9 Amendments of Susana SOLÍS PÉREZ related to 2021/0211(COD)
Amendment 299 #
Proposal for a directive
Recital 30
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 yearis phase out should be gradual, starting from a low level and accelerating thereafter once the CBAM has proven its effectiveness. 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. _________________ 51 [please insert full OJ reference] 51
Amendment 441 #
Proposal for a directive
Recital 44
Recital 44
(44) In order to establish the necessary implementation framework and to provide a reasonable timeframe for reaching the 2030 target, while taking into account the significant costs on citizens and companies, the extension of the emissions trading into the two new sectors should start in 2025be divided into two different trading periods. The first trading period (phase I) should start in 2025 and include only commercial and governmental buildings. During the first year, the regulated entities should be required to hold a greenhouse gas emissions permit and to report their emissions for the years 2024 and 2025. The issuance of allowances and compliance obligations for these entities should be applicable as from 2026. In 2028, the Commission should draft an evaluation report regarding the second trading period (phase II) in regards to the extension of the emissions trading system to both, the residential buildings and the road transport sectors, including transport of goods and private transport. This evaluation report should establish the conditions and specific timeframes of the binding calendar upon which phase II will take place. This sequencing will allow starting emissions trading in the sectors in an orderly and efficient manner. It would also allow the EU funding and Member State measures to be in place to ensure a socially fair introduction of the EU emissions trading into the two sectors so as to mitigate the impact of the carbon price on vulnerable households and transport users.
Amendment 473 #
Proposal for a directive
Recital 47
Recital 47
(47) The regulated entities falling within the scope of the emissions trading in the sectors of buildings and road transportoth commercial and governmental buildings should be subject to similar greenhouse gas emissions permit requirements as the operators of stationary installations. It is necessary to establish rules on permit applications, conditions for permit issuance, content, and review, and any changes related to the regulated entity. In order for the new system to start in an orderly manner, Member States should ensure that regulated entities falling within the scope of the new emissions trading have a valid permit as of the start of the system in 2025. For those regulated entities falling within the scope of the second trading period (i.e. emissions trading in the road transport and residential buildings sectors), the Commission should establish, through its evaluation report, the emissions trading, the conditions of the greenhouse gas emissions permit requirements for these sectors. To this end, the Commission should issue guidelines for public competent authorities towards the preparation, implementation and running of the system, as well as a potential helpdesk function;
Amendment 505 #
Proposal for a directive
Recital 50
Recital 50
(50) In order to ensure a smooth start to emissions trading in the buildings and road transportcommercial and governmental buildings sectors and taking into account the need of the regulated entities to hedge or buy ahead allowances to mitigate their price and liquidity risk, a higher amount of allowances should be auctioned early on. In 2026, the auction volumes should therefore be 30 % higher than the total quantity of allowances for 2026. This amount would be sufficient to provide liquidity, both if emissions decrease in line with reduction needs, and in the event emission reductions only materialise progressively. The detailed rules for this front-loading of auction volume are to be established in a delegated act related to auctioning, adopted pursuant to Article 10(4) of Directive 2003/87/EC.
Amendment 526 #
Proposal for a directive
Recital 52
Recital 52
(52) The introduction of the carbon price in phase I (i.e. commercial and governmental buildings), and at a later stage in phase II (i.e. road transport and residential 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].
Amendment 586 #
Proposal for a directive
Recital 58
Recital 58
(58) The application of emissions trading in the buildings and road transportphase I (i.e. the commercial and governmental buildings sectors) should be monitored by the Commission, including the degree of price convergence with the existing ETS, and, if necessary, a review should be proposed to the European Parliament and the Council to improve the effectiveness, administration and practical application of emissions trading for those sectors on the basis of acquired knowledge as well as increased price convergence. The Commission should be required to submit the first report on those matters by 1 January 2028. . The same should apply to the application of emissions trading in phase II (i.e. the road transport and the residential buildings sector), after its full implementation given the conditions established by the Commission in its evaluation report.
Amendment 627 #
Proposal for a directive
Recital 66
Recital 66
(66) In order to mitigate the risk of supply and demand imbalances associated with the start of emissions trading for the commercial and governmental buildings sectors in phase I and residential buildings and road transport sectorsin phase II, 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.
Amendment 1036 #
Proposal for a directive
Article 1 – paragraph 1 – point 12 – point b
Article 1 – paragraph 1 – point 12 – point b
Directive 2003/87/EC
Article 10a - paragraph 1a - subparagraph 2
Article 10a - paragraph 1a - subparagraph 2
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 yearThis phase out should be gradual, starting from a low level and accelerating thereafter once the CBAM has proven its effectiveness.
Amendment 1525 #
Proposal for a directive
Article 1 – paragraph 1 – point 21
Article 1 – paragraph 1 – point 21
Directive 2003/87/EC
Article 30 i – paragraph 1
Article 30 i – paragraph 1
By 1 January 2028, the Commission shall report to the European Parliament and to the Council on both the implementation of the provisions of this Chapter and on the assessment of the second trading period (phase II). The report on the implementation of the provisions shall be carried out with regard to their effectiveness, administration and practical application, including on the application of the rules under Decision (EU) 2015/1814 and use of allowances of this Chapter to meet compliance obligations of the compliance entities covered by Chapters II, IIa and III. Where appropriate, the Commission shall accompany this report with a proposal to the European Parliament and to the Council to amend this Chapter. By 31 October 2031The evaluation report on the extension of the emission trading system for phase II (i.e. road transport and residential buildings) laid down in Chapter IVa of this Directive to emissions from road transport and residential buildings shall set specific timeframes and conditions of the binding calendar upon which this extension will take place, based on, in particular: (i) A detailed analysis and quantification of the additional greenhouse gas emissions reduction that could be achieved through this extension; (ii) the possibilities for decarbonisation within the road transport sector and the availability of viable low- carbon alternatives; (iii) the impact on European companies’ competitiveness; (iv) the updated impact assessment on households; (v) the updated compensation possibilities of the Social Climate Fund; (vi) existing and planned tools in the fight against climate change, including recovery and structural funds. Where appropriate, the Commission shall accompany this report with a proposal to the European Parliament and to the Council to amend this Chapter. Throughout the Directive, any necessary changes shall be made to coherently reflect the provisions of this article and article 30a. At a later stage, the Commission should assess the feasibility of integrating the sectors covered by Annex III in the Emissions Trading System covering the sectors listed in annex 1 of Directive 2003/87/EC.’’;