22
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Recital 30

(30) The Carbon Border Adjustment Mechanism (CBAM), established under Regulation (EU) […./..] of the European Parliament and of the Council51, is an alternative to free allocation to address the risk of carbon leakage. To the extent that sectors and subsectors are covered by that measure, they should not receive free allocation. However, a transitional phasing-out of free allowances is needed to allow producers, importers and traders to adjust to the new regime. The reduction of free allocation should be implemented by applying a factor to free allocation for CBAM sectors, while the CBAM is phased in. This percentage (CBAM factor) should be equal to 100 % during the transitional period between the entry into force of [CBAM Regulation] and 2025, 90 % in 2026 and should be reduced by 10 percentage points each year to reach 0 % and thereby eliminate free allocation by the tenth year. The relevant delegated acts on free allocation should be adjusted accordingly for the sectors and subsectors covered by the CBAM. The free allocation no longer provided to the CBAM sectors based on this calculation (CBAM demand) must be auctioned and the revenues will accrue to the Innovation Fund, so as to support innovation in low carbon technologies, carbon capture and utilisation (‘CCU’), carbon capture and geological storage (‘CCS’), renewable energy and energy storage, in a way that contributes to mitigating climate change. Special attention should be given to projects in CBAM sectors. To respect the proportion of the free allocation available for the non-CBAM sectors, the final amount to deduct from the free allocation and to be auctioned should be calculated based on the proportion that the CBAM demand represents in respect of the free allocation needs of all sectors receiving free allocation. _________________ 51deleted [please insert full OJ reference]

2022/02/22
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Recital 42

(42) The exclusion of installations using exclusively biomass from the EU ETS has led to situations where installations combusting a high share of biomass have obtained windfall profits by receiving free allowances greatly exceeding actual emissions. Therefore, a threshold value for zero-rated biomass combustion should be introduced above which installations are excluded from the EU ETS. The threshold value of 95 % is in line with the uncertainty parameter set out in Article 2(16) of Commission Delegated Regulation (EU) 2019/33156. _________________ 56Commission Delegated Regulation (EU) 2019/331 of 19 December 2018 determining transitional Union-wide rules for harmonised free allocation of emission allowances pursuant to Article 10a of Directive 2003/87/EC of the European Parliament and of the Council (OJ L 59, 27.2.2019, p. 8).deleted

2022/02/22
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Recital 43

(43) The Communication of the Commission on Stepping up Europe’s 2030 climate ambition57, underlined the particular challenge to reduce the emissions in the sectors of road transport and buildings. Therefore, the Commission announced that a further expansion of emissions trading could include emissions from road transport and buildings. Emissions trading for these two new sectors would be established through separate but adjacent emissions trading. This would avoid any disturbance of the well-functioning emissions trading in the sectors of stationary installations and aviation. The new system is accompanied by complementary policies and measures safeguarding against undue price impacts, shaping expectations of market participants and aiming for a carbon price signal for the whole economy. Previous experience has shown that the development of the new market requires setting up an efficient monitoring, reporting and verification system. In view of ensuring synergies and coherence with the existing Union infrastructure for the EU ETS covering the emissions from stationary installations and aviation, it is appropriate to set up emissions trading for the road transport and buildings sectors via an amendment to Directive 2003/87/ЕC. _________________ 57deleted COM(2020) 562 final.

2022/02/22
Committee: ENVI

Teuvo HAKKARAINEN

(49) The auctioning of allowances is the simplest and the most economically efficient method for allocating emission allowances, which also avoids windfall profits. Both the buildings and road transport sectors are under relatively small or non-existent competitive pressure from outside the Union and are not exposed to a risk of carbon leakage. Therefore, allowances for buildings and road transport should only be allocated via auctioning without there being any free allocation.deleted

