Activities of Emma WIESNER related to 2021/0211(COD)
Shadow reports (1)
REPORT on the proposal for a directive of the European Parliament and of the Council amending Directive 2003/87/EC establishing a system for greenhouse gas emission allowance trading within the Union, Decision (EU) 2015/1814 concerning the establishment and operation of a market stability reserve for the Union greenhouse gas emission trading scheme and Regulation (EU) 2015/757
Amendments (62)
Amendment 185 #
Proposal for a directive
Recital 13 a (new)
Recital 13 a (new)
(13a) According to the European Union Methane Strategy, published in October 2020, 26 % of the continent’s methane emissions come from waste. Worldwide, landfills and dumpsites are predicted to account for 8 – 10 % of all anthropogenic greenhouse gas emissions by 2025. The Union should aim to significantly reduce landfilling in the Union and should in any case avoid that the future inclusion of waste incineration in the EU ETS creates an unlevel playing field and leads to increased landfilling. Therefore, the Commission should also assess the possibility and feasibility to include all waste management processes, such as landfills, fermentation, composting and mechanical-biological treatment, in the EU ETS.
Amendment 194 #
Proposal for a directive
Recital 15
Recital 15
(15) In 2013, the Commission adopted a strategy for progressively integrating maritime emissions into the Union's policy for reducing greenhouse gas emissions. As a first step in this approach, the Union established a system to monitor, report and verify emissions from maritime transport in Regulation (EU) 2015/757 of the European Parliament and of the Council47 , to be followed by the laying down of reduction targets for the maritime sector and the application of a market based measure. In line with the commitment of the co- legislators expressed in Directive (EU) 2018/410 of the European Parliament and of the Council48 , action by the International Maritime Organization (IMO) or the Union should start from 2023, including preparatory work on adoption and implementation of a measure ensuring that the sector duly contributes to the efforts needed to achieve the objectives agreed under the Paris Agreement and due consideration being given by all stakeholders. In order to increase the environmental effectiveness of EU measures and avoid unfair competition and incentives for circumvention, the scope of Regulation (EU) 2015/757 should be amended to cover ships with a gross tonnage above 400. The EU ETS should include such ships where they have annual emissions over 1 000 tonnes CO2 equivalents per year. The maritime emissions covered by the EU ETS should also include methane, which should therefore be part of the scope of Regulation (EU) 2015/757. _________________ 47Regulation (EU) 2015/757 of the European Parliament and of the Council of 29 April 2015 on the monitoring, reporting and verification of carbon dioxide emissions from maritime transport, and amending Directive 2009/16/EC (OJ L 123, 19.5.2015, p. 55). 48Directive (EU) 2018/410 of the European Parliament and of the Council of 14 March 2018 amending Directive 2003/87/EC to enhance cost-effective emission reductions and low-carbon investments, and Decision (EU) 2015/1814 (OJ L 76, 19.3.2018, p. 3).
Amendment 236 #
Proposal for a directive
Recital 24 a (new)
Recital 24 a (new)
(24a) The EU ETS should as much as possible avoid undue exemptions and distortive measures. Municipal waste incineration is an important source of greenhouse gas emissions and should be included under the EU ETS. The inclusion would encourage waste prevention and recycling and contribute to the economy-wide decarbonisation. Since recycling and regeneration activities are already covered by the EU ETS, the inclusion would reinforce incentives for sustainable management of waste in line with the waste hierarchy. It would complement other elements of EU waste legislation. Moreover, integrating waste incineration into the EU ETS would create a level playing field between the regions that have included municipal waste incineration under the scope, reducing the risk of tax competition between regions.
Amendment 243 #
Proposal for a directive
Recital 26
Recital 26
(26) Achieving the Union’s emissions reduction target for 2030 while at the same time pursuing the goal of the Paris Agreement to limit global warming to 1,5 degrees will require a significant reduction in the emissions of the sectors covered by the EU ETS of 61 % compared to 2005. The Union-wide quantity of allowances of the EU ETS needs to be reduced progressively to create the necessary long-term carbon price signal and drive for this degree of decarbonisation. To this end, the linearannual reduction factor should be increased, also taking into account the inclusion of emissions from maritime transport. The latter should be derived from the emissions from maritime transport activities reported in accordance with Regulation (EU) 2015/757 for 2018 and 2019 in the Union, adjusted, from year 2021, by the linear reduction factor.
Amendment 252 #
Proposal for a directive
Recital 27
Recital 27
(27) Bearing in mind that this Directive amends Directive 2003/87/EC in respect of a period of implementation that has already started on 1 January 2021, for reasons of predictability, environmental effectiveness and simplicity, the steeper linear reduction pathway of the EU ETS should be a straight line from 2021 to 2030, such as to achieve emission reductions in the EU ETS of 61 % by 2030, as the appropriate intermediate stepprovide a clear direction towards Union economy- wide climate neutrality in 2050 at the latest. As the increased linear reduction factor can only apply from the year following the entry into force of this Directive, a one-off reduction of the quantity of allowances should reduce the total quantity of allowances so that it is in line with this level of annual reduction having been made from 2021 onwardse average emissions of the previous three years, adjusted, from the mid-point of this period, by the linear reduction factor.
