Mono-nitrogen oxides & sulpher dioxide

In a consultation in May 2007, the overwhelming majority of stakeholders took the view that an EU-wide NO_x and SO₂ trading scheme for IPPCⁱ installations is unnecessary.  Several EU industry associations, including CEMBUREAU, have serious concerns over the proposal to introduce a trading system for these two gases.

The debate surrounding this approach is linked to the difficulty some Member States have experienced in reaching national emission reduction targets for NO_x and SO₂. Furthermore, unlike the air pollution effects of greenhouse gas emissions, those of NO_x and SO₂ are mainly local/regional relative to the emission source and cannot be offset.

The cement industry currently operates under the existing Integrated Pollution Prevention and Control Directive and Incineration of Waste Directive (both presently under recast) and applies Best Available Techniques (BATⁱ). The IPPC (future Industrial Emissions Directive - IED) regime, founded on the use of BAT, with its flexible, continuous improvement approach to address holistically local environmental issues, must remain the preferred policy instrument to regulate emissions of NO_x and SO₂ and optimise environmental performance in Europe.

CEMBUREAU strongly believes that an EU-wide trading scheme for industrial activities is not the appropriate way forward.

ENTEC UK Ltd for the European Commission

On 10 February 2010, the European Commission (DG-ENV) organised a stakeholder consultation meeting on NOx and SO2 trading during which the Entec study “Assessment of the possible development of an EU-wide NOx and SO2 trading scheme for IPPCi installations” was presented. The meeting was attended by representatives of the Member States, NGOs and industry, including CEMBUREAU.

The draft report on the first study does not make a convincing case and does not provide clear and satisfactory responses on a number of vital points.

Click here for CEMBUREAU's position on this study

Latest news

December 2010 - NO_x & SO₂ trading: off the agenda!

In early December 2010, CEMBUREAU was pleased to learn that the European Commission has decided not to continue any further work on the introduction of an Emissions Trading Scheme for NOx and SO2 from industrial installations. Read more

October 2010 - Economic analysis of NO_x/SO₂ trading published

On 14 October in Brussels, CEMBUREAU participated in the stakeholder meeting on the Entec’s 2nd study concerning wider economic aspects of the possible development of an EU-wide NO_x and SO₂ emission trading scheme. The consultants presented the results of the economic modelling, which, not surprisingly, are overall favourable to the implementation of a trading scheme. However, the trading scenarios and the assumptions to the modelling remain very controversial to industry stakeholders; the modelling is fraught with questionable assumptions which undermine its credibility.

The European Commission made it clear that the way forward now is not whether an EU-wide NOx and SO2 emission trading scheme should be developed, but rather how to proceed with the introduction of such a trading scheme. Read more

September 2010 - Is NOx and SO2 trading smart policy?

On 30 September, BUSINESSEUROPE (the Confederation of European Business, organised a seminar entitled “Is NO_x and SO₂ trading smart policy?”. Interventions by representatives from industry, the European Environment Bureau, the European Parliament and the German Ministry for the Environment made it clear that they do not believe it is. Read more