2022/02/24
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Recital 52

(52) The introduction of the carbon price in road transport and buildings should be accompanied by effective social compensation, especially in view of the already existing levels of energy poverty. About 34 million Europeans reported an inability to keep their homes adequately warm in 2018, and 6,9 % of the Union population have said that they cannot afford to heat their home sufficiently in a 2019 EU-wide survey60. To achieve an effective social and distributional compensation, Member States should be required to spend the auction revenues on the climate and energy-related purposes already specified for the existing emissions trading, but also for measures added specifically to address related concerns for the new sectors of road transport and buildings, including related policy measures under Directive 2012/27/EU of the European Parliament and of the Council61. Auction revenues should be used to address social aspects of the emission trading for the new sectors with a specific emphasis in vulnerable households, micro-enterprises and transport users. In this spirit, a new Social Climate Fund will provide dedicated funding to Member States to support the European citizens most affected or at risk of energy or mobility poverty. This Fund will promote fairness and solidarity between and within Member States while mitigating the risk of energy and mobility poverty during the transition. It will build on and complement existing solidarity mechanisms. The resources of the new Fund will in principle correspond to 25 % of the expected revenues from new emission trading in the period 2026-2032, and will be implemented on the basis of the Social Climate Plans that Member States should put forward under Regulation (EU) 20…/nn of the European Parliament and the Council62. In addition, each Member State should use their auction revenues inter alia to finance a part of the costs of their Social Climate Plans. _________________ 60 Data from 2018. Eurostat, SILC [ilc_mdes01]. 61Directive 2012/27/EU of the European Parliament and of the Council of 25 October 2012 on energy efficiency, amending Directives 2009/125/EC and 2010/30/EU and repealing Directives 2004/8/EC and 2006/32/EC (OJ L 315, 14.11.2012, p. 1–56). 62[Add ref to the Regulation establishing the Social Climate Fund].deleted

2022/02/24
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Recital 54

(54) Innovation and development of new low-carbon technologies in the sectors of buildings and road transport are crucial for ensuring the cost-efficient contribution of these sectors to the expected emission reductions. Therefore, 150 million allowances from emissions trading in the buildings and road transport sectors should also be made available to the Innovation Fund to stimulate the cost-efficient emission reductions.deleted

2022/02/24
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Recital 59

(59) In order to ensure uniform conditions for the implementation of Articles 3gd(3), 12(3b) and 14(1) of Directive 2003/87/EC, implementing powers should be conferred on the Commission. To ensure synergies with the existing regulatory framework, the conferral of implementing powers in Articles 14 and 15 of that Directive should be extended to cover the sectors of road transport and buildings. Those implementing powers should be exercised in accordance with Regulation (EU) No 182/2011 of the European Parliament and of the Council65. _________________ 65Regulation (EU) No 182/2011 of 16 February 2011 laying down the rules and general principles concerning mechanisms for control by the Member States of the Commission's exercise of implementing powers (OJ L 55, 28.02.2011, p. 13).

2022/02/24
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Recital 66

(66) In order to mitigate the risk of supply and demand imbalances associated with the start of emissions trading for the buildings and road transport sectors, as well as to render it more resistant to market shocks, the rule-based mechanism of the Market Stability Reserve should be applied to those new sectors. For that reserve to be operational from the start of the system, it should be established with an initial endowment of 600 million allowances for emissions trading in the road transport and buildings sectors. The initial lower and upper thresholds, which trigger the release or intake of allowances from the reserve, should be subject to a general review clause. Other elements such as the publication of the total number of allowances in circulation or the quantity of allowances released or placed in the reserve should follow the rules of the reserve for other sectors.deleted

2022/02/24
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Article 1 – paragraph 1 – point 2 – point d