Amendment 255 #
(27a) The main method for allocating emission allowances in the EU ETS is auctioning. The EU ETS should therefore gradually move away from the transitional system of free allocations in order to ensure a market-based system respecting the polluter pays principle.
Amendment 265 #
Proposal for a directive
Recital 28
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 Statessupport the transition to innovative decarbonised technologies and processes, and to the upscaling of relevant technologies across the Union in a way that contributes to mitigating climate change in line with the objectives set out in Regulation (EU) 2021/1119, 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/ECfor the Innovation Fund, to be renamed the Net-Zero Fund.
Amendment 306 #
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 20254, 90 % in 2026 and should be reduced by 10 percentage points each year to reach 0 % and thereby eliminate free allocation by the tenth year5, 80 % in 2026, 70 % in 2027, 50 % in 2028, 25 % in 2029 and reach 0 % in 2030. 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 InnovationNet-Zero Fund, so as to support inter alia 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 and the upscaling of relevant technologies in a way that contributes to mitigating climate change consistently with the objectives set out in Regulation (EU) 2021/1119. 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]
Amendment 311 #
Proposal for a directive
Recital 30 a (new)
Recital 30 a (new)
(30a) CBAM is a mechanism that addresses the risk of carbon leakage through the application of a uniform price on emissions embedded in products placed on the domestic EU market. Therefore, it is important to also monitor, prevent and address the risk of EU production intended for export to third countries being replaced on the global market by more carbon intensive goods. Hence, the Commission should continuously monitor and assess the effectiveness of the Carbon Border Adjustment Mechanism (CBAM) in light of the carbon leakage risk on export markets, including the development of EU exports in CBAM sectors and the developments in trade flows and embedded emissions of related products on the global market. Where a risk of carbon leakage is detected, the Commission should present a WTO- compatible legislative proposal to address the carbon leakage risk on export markets.
Amendment 348 #
Proposal for a directive
Recital 33
Recital 33
(33) The scope of the Innovation Fund referred to in Article 10a(8) of Directive 2003/87/EC should be extended to support both innovation projects and measures that implement and scale up innovative technologies that contribute significantly to decarbonisation in line with the Union´s climate targets. To reflect this, the Fund should be renamed "Net-Zero Fund". The Fund should support innovation in low-carbon technologies and processes that concern the consumption of fuels in the sectors of buildings and road transport. In addition, the Innovation Fund should serve to support investments to decarbonise the maritime transport sector, including investments in sustainable alternative fuels, such as hydrogen and ammonia that are produced from renewables, as well as zero-emission propulsion technologies like wind technologies. Considering that revenues generated from penalties raised in Regulation xxxx/xxxx [FuelEU Maritime]52 are allocated to the InnovationNet-Zero Fund as external assigned revenue in accordance with Article 21(5) of the Financial Regulation, the Commission should ensure that due consideration is given to support for innovative projects aimed at accelerating the development and deployment of renewable and low carbon fuels in the maritime sector, as specified in Article 21(1) of Regulation xxxx/xxxx [FuelEU Maritime]. To ensure sufficient funding is available for innovation within this extended scope, the InnovationNet-Zero Fund should be supplemented with 50 million allowances, stemming partly from the allowances that could otherwise be auctioned, and partly from the allowances that could otherwise be allocated for free, in accordance with the current proportion of funding provided from each source to the InnovationNet-Zero Fund. _________________ 52[add ref to the FuelEU Maritime Regulation].
Amendment 362 #
Proposal for a directive
Recital 35
Recital 35
(35) Carbon Contracts for Difference (CCDs) are an important element to trigger emission reductions in industry, offering the opportunity to guarantee investors in innovative climate-friendly technologies a price that rewards CO2 emission reductions above those induced by the current price levels in the EU ETS. The range of measures that the InnovationNet-Zero Fund can support should be extended to provide support to projects through price- competitive tendering, such as CCDs. The Commission should be empowered to adopt delegated acts on the precise rules for this type of support. When implementing the CCDs, it should be ensured that they are compliant with state aid and world trade rules, and compatible with the Carbon Border Adjustment Mechanism, and that they are designed in a way that does not distort the EU ETS market. It is crucial that they are based on market principles and transparency.
Amendment 368 #
Proposal for a directive
Recital 37 a (new)
Recital 37 a (new)
(37a) It is the nature of the EU ETS that auctioning of allowances is the default allocation method, with transitional free allocation in place as a protection against the risk of carbon leakage. Free allocation of emission allowances to prevent carbon leakage should be targeted on those sectors genuinely exposed to such risks while maintaining appropriate protection against carbon leakage also in sectors outside the CBAM. The carbon leakage list should therefore be revised to reflect the different levels of exposure to carbon leakage risks. Furthermore, to provide incentives for decarbonisation and recognise emissions reductions, installations whose emissions are below the relevant benchmark values should be exempted from the cross-sectoral correction factor, in case such factor is applied.
