EU leaders commit to binding laws on CO2 emissions targets

EU LEADERS have said they will pass binding laws to implement ambitious cuts in greenhouse gas emissions within the next 12 months…

EU LEADERS have said they will pass binding laws to implement ambitious cuts in greenhouse gas emissions within the next 12 months.

They also promised at an EU summit in Brussels yesterday to offer concessions to heavy industries and allow governments more flexibility to meet their emissions reductions targets to "avoid excessive costs". But any hope that Ireland would be able to renegotiate its own target of cutting C02 emissions by 20 per cent by 2020 was effectively ruled out by Taoiseach Bertie Ahern, who said the target was difficult but achievable.

"The 20 per cent target will be a stretch," said Mr Ahern, noting the importance of the agricultural sector and the cement and aluminium industries in Ireland. "But overall we are committed to these targets and we will work hard to do it. Our discussions around the Cabinet table are to work out how we actually achieve it."

In formal conclusions published at the end of the summit, EU leaders pledged to reach a final agreement on the details of the climate change package "before the end of 2008 and consequently allow for their adoption . . . at the latest early in 2009".

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This would strengthen the EU's hand in UN talks in November 2009 when the union hopes to persuade the US, China and India to sign up to a global climate change deal.

But EU leaders also noted that there is a real concern about "carbon leakage", whereby energy intensive industries such as cement and aluminium firms move outside Europe to states that do not sign up to curbs on greenhouse gas emissions.

Under pressure from German chancellor Angela Merkel, the leaders agreed to include in the new legislation specific measures to help heavy industry bear the cost of cutting emissions to ensure they enjoyed a level playing field with foreign rivals. EU leaders also called for more flexibility when it comes to allowing states to offset their domestic emissions by investing in clean energy projects abroad.

In an important signal that will benefit states such as Ireland facing steep cuts in greenhouse gases, they said this was necessary "to avoid excessive costs for member states".

In the commission package there are tight restrictions on using "clean development mechanisms" but there are signs that Brussels may be willing to allow states more freedom to offset emissions. Environmental pressure groups complain this simply allows states to buy their way out of making real cuts in Co2 emissions.