Implementing the Paris Agreement Response Measures, Economic Diversification & Trade

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Implementing the Paris Agreement Response Measures, Economic Diversification & Trade Tomasz Chruszczow, Chair of the SBI UNFCCC Geneva, 3 October 2017

2 The people transform the environment The climate depends on the state of the planet

3 The nature strikes back

4 Before the Agreement UNFCCC (in 1994) - developed countries are responsible for changing climate and they have to reduce their emission as well as to provide resources (Means of Implementation) for the developing parties. Their actions would be conditional to the support provided (finance, technology, capacity building) The 2020 world is going to be different. The share of the developing countries in global emission goes up. Roughly 30% of global emissions comes from those whose share is below1% Everybody is affected. Weather extremes & slow onset events jeopardise economic development. Population grows every year 72 milion of new consumers, mostly in the poorest countries, where poverty eradication remains the priority. Water - Energy - Resources the nexus of scarce commodities. Global development agenda SDGs has been agreed in Sept. 2015

5 Post Paris world (1) Single global goal of temperature rise limitation & climate neutrality to be achieved through collective, nationally determined action Common timeframe for determination of NDCs (art. 4.10) Strong transparency of action (mitigation and adaptation) and support Focus on capacity building and public empowerment CBDR-RC is the basic principle, but all must contribute Both national (domestic) as well as international (cooperative) policies need to be in place

6 Post Paris world (2) Possible domestic policies Sustainable economic transition Transportation systems Land Use, Land Use Change and Forestry (LULUCF sector) addressing both adaptation and mitigation. Influences every component of climate system atmosphere, hydrosphere, geosphere and biosphere Fiscal reform Financial instruments (funds, guarantees) to support investments Cities & regions play an important role

7 Post Paris world (3) International policies and approaches Cooperation is the key article 6, article 12 Various international, informal (outside of UNFCCC process) initiatives Best practices and sharing experiences Stronger role of non-party stakeholders in the formal process (as important partners of negotiating parties) Stronger implementation component in the COP/CMP/CMA Global Climate Action new modality to engage businesses, academia, cities with High Level Champions (nominated by the COP Presidents incumbent and incoming) promoting the issue on political level all over the world Demonstration of practical, real-life action on the ground

8 SDGs - #13 is Paris Agreement https://www.google.sk/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahukewi81- quvbjnahxrzrokhtxta4uqjb0ibg&url=http%3a%2f%2fwww.csm4cfs.org%2fworkinggroups%2fsdg%2f&psig=afqjcne2mn2xrrfie4ljckac4brs6tlx5g&ust=1466576367342311

9 Post-Paris is also new US policy A number of symbolic actions / decisions References to climate taken away from the White House web. No more US financial contributions to the GCF, IPCC Must be good for Americans! The Rose Garden Announcement of US leaving Paris The Note to UNSG about the intention to withdraw leaves the room for additional condsideration

10 Preambule to the Agreement Noting the importance of ensuring the integrity of all ecosystems, including oceans, and the protection of biodiversity, recognized by some cultures as Mother Earth, and noting the importance for some of the concept of climate justice, when taking action to address climate change, Affirming the importance of education, training, public awareness, public participation, public access to information and cooperation at all levels on the matters addressed in this Agreement, Recognizing the importance of the engagements of all levels of government and various actors, in accordance with respective national legislations of Parties, in addressing climate change Also recognizing that sustainable lifestyles and sustainable patterns of consumption and production, with developed country Parties taking the lead, play an important role in addressing climate change, Integrated approach to ecosystems in its entirety (climate system), named by some cultures as Mother Earth, climate justice, when taking climate change related action, Education, training, public awareness & participation, access to information and cooperation at all levels, All levels of government and various actors, in accordance with national legislations should get engaged. Sustainable lifestyles as well as consumption/production important in addressing climate change

11 Preambule to the Agreement Also recognizing the specific needs and special circumstances of developing country Parties, especially those that are particularly vulnerable to the adverse effects of climate change, as provided for in the Convention, Taking full account of the specific needs and special situations of the least developed countries with regard to funding and transfer of technology, Recognizing that Parties may be affected not only by climate change, but also by the impacts of the measures taken in response to it, Specific needs and special circumstances of additional safeguard, to take into account developing countries Least Developed Countries the need to provide them with MOI - funding and transfer of technology, Response measures may impact Parties (ALL)

