Tackling climate change

The European Union is committed to reducing its 1990 levels of greenhouse gas emissions by 8% between the years 2008-2012 under the Kyoto Protocol on climate change. Meeting this target without damaging European competitiveness poses a major challenge. To minimise the costs of compliance and to gather useful experience, the European Commission, after extensive consultation with industry and Member States, is proposing that an emissions trading scheme, mainly for large energy intensive installations, should be introduced in 2005.