Eu emissions trading system failing at the third attempt

What is the EU Emissions Trading System?

The Emissions Trading System (ETS) is the European Union’s flagship climate policy. It is intended to establish a legal limit (or “cap”) on carbon dioxide emissions (and more recently, those of other greenhouse gases) by making it expensive to pollute beyond this limit.

The basic idea is that it sets an overall legal limit on the CO2 emissions of over 11,000 power stations, factories and flights covered by the scheme, which operates in 31 countries and accounts for almost half of the EU’s greenhouse gas emissions. Each “installation” then receives permits to pollute, which are known as European Union Allowances (EUAs).

The ETS is supposed to provide incentives to companies who pollute less by allowing them to trade surplus permits with other companies. But the cap has been so generous that permits have been over-abundant and their price has collapsed. It has failed to make any substantial dent in the EU's greenhouse gas emissions, while returning billions of euros to big polluters in the form of unearned profits.

Corporate Europe Observatory argues that the ETS is unreformable and should be scrapped. For more resources, see:

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EU ETS: failing at the third attempt.

Emissions trading is the European Union’s flagship measure for tackling climate change, and it is failing badly. In theory it provides a cheap and efficient means to limit greenhouse gas reductions within an ever-tightening cap, but in practice it has rewarded major polluters with windfall profits, while undermining efforts to reduce pollution and achieve a more equitable and sustainable economy. The third phase of the scheme, beginning in 2013, is supposed to rectify the “teething problems” that have led to the failures to date.

This joint briefing from Carbon Trade Watch and Corporate Europe Observatory shows that:

- The EU Emissions Trading System (ETS) has failed to reduce emissions. Companies have consistently received generous allocations of permits to pollute, meaning they have no obligation to cut their carbon dioxide emissions. A surplus of around 970 million of these allowances from the second phase of the scheme (2008-2012), which can be used in the third phase, means that polluters need take no action domestically until 2017. Proposals to curtail this surplus were discussed in the context of the EU’s 2050 Roadmap, but have been watered down in response to lobbying from energy-intensive industries.

- Companies can use 1.6 billion offset credits in phases ll and lll, mostly derived from the UN's Clean Development Mechanism (CDM). Over 80 per coent of the offsets used to date come from industrial gas projects, which EU Climate Action Commissioner Connie Hedegaard admits have a "total lack of environmental integrity". The Commission delayed a ban in the use of these industrial gas offsets to April 2013 in response to lobbying from the International Emissions Trading Association (IETA) and others.

- The ETS is a subsidy scheme for polluters, with the allocation of permits to pollute more closely reflecting competition policy than environmental concerns. Power companies gained windfallprofits estimated at €19 billion in phase l, and look set to rake in up to €71 billion in phase ll. Subsidies to energy-intensive industry through the two phases could amount to a further €20 billion. This has mostly resulted in higher shareholder dividends, with very little of the windfall invested in transformational energy infrastructure.

- The third phase of the ETS will still see significant subsidies paid to industry, despite the auctioning of permits in the power sector. Industry lobbying has resulted in over three quarters of manufacturing receiving free permits, which could yield at least €7 billion in windfall revenues annually. Energy companies successfully lobbied for an estimated €4.8 billion in subsidies for carbon capture and storage (CCS), with a smaller amount for "clean" energy that includes agrofuels. In addition, the Commission is undertaking a review of its "state aid" rules which could see the granting of direct financial subsidies to companies claiming that the ETS damages their competitiveness.

- The allocation of permits according to performance “benchmarks” was supposed to encourage a fairer and more efficient division of responsibility for emissions reductions in energy-intensive sectors such as cement, steel, paper and glass. But industry has been allowed to influence the benchmarking. For example, CEMBUREAU (the cement industry lobby) was instrumental in choosing what to measure (“clinker” not cement) and how to measure it. The final agreement saw the adoption of a lax standard that was initially proposed by CEMBUREAU. This will result in a surplus of pollution permits for the cement sector, allocated in a way that rewards the continued use of dirty and outdated production methods.

-Aviation will be included in the scheme from 2012. The sector will receive 85 per cent of permits for free, and the projected carbon cost is far lower than the equivalent tax breaks for aviation fuel. Inclusion in the ETS applies only to CO2 emissions, which obscures the greater impact of contrails and other gases.

Put simply, the third phase of the ETS will continue the same basic pattern of subsidising polluters and helping them to avoid meaningful action to reduce greenhouse gas emissions.

Read the full briefing here:

EU-ETS_briefing_april2011_0.pdf.

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Corporate Europe Observatory is a research and campaign group that exposes the heavy influence of corporate interests on EU policies. Read more.

Your donation helps us to expose corporate lobbying, increase transparency and push for greater democratic accountability in the EU.

Except where otherwise noted, content on this site is licensed under a Creative Commons Attribution NonCommercial ShareAlike 4.0 International Public License.

EU Emissions Trading Scheme Destined To Fail, Report Warns.

