Climate change policy presents challenges for scientists, politicians, business, and society. It requires achieving environmental goals through economic means such as low carbon technologies and lifestyle changes. The European Union has set goals of reducing emissions 20% by 2020 compared to 1990 levels, with the EU Emissions Trading System aiming for a 21% reduction and the non-ETS sector targeting a 10% decrease. Climate change financial instruments can help invest in renewables, energy efficiency, and reducing greenhouse gas emissions to meet targets and transition to a low carbon economy.

1. Climate change policy –achieving environmental goals by economic means Valdis Bisters Director Climate Policy and Technology Department

3. CEP EU Goal - 20% against 1990 -14% comparing to 2005 EU ETS -21% comp 2005 Non-ETS -10% comp 2005 27 member states: from -20% to +20%

4. EUA allocation 3rd ETS trading phases 2020 80% 30% benchmarks Phase I Phase II Phase III (LV energy operator: example)

5. Non-ETS sector emission projections

7. Carbon Intensity of Economy Source: IEA

9. Climate Change Financial Instrument Investment Portfolio 180 MEUR, 2009 - 2013

10. CCFI programming principles Renewables Efficient use of fossil Energy efficiency GHG emissions

12. More information www.varam.gov.lv Thank you for attention!