Directive 2003/87/EC
Article 3 – paragraph 1 – point x

(x) ‘regulated entity’ for the purposes of Chapter IVa shall mean any natural or legal person, except for any final consumer of the fuels, that engages in the activity referred to in Annex III and that falls within one of the following categories: (i) where the fuel passes through a tax warehouse as defined in Article 3(11) of Council Directive (EU) 2020/262(*), the authorised warehouse keeper as defined in Article 3(1) of that Directive, liable to pay the excise duty which has become chargeable pursuant to Article 7 of that Directive; (ii) if point (i) is not applicable, any other person liable to pay the excise duty which has become chargeable pursuant to Article 7 of Directive (EU) 2020/262 in respect of the fuels covered by this Chapter; (iii) if points (i) and (ii) are not applicable, any other person which has to be registered by the relevant competent authorities of the Member State for the purpose of being liable to pay the excise duty, including any person exempt from paying the excise duty, as referred to in Article 21(5), fourth sub-paragraph, of Council Directive 2003/96/EC(**); (iv) if points (i), (ii) and (iii) are not applicable, or if several persons are jointly and severally liable for payment of the same excise duty, any other person designated by a Member State . _________ (*) Council Directive (EU) 2020/262 of 19 December 2019 laying down the general arrangements for excise duty (OJ L 58 27.2.2020, p. 4). (**) Council Directive 2003/96/EC of 27 October 2003 restructuring the Community framework for the taxation of energy products and electricity (OJ L 283, 31.10.2003, p. 51–70).deleted

2022/02/24
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Article 1 – paragraph 1 – point 2 – point d

Directive 2003/87/EC
Article 3 – paragraph 1 – point y

(y) ‘fuel’ for the purposes of Chapter IVa shall mean any fuel listed in Table-A and Table-C of Annex I to Directive 2003/96/EC, as well as any other product offered for sale as motor fuel or heating fuel as specified in Article 2(3) of that Directive;deleted

2022/02/24
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Article 1 – paragraph 1 – point 2 – point d

Directive 2003/87/EC
Article 3 – paragraph 1 – point z

~~(z) ‘release for consumption’ for the purposes of Chapter IVa shall have the same meaning as in Article 6(3) of Directive (EU) 2020/262;~~deleted

2022/02/24
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Article 1 – paragraph 1 – point 4

Directive 2003/87/EC
Article 3a – paragraph 1

Articles 3b to 3f shall apply to the allocation and issue of allowances in respect of the aviation activities listed in Annex I. Articles 3g to 3ge shall apply in respect of the maritime transport activities listed in Annex I. This Directive shall not, however, apply to shipping carried out by ice classified vessels.

2022/02/24
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Article 1 – paragraph 1 – point 11 – point a

2003/87/EY
Article 10 – paragraph 1 – subparagraph 3

2 % of the total quantity of allowances between 2021 and 203022 shall be auctioned to establish a fund to improve energy efficiency and modernise the energy systems of certain Member States (‘the beneficiary Member States’) as set out in Article 10d (‘the Modernisation Fund’). The beneficiary Member States for this amount of allowances shall be the Member States with a GDP per capita at market prices below 60 % of the Union average in 2013. The funds corresponding to this quantity of allowances shall be distributed in accordance with Part A of Annex IIb.

2022/02/28
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Article 1 – paragraph 1 – point 11 – point a

2003/87/EY
Article 10 – paragraph 1 – subparagraph 3a

In addition, 2,5 % of the total quantity of allowances between [year following the entry into force of the Directive] and 2030 shall be auctioned for the Modernisation Fund. The beneficiary Member States for this amount of allowances shall be the Member States with a GDP per capita at market prices below 65 % of the Union average during the period 2016 to 2018. The funds corresponding to this quantity of allowances shall be distributed in accordance with Part B of Annex IIb.deleted

2022/02/28
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Article 1 – paragraph 1 – point 11 – point b

2003/87/EY
Article 10 – paragraph 3 –introductory part

3. Member States shall determine the use of revenues generated from the auctioning of allowances~~, except for the revenues established as own resources in accordance with Article 311(3) TFEU and entered in the Union budget~~. Member States shall use their revenues generated from the auctioning of allowances referred to in paragraph 2 in part, with the exception of the revenues used for the compensation of indirect carbon costs referred to in Article 10a(6), for one or more of the following:

2022/02/28
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Article 1 – paragraph 1 – point 11 – point d

Directive 2003/87/EC
Article 10 – paragraph 4 – subparagraph 1

(d) in paragraph 4, the first sentence deleted is replaced by the following: 4. The Commission is empowered to adopt delegated acts in accordance with Article 23 to supplement this Directive concerning the timing, administration and other aspects of auctioning, including the modalities for the transfer of a share of revenues to the Union budget, in order to ensure that it is conducted in an open, transparent, harmonised and non- discriminatory manner.

