Chemical Industry Gives Mixed Response to Greenhouse Gas Emissions Trading Scheme

The Chemical Industries Association (CIA) today expressed concern that the UK’s allocation of greenhouse gas emissions is still not finally decided, but applauded the UK Government’s decision to press the European Commission for approval of the revised limits.

“The changes the UK Government has now suggested still leave industry in a more difficult position than with the original targets. It is vital that the UK secures the amendment to the current emissions cap; otherwise we risk further damaging UK competitiveness both within and outside Europe,” says Alan Eastwood, CIA’s Head of Group, Utilities and Competitiveness.

“We need a more integrated approach from Government on climate change policy. The EU Emissions Trading Scheme is just one element in a confusing and incompatible mix of climate change instruments. More support and incentives that enable companies to develop innovative energy efficiency technology is the key,” commented Nick Sturgeon, who manages the chemical sector Climate Change Agreement for CIA.

Chemical companies must now use the detailed National Allocation Plan published yesterday as a basis for deciding whether they wish to opt-out of the EU Emission Trading Scheme and continue to participate in their climate change agreements alone.