Climate Change Bill [HL]

House of Commons

Session 2007 - 08
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Other Bills before Parliament

Climate Change Bill [HL]

Climate Change Bill [HL]
Part 1 — Carbon target and budgeting
11

Alteration of budgets or budgetary periods
20
Alteration of carbon budgets
(1)
An order setting the carbon budget for a period may not be revoked after the
date by which a budget for the period was required to be set.
(2)
An order setting the carbon budget for a period may be amended after the date
5
by which a budget for the period was required to be set only if it appears to the
Secretary of State that, since the budget was originally set (or previously
altered), there have been significant changes affecting the basis on which the
previous decision was made.
(3)
An order setting the carbon budget for a period may be amended after the
10
period has begun only if it appears to the Secretary of State that there have been
such changes since the period began.
(4)
An order setting the carbon budget for a period may not be amended after the
period has ended.
(5)
An order revoking or amending an order setting a carbon budget is subject to
15
affirmative resolution procedure.
21
Consultation on alteration of carbon budgets
(1)
Before laying before Parliament a draft of a statutory instrument containing an
order under section 20 (alteration of carbon budgets), the Secretary of State
must—
20
(a)
obtain, and take into account, the advice of the Committee on Climate
Change, and
(b)
take into account any representations made by the other national
authorities.
(2)
The Committee must, at the time it gives its advice to the Secretary of State,
25
send a copy to the other national authorities.
(3)
As soon as is reasonably practicable after giving its advice to the Secretary of
State, the Committee must publish that advice in such manner as it considers
appropriate.
(4)
The Secretary of State may proceed to lay such a draft statutory instrument
30
before Parliament without having received a national authority’s
representations if the authority does not provide them before the end of the
relevant period.
(5)
The relevant period is—
(a)
if the budgetary period to which the order relates has begun, one
35
month beginning with the date the Committee’s advice was sent to the
authority, or
(b)
otherwise, three months beginning with that date.
(6)
At the same time as laying such a draft statutory instrument before Parliament,
the Secretary of State must publish a statement setting out whether and how
40
the order takes account of any representations made by the other national
authorities.

Climate Change Bill [HL]
Part 1 — Carbon target and budgeting
12

(7)
If the order makes provision different from that recommended by the
Committee, the Secretary of State must also publish a statement setting out the
reasons for that decision.
(8)
A statement under this section may be published in such manner as the
Secretary of State thinks fit.
5
22
Alteration of budgetary periods
(1)
The Secretary of State may by order amend section 4(1)(a) so as to alter—
(a)
the length of the budgetary periods, or
(b)
the dates in the calendar year on which the budgetary periods begin
and end.
10
(2)
This power may only be exercised if it appears to the Secretary of State
necessary to do so in order to keep the budgetary periods under this Part in line
with similar periods under any agreement at European or international level to
which the United Kingdom is a party.
(3)
The power may not be exercised in such a way that any period falls outside a
15
budgetary period.
(4)
An order may make such consequential amendments of the provisions of this
Act as appear to the Secretary of State to be necessary or expedient.
(5)
Before making an order under this section the Secretary of State must consult
the other national authorities.
20
(6)
An order under this section is subject to affirmative resolution procedure.
Targeted greenhouse gases
23
Targeted greenhouse gases
(1)
In this Part a “targeted greenhouse gas” means—
(a)
carbon dioxide, and
25
(b)
any other greenhouse gas designated as a targeted greenhouse gas by
order made by the Secretary of State.
(2)
The order may make such consequential amendments of the provisions of this
Act as appear to the Secretary of State to be necessary or expedient.
(3)
Before making an order under this section, the Secretary of State must—
30
(a)
consult the other national authorities, and
(b)
obtain, and take into account, the advice of the Committee on Climate
Change.
(4)
As soon as is reasonably practicable after giving its advice to the Secretary of
State, the Committee must publish that advice in such manner as it considers
35
appropriate.
(5)
If the order makes provision different from that recommended by the
Committee, the Secretary of State must publish a statement setting out the
reasons for that decision.
(6)
The statement may be published in such manner as the Secretary of State thinks
40
fit.

Climate Change Bill [HL]
Part 1 — Carbon target and budgeting
13

(7)
An order under this section is subject to affirmative resolution procedure.
24
Base years for targeted greenhouse gases other than CO2
(1)
The Secretary of State may make provision by order as to the manner of
determining, in the case of a targeted greenhouse gas other than carbon
dioxide, the amount of net UK emissions for the year 1990.
5
(2)
An order may, in particular—
(a)
designate a different base year, or
(b)
designate a number of base years,

