Austria target. eq (by ) from energy supply and use, including transport (Mt CO 2

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1 ENVIRONMENT POLICY REVIEW ANNEX Wien Highlights in 2008 Environment policy in in 2008 has focused on energy and climate change. A policy discussion process is underway to determine how best to deal with rapidly rising energy demand, which cannot be covered solely by increasing the use of renewable energy sources and demand management, e.g. increasing energy efficiency and consumer awareness. One widely quoted approach is low carbon, low energy, low distance, reflecting the three main fields of action: energy and industry, buildings, and mobility. The development and implementation of environment policy was affected by the political situation, particularly in the second half of 2008 with the decision to hold early elections. As a result, there was little legislative activity in the environmental field, and many of the implemented measures were the result of long-term initiatives at EU level. Climate change and energy target total rank in Total Kyoto GHG emissions million tonnes (Mt) CO 2 eq (by ) from energy supply and use, including transport (Mt CO 2 eq.) from transport (Mt CO 2 eq.) average rank in per capita (tonnes CO 2 eq.) per GDP (tonnes CO 2 eq. per 1000 GDP) trend (% change compared to base year*) +2.6% +18% +15.2% -13% (by ) -10.8% 21 Projected 2010 emissions trend compared to base year* with existing measures, Kyoto mechanisms and carbon sinks with existing and additional measures, Kyoto mechanisms and carbon sinks * Base year is % -13.3% -13% (by ) -13.4% -16.3% PART 2 ENVIRONMENT POLICY ACTIONS IN THE MEMBER STATES

2 2008 ENVIRONMENT POLICY REVIEW ANNEX 67 Average CO 2 emissions from new passenger cars sold (grams CO 2 /km) Electricity produced from renewable energy sources (% gross electricity consumption) from hydropower from wind from biomass Combined heat and power generation (% gross electricity generation) target (2006) (2007) 72.4% 69.5% 0.1% 2.8% (2006) 56.6% 49.6% 2.5% 4.5% (2007) 59.8% 51.4% 2.9% 5.5% 10.4% 15.4% 16.1% 130 by for 78.1% (by 2010) 18% by 2010 for EU-15 average rank in (2007) 15.6% 9.2% 3.1% 3.0% % 8 Energy consumption per capita (kg oil eq.) Energy intensity - Energy consumption per 1000 GDP (kg oil eq.) In 2006, s greenhouse gas emissions were 15 % higher than the baseyear level, well above its Kyoto target of -13% for the period However, according to the latest data, is projected to achieve its target once also additional measures have also been applied. Following the adoption of the climate and energy package in December 2008, agreed to reduce greenhouse gas emissions by 2020 by 16 % compared to 2005 levels for sectors like buildings, road transport and farming. 1 Furthermore, has committed to achieving by 2020 a share of energy from renewable sources in gross final energy consumption of 34% (up from 23% in 2005). In July 2008, the n parliament passed an amendment to the Eco- Electricity Act in order to improve framework conditions for the generation of 1 i.e. sectors not covered by the EU Emission Trading System (ETS). For ETS sectors - i.e. power plants and large industrial emitters - an EU-wide reduction target is set at 21% below 2005 levels in green electricity. As defined in the federal electricity law, electricity is green when it is obtained from biomass, wind, solar, bio-gas and geothermal energy (but not from water power). The amendment includes: an increase in investment allowances as well as easements for small-scale water power stations, the re-evaluation of green electricity tariffs in 2009, the new application scheme for green electricity subsidies, and elimination of the co-funding obligations of the states (Länder) in the field of photovoltaics. With these and other measures, the n government intends to double the share of its green electricity by According to data from the n government, green electricity is currently already helping to avoid 2.4 million tonnes of CO 2. Overall, the amendment aims at avoiding 5 million tonnes of CO 2 per year. In August 2007, the former parliamentarian and member of the Green Party, Andreas Wabl, was appointed s first Climate Change Coordinator. In addition to representing the Chancellor in all climate change-related matters, the Coordinator is responsible for organizing the yearly Climate Summit (held AUSTRIA

3 ENVIRONMENT POLICY REVIEW ANNEX in April 2008) and also serves as a link between the government and the NGO community, labour unions, business groups, academia, and the public. Nature and biodiversity Natura 2000 area (sites designated under Habitats and Birds Directives) as % of terrestrial area Sufficiency of site designation under the Habitats Directive Area occupied by organic farming (% of Utilised Agricultural Area) target 87.3% (2004) average 14.3% 13.7% 13.8% 17.0% 8.2% 11.1% 11.4% Freight transport (billion tkm) % road % rail 64.8% 30.6% 66.5% 30.3% 88.3% 88.8% 100% 64.0% 31.5% * Indicative target according to the n Action Plan for Organic Farming (Aktionsprogramm Biologische Landwirtschaft ). 20%* by 2010 rank in 4.2% 1 EU total % 17.4% 6 of 26 5 of 26 The European Commission has taken to the European Court of Justice for failing to designate a sufficient number of sites under the Habitats Directive, namely 6 natural habitat types in the Alpine biogeographical region and 10 natural habitat types and 12 species in the Continental biogeographical region. The case was sent to the European Court of Justice in March In mid 2007, the National Biodiversity Commission (NBC) issued the Resultsoriented goals for the fulfilment of the 2010 target to serve as a benchmark for the implementation and evaluation of actions carried out in support of the n Biodiversity Strategy issued in The report concludes that more should be done to include additional stakeholders who are presently not represented in the NBC but whose participation is vital for the fulfilment of the stipulated goals. Furthermore, the report stresses the importance of considering external factors, such as climate change, which can have significant impacts on biodiversity. In April 2008, the n Initiative for Biodiversity Research was founded through a collaborative effort between the Science and Research Ministry, the University of Vienna, National Parks, and the Thayatal National Park. Its objective is to help to halt the decline in biodiversity by improving communication and networking between different actors in the field, notably s biodiversity research community. Furthermore, the Initiative aims to support international biodiversity research efforts and promotes outreach activities to the public. PART 2 ENVIRONMENT POLICY ACTIONS IN THE MEMBER STATES

4 2008 ENVIRONMENT POLICY REVIEW ANNEX 69 Environment and health Urban population exposure to air pollution by particles (annual mean concentration, μg/m 3 ) Urban population exposure to air pollution by ozone (SOMO35 level, µg/m 3. day) Air pollutant emissions (thousand tonnes) sulphur dioxides (SO 2 ) nitrogen oxides (NO x ) non-methane volatile organic compounds (NMVOCs) ammonia (NH 3 ) Ceiling average rank in out of out of (by 2010) EU27 total Latest available year (1999) Water exploitation index 4.5% 4.4% In 2008 the law for testing the environmental impact of new activities and projects was being reviewed. In particular, the role of involved stakeholders came under repeated scrutiny and national thresholds needed to be updated. AUSTRIA

5 ENVIRONMENT POLICY REVIEW ANNEX Natural resources and waste Target average rank in Municipal waste generated (kg per capita) % landfilled 33.7% 15.0% 14.4% 41.0% 6 % incinerated 11.2% 26.0% 30.2% 19.9% Recycling of packaging waste (as % total packaging waste) 69% 66.9% 68.4% 55%-80% (by 2008) 56.5% 2 In January 2008, an amendment to the Environmental Promotion law increased the funding available for water-related activities (e.g. treatment of industrial waste water, improving water supplies, flood protection, and improving water quality) through the dedicated fund for environment and water management by an extra 10 million in 2007 and 20 million in the years thereafter. Significantly, the reform also includes an additional 140 million for activities which improve the ecological status of water, to be disbursed between 2007 and In line with the Batteries Directive, n battery legislation was published in May 2008, and came into effect in September The new law holds manufacturers and importers responsible for the collection and appropriate disposal of waste batteries and accumulators, including all associated costs. Previously, this had been the responsibility of - and a considerable burden for - communes and waste management associations. In 2007, the n government agreed a national plan for sustainable public procurement and laid down a road map for its implementation. As a first step, a report on the status quo of green public and private procurement was published, while three federal ministries initiated a pilot project which covers five different product groups (vehicles, paper, personal computers and monitors, cleaning supplies, and electricity). From October 2008 onwards, a series of regional dialogues with stakeholders were held in order to establish a list of criteria for federal public procurement, while efforts in 2009 will also include actions at state (Länder) level. The ultimate aim is the adoption of a comprehensive national action plan based on the lessons learned from the pilot phase by Better regulation and implementation Infringements of EU environmental legislation Use of market-based instruments Share of environmental taxes in total tax revenue 31/12/ /12/ /12/ 2008 total average 5.6% 6.2% 5.9% 6.4% PART 2 ENVIRONMENT POLICY ACTIONS IN THE MEMBER STATES

6 2008 ENVIRONMENT POLICY REVIEW ANNEX 71 In, commuters who travel to their workplace are eligible for support based on the distance travelled. In June 2008, in response to rising fuel prices, the government announced a modification of this system, increasing the support available for each individual traveller. The modification also included an additional measure whereby commuters who use public transport instead of private vehicles are entitled to a higher payment. Environmental technologies Environmental technologies are an important segment of the n economy, constituting some 4.2% of manufactured goods production and employing 22,000 people. In recent years, this sector has registered aboveaverage growth and turnover. Recognizing s potential in this field, the Environment Ministry and the authorities of Lower presented the Master Plan for Environmental Technologies in February The Plan focuses on four main areas: export promotion, research and development and qualification, finance, and the domestic market, and includes 30 measures, including increased cooperation with new EU Member States in the field of energy and climate and support for exporting enterprises. June 2008 saw the inauguration of the n Clean Technology (ACT) competence centre, a joint initiative of the Environment Ministry and the n Federal Chamber of Commerce and one of the measures included in the Master Plan. The objective of the ACT is to serve as a hub for marketing efforts in support of environmental technology, particularly with regard to the international market. Also in 2008, the government presented a new Programme where SMEs can apply for a 5,000 innovation cheque to purchase external expertise, e.g. to undertake technological research, market studies or impact assessments, or to hire an external expert. Outlook for 2009 E-Control, the electricity and gas market regulator, is leading efforts to design a new model law to promote energy efficiency. It will focus on several areas, for example, heating, changes in consumption habits, alternative financial models, and energy supply. Potential measures are discussed in working groups within the framework of the n national platform for energy efficiency. The work so far has highlighted the need for comprehensive measures to reduce the rapidly rising demand for energy by around 2% per year an effort which can only partially be covered by renewable energy sources. The government is expected to issue the general construction permit for improving navigation of the Danube river in 2009 to fulfil plans to double the volume of goods transported on the Danube. With a budget of some 200 million, the project plans to stabilise the streambed, ensure navigability even at low water levels, and protect the ecosystems of the Donau-Auen national park. In October 2008, the environmental impact assessment was carried out with the participation of independent experts and interested citizens and NGOs and its results will be included in the reports of external reviewers. With regard to climate change adaptation, a study is being carried out in order to identify expected impacts on various sectors (e.g. water management, tourism, agriculture, forestry and electricity generation) as well as no-regrets options for action covering all of these fields. The study, which involves stakeholder consultations and a series of five expert workshops, focuses on the fact that there is still a great deal of uncertainty and a lack of systemic knowledge as regards assessing the impacts of climate change. Nevertheless, the study can be viewed as the first step toward a full-scale programme for climate change adaptation. AUSTRIA