Amendment 377 #
Proposal for a directive
Recital 38
Recital 38
(38) The scope of the Modernisation Fund should be aligned with the most recent climate objectives of the Union by requiring that investments are consistent with the objectives of the European Green Deal and Regulation (EU) 2021/1119, and eliminating the support to any investments related to fossil fuels. In addition, the percentage of the Modernisation Fund that needs to be devoted to priority investments should be increased to 8100 %; energy efficiency should be targeted as a priority area at the demand side; and support of households to address energy poverty, including in rural and remote areas, should be included within the scope of the priority investments.
Amendment 406 #
Proposal for a directive
Recital 42
Recital 42
Amendment 636 #
Proposal for a directive
Recital 67 a (new)
Recital 67 a (new)
(67a) In line with Regulation (EU) 2021/1119, highest priority should be given to direct emissions reductions, which will have to be complemented by increased CO2 removals in order to achieve climate neutrality. Therefore, a future revision of the EU ETS and of the overall EU climate policy framework should also analyse how negative emissions could be included in emissions trading, including a clear scope and strict criteria and safeguards to ensure that such removals are not merely offsetting necessary emissions reductions but are genuine and permanent.
Amendment 638 #
Proposal for a directive
Recital 67 b (new)
Recital 67 b (new)
(67b) The success of the European carbon market is critical from a global perspective, as it will encourage more countries to introduce market driven carbon pricing. The Carbon Border Adjustment Mechanism will extend carbon pricing to imported products sold on the EU market, but the EU should at the same time engage in international cooperation for the introduction of carbon pricing mechanisms. The Commission should further analyse how linkages with other carbon markets could be established while ensuring the achievement of the EU´s own economy-wide climate target. The Commission should actively pursue the establishment of an international “Carbon club” for ensuring continuous exchange in good faith with the EU’s trade partners. Its objective should be to allow for the comparison and coordination of carbon pricing measures as well as non-carbon pricing measures with an impact on emission reduction. The Carbon club should also support the comparability of climate measures by ensuring the quality of climate monitoring, reporting and verification among its members. Membership of the club should be informal, open and on a voluntary basis for countries aiming at high climate ambition in line with the Paris Agreement.
Amendment 639 #
Proposal for a directive
Recital 67 c (new)
Recital 67 c (new)
(67c) In addition to effective carbon pricing based on a well-function emission trading system, market transparency is of key importance for enabling swift and cost-efficient emissions reductions in all sectors of the economy. To allow consumers and all actors along the supply chain to make informed choices concerning the emission embedded in products, a European system for robust carbon footprint labelling of products should be developed.
Amendment 644 #
Proposal for a directive
Article 1 – paragraph 1 – point 1
Article 1 – paragraph 1 – point 1
Directive 2003/87/EC
Article 2 – paragraph 1
Article 2 – paragraph 1
1. This Directive shall apply to the activities listed in Annexes I and III, and to the of greenhouse gases listed in Annex II. Where an installation that is included in the scope of the EU ETS due to the operation of combustion units with a total rated thermal input exceeding 20 MW changes its production processes to reduce its greenhouse gas emissions and no longer meets that threshold, it shall remain in the scope of the EU ETS until the end of the relevant five year period referred to in Article 11(1), second subparagraph, follow or no longer emits greenhouse gases, it may decide to remain ing the change to its production processscope of the EU ETS.
Amendment 685 #
Proposal for a directive
Article 1 – paragraph 1 – point 4
Article 1 – paragraph 1 – point 4
Directive 2003/87/EC
Article 3a – paragraph 1
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, in respect of CO2 and methane emissions from ships with greenhouse gas emissions above 1 000 tonnes CO2eq per year.
Amendment 695 #
Proposal for a directive
Article 1 – paragraph 1 – point 5
Article 1 – paragraph 1 – point 5
Directive 2003/87/EC
Article 3g – paragraph 1
Article 3g – paragraph 1
1. The allocation of allowances and the application of surrender requirements in respect of maritime transport activities shall apply in respect of fifty percent (50 %) of the emissions from ships performing voyages departing from a port under the jurisdiction of a Member State and arriving at a port outside the jurisdiction of a Member State, fifty percent (50 %) of the emissions from ships performing voyage departing from a port outside the jurisdiction of a Member State and arriving at a port under the jurisdiction of a Member State, one hundred percent (100 %) of emissions from ships performing voyages departing from a port under the jurisdiction of a Member State and arriving at a port under the jurisdiction of a Member State and one hundred percent (100 %) of emissions from ships at berth in a port under the jurisdiction of a Member State.