and provide for the amount of net UK emissions of the gas for that year, or the
average amount of net UK emissions of the gas for those years, to be treated for
10
the purposes of this Act as the amount of net UK emissions of the gas for the
year 1990.
(3)
Before making an order under this section, the Secretary of State must—
(a)
consult the other national authorities, and
(b)
obtain, and take into account, the advice of the Committee on Climate
15
Change.
(4)
As soon as is reasonably practicable after giving its advice to the Secretary of
State, the Committee must publish that advice in such manner as it considers
appropriate.
(5)
If the order makes provision different from that recommended by the
20
Committee, the Secretary of State must publish a statement setting out the
reasons for that decision.
(6)
The statement may be published in such manner as the Secretary of State thinks
fit.
(7)
An order under this section is subject to affirmative resolution procedure.
25
Carbon units, carbon accounting and the net UK carbon account
25
Carbon units and carbon accounting
(1)
In this Part a “carbon unit” means a unit of a kind specified in regulations made
by the Secretary of State and representing—
(a)
a reduction in an amount of greenhouse gas emissions,
30
(b)
the removal of an amount of greenhouse gas from the atmosphere, or
(c)
an amount of greenhouse gas emissions allowed under a scheme or
arrangement imposing a limit on such emissions.
(2)
The Secretary of State may make provision by regulations for a scheme—
(a)
for registering or otherwise keeping track of carbon units, or
35
(b)
for establishing and maintaining accounts in which carbon units may
be held, and between which they may be transferred, by the Secretary
of State.

The regulations may, in particular, provide for an existing scheme to be
adapted for these purposes.
40
(3)
The regulations may make provision—
(a)
appointing a body to administer the scheme;

Climate Change Bill [HL]
Part 1 — Carbon target and budgeting
14

(b)
establishing a body for that purpose and making such provision in
relation to the appointment of members, staffing, expenditure,
procedure and otherwise as the Secretary of State considers
appropriate;
(c)
conferring power on the Secretary of State to give guidance or
5
directions to the body administering the scheme;
(d)
conferring power on the Secretary of State to delegate the performance
of any of the functions conferred or imposed on the Secretary of State
by the regulations;
(e)
requiring the payment by persons using the scheme of charges (of an
10
amount determined by or under the regulations) towards the cost of
operating it.
(4)
If an existing body is appointed to administer the scheme, the regulations may
make such modifications of any enactment relating to that body as the
Secretary of State considers appropriate.
15
26
Net UK carbon account
(1)
In this Part the “net UK carbon account” for a period means the amount of net
UK emissions of targeted greenhouse gases for the period—
(a)
reduced by the amount of carbon units credited to the net UK carbon
account for the period in accordance with regulations under this
20
section, and
(b)
increased by the amount of carbon units that in accordance with such
regulations are to be debited from the net UK carbon account for the
period.
(2)
The Secretary of State must make provision by regulations about—
25
(a)
the circumstances in which carbon units may be credited to the net UK
carbon account for a period,
(b)
the circumstances in which such units must be debited from that
account for a period, and
(c)
the manner in which this is to be done.
30
(3)
The regulations must contain provision for ensuring that carbon units that are
credited to the net UK carbon account for a period cease to be available to offset
other greenhouse gas emissions.
(4)
The regulations must contain provision—
(a)
for determining whether the total amount of carbon units allocated to
35
the United Kingdom for each budgetary period under schemes or
arrangements imposing a limit on emissions from sources in the United
Kingdom represent an amount of net UK emissions of targeted
greenhouse gases for the period greater than the carbon budget for the
period, and
40
(b)
for ensuring that, if this is the case, carbon units representing the
amount of such emissions in excess of the budget are not used to offset
greenhouse gas emissions in the United Kingdom or elsewhere.
27
Procedure for regulations under section 25 or 26
(1)
The following provisions apply in relation to regulations under section 25
45
(carbon units and carbon accounting) or section 26 (net UK carbon account).

Climate Change Bill [HL]
Part 1 — Carbon target and budgeting
15

(2)
The regulations are subject to affirmative resolution procedure if—
(a)
they are the first regulations to be made under those sections,
(b)
they specify a carbon unit of a kind not previously specified in
regulations made under those sections,
(c)
they alter the amount by which—
5
(i)
a carbon unit that is credited to the net UK carbon account for a
period reduces the net UK carbon account for that period, or
(ii)
a carbon unit that is debited from the net UK carbon account for
a period increases the net UK carbon account for that period, or
(d)
they make modifications of an enactment contained in primary
10
legislation.
(3)
Otherwise the regulations are subject to negative resolution procedure.
(4)
The Secretary of State must consult the other national authorities—
(a)
in the case of regulations subject to affirmative resolution procedure,
before laying before Parliament a draft of a statutory instrument
15
containing the regulations;
(b)
in the case of regulations subject to negative resolution procedure,
before making the regulations.
(5)
The Secretary of State must obtain, and take into account, the advice of the
Committee on Climate Change before laying before Parliament a draft of a
20
statutory instrument containing—
(a)
the first regulations to be made under those sections, or
(b)
regulations making provision of the kind described in paragraph (b) or
(c) of subsection (2).
Other supplementary provisions
25
28
UK emissions and removals of greenhouse gases
(1)
In this Part—
(a)
“UK emissions”, in relation to a greenhouse gas, means emissions of
that gas from sources in the United Kingdom;
(b)
“UK removals”, in relation to a greenhouse gas, means removals of that
30
gas from the atmosphere due to land use, land-use change or forestry
activities in the United Kingdom;
(c)
the “net UK emissions” for a period, in relation to a greenhouse gas,
means the amount of UK emissions of that gas for the period reduced
by the amount for the period of UK removals of that gas.
35
(2)
The amount of UK emissions and UK removals of a greenhouse gas for a
period must be determined consistently with international carbon reporting
practice.
29
Emissions from international aviation or international shipping
(1)
Emissions of greenhouse gases from international aviation or international
40
shipping do not count as emissions from sources in the United Kingdom for the
purposes of this Part, except as provided by regulations made by the Secretary
of State.

