Climate Action and Low Carbon
Development Bill 2015
Regulatory Impact Analysis
Prepared by the Department of the Environment,
Community and Local Government
January 2015
1
The Department of the Environment, Community and Local Government has prepared
this Regulatory Impact Analysis (RIA) to accompany the proposed Climate Action and
Low Carbon Development Bill 2015.
The ultimate objectives of the Bill are to enable Ireland to meet its legally binding nonETS emissions reduction 2020 targets (and any other new EU and international
obligations) and to achieve transition to a low carbon, climate resilient and
environmentally sustainable economy in the period up to and including the year 2050.
In order to achieve these ultimate objectives, the Bill’s immediate objectives are to:
●
provide for the adoption of a national low carbon transition and mitigation plan
and a national climate change adaptation framework which would:
o articulate a vision for the transition to a 2050 emissions reduction
scenario;
o address all legally binding international climate change obligations on
the State; and
o provide for climate adaptation planning.
●
provide for the establishment of a National Expert Advisory Council on Climate
Change, to be supported by the Environmental Protection Agency, to advise and
make recommendations in respect of, inter alia, the national low carbon
transition and mitigation plan and the national climate change adaptation
framework;
●
provide clear accountability through an annual reporting mechanism to Dáil
Éireann on progress made in transitioning to a low carbon, climate resilient and
environmentally sustainable economy by 2050; and
●
provide for a duty on public bodies to have due regard to the national low
carbon transition and mitigation plan and national climate change adaptation
framework in performing their functions;
This RIA has been prepared pursuant to the Revised RIA Guidelines How to Conduct a
Regulatory Impact Analysis (Department of the Taoiseach, 2009).
2
CONTENTS
1.
Summary of Regulatory Impact Analysis…………………………….4
2.
Description of Policy Context and Objectives…………………...11
3.
Identification and Description of Policy Options………………..15
4.
Costs, Benefits and Impact Analysis of Options………………….17
5.
Consultation……………………………………………………………………….23
6.
Enforcement and Compliance…………………………………………...23
7.
Review……………………………………………………………………………….24
8.
Publication………………………………………………………………………….24
3
1. Summary of Regulatory Impact Analysis (RIA)
Department:
Title of Legislation:
Environment, Community and
Local Government
Climate Action and Low Carbon Development Bill 2015
Stage:
Date:
Government approval of the Bill
2 January 2015
Related Publications:
- Programme for Government 2011-2016 (March 2011)
- Review of National Climate Policy (November 2011)
- Towards a New National Climate Policy: Interim Report of the NESC Secretariat (June 2012)
- Results of the Public Consultation on National Climate Policy Development (August 2012)
- Ireland and the Climate Change Challenge: Connecting ‘How Much’ with ‘How to’: Final Report
of the NESC Secretariat (December 2012)
- Report of the Oireachtas Joint Committee on the Environment, Culture and the Gaeltacht on
the Outline Heads of the Climate Action and Low Carbon Development Bill 2013 (November
2013)
- General Scheme of the Climate Action and Low Carbon Development Bill (April 2014)
Available to view or download at:
http://www.environ.ie
http://www.taoiseach.gov.ie
http://www.oireachtas.ie
Contact for enquiries: David Walker
Telephone: 01 888 2780
What policy options have been considered? Please summarise the costs, benefits and impacts
relating to each of the option below and indicate whether a preferred option has been
identified.
1.
2.
3a.
3b.
Do Nothing.
Develop and Enact Primary