Amendment 750 #
Proposal for a directive
Article 1 – paragraph 1 – point 6
Article 1 – paragraph 1 – point 6
Directive 2003/87/EC
Article 3ga a (new)
Article 3ga a (new)
Amendment 769 #
Proposal for a directive
Article 1 – paragraph 1 – point 6
Article 1 – paragraph 1 – point 6
Directive 2003/87/EC
Article 3ge – paragraph 1
Article 3ge – paragraph 1
1. The Commission shall consider possible amendments in relation to the adoption by the International Maritime Organization of a global market-based measure to reduce greenhouse gas emissions from maritime transport. In the event of the adoption of such a measure, and in any event before the 2028 global stocktake and no later than 30 September 2028, the Commission shall present a report to the European Parliament and to the Council in which it shall examine any such measure. WThe re appropriate, the Commission may follow toport shall examine the ambition and overall environmental integrity of the measures decided upon by IMO, including their general ambition in relation to targets under the Paris Agreement, to the Union economy-wide greenhouse gas emissions reduction target for 2030 and to the climate- neutrality objective as defined in Regulation (EU) 2021/1119. Where appropriate, the Commission may accompany the report with a legislative proposal to the European Parliament and to the Council to amend this Directive as appropriate, including concerning its coverage of voyages to and from the EU, in a manner that is consistent with the aim of preserving the environmental integrity and effectiveness of Union climate action, in particular the Union economy-wide greenhouse emissions reduction target for 2030 and the climate-neutrality objective as defined in Regulation (EU) 2021/1119.
Amendment 783 #
Proposal for a directive
Article 1 – paragraph 1 – point 7
Article 1 – paragraph 1 – point 7
Directive 2003/87/EU
Article 3h – paragraph 1 a (new)
Article 3h – paragraph 1 a (new)
By 31 December 2025, the Commission shall also assess the possibility to include other waste management processes, in particular methane and nitrous oxide emissions from landfills in the Union, in the EU ETS. The Commission shall, where appropriate, accompany that report with a legislative proposal to include these sectors in the EU ETS.
Amendment 784 #
Proposal for a directive
Article 1 – paragraph 1 – point 7
Article 1 – paragraph 1 – point 7
Directive 2003/87/EC
Article 3h – paragraph 1 a (new)
Article 3h – paragraph 1 a (new)
From [the year of entry into force of this amendment], the provisions of this Chapter shall apply to greenhouse gas emissions permits in respect of municipal waste incineration installations. The obligation to surrender allowances in respect of emissions from these installations shall apply to emissions from the year 2025 onwards.
Amendment 793 #
Proposal for a directive
Article 1 – paragraph 1 – point 10
Article 1 – paragraph 1 – point 10
Directive 2003/87/EC
Article 9 – paragraph 3
Article 9 – paragraph 3
In [the year following entry into force of this amendment], the Union-wide quantity of allowances shall be decreased by [-- million allowances (to be determined dependequal the average emissions of the previous three years, adjusted, from the mid-poingt on year of entry into force)]f this period, by the linear reduction factor. In the same year, the Union-wide quantity of allowances shall be increased by 79 milliona number of allowances fcor maritime transport. Starting in [the year following entry into force of this amendment], the linear factor shall be 4,2 %responding to the emissions from maritime transport activities reported in accordance with Regulation (EU) 2015/757 for 2018 and 2019 in the Union, adjusted, from year 2021, by the linear reduction factor. In [the year following entry into force of this amendment], the linear factor shall be 4,2 %. In each subsequent year, the reduction factor shall increase by 0,1 percentage points compared to the previous year. The Commission shall publish the Union-wide quantity of allowances within 3 months of [date of entry into force of the amendment to be inserted].;
Amendment 823 #
Proposal for a directive
Article 1 – paragraph 1 – point 11 – point -a (new)
Article 1 – paragraph 1 – point 11 – point -a (new)
Directive 2003/87/EC
Article 10 – paragraph 1 – subparagraph 2
Article 10 – paragraph 1 – subparagraph 2
(-a) In Article 10(1), the second subparagraph is replaced by the following: "From 2021 onwards, and without prejudice to a possible reduction pursuant to Article 10a(5a), the share of allowances to be auctioned shall be 57%. From ... [the year following entry into force of this Directive] onwards, and without prejudice to a possible reduction pursuant to Article 10a(5a), the share of allowances to be auctioned shall be 60 %. The share of allowances to be auctioned, without prejudice to a possible reduction pursuant to Article 10a(5a) shall thereafter be revised upwards as follows: 70 % from 2028, and 80 % from 2030. From 2035 onwards, all allowances shall be auctioned." Or. en (https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=celex%3A32003L0087)
Amendment 838 #
Proposal for a directive
Article 1 – paragraph 1 – point 11 – point a
Article 1 – paragraph 1 – point 11 – point a
Directive 2003/87/EC
Article 10 – paragraph 1 – subparagraph 3a
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 IIbNet-Zero Fund established in accordance with Article 10a(8) to support to the transition to innovative decarbonised technologies and processes, and to the upscaling of relevant technologies across the Union, in a way that contributes to mitigating climate change in line with the objectives set out in Regulation (EU) 2021/1119.