Climate Change Bill [HL]
Part 1 — Carbon target and budgeting
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(2)
The Secretary of State may by order define what is to be regarded for this
purpose as international aviation or international shipping.

Any such order is subject to affirmative resolution procedure.
(3)
The Secretary of State must, before the end of the period of five years beginning
with the passing of this Act—
5
(a)
make provision by regulations as to the circumstances in which, and
the extent to which, emissions from international aviation or
international shipping are to be regarded for the purposes of this Part
as emissions from sources in the United Kingdom, or
(b)
lay before Parliament a report explaining why regulations making such
10
provision have not been made.
(4)
The expiry of the period mentioned in subsection (3) does not affect the power
of the Secretary of State to make regulations under this section.
(5)
Regulations under this section—
(a)
may make provision only in relation to emissions of a targeted
15
greenhouse gas;
(b)
may, in particular, provide for such emissions to be regarded as
emissions from sources in the United Kingdom if they relate to the
transport of passengers or goods to or from the United Kingdom.
(6)
Regulations under this section may make provision—
20
(a)
as to the period or periods (whether past or future) in which emissions
of the targeted greenhouse gas are to be taken into account as UK
emissions of that gas, and
(b)
as to the manner in which such emissions are to be taken into account
in determining the 1990 baseline in relation to those periods.
25
(7)
They may, in particular—
(a)
designate a different base year, or
(b)
designate a number of base years,

and provide for the emissions in that year, or the average amount of emissions
in those years, to be taken into account as if part of the 1990 baseline.
30
30
Procedure for regulations under section 29
(1)
Before making regulations under section 29, the Secretary of State must obtain,
and take into account, the advice of the Committee on Climate Change.
(2)
As soon as is reasonably practicable after giving its advice to the Secretary of
State, the Committee must publish that advice in such manner as it considers
35
appropriate.
(3)
If the regulations make provision different from that recommended by the
Committee, the Secretary of State must publish a statement setting out the
reasons for that decision.
(4)
The statement may be published in such manner as the Secretary of State thinks
40
fit.
(5)
Regulations under section 29 are subject to affirmative resolution procedure.

Climate Change Bill [HL]
Part 2 — The Committee on Climate Change
17

Part 2
The Committee on Climate Change
The Committee
31
The Committee on Climate Change
(1)
There shall be a body corporate to be known as the Committee on Climate
5
Change or, in Welsh, as y Pwyllgor ar Newid Hinsawdd (referred to in this Part
as “the Committee”).
(2)
Schedule 1 contains further provisions about the Committee.
Functions of the Committee
32
Advice on level of 2050 target
10
(1)
It is the duty of the Committee to advise the Secretary of State on—
(a)
whether the percentage specified in section 1(1) (the target for 2050)
should be amended, and
(b)
if so, what the amended percentage should be.
(2)
Advice given by the Committee under this section must also contain the
15
reasons for that advice.
(3)
The Committee must give its advice under this section before 1st December
2008.
(4)
The Committee must, at the time it gives its advice under this section to the
Secretary of State, send a copy to the other national authorities.
20
(5)
As soon as is reasonably practicable after giving its advice to the Secretary of
State, the Committee must publish that advice in such manner as it considers
appropriate.
33
Advice in connection with carbon budgets
(1)
It is the duty of the Committee to advise the Secretary of State, in relation to
25
each budgetary period, on—
(a)
the level of the carbon budget for the period,
(b)
the extent to which the carbon budget for the period should be met—
(i)
by reducing the amount of net UK emissions of targeted
greenhouse gases, or
30
(ii)
by the use of carbon units that in accordance with regulations
under sections 25 and 26 may be credited to the net UK carbon
account for the period,
(c)
the respective contributions towards meeting the carbon budget for the
period that should be made—
35
(i)
by the sectors of the economy covered by trading schemes
(taken as a whole);
(ii)
by the sectors of the economy not so covered (taken as a whole),
and