Dutch carbon emission reduction methods under scrutiny

By Rachel Levy Jul 5, 2007, 17:29 GMT

Amsterdam - Days before the Live Earth event gets underway in the Netherlands, the Dutch government is facing criticism for displaying a double standard concerning its environmental policy.

When the current government took office early 2007, it presented a historically ambitious sustainability policy. But today, opposition parties, non-governmental organisations and citizens are complaining the government has lost its credibility in this regard.

In late June, Environment Minister Jacqueline Cramer signed an agreement with Latvia which involved the Dutch purchase of so-called 'emission rights' for 2.5 million tons of carbon dioxide (CO2).

In early July, she approved the building plans of four new coal- fired power stations in the Netherlands.

Cramer, who boasts a long career as an ecological scientist and activist, told parliament in a letter she had 'no authority' to stop the establishment of the power stations.

The four energy companies that applied for the licenses to build the stations are privatized and therefore authorized to decide about their own company policies, she wrote. Moreover, she added, the application for the building license met all legal criteria.

The opposition did not accept her reply and on Monday the environment and sustainability committee confronted her about her approval of the coal-fired power stations.

'I too want the Netherlands to transfer to more environmentally- friendly energy resources like wind turbines and solar panels,' Cramer told the committee, 'but at present we cannot meet our energy demand if we are to completely switch to such energy generators.'

'Initially we were very happy when this government took office,' says Joris ten Blanken, campaign leader of climate and energy issues with Greenpeace in Amsterdam. Greenpeace has launched a campaign to protest against the planned building of coal-fired power stations.

'In recent weeks,' adds Ten Blanken, 'we are becoming increasingly disappointed with the government. Their deeds divert from their previous promises.'

Ten Blanken is particularly worried about the increasing tendency of the Dutch government to reduce its national carbon dioxide emission statistics through a political system which is part of the Kyoto Protocol.

The Kyoto Protocol recognizes that the cost of limiting carbon dioxide emissions varies considerably from one region to another. However, in terms of the Protocol, the benefit for the atmosphere would be the same, wherever action against carbon dioxide is taken.

Following this line of thought, countries or companies in countries with high carbon dioxide emissions can 'reduce' them by 'transferring' them partially to another country or foreign company. This is called purchasing so-called 'emission rights' abroad.

The money the governments and companies pay for their purchase is invested in sustainable development projects in the countries where the rights are bought.

The Kyoto agreement provided three different 'mechanisms' to do this, the so-called Clean Development Mechanism, the Joint Implementation Mechanism, and Emissions Trading.

Jan van Diepen explains: 'In less-developed countries, it is easier and cheaper to save energy. So, it is advantageous for a country like the Netherlands, which has already implemented many technologies and systems to reduce carbon dioxide emission, to help a country like Latvia achieve the same technological level. The result is the same, namely a reduction of overall carbon dioxide emission.'

Van Diepen emphasizes the agreement signed with Latvia is a declaration of intent; the actual purchase agreement will be finalized by the end of the year.

The 2.5-million-ton emission rights purchase represents 2.5 per cent of the Dutch emission reduction target for 2008-2012. In total, the Netherlands hope to achieve 50 per cent of the 100 million tons of carbon dioxide reduction until 2012 through transfer abroad.

Ten Blanken of Greenpeace is much more critical of the Dutch approach.

'Purchasing emission rights in countries with low carbon dioxide emissions does not reduce carbon dioxide emission in countries with high emission numbers, like the Netherlands.'

'Other European countries, like Germany or France, try to reduce the national carbon dioxide emission by reducing it locally. The Dutch government wants to achieve its target by transferring half of its own carbon dioxide emission surplus to other countries through the political mechanisms of the Kyoto agreement.'

'Instead of developing ways to produce less carbon dioxide, they simply take it off their national statistics. Other European countries transfer a maximum of 20 per cent of their target reduction abroad through the Kyoto mechanisms. That is quite different.'

'The problem starts with the Dutch companies, which are by Dutch law allowed to transfer 10 per cent of their carbon dioxide emissions abroad using the Kyoto mechanisms. The government adds to this by, for example, trading emissions with Latvia,' says ten Blanken.

Van Diepen, however, argues that Dutch government policies 'are consistent with the Kyoto protocol.'

'We have purchased emission rights for 2.5 million tons of carbon dioxide from Latvia. Latvia is the first country we purchased emission rights from, but we hope it will not be the last.'