Amendment 848 #
Proposal for a directive
Article 1 – paragraph 1 – point 11 – point b
Article 1 – paragraph 1 – point 11 – point b
Directive 2003/87/EC
Article 10 – paragraph 3 –introductory part
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, 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:;
Amendment 861 #
Proposal for a directive
Article 1 – paragraph 1 – point 11 – point b a (new)
Article 1 – paragraph 1 – point 11 – point b a (new)
Directive 2003/87/EC
Article 10 – paragraph 3 – subparagraph 1 – point d
Article 10 – paragraph 3 – subparagraph 1 – point d
(ba) in paragraph 3, first subparagraph, point (d) is replaced by the following: "(d) forestry and soil sequestration in the Union; (https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A02003L0087-20210101)" Or. en
Amendment 883 #
Proposal for a directive
Article 1 – paragraph 1 – point 11 – point c
Article 1 – paragraph 1 – point 11 – point c
Directive 2003/87/EC
Article 10 – paragraph 3 – subparagraph 1 – point h a (new)
Article 10 – paragraph 3 – subparagraph 1 – point h a (new)
(ha) to finance national climate dividend schemes with a proven positive environmental impact as documented in the annual report referred to in Article 19(2) of Regulation (EU) 2018/1999;
Amendment 885 #
Proposal for a directive
Article 1 – paragraph 1 – point 11 – point c
Article 1 – paragraph 1 – point 11 – point c
Directive 2003/87/EC
Article 10 – paragraph 3 - subparagraph 1– point h b (new)
Article 10 – paragraph 3 - subparagraph 1– point h b (new)
(hb) nature restoration of forests and other marine or land based ecosystems, including financing for the creation of nature conservation areas;
Amendment 938 #
Proposal for a directive
Article 1 – paragraph 1 – point 12 – point a – point i
Article 1 – paragraph 1 – point 12 – point a – point i
Directive 2003/87/EC
Article 10a – paragraph 1 – subparagraph 2a
Article 10a – paragraph 1 – subparagraph 2a
Amendment 977 #
Proposal for a directive
Article 1 – paragraph 1 – point 12 – point a – point ii
Article 1 – paragraph 1 – point 12 – point a – point ii
Directive 2003/87/EC
Article 10a – paragraph 1 – subparagraph 3
Article 10a – paragraph 1 – subparagraph 3
In order to provide further incentives for reducing greenhouse gas emissions and, improving energy efficiency and promote innovative decarbonised products, the determined Union-wide ex-ante benchmarks shall be reviewed before the period from 2026 to 2030 in view of potentially modifying the definitions and system boundaries of existing product benchmarks.;y ... [6 months of the entry into force of this Directive] in view of modifying and broadening the scope of the definitions and system boundaries of existing product benchmarks ensuring that, depending on the benchmark, free allocation for the production of a product is independent of the feedstock or the type of production process, accounts for the circular use potential of materials, and avoids that installations with partially or fully decarbonised processes producing products with similar or equal characteristics as conventional installations in the benchmark are excluded from or cannot participate in the benchmarks.
Amendment 1043 #
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 duringfrom the entry into force of [CBAM regulation] and the end ofuntil 31 December 2024, 90 % in 2025, 980 % in 2026 and shall be reduced by 10 percentage points each year to reach 0 % by the tenth year, 70 % in 2027, 50 % in 2028, 25 % in 2029 and reach 0 % in 2030.
Amendment 1065 #
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 10 – paragraph 1a – subparagraph 4
Article 10 – paragraph 1a – subparagraph 4
Allowances resulting from the reduction of free allocation shall be made available to support innovation and to scale up zero- and low-carbon technologies contributing significantly to climate neutrality in the Union in accordance with Article 10a(8).;
Amendment 1077 #
Proposal for a directive
Article 1 – paragraph 1 – point 12 – point b a (new)
Article 1 – paragraph 1 – point 12 – point b a (new)
Directive 2003/87/EU
Article 10a – paragraph 1a a (new)
Article 10a – paragraph 1a a (new)
(ba) the following paragraph is inserted: “1aa. Each year starting in 2025, as part of the annual Commission report pursuant to Article 10(5), the Commission shall present a report to the European Parliament and to the Council monitoring the effectiveness of the Carbon Border Adjustment Mechanism (CBAM) in addressing the carbon leakage risk for EU production for export to third countries without EU ETS or similar regulation. The report shall in particular assess the development of EU exports in CBAM sectors and the developments in trade flows and embedded emissions of covered products on the global market. Where the report finds such a carbon leakage risk for EU production for export to third countries, the Commission shall, where appropriate, present a legislative proposal to address the carbon leakage risk for EU production exported to third countries in a manner compliant with WTO rules.”
