Tuesday, May 6, 2008 Mykhaylo Komarnytskyy Iryna Bilotserkivska Marcie Hawranik

 Background Information  Policy Options  Recommendations

Background Information Climate change impact on France: ♦ Average temperature increase by 2 ◦ C ♦ Decrease in summer rainfall → worsening of forest health ♦ High risk of forest fires, floods, insect infestation ♦ Dwindling snow cover & avalanche threat in French Alps → tourism reduction ♦ Sea levels rise & increase in frequency of storms in French overseas territories

Background Information France contribution on fighting climate change: ● Ratification of UNFCCC in March 1994 ● Party to the Kyoto Protocol since 1998 ● Launched climate change abatement strategy in early 1990’s ● One of the leading nuclear & renewable energy producers in the world

Policy Option 1 ■ Continue policy on reducing CO 2 emission PRO: Policy has already reduced CO 2 emissions per head of population more that any other EU member CON: - Cost of greenhouse gas mitigation is relatively high; - Replacement of energy sources no longer produces further lasting reduction of CO 2 emissions

Policy Option 2 ■ Stop complying to Kyoto Protocol and UNFCCC PRO: Avoid extra costs connected with CO 2 emissions CON: France increases its possibility of suffering from climate change consequences and credibility will be diminished in the international arena

Policy Option 3 ■ Push EU to adopt market-based policy that relies on trading permits or taxing emissions based on polluter- pays principle PRO: Most effective, cheap and equitable way of sharing costs of reducing CO2 emissions between developed countries CON: - Challenge of establishing new international framework to regulate fair completion; - Failure to adopt this policy under the same conditions by all partners could lead to unacceptable burden on certain enterprises

Recommendation Policy Option 3  EU as a whole would be more effective in reaching its target of reducing CO 2 emissions  Pollution abatement is achieved by minimum cost  France would continue to work toward CO 2 reduction while will be able to avoid high cost measures

Recommendation  Encourage former colonies to ratify Kyoto Protocol  Possibility of modifying the road tax  Policy Option 3 is consistent with the principle of economic efficiency and the polluter-pays principle

QUESTIONS?