1. CoP16/CMP6, Cancun Reflections on Cancun & The way forward 23 March 2011, Budapest Artur Runge-Metzger Director, DG CLIMA European Commission

3. What has happened in Cancun?

4. What should happen in 2011?

5. Implementation PLUS

6. Inside the EU

8. The process was in bad shape and trust was lacking

9. EU expectations: « step-wise » approach, i.e. balanced package capturing progress made thus far and allowing for concrete action

10. These expectations were broadly met: Consensus - 1

12. The Cancun Agreement:Gaps (1) Key issue of legal form left open in Cancun “Legal options with the aim to complete an agreed outcome” 2nd commitment period of the Kyoto Protocol Other New market mechanisms Aviation and maritime transport HFC Agriculture Finance (after Fast-start finance)

14. Peaking: IPCC - before 2020

16. What should happen in 2011 ?PLUS Kyoto Protocol 2nd commitment period Closing the gap: peak, long term goal, ambition Long-term finance, notably on sources Carbon markets: develop new sectoral mechanism Addressing missing issues: HFCs, aviation and maritime transport, agriculture Legal form EU like many others in favour of a legally binding agreement but issue will remain divisive Build on Kyoto Acquis Review starting in 2013

17. Future of Kyoto:Some details EU would prefer a global legally binding deal, but developed countries push for second commitment period EU ready to consider 2nd commitment period if environmental flaws are addressed Carry over of AAU (emission rights): around 11Gt ~ 2.5 times annual EU27 emissions LULUCF If other major economies do similar efforts Kyoto covers <30% ofglobal emissions

18. Climate change finance UNFCCC Secretariat will compile annual reports on fast start finance from mid 2011 Establish the Green Climate Fund : detailed structures to be developed by interim committee Creates Standing Committee on climate finance Recognize goal of developed countries to mobilise jointly US$ 100 billion per year by 2020 (in the context of mitigation action) – but sources unknown yet!

19. What should happen in 2011?Meeting schedule Informal ministerial meeting, 23-24 March Ad-hoc Working Groups, April 3-8, Bangkok Subsidiary Bodies & Ad-hoc Working Groups, June 6-17, Bonn Ad-hoc Working Groups, September/October??? COP17, November 28 – December 9, Durban G8, 26-27 May G20, 3-4 Nov

20. What should happen in 2011 ?Inside the EU - Implementation EU on track to meet its Kyoto target (2008-2012) Broad legislation in place for 2020, which still needs to be fully implemented, including Implementation: EU Emissions Trading System (3rd phase preparation, e.g. benchmarks for industry, auctioning platform); Effort Sharing Decision (preparatory work for 2013-2020); Engine efficiency; Fuel Quality Directive Proposals: White paper on transport (March); Energy Efficiency Action Plan (March); Multi-Annual Financial Framework 2014-2020 (mid 2011), Land use, land use change and Forestry (mid 2011), Revision of Monitoring Mechanism Decision (mid 2011) Preparatory work: Heavy Duty Vehicles, Maritime transport Review: F-gases Reporting: Fast-start Funding (May); Technical report (May/June), Progress report (October) Going beyond 20%: analysis and discussion in Council Collaborative action with partners (adaptation, technology, REDD+, capacity building)

22. with behavioural change only induced through prices

23. If all economic sectors contribute to a varying degree & pace.Efficient pathway: -25% in 2020 -40% in 2030 -60% in 2040

24. Conclusions Cancun has delivered, process back on track Time for implementation of Cancun pledges. The EU is working full steam on this. Still climate change problem is not solved, a lot on our plate to get to a legally binding framework Essential to maintain the « Cancun spirit » to feed in the way to Durban and later However, the « global politics » of climate change have not become easier EU needs to remain determined, further intensify our bilateral contacts/climate diplomacy to keep everybody on board

25. 15 For further information:http://ec.europa.eu/clima/policies/brief/eu/index_en.htm 15