Amendment 1118 #
Proposal for a directive
Article 1 – paragraph 1 – point 12 – point c – point iii a (new)
Article 1 – paragraph 1 – point 12 – point c – point iii a (new)
Directive 2003/87/EC
Article 10a – paragraph 2 – subparagraph 6
Article 10a – paragraph 2 – subparagraph 6
Amendment 1122 #
Proposal for a directive
Article 1 – paragraph 1 – point 12 – point d a (new)
Article 1 – paragraph 1 – point 12 – point d a (new)
Directive 2003/87/EC
Article 10a – paragraph 5
Article 10a – paragraph 5
(da) paragraph 5 is replaced by the following: "5. In order to respect the auctioning share set out in Article 10, for every year in which the sum of free allocations does not reach the maximum amount that respects the auctioning share, the remaining allowances up to that amount shall be used to prevent or limit reduction of free allocations to respect the auctioning share in later years. Where, nonetheless, the maximum amount is reached, free allocations shall be adjusted accordingly. Any such adjustment shall be done in a uniform manner. (https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A02003L0087-20210101)However, installations whose greenhouse gas emission levels are below the average of the 10 % most efficient installations in a sector or subsector in the Union in the years 2021 and 2022 for the relevant product benchmarks shall be exempted from the adjustment." Or. en
Amendment 1134 #
Proposal for a directive
Article 1 – paragraph 1 – point 12 – point eDirective 2003/87/EC
Article 1 – paragraph 1 – point 12 – point eDirective 2003/87/EC
Article 10a – paragraph 6
(e) in paragraph 6, the first subparagraph is replaced by the following: “Member States should adopt financial measures in accordance with the second and fourth subparagraphs in favour of sectors or subsectors which are exposed to a genuine risk of carbon leakage due to significant indirect costs that are actually incurred from greenhouse gas emission costs passed on in electricity prices, provided that such financial measures are in accordance with State aid rules, and in particular do not cause undue distortions of competition in the internal market. The financial measures adopted should not compensate indirect costs covered by free allocation in accordance with the benchmarks established pursuant to paragraph 1. Where a Member State spends an amount higher than the equivalent of 25 % of their auction revenues of the year in which the indirect costs were incurred, it shall set out the reasons for exceeding that amount.” is deleted;
Amendment 1164 #
Proposal for a directive
Article 1 – paragraph 1 – point 12 – point g
Article 1 – paragraph 1 – point 12 – point g
Directive 2003/87/EC
Article 10a – paragraph 8 – subparagraph 1
Article 10a – paragraph 8 – subparagraph 1
Amendment 1178 #
Proposal for a directive
Article 1 – paragraph 1 – point 12 – point g
Article 1 – paragraph 1 – point 12 – point g
Directive 2003/87/EC
Article 10a – paragraph 8 – subparagraph 2
Article 10a – paragraph 8 – subparagraph 2
In addition, 50 million unallocated allowances from the market stability reserve shall supplement any remaining revenues from the 300 million allowances available in the period from 2013 to 2020 under Commission Decision 2010/670/EU(*), and shall be used in a timely manner for innovation and decarbonisation support as referred to in the first subparagraph. Furthermore, the external assigned revenues referred to in Article 21(2) of Regulation (EU) [FuelEU Maritime] shall be allocated to the InnovationOcean Fund as part of the Net-Zero Fund and implemented in line with this paragraph.
Amendment 1187 #
Proposal for a directive
Article 1 – paragraph 1 – point 12 – point g
Article 1 – paragraph 1 – point 12 – point g
Directive 2003/87/EC
Article 10a – paragraph 8 – subparagraph 3
Article 10a – paragraph 8 – subparagraph 3
The InnovationNet-Zero Fund shall cover the sectors listed in Annex I and Annex III, including environmentally safe carbon capture and utilisation (“CCU”) that contributes substantially to mitigating climate change, as well as products substituting carbon intensive ones produced in sectors listed in Annex I, and to help stimulate the construction and operation of innovative renewable energy and energy storage technologies, and of projects aimed at the environmentally safe capture and geological storage (“CCS”) of CO2, as well as of innovative renewable energy and energy storage technologies; in geographically balanced locations. The Innovationincluding Direct Air Capture ("DAC"). The Net-Zero Fund mayshall also support break- through innovative technologies and infrastructure to decarbonise the maritime sector anddecarbonisation in the maritime sector, through the Ocean Fund, and provide support for the production of low- and zero-carbon fuels in aviation, rail and road transport. Special attention shall be given toupport from the Fund shall include projects in sectors covered by the [CBAM regulation] to support innovation inand implementation of low carbon technologies, CCU, CCS, renewable energy and, energy storage, as well as CCU and CCS, in a way that contributes to mitigating climate change in accordance with the objectives set out in Regulation (EU) 2021/1119 for 2030 and 2050.
Amendment 1200 #
Proposal for a directive
Article 1 – paragraph 1 – point 12 – point g
Article 1 – paragraph 1 – point 12 – point g
Directive 2003/87/EC
Article 10a – paragraph 8 – subparagraph 4
Article 10a – paragraph 8 – subparagraph 4
Projects in the territory of all Member States, including small-scale projects, shall be eligible. Technologies receiving support shall be innovative and not yet commercially viable at a similar scale without support but shall represent breakthrough solutions or be sufficiently mature for application at pre-commercial scale, and/or contribute significantly to the objective of climate neutrality and could not be deployed at large scale without support.
Amendment 1208 #
Proposal for a directive
Article 1 – paragraph 1 – point 12 – point g
Article 1 – paragraph 1 – point 12 – point g
Directive 2003/87/EC
Article 10a – paragraph 8 – subparagraph 5
Article 10a – paragraph 8 – subparagraph 5
The Commission shall ensure that the allowances destined for the InnovationNet-Zero Fund are auctioned in accordance with the principles and modalities laid down in Article 10(4). Proceeds from the auctioning shall constitute external assigned revenue in accordance with Article 21(5) of the Financial Regulation. Budgetary commitments for actions extending over more than one financial year may be broken down over several years into annual instalments.
