Transcript Open - The Scottish Government

Climate Change & Sustainable Economic Growth
Participants – Introduce themselves
Background
•
The Bill will create a framework for action until 2050 – this is a long-term
framework and will, hopefully, outlast this and many future administrations and,
therefore, other single initiatives currently in place.
•
The Bill can serve as a vehicle to introduce measures in the future. We may not
need these measures and we cannot anticipate the exact measures which will
be needed, but using secondary legislation in the future can allow government
to react quickly to changing circumstances while still ensuring parliamentary
scrutiny.
REMINDER: All discussions will be recorded though nonattributable
To find out more:
http://www.scotland.gov.uk/climatechangebill
Workshop 1a Questions: Setting Emissions Budgets
What factors should be taken into account when setting emission budgets?
•
Thinking within your sector:
– What is the capital life span of your infrastructure & how many years in
advance do you need to develop low-emissions infrastructure?
– How many years in advance should emissions budget periods be set in
order to provide sufficient time for businesses to develop infra-structure
and business planning?
– How long should each budget period be set for and why (i.e. to which
cycle: EU Emissions Trading Scheme – 5 years, moving to 8 years in
2012, UK carbon budget periods – 5years, Scottish Parliamentary cycle –
4 years, spending review periods – 3 years)?
•
Further Questions:
– Should there be an interim target and, if so, how should this be set?
– Is there anything unique to Scotland, or particular Scottish regions, which
needs to be taken into account in the Bill? If so, how?
Workshop 1a Notes: Setting Emissions Budgets
for further information, see section 6 of consultation document
What is “Emissions Budgeting”?
• An “Emissions Budget” refers to the aggregated quantity of emissions which are permitted
during a specified period.
•
Examples of emission-intensive infrastructure include: fuel refining, transport & energy
production.
The Setting & Duration of Budgets
• The later cuts in emissions are made, the greater they must be to have the same effect, they
will also be more expensive.
• It is the total amount of greenhouse gases emitted over a particular time which causes
climate change, rather than the amount of emissions in any single year. An emissions
budget would therefore need to last several years to allow for annual fluctuation.
• It is hoped that longer term emissions budgets may provide certainty for businesses and
encourage investment and innovation. Information regarding lead-in times for capital
replacement can help inform how far in advance budgets need to be set.
Participants may want to think about • Type of infrastructure that they currently have & plans for future development
• Examples of infrastructure lifespan: vehicles-7yrs, office building-20yrs, power plant-25yrs
• Examples of how business can develop low-emissions infrastructure include increasing
energy efficiency, reducing water consumption, vehicle procurement.
Workshop 1b Questions: Setting Emissions Budgets
What factors should be taken into account when setting emissions budgets?
•
Additionally:
– Is there anything particular to your sector which needs to be taken into account
when setting the level of budgets?
– How long should each budget period be set for and why (i.e. to which cycle:
EU Emissions Trading Scheme – 5 years, moving to 8 years in 2012, UK
carbon budget periods – 5years, Scottish Parliamentary cycle – 4 years,
spending review periods – 3 years)?
• Please note: emissions figures are produced with an 18-24 month delay
– Should the Government be allowed to borrow from the following budget period
to cover unexpected shock rises, if so what should be the limit and why?
•
Further Questions:
– Should there be an interim target and, if so, how should this be set?
– Is there anything unique to Scotland, or particular Scottish regions, which need
to be taken into account in the Bill? If so how?
Workshop 1b Notes: Setting Emissions Budgets
for further information, see section 6 of consultation document
What is “Emissions Budgeting”?
•
An “Emissions Budget” refers to the
aggregated quantity of emissions which are
permitted during a specified period.
•
Factors which could be taken into account
when setting budgets include economic
growth, technological progress, business
competitiveness or social impacts.
Banking and Borrowing
•
Banking and borrowing would allow the
Scottish Government to carry unused
emissions over to later budget periods or
allow it to bring forward emissions
allocations from future budget periods. This
would provide a means of allowing for
unexpected rises in emissions. For example,
rises may occur because of abnormally cold
winters, or the temporary shut down of a
nuclear power plant; increasing the reliance
on fossil fuels.
•
Banking would likely incentivise the
Government to over perform.
•
Borrowing will allow the Government to
correct unexpected spikes at the end of a
budget period. However, unlimited
borrowing may reduce certainty for business
Participants may want to think about •
Unusual or business specific demands/
constraints e.g. certain type of waste,
seasonal or annual differences in energy
use/demand, traditional manufacturing
techniques etc.
Workshop 2 Questions:
Helping business meet the climate change challenge
With an emphasis on devolved areas, what can the Scottish Government do to
help business tackle climate change?
•
Additionally:
– Is there any legislation, including regulations, which need to be amended to
help business tackle climate change?
– Is there any legislation, including regulations, which is preventing business
from tackling climate change?
– Are there any incentives which the Government can provide to help business
tackle climate change?
•
Further Questions:
– Is there anything else the Bill can do to help sustainable economic &
business growth?
Workshop 2 Notes:
Helping business meet the climate change challenge
Changes to legislation and regulation
• Government, particularly local government, may want at some stage to introduce
variable changing in order to incentivise action on climate change by business. This
would mean higher charges for less climate change friendly options, products or
behaviours. For example, varying parking rates depending on level of vehicle
emission.
•
Alternatively, there may be charging regimes which currently create perverse
incentives which are enshrined in statute but which might be usefully altered or
repealed.
– Perverse incentives emanate from policies or practices that induce unsustainable
behaviour. This may occur as an unanticipated side effect of policies designed to
achieve other objectives.
Participants may want to think about –
• Waste
• Transport (staff commuting, delivery, business travel) & Parking
• Planning
• Capacity for local/site specific renewable energy
• Energy efficiency
• Building standards / modernisation