21 Amendments of Elżbieta Katarzyna ŁUKACIJEWSKA related to 2014/0011(COD)
Amendment 17 #
Proposal for a decision
Citation 4 a (new)
Citation 4 a (new)
having regard to the European Council conclusions of 23 and 24 October 2014 on the 2030 Climate and Energy Policy Framework;
Amendment 25 #
Proposal for a decision
Recital 2
Recital 2
(2) The report from the Commission to the European Parliament and the Council on the state of the European carbon market in 21027 identified the need for measures in order to tackle structural supply-demand imbalances. The impact assessment on the 2030 climate and energy policy framework8] indicates that this imbalance is expected to continue, and would not be sufficiently addressed by adapting the linear trajectory to a more stringent target within this framework. A change in the linear factor only changes gradually the cap. Accordingly, the surplus would also only gradually decline, such that the market would have to continue to operate for more than a decade with a surplus of around 2 billion allowances or more. In order to address this problem and to make the European Emission Trading System more resilient to imbalances, a market stability reserve should be established. To ensure regulatory certainty as regards auction supply in phase 3 and allow for some lead-time adjusting to the introduction of the design change, the market stability reserve should be established as of phase 4 starting in 2021. In order to preserve a maximum degree of predictability, clear rules should be set for placing allowances into the reserve and releasing them from the reserve. Where the conditions are met, beginning in 20212, allowances corresponding to 120% of the number of allowances in circulation in year x-21 should be put into the reserve. A corresponding number of allowances should be released from the reserve when the total number of allowances in circulation is lower than 4600 million. __________________ 7 8COM(2012) 652 final. COM(2012) 652 final. 8 Insert reference. Insert reference.
Amendment 46 #
Proposal for a decision
Recital 3 a (new)
Recital 3 a (new)
(3a) In order to prevent excessive price increases resulting from the application of the market stability reserve mechanism and to avoid a rapid increase in electricity prices as well as to reduce the threat of carbon leakage, a safety buffer in a form of the price control mechanism should be part of the market stability reserve. The price control mechanism as an integral part of the market stability reserve should introduce a price threshold of max. EUR 20, above which the placing of allowances in the reserve should be suspended until the price of an allowance falls below such threshold.
Amendment 59 #
Proposal for a decision
Recital 3 b (new)
Recital 3 b (new)
(3b) The European Council conclusions of 23 and 24 October 2014 on the 2030 Climate and Energy Policy Framework give clear guidance on the continuation of free allocations to the energy sector in Member States with GDP per capita below 60% of the EU average. The ETS reform that is envisaged by the introduction of the market stability reserve should be carried out without prejudice to optional transitional free allocations no more than 40% of the allowances allocated under paragraph 2.9 of the European Council conclusions of 23 and 24 October 2014 aimed at promoting real investments modernising the energy sector, while avoiding distortions of the internal energy market.
Amendment 68 #
Proposal for a decision
Recital 3 c (new)
Recital 3 c (new)
(3c) The European Council conclusions of 23 and 24 October 2014 on the 2030 Climate and Energy Policy Framework give clear guidance on the continuation of free allocations and carbon leakage provisions after 2020, stating that "the most efficient installations in the sectors at risk of losing international competitiveness should not face undue carbon costs leading to carbon leakage" and that "future allocations will ensure better alignment with changing production levels in different sectors" and "at the same time, incentives for industry to innovate will be fully preserved and administrative complexity will not be increased." The conclusions further underline that both direct and indirect costs for the respective industry sectors will be taken into account as well as the need for affordable energy prices. It is of paramount importance that the Commission reviews the functioning of Directive 2003/87/EC, in that respect.
Amendment 70 #
Proposal for a decision
Recital 4
Recital 4
(4) The Commission should review the functioning of the market stability reserve in relation to its operation in the light of experience of its application. The review of the functioning of the market stability reserve should in particular consider whether the rules on placing and releasing allowances in and from the reserve are appropriate with regard to the aim pursued to tackle structural supply-demand imbalancescurrent economic situation. Costs for consumers resulting from the development of CO2 prices should be duly taken into account. In that context the state of global climate change negotiations and possible ETS links with other carbon markets should be taken into account.
Amendment 75 #
Proposal for a decision
Recital 4 a (new)
Recital 4 a (new)
(4a) Back-loaded allowances in accordance with Regulation (EU) No 176/2014 should not be placed in the market stability reserve.
Amendment 79 #
Proposal for a decision
Recital 5
Recital 5
(5) Articles 10 and 13(2), 13(2) and 29a of Directive 2003/87/EC should therefore be amended accordingly, without prejudice to the volumes of allowances that will be distributed among eligible Member States according to the European Council conclusions of 23 and 24 October 2014 on the 2030 Climate and Energy Policy Framework, namely: (a) optional transitional free allocations aimed at promoting real investments modernising the energy sector, while avoiding distortions of the internal energy market; (b) a new reserve of 2% of the EU ETS allowances that will be set aside to address particularly high additional investment needs in low income Member States (GDP per capita below 60% of the EU average in 2013 in EUR at market prices); (c) 10% of the EU ETS allowances that will be auctioned by the Member States for the purposes of solidarity, growth and interconnections and which will be distributed among those countries whose GDP per capita did not exceed 90% of the EU average (in 2013).
Amendment 91 #
Proposal for a decision
Article 1 – paragraph 1
Article 1 – paragraph 1
1. A market stability reserve is established, and shall operate from 1 January 20212, on the condition that Directive 2003/87/EC is amended according to the European Council conclusions of 23 and 24 October 2014 on the 2030 Climate and Energy Policy Framework.