2022/02/28
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Article 1 – paragraph 1 – point 12 – point a – point i

Directive 2003/87/EC
Article 10a – paragraph 1 – subparagraphs 2a and 2b

(i) the following two subparagraphs are inserted after the second subparagraph: In the case of installations covered by the obligation to conduct an energy audit under Article 8(4) of Directive 2012/27/EU of the European Parliament and of the Council(*) [Article reference to be updated with the revised Directive], free allocation shall only be granted fully if the recommendations of the audit report are implemented, to the extent that the pay-back time for the relevant investments does not exceed five years and that the costs of those investments are proportionate. Otherwise, the amount of free allocation shall be reduced by 25 %. The amount of free allocation shall not be reduced if an operator demonstrates that it has implemented other measures which lead to greenhouse gas emission reductions equivalent to those recommended by the audit report. The measures referred to in the first subparagraph shall be adjusted accordingly No free allocation shall be given to installations in sectors or subsectors to the extent they are covered by other measures to address the risk of carbon leakage as established by Regulation (EU) …./.. [reference to CBAM](**). The measures referred to in the first subparagraph shall be adjusted accordingly _________ (*) Directive 2012/27/EU of the European Parliament and of the Council of 25 October 2012 on energy efficiency, amending Directives 2009/125/EC and 2010/30/EU and repealing Directives 2004/8/EC and 2006/32/EC (OJ L 315, 14.11.2012, p. 1). (**) [CBAM full reference]deleted

2022/02/28
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Article 1 – paragraph 1 – point 12 – point b

Directive 2003/87/EC
Article 10a – paragraph 1a

(b) the following paragraph 1a is inserted: 1a. No free allocation shall be given in relation to the production of products listed in Annex I of Regulation [CBAM] as from the date of application of the Carbon Border Adjustment Mechanism. By way of derogation from the previous subparagraph, for the first years of operation of Regulation [CBAM], the production of these products shall benefit from free allocation in reduced amounts. A factor reducing the free allocation for the production of these products shall be applied (CBAM factor). The CBAM factor shall be equal to 100 % for the period during the entry into force of [CBAM regulation] and the end of 2025, 90 % in 2026 and shall be reduced by 10 percentage points each year to reach 0 % by the tenth year. The reduction of free allocation shall be calculated annually as the average share of the demand for free allocation for the production of products listed in Annex I of Regulation [CBAM] compared to the calculated total free allocation demand for all installations, for the relevant period referred to in Article 11, paragraph 1. The CBAM factor shall be applied. Allowances resulting from the reduction of free allocation shall be made available to support innovation in accordance with Article 10a(8).deleted

2022/03/04
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Article 1 – paragraph 1 – point 12 – point g

Directive 2003/87/EC
Article 10a – paragraph 8 – subparagraph 1

365 million allowances from the quantity which could otherwise be allocated for free pursuant to this Article, and 85 million allowances from the quantity which could otherwise be auctioned pursuant to Article 10, ~~as well as the allowances resulting from the reduction of free allocation referred to in Article 10a(1a),~~ shall be made available to a Fund with the objective of supporting innovation in low-carbon technologies and processes, and contribute to zero pollution objectives (the ‘Innovation Fund’). Allowances that are not issued to aircraft operators due to the closure of aircraft operators and which are not necessary to cover any shortfall in surrenders by those operators, shall also be used for innovation support as referred to in the first subparagraph.

2022/03/01
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Article 1 – paragraph 1 – point 14 – point a

Directive 2003/87/EC
Article 10d – paragraph 1 – subparagraph 1

A fund to support investments proposed by the beneficiary Member States, including the financing of small-scale investment projects, to modernise energy systems and improve energy efficiency shall be established for the period from 2021 to 203022 (the ‘Modernisation Fund’). The Modernisation Fund shall be financed through the auctioning of allowances as set out in Article 10~~, for the beneficiary Member States set out therein~~.

