Agreement on the new EU Directive on Renewable Energy
EU Parliament delegation, EU Council and European Commission agreed today on the EU Directive on Renewable Energy.(...) The Renewable Energy Directive sets the goal of increasing renewable energy's share of the market to 20% by 2020, from around 8.5% today, by means of binding national targets. For all countries, 10% of energy used in transport will have to come from renewables. Member states will have to clearly set out how they will meet those targets through detailed national action plans. The EU Commission will have full power to monitor these plans and launch infringement procedures against member states not implementing the directive.
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[Nature, 15 Dec 2008:
http://www.nature.com/news/2008/081217/full/456847a.html]
By 2020, the power sector will need to pay for all of its allowances. But sectors that can prove they are facing serious competitive disadvantages — as is claimed by the steel, cement and aluminium industries — can apply for exemptions to grant them up to 100% free emission permits, even after 2020.
Source: European Environment Agency
To qualify, firms must show that the burden from emissions trading would add at least 5% to their overall production costs, and that more than 10% of their imports and exports are exposed to international competition, which might shift such businesses to countries with less intensive regulations. Heavy industries that cannot prove these risks will have to buy 20% of allowances by 2013, and 70% by 2020.
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