Amendment 99 #
Proposal for a decision
Article 1 – paragraph 1 a (new)
Article 1 – paragraph 1 a (new)
1a. Allowances put into the reserve shall not be cancelled.
Amendment 110 #
Proposal for a decision
Article 1 – paragraph 2
Article 1 – paragraph 2
2. The Commission shall publish the total number of allowances in circulation each year, by 15 May of the subsequent year. The total number of allowances in circulation for year x shall be the cumulative number of allowances issued in the period since 1 January 2008, including the number issued pursuant to Article 13(2) of Directive 2003/87/EC in that period and entitlements to use international credits exercised by installations under the EU emission trading system in respect of emissions up to 31 December of year x, minus the cumulative tonnes of verified emissions from installations under the EU emission trading system between 1 January 2008 and 31 December of year x, any allowances cancelled in accordance with Article 12(4) of Directive 2003/87/EC and the number of allowances in the reserve. No account shall be taken of emissions during the three-year period starting in 2005 and ending in 2007 and allowances issued in respect of those emissions. The first publication shall take place by 15 May 201720.
Amendment 114 #
Proposal for a decision
Article 1 – paragraph 2 a (new)
Article 1 – paragraph 2 a (new)
2a. Allowances earmarked for free allocation for the modernisation of electricity generation shall be deducted from an amount of allowances that a Member State should transfer to the market stability reserve.
Amendment 129 #
Proposal for a decision
Article 1 – paragraph 3
Article 1 – paragraph 3
3. In each year beginning in 20212, a number of allowances equal to 120% of the total number of allowances in circulation in year x-21, as published in May year x-1, shall be placed in the reserve, unless this number of allowances to be placed in the reserve would be less than 100 million. In respect of Member States applying Article 10c of Directive 2003/87/EC as well as opting to give free allowances to the energy sector up to 2030 and without prejudice to the first sentence of Article 10c(2) of that Directive, the total quantity of allowances to be auctioned pursuant to Article 10(2) of that Directive in a given year following the adjustment shall not be lower than the quantity of allowances to be transitionally allocated free of charge to installations for electricity production in that same year. If necessary, the quantity of allowances to be put into stability reserve in a given year during the period of implementation of the stability reserve, by a Member State applying Article 10c of Directive 2003/87/EC as well as opting to give free allowances to the energy sector up to 2030 shall be reduced accordingly.
Amendment 134 #
Proposal for a decision
Article 1 – paragraph 3 a (new)
Article 1 – paragraph 3 a (new)
3a. The Commission shall propose a dedicated formula for the placing of allowances in the reserve. The formula shall reflect the over-allocation of allowances, as well as entitlements to use international credits in the second trading period vis-à-vis verified emissions. A share of allowances of each and every Member State to be placed in the reserve shall reflect their ratio of over-allocation in the second trading period.
Amendment 139 #
Proposal for a decision
Article 1 – paragraph 4
Article 1 – paragraph 4
4. In any year, if the total number of allowances in circulation is lower than 4600 million, 100 million allowances shall be released from the reserve. In case less than 100 million allowances are in the reserve, all allowances in the reserve shall be released under this paragraph. Allowances released from the reserve will be distributed among those countries whose GDP per capita did not exceed 90% of the EU average (in 2013).
Amendment 146 #
Proposal for a decision
Article 1 – paragraph 5
Article 1 – paragraph 5
5. In any year, if paragraph 4 is not applicable and measures are adopted under Article 29a of the Directive, 100 million allowances shall be released from the reserve. In case less than 100 million quarter x+2 of any year, if the average allowances price from quarter x is higher than EUR 20, transferring allowances into the market stability reserve shall be suspended by changing the auction volumes of allowances which are inot the reserve, all allowances in the reserveult from the latest application of the market stability reserve mechanism. Such suspension shall be refleascted under this paragraphin the auction calendar volumes until the average allowances price fall below such threshold.
Amendment 164 #
Proposal for a decision
Article 2 – paragraph 1 – point 1
Article 2 – paragraph 1 – point 1
Directive 2003/87/EC
Article 10 – paragraph 1
Article 10 – paragraph 1
2. “1. From 20212 onwards, Member States shall auction all allowances that are not allocated free of charge in accordance with Article 10a and 10c and are not placed in the market stability reserve established by Decision [OPEU please insert number of this Decision when known] of the European Parliament and of the Council(*).”
Amendment 189 #
Proposal for a decision
Article 2 – paragraph 1 – point 4 a (new)
Article 2 – paragraph 1 – point 4 a (new)
4a. In Article 29a the following paragraph is added after paragraph 1: "1a. If the average allowances price from quarter x is higher than EUR 20, in a quarter x+2 the transferring allowances into the market stability reserve shall be suspended by changing the auction volumes of allowances which are not the result from the latest application of the market stability reserve mechanism. Such suspension shall be reflected in the auction calendar volumes until the average allowances price fall below such threshold."
Amendment 194 #
Proposal for a decision
Article 2 a (new)
Article 2 a (new)
Article 2a Review of Directive 2003/87/EC By ...+, the Commission shall review Directive 2003/87/EC, taking into account the conclusions of the European Council of 23 and 24 October 2014, in particular with regard to carbon leakage provisions and the continuation of free allocations, better reflecting changing production levels and incentivising the most efficient performance taking into account direct and indirect carbon costs, and if appropriate shall, in accordance with the ordinary legislative procedure, submit a proposal to the European Parliament and the Council. __________________ + OJ: Please, insert the date: six months from the entry into force of this Decision.
Amendment 200 #
Proposal for a decision
Article 3 – title
Article 3 – title
Review of the market stability reserve
Amendment 210 #
Proposal for a decision
Article 3 – paragraph 1
Article 3 – paragraph 1