Lobbying from industry, and from national governments, has turned the EU Emissions Trading Scheme into a major source of subsidies, with power companies expected to receive windfall profits of over €70 billion in the current phase.

The EU Emissions Trading System (ETS) has failed to cut carbon emissions and will continue to fail when the new phase is launched in 2013, according to a new briefing published by Carbon Trade Watch and Corporate Europe Observatory.

Lobbying from industry, and from national governments, has turned the scheme into a major source of subsidies, with power companies expected to receive windfall profits of over €70 billion in the current phase, according to the briefing, EU Emissions Trading System: failing at the third attempt.

Free permits promised to manufacturing industries in the third phase (2013- 2020) could yield at least €7 billion in windfall revenues annually.

What is more, some sectors, such as the cement industry, have successfully managed to influence the third phase to prevent incentives to move to cleaner forms of manufacturing.

Fundamental flaws in the design of the market mechanism mean that instead of cutting emissions to meet the EU’s carbon target in 2020, power producers and industry will be able to continue polluting as usual until 2017. Newly released figures show a surplus of permits to pollute of 3.2 per cent in 2010. These permits can be carried over to later years, making it possible for emissions increases to continue without significant costs to the industries covered.

Report author Oscar Reyes from Carbon Trade Watch said: “We were told that the EU Emissions Trading System rules would be tightened in the third phase to ensure real cuts in the EU’s carbon emissions – but instead, business is being allowed to continue polluting as usual and the only emissions reductions have been as a result of the economic downturn.

“The fundamentally flawed scheme is at the mercy of industry lobbying, and those with the loudest voices have managed to win the day – and they will be reward with windfall profits for their efforts. Consumers will pay the price in Europe, while those in the global South will continue to bear the brunt of the impacts of climate change.”

Belen Balanya, climate researcher at Corporate Europe Observatory added that the evidence from Europe should sound a warning to other governments currently taking part in international climate talks in Bangkok, Thailand.

She said: “The EU and European industry want to see an even bigger carbon market, extended beyond Europe and including more sectors. But governments around the world should take not. Carbon trading is good for industry profits – but it is an ineffective means of cutting greenhouse gas emissions.”

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Fusion shaving gel.

I only got about 25 shaves out of the large can of this shaving gel. That SUCKS> I would expect that from a cheapie dollar type of product, not THE # 1 brand in shaving. stuff.. Yes I am ****** OFF>

fix broken search functionality.

You can improve by making it work as advertised.

And to be better restore lost functionality from say, 5 or more years ago.

For example, this is broken:

search for word in subject succeeds when use the time of anytime but fails when I use last 7 days. I can see the mail with search word at the first mail in my inbox which I sent 15 minutes ago.

Search used to be terrific, better than gmail. But it has deteriorated.

address should be open to pace this info.

Take my photo off of image and remove crimil record web sites attached to name I did not give permission to place there would like IP address of who put it on line thank you when done me. Kevin gerlach and Kevin Michael gerlach both tks.

I am requesting that you do a manual review of the organic results on "chinook boot dryers"

I am requesting that you do a manual review of the organic results on "chinook boot dryers", and many other "boot dryer" and "boot dryers" keywords. First there is not much variety being displayed, since the search results are almost ALL going to websites controlled by the same guy who has built the following websites, and interlinked them together and crowded out all of the other possible search results:

+ his pages on Amazon (note the seller is SEA Products, which is the same guy who runs all of the above websites. Scott E Allen.)

You can verify this by looking at the phone numbers and addresses on the above websites, plus all of the sites look like each other.

This seems very spammy and NOT a good representation of Yahoo's stellar results. Also, it sends the signal to others that all you need to do is build out 5-6 ****** websites, link them together and take over the top search results. which isn't fair to other operators or customers trying to find the best products.

Another interesting thing about the results for "chinook boot dryers" is the fact that this guy has the domain chinookbootdryer, and that he is NOT the manufacturer of Chinook Boot Dryers but his organic listing is being treated with domain authority as though he was the manufacturer. We spoke to the actual manufacturer and found out that this guy is only one of many of their dealers and does not work for the company or have any affiliation with them in any way. You can verify this by calling the manufacturer yourself. Their number is 203-366-3840.

We have researched many other "boot dryer" keyword results and have noted that his websites are ALL dominant and taking up almost all of the page 1 organic search results.

We hope you do the right thing and don't reward this behaviour, since the rest of us are trying to stick to Yahoo's guidelines and play by the rules. with one website.

Thanks for your consideration and support!

I am requesting that you do a manual review of the organic results on "chinook boot dryers", and many other "boot dryer" and "boot dryers" keywords. First there is not much variety being displayed, since the search results are almost ALL going to websites controlled by the same guy who has built the following websites, and interlinked them together and crowded out all of the other possible search results:

+ his pages on Amazon (note the seller is SEA Products, which is the same guy who runs all of the above websites. Scott… more.

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