2022/03/01
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Article 1 – paragraph 1 – point 16

Directive 2003/87/EC
Article 14 – paragraph 1 – subparagraph 1

(16) in Article 14(1), first subparagraph, the following sentence is added: ‘Those implementing acts shall apply the sustainability and greenhouse gas emission saving criteria for the use of biomass established by Directive (EU) 2018/2001 of the European Parliament and of the Council(*), with any necessary adjustments for application under this Directive, for this biomass to be zero- rated. They shall specify how to account for storage of emissions from a mix of zero-rated sources and sources that are not zero-rated. They shall also specify how to account for emissions from renewable fuels of non-biological origin and recycled carbon fuels, ensuring that these emissions are accounted for and that double counting is avoided.’; _________ (*) 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).’;deleted

2022/03/01
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Article 1 – paragraph 1 – point 21

Directive 2003/87/EC
Chapter IV a

~~(21) The following Chapter IVa is inserted after Article 30: [...]~~deleted

2022/03/01
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Article 2 – paragraph 1 – point 2

Decision 2015/1814/EU
Article 1 a

~~(2) the following Article 1a is inserted: [...]~~deleted

2022/03/02
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Annex I – paragraph 1 – point a

Directive 2003/87/EC
Annex 1 – point 1

1. Installations or parts of installations used for research, development and testing of new products and processes~~, and installations where emissions from the combustion of biomass that complies with the criteria set out pursuant to Article 14 contribute to more than 95 % of the total greenhouse gas emissions~~ are not covered by this Directive.

2022/03/02
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Annex I – point 1

Directive 2003/87/EU
Annex II b

(1) Annex IIb to Directive 2003/87/EC is replaced by the following: “ANNEX IIb Part A - DISTRIBUTION OF FUNDS FROM THE MODERNISATION FUND CORRESPONDING TO ARTICLE 10(1), THIRD SUBPARAGRAPH [...] Part B - DISTRIBUTION OF FUNDS FROM THE MODERNISATION FUND CORRESPONDING TO ARTICLE 10(1), FOURTH SUBPARAGRAPH [...]”deleted

2022/03/02
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Annex I – point 2

Directive 2003/87/EC
Annex III, III a and III b

~~(2) The following Annexes are inserted as Annexes III, IIIa and IIIb to Directive 2003/87/EC: [...]~~deleted

2022/03/02
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Annex I – point 3 – point a – point i

Directive 2003/87/EC
Annex IV – Part A – Calculation – subparagraph 4

(i) in the fourth subparagraph, the last sentence “The emission factor for biomass shall be zero.” is replaced by the following: “The emission factor for biomass that complies with the sustainability criteria and greenhouse gas emission saving criteria for the use of biomass established by Directive (EU) 2018/2001, with any necessary adjustments for application under this Directive, as set out in the implementing acts referred to in Article 14, shall be zero.”;deleted

2022/03/02
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Annex I – point 3 – point b

The emission factor for biomass that complies with the sustainability criteria and greenhouse gas emission saving criteria for the use of biomass established by Directive (EU) 2018/2001, with any necessary adjustments for application under this Directive, as set out in the implementing acts referred to in Article 14, shall be zero.;deleted

2022/03/02
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Annex I – point 3 – point c

Directive 2003/87/EC
Annex IV – Part C

~~(c) the following Part C is added: [...]~~deleted

2022/03/02
Committee: ENVI

Teuvo HAKKARAINEN

Proposal for a directive
Annex I – point 4

Directive 2003/87/EC
Annex V – Part C

~~(4) in Annex V to Directive 2003/87/EC, the following Part C is added: [...]~~deleted

2022/03/02
Committee: ENVI

32 Amendments of Teuvo HAKKARAINEN related to 2021/0211(COD)

ParlTrack - 2011-2024