Amendment 1211 #
Proposal for a directive
Article 1 – paragraph 1 – point 12 – point g
Article 1 – paragraph 1 – point 12 – point g
Directive 2003/87/EC
Article 10a – paragraph 8 – subparagraph 6
Article 10a – paragraph 8 – subparagraph 6
Projects shall be selected on the basis of objective and transparent criteria, taking into account the extent to which projects provide a significant contribution to the Union´s climate targets, and, where relevant, the extent to which projects contribute to achieving emission reductions well below the benchmarks referred to in paragraph 2. Projects shall have the potential for widespread application or to significantly lower the costs of transitioning towards a low-carbonclimate neutral economy in the sectors concerned. Projects involving CCU shall deliver a net reduction in emissions and ensure avoidance or permanent storage of CO2. In the case of grants provided through calls for proposals, up to 60 % of the relevant costs of projects may be supported, out of which up to 40 % need not be dependent on verified avoidance of greenhouse gas emissions, provided that pre-determined milestones, taking into account the technology deployed, are attained. In the case of support provided through competitive bidding and in the case of technical assistance support, up to 100 % of the relevant costs of projects may be supported. Projects whose reduction in emissions benefit the decarbonisation of other actors in nearby geographical areas, such as the construction of relevant energy infrastructures, shall have a preferential treatment in the criteria used for the selection of projects.
Amendment 1217 #
Proposal for a directive
Article 1 – paragraph 1 – point 12 – point g
Article 1 – paragraph 1 – point 12 – point g
Directive 2003/87/EC
Article 10a – paragraph 8 – subparagraph 7
Article 10a – paragraph 8 – subparagraph 7
The Commission is empowered to adopt delegated acts in accordance with Article 23 to supplement this Directive concerning rules on the operation of the InnovationNet-Zero Fund, including the selection procedure and criteria, and the eligible sectors and technological requirements for the different types of support. The Commission shall aim for a timetable that frontloads the support from the Fund to the beginning of the period.
Amendment 1222 #
Proposal for a directive
Article 1 – paragraph 1 – point 12 a (new)
Article 1 – paragraph 1 – point 12 a (new)
Directive 2003/87/EC
Article 10b – paragraph 1
Article 10b – paragraph 1
Amendment 1227 #
Proposal for a directive
Article 1 – paragraph 1 – point 12 b (new)
Article 1 – paragraph 1 – point 12 b (new)
Directive 2003/87/EC
Article 10b – paragraph 4
Article 10b – paragraph 4
Amendment 1230 #
Proposal for a directive
Article 1 – paragraph 1 – point 13
Article 1 – paragraph 1 – point 13
Directive 2003/87/EC
Article 10c
Article 10c
(13) in Article 10c, paragraph 7 is replaced by the following: “Member States shall require benefiting electricity generating installations and network operators to report, by 28 February of each year, on the implementation of their selected investments, including the balance of free allocation and investment expenditure incurred and the types of investments supported. Member States shall report on this to the Commission, and the Commission shall make such reports public.” is deleted;
Amendment 1256 #
Proposal for a directive
Article 1 – paragraph 1 – point 14 – point b
Article 1 – paragraph 1 – point 14 – point b
Directive 2003/87/EC
Article 10d – paragraph 2 – introductory part
Article 10d – paragraph 2 – introductory part
2. At least 8100 % of the financial resources from the Modernisation Fund shall be used to support investments in the following:
Amendment 1401 #
Proposal for a directive
Article 1 – paragraph 1 – point 19 c (new)
Article 1 – paragraph 1 – point 19 c (new)
Directive 2003/87/EC
Article 30 – paragraph 3
Article 30 – paragraph 3
(19c) In Article 30, paragraph 3 is replaced by the following: "The Commission shall report to the European Parliament and to the Council in the context of each global stocktake agreed under the Paris Agreement, in particular with regard to the need for additional Union policies and measures in view of necessary greenhouse gas reductions by the Union and its Member States, including in relation to the linear factor referred to in Article 9. The Commission may make proposals to the European Parliament and to the Council to amend this Directive where appropriate. The proposals shall ensure compliance with Union climate targets as laid down in Regulation (EU) 2021/1119, and shall represent progression over time and reflect the highest possible ambition, in line with the Paris Agreement." Or. en (https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=celex%3A32003L0087)
Amendment 1403 #
Proposal for a directive
Article 1 – paragraph 1 – point 20 a (new)
Article 1 – paragraph 1 – point 20 a (new)
Directive 2003/87/EC
Article 30 – paragraph 4 a (new)
Article 30 – paragraph 4 a (new)
(20a) In Article 30, the following paragraph is added: “4a. Before 31 December 2028, the Commission shall submit a report to the European Parliament and the Council analysing how negative emissions could be included in emissions trading in the Union, including a clear scope and strict criteria and safeguards to ensure that such removals are not merely offsetting necessary emissions reductions but are genuine and permanent. The report shall, where appropriate, be accompanied by a legislative proposal.”
Amendment 1404 #
Proposal for a directive
Article 1 – paragraph 1 – point 20 b (new)
Article 1 – paragraph 1 – point 20 b (new)
Directive 2003/87/EC
Article 30 – paragraph 4 b (new)
Article 30 – paragraph 4 b (new)
(20b) In Article 30, the following paragraph is added: “4b. When reviewing this Directive in accordance with paragraphs 1 to 3, the Commission shall analyse how linkages with other carbon markets can be established, while ensuring the achievement of the Union´s economy- wide climate target.”
