Panorama
 
 
 
 
 

GOING, GOING, GONE? – WHY THE UK GOVERNMENT
SHOULDN’T ET ENERGY AUCTION BILLIONS SLIP AWAY


Environmental Panorama
International
November of 2008


19 Nov 2008 - The UK Government should begin to raise the billions of Euros it needs to tackle climate change by setting aside revenues gained from the first UK auction of pollution credits, being held today, according to a new joint paper released by WWF and Oxfam.

The 4 million pollution allowances being sold today under the EU Emissions Trading Scheme (ETS) could raise funds in the region of €74 million, according to the agencies. Between now and 2012, the UK could raise about €1.6billion of revenue from the scheme. From 2013, income is set to grow substantially to around €6 billion per year in the UK alone and across the EU as a whole, between €50-75 billion per year could be generated by 2020.

WWF and Oxfam believe this money should be used to build a safe and secure low-carbon economy at home and across the developing world and to help poor communities to adapt to climate change that is already happening. However the UK has joined other European governments in resisting proposals from MEPs to use funds raised through the ETS for action to tackle climate change because of concerns they breach budgetary principlees about earmarking.

“The Stern review showed that tackling climate change makes huge economic sense - but this battle can't be won if we don't find the money to invest in solutions and kick start new green industries,” said Keith Allott, Head of Climate Change at WWF-UK.

“The new and substantial revenues from the ETS auctions could go a long way to plug this gap, so it is frustrating that the UK Government is one of the main opponents to the idea of using the money this way, arguing technical problems with earmarking revenues. It also begs the question of what alternatives the Government proposes in order to fund the transition to a climate-safe future.”

Phil Bloomer, Oxfam Campaigns and Policy Director, said: “Millions of poor people across the globe are already suffering as a result of climate change, as victims of natural disasters and changing weather patterns that wreck crops and force them to travel further for water. The billions raised from polluters must be invested both to prevent future climate change and to help poor people adapt to change already upon them through projects such as early flood warning and irrigation systems.

“The UK Government should grasp the chance to lead the world in tackling climate change. Disputes about where money comes from should not get in the way of providing the scale of investment necessary to protect poor people from the climate change of our creation.”

Until the end of phase two of the scheme in 2012, most of the pollution permits in the EU ETS will still be handed out for free. This has allowed the power sector to generate huge windfall profits - with the UK power sector alone set to reap a potential €15 billion by the end of 2012. WWF and Oxfam believe that from 2013 it is absolutely vital that the power sector should be obliged to buy permits at auction forcing it to pay in full for its pollution costs.

The Government should make a strong commitment now to spend this new stream of revenue generated from companies paying for the costs of their pollution on measures to tackle climate change and on building a safe and secure low carbon economy both at home and across the developing world.

At the least, it should announce an equivalent minimum level of spend. At a critical time for the international climate negotiations, this would send an important signal to the EU and the rest of the world, illustrating just how seriously the UK takes the need to take action against climate change.
Jo Sargent, WWF-UK
Jon Slater, Oxfam

+ More

FSC still the best

18 Nov 2008 - WWF believes that responsible forest management is necessary for the maintenance of biodiversity and ecosystems services, both on individual sites and within the wider landscape. WWF sees credible forest certification as an important tool to promote responsible forest management and purchasing of forest products from well-managed forests. In collaboration with the World Bank, WWF has developed the Forest Certification Assessment Guide (FCAG), to assess the quality and credibility of certification schemes.

In order to review WWF’s position on credible certification schemes, WWF commissioned an assessment using the FCAG to assess the two global certification systems: the FSC (Forest Stewardship Council) and PEFC (Program for Endorsement of Certification Systems). The assessment focused on the rules set by these systems internationally, supplemented by an assessment of a sample of national FSC and PEFC standards/schemes, i.e. in Germany, Australia and Chile, with respect to elements that could not be assessed at an international level.

The assessment showed that few changes have been implemented at the international level in either of the two schemes since the last WWF assessment in 2005.

Based on this latest FCAG assessment as well as other previous assessments, it can be concluded that while there is room for improvement in both systems, FSC still best meets WWF's core requirements, namely for:

driving significant improvements in forest management on the ground;
meeting as a minimum WWF's core values on meaningful and equitable participation of all major stakeholder groups, reliable and independent assessment, certification decisions free of conflicts of interest, transparency in decision making and reporting; and
delivering consistency across countries.
The conclusion is predominantly based on the following studies:

An analysis of the FSC and PEFC Systems for Forest Management Certification, using the Forest Certification Assessment Guide (FCAG), Walter, October 2008;
An analysis of Corrective Action Requests (CAR) of FSC and PEFC across six countries in Europe, Hirschberger, 2005;
The Global Impacts of SmartWood Certification, Newsom & Hewitt, 2005.
Forest Certification Credibility Assessment in Indonesia Applying the Forest Certification Assessment Guide on National Level, Hinrichs & Prasetyo, 2007.
WWF will continue to actively focus its efforts on improving the FSC system, and on promoting the FSC logo as an internationally recognized hallmark of responsible forest management. WWF also acknowledges that both FSC and PEFC need improvements. FSC needs to improve in its approach to interim standards, while PEFC needs to improve across a range of issues, in particular on transparency of decision-making and reporting, balanced and equitable stakeholder participation as well as its ability to demonstrate improvements on the ground. PEFC also needs to develop a consistent approach across countries. While some national PEFC schemes were better in performance than others, the common use of the PEFC logo does not allow buyers to differentiate between them.
Margareta Renstrom
WWF International

 
 

Source: WWF – World Wildlife Foundation International
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