Climate Change Bill [HL]

My Lords, I am grateful to both noble Lords for their amendments. They provide an opportunity for the Government to respond to a number of points that are entirely reasonable given the changes that were made in the other place. The issue of emissions from international aviation and shipping is very important. However, the fact that there is as yet no agreement on how to allocate those emissions means that we have to deal with this matter in a particularly sensitive way. That is the intent behind the government amendments. I say to the noble Lord, Lord Teverson, that calculating emissions that are properly attributable to the UK is a very important aim. The government amendments would require the committee and the Government to take account of the aggregate of the amounts of emissions of targeted greenhouse gases from international aviation and international shipping that the UK will be required to report for that period, in accordance with international carbon reporting practice. The problem that we have with the noble Lord’s amendment is the link to the UK. Currently there is no agreement on what proportion of these emissions is attributable to the UK. This amendment puts us back in the position that we tried to avoid, of the Government deciding unilaterally on an allocation methodology. Our contention is that, while the UK is undoubtedly influential in international discussions relating to these sectors, we are not in a position to dictate how these matters are dealt with. It is important that whatever we do is consistent with international agreements. For that reason, the government amendments use the only internationally agreed way of establishing a link between the UK and emissions from aviation and shipping—the agreed reporting methodology. If the UN reporting requirements change over time, the government amendment is linked automatically to the up-to-date accepted practice. By making the link, we ensure maximum transparency about the approach taken, and consistency with whatever international negotiations provide for. It is difficult to envisage a situation in which the UK would not have to report on emissions from international aviation and shipping to the UN or some other international organisation. In the unlikely event that the UK duty to report to the UN on those emissions was discontinued, the Bill has a mechanism to deal with this. We can specify an alternative approach, by making an order under Clause 86, linking the report to any different reporting protocol at European or international level. The second paragraph in government Amendment No. 7C would provide that projections might be carried out using, "““such reasonable … methods as the Secretary of State or … the Committee considers appropriate””." That also gives us flexibility. Clause 11(3) already states that: "““Nothing in this section is to be read as restricting the matters that the Secretary of State or the Committee may take into account””." For instance, the committee might choose to take a different approach, or international reporting requirements may change. However, that would not preclude consideration of international aviation and shipping emissions in whatever way was considered appropriate. I accept that the question of the methodology is very important. In his amendment, the noble Lord, Lord Taylor, invites the Government to publish the methodology. I hope that I can reassure him on this point. The UK Government already publish projections of future CO2 emissions for international flights from UK airports, and we intend to continue to do so. The previous reports were published in 2004 and 2007, and it is intended that further forecasts will be published on a regular basis. In the other place, the Government made a commitment that we will publish at least one forecast of international aviation emissions for each budgetary period sufficient to inform decisions on setting carbon budgets, so the basis of our projections will be perfectly clear. As I have already indicated, the Committee on Climate Change will provide advice in relation to each carbon budget, and that advice is required to take into account all the factors listed in Clause 11 including, if Amendments Nos. 7B and 7C are agreed to, emissions from international aviation and shipping. The committee is required to publish its advice and, if they take a decision different to that recommended by the committee, the Government are required to explain why. In setting out proposals and policies for meeting the carbon budget, the Government must explain how those proposals and policies affect different sectors of the economy. In conclusion, the Government have sought to ensure that this is a robust process, within the current uncertainties about developing a methodology, but ensuring that their approach is as transparent as possible. As I have already indicated, if the Government took a different decision to that recommended by the committee, they would have to publish the committee’s advice and they would have to explain why they would take a different decision.