Amendment 1503 #
Proposal for a directive
Article 1 – paragraph 1 – point 21
Article 1 – paragraph 1 – point 21
Directive 2003/87/EC
Article 30 h – paragraph 1
Article 30 h – paragraph 1
1. Where, for more than three consecutive months, the average price of allowance in the auctions carried out in accordance with the act adopted under Article 10(4) is more than twice1.5 times the average price of allowance during the six preceding consecutive months in the auctions for the allowances covered by this Chapter, the Commission shall, as a matter of urgency, adopt a decision to release 750 million allowances covered by this Chapter from the Market Stability Reserve in accordance with Article 1a(7) of Decision (EU) 2015/1814.
Amendment 1512 #
Proposal for a directive
Article 1 – paragraph 1 – point 21
Article 1 – paragraph 1 – point 21
Directive 2003/87/EC
Article 30 h – paragraph 2
Article 30 h – paragraph 2
2. Where, for more than three consecutive months, the average price of allowance in the auctions carried out in accordance with the act adopted under Article 10(4) is more than three times the average price of allowance during the six preceding consecutive months in the auctions for the allowances covered by this Chapter, the Commission shall, as a matter of urgency, adopt a decision to release 1560 million allowances covered by this Chapter from the Market Stability Reserve in accordance with Article 1a(7) of Decision (EU) 2015/1814.
Amendment 1548 #
Proposal for a directive
Article 2 – paragraph 1 – point 1 – point c
Article 2 – paragraph 1 – point 1 – point c
Decision (EU) 2015/1814
Article 1 – paragraph 5 – subparagraph 1
Article 1 – paragraph 5 – subparagraph 1
In any given year, if the total number of allowances in circulation is between 833700 million and 1 09600 million, a number of allowances equal to the difference between the total number of allowances in circulation, as set out in the most recent publication as referred to in paragraph 4 of this Article, and 833700 million, shall be deducted from the volume of allowances to be auctioned by the Member States under Article 10(2) of Directive 2003/87/EC and shall be placed in the reserve over a period of 12 months beginning on 1 September of that year. If the total number of allowances in circulation is above 1 09600 million allowances, the number of allowances to be deducted from the volume of allowances to be auctioned by the Member States under Article 10(2) of Directive 2003/87/EC and to be placed in the reserve over a period of 12 months beginning on 1 September of that year shall be equal to 1230 % of the total number of allowances in circulation. By way of derogation from the last sentence, until 31 December 2030, the percentage shall be doubledStarting in 2025, the thresholds of 700 million allowances and 1 000 million allowances shall decline each year in accordance with the reduction factor specified in Article 9.
Amendment 1593 #
Proposal for a directive
Article 3 – paragraph 1 – point -1 a (new)
Article 3 – paragraph 1 – point -1 a (new)
Regulation (EU) 2015/757
Article 2 – paragraph 1
Article 2 – paragraph 1
(-1a) in Article 2, paragraph 1 is replaced by the following: "1. This Regulation applies to ships above 5 0400 gross tonnage in respect of CO2greenhouse gas emissions released during their voyages from their last port of call to a port of call under the jurisdiction of a Member State and from a port of call under the jurisdiction of a Member State to their next port of call, as well as within ports of call under the jurisdiction of a Member State. (https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A02015R0757-20161216)”; Or. en
Amendment 1639 #
Proposal for a directive
Annex I – paragraph 1 – point a
Annex I – paragraph 1 – point a
Directive 2003/87/EC
Annex I – point 1
Annex I – point 1
Amendment 1650 #
Proposal for a directive
Annex I – paragraph 1 – point a a (new)
Annex I – paragraph 1 – point a a (new)
Directive 2003/87/EC
Annex I – point 5
Annex I – point 5
(aa) point 5 is replaced by the following: "5. When the capacity threshold of any activity in this Annex is found to be exceeded in an installation, all units in which fuels are combusted, other than units for the incineration of hazardous or municipal waste, shall be included in the greenhouse gas emission permit. (https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A02003L0087-20210101)” Or. en
Amendment 1653 #
Proposal for a directive
Annex I – paragraph 1 – point b – point -i (new)
Annex I – paragraph 1 – point b – point -i (new)
Directive 2003/87/EC
Annex I – table – row 1 – column 1
Annex I – table – row 1 – column 1
(-i) in the first row, the first column is replaced by the following: "Combustion of fuels in installations with a total rated thermal input exceeding 20 MW (except in installations for the incineration of hazardous or municipal waste) (https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A02003L0087-20210101)waste)” Or. en
Amendment 1670 #
Proposal for a directive
Annex I – point 1
Annex I – point 1
Directive 2003/87/EC
Annex II b – Part B
Annex II b – Part B
Amendment 1671 #
Proposal for a directive
Annex I – point 1
Annex I – point 1
Directive 2003/87/EC
Annex II b – Part B
Annex II b – Part B