12 The stakeholders Businesses Civil society Indigenous groups Academia UN and other IGOs Cities and subnational authorities They must take their share of responsibility when cooperating, acting jointly with other organisations as well as national governments within the legal systems of all countries

13 Poland Population: 38 484 000 (2014) Area: 312 679 km 2 Density: 123 per km 2

14 Early years of transformation pre-ue time

Source: Country profile Poland (EEA 2015) data from 31 July 2014 15

Source: Country profile Poland (EEA 2015) data from 31 July 2014 16

Source: Country profile Poland (EEA 2015) data from 31 July 2014 17

18 Environmental Finance Since the beginning of Polish transformation, environment has been considered one of the main areas of new policy. Sustainable development has been inscribed in the Constitution. It ha salso received very strong financial support from the National Fund for Environmental Protection and Water Management (www.nfosigw.gov.pl), created in 1989. In 2011, the outlays on environmental protection (on fixed assets) amounted to 12.1 billion PLN (compared with 7.5 billion PLN in 2007), including 3.1 billion PLN for air and climate protection. In recent years, the share of expenditures on environment in the total outlays in the economy wide, remained at the level of about 5%, which represents about 0.8% of the GDP.

Decoupling of GDP and GHG emissions Source: KOBiZE It s coal all over the place? is it really? 19

Polish Transition 20 Politics Socio-economic transition moved country from single party system into mature democracy. Criticism of EU climate policy as a barrier to development before less prosperous Member States. Economy Successfully transformed to become market economy able to comply with EU imposed environmental standards and compete on the single market. Transition has been a result of deliberate decision to quickly change the country, but at huge social cost, while achieving impressive environmental improvement, demonstrated by the decoupling of economic growth and GHG emissions Social concerns Those unable to change professions and get new skill as well as elderly people (pensioners) are partly excluded (cannot use modern IT, no access to better jobs etc.) Many young (around 20%) have no regular employment Institutional capacity There is generally well developed national human and institutional capacity Media and education system are changing their attitude towards climate change and sustainability, but public awareness still to be built or enhanced. Big role of social partners (environmental NGOs) in this efforts

21 Climate change related policies & challenges High demand for final energy alleviated by efficiency measures Inadequate generation and transmission infrastructure (ageing power plants and the grid) Significant dependence on external supplies of gas Commitments on environment and climate protection compel to take decisive actions Almost 100% dependence on external supplies of crude oil

Economic impacts coal mining 22 250 000 Hard coal extraction in Poland 1985-2014 thousands of tonnes 200 000 150 000 100 000 50 000 0 1985 1990 1995 2000 2005 2010 2011 2012 2013 2014 Social and economic impacts due to closing down mines, which used to be most important employers in the regions / town, thus leaving thousands of families without secure source of income.

Economic impacts cement industry 23 20 000,0 Cement production 1999-2014 (thousands of tonnes) 18 000,0 16 000,0 14 000,0 12 000,0 10 000,0 8 000,0 Had to invest in energy efficient technology. At the same time, a big demand for combustible waste (old tyres, plastics) has been created. 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 CO 2 emissions Source: www.polskicement.pl

24

25 Mitigation of economic impacts Free allocations of emission allowances under EU ETS, to address energy poverty as well as loss of competitiveness on global markets Non-commercial loans from environmental funds with interest paid back to beneficiaries, provided it is invested in improvement of environmental performance. Access to subsidies supporting environmental investments, including EU funds Thermo-modernization funds made available for both public and private buildings Special economic zones with tax exemptions to boost job creation in the regions, which lost most of their economic potential

26 Mitigation of social impacts Special programmes to support those laid off (early retirement, professional training, etc.) Job creation through public works, incl. improvement of infrastructure s efficiency. Access to subsidies supporting environmental investments, including EU funds. Thermo-modernization funds made available for both public and private buildings. Cities offering free public transport to elderly people. Regional programmes

27 Sustainability of Polish Transition Is the transition taking place in a sustainable manner? Some observations/questions: What should be the priorities for developing/developed countries? (adaptation / mitigation) What level of ambition is required? Need to measure or monitor impacts in a comprehensive way How to identify suitable mitigation policies (for negative impacts)? What are the implications for donor organizations? How to take into account regional differences within country?

28 COP24 Katowice 3-14.12.2018

29 Thank you very much tomasz.chruszczow@mos.gov.pl