Thursday, 5 February 2009

British industries face emissions clampdown

By Jim Pickard, Political Correspondent
Published: February 4 2009 12:37

Most industries will have to cut their emissions to a 10th of their current level by 2050 to meet the government’s climate change targets, according to forecasts by Gordon Brown’s Committee on Climate Change.
The UK has signed up to an 80 per cent cut in greenhouse gas emissions by 2050 compared with 1990 levels, a move welcomed by environmentalists.

But plans to expand Heathrow airport and maintain aviation at its recent levels would mean the rest of industrial Britain having to cut emissions even further; by almost 90 per cent.
Lord Adair Turner, chairman of the CCC, told a Commons committee on Wednesday morning that it was logical to cut emissions where it was “easier” and there were alternatives.
“If it is more feasible to reduce emissions by 95 per cent in electricity generation and by 0 per cent in aviation than 80 per cent for both, it is a better deal for society to have 95 and 0,” he told the environmental audit committee.
Lord Turner said that there would be similar issues with agriculture, where it would be very hard to cut emissions.
The climate change committee has been asked to examine how aviation emissions can be limited to below their 2005 levels by 2050.
Even this would mean all other sectors of the economy having to reduce emissions by an average of 89 per cent, according to its December report on tackling climate change. The same report acknowledges the danger that “unconstrained” emissions from aircraft could make required reductions from other sectors “impossibly large”.
Tim Yeo, chairman of the environmental audit committee, said other sectors would have to work much harder in cutting emissions to allow aviation to hit its less stringent target. “It is a quite optimistic view given the government’s present policies,” he said.
Anita Goldsmith, a campaigner for Greenpeace, said the Heathrow decision would have “severe and unacceptable consequences” for the rest of industry.
“While all other sectors will be making major structural changes in order to reach our overall target of an 80 per cent cut in CO2 emissions, airlines and airport operators will continue to profit,” she said.
The government believes airlines will become more efficient in the coming years, meaning that aviation will contribute less to pollution.
But Greenpeace estimates that Heathrow’s emissions will reach 17.7m tonnes of CO2 by 2050 – 15 per cent of the UK’s entire carbon budget – even if aircraft become more efficient by 1 per cent a year.
Norman Baker, transport spokesman for the Liberal Democrats, said the “supine” Department for Transport had bowed to lobbying by BAA, Heathrow’s owner.
“This means that the rest of industry, which already has significant challenges ahead, will have have to move even further to reach the target. I don’t think this is feasible with present technology where it is, it is a step too far,” said Mr Baker.
The Federation of Small Businesses said its members wanted to cut their climate emissions but needed more free advice from the government on how to do so.
Lord Turner said on Wednesday morning that the government faced challenges in meeting renewables targets because wind energy companies and others would face trouble raising finance in the current economic climate.
Meanwhile Boris Johnson, London mayor, has suspended the third phase of the low emission zone, designed to improve London’s air quality, on the basis it would have damaged small businesses.
Copyright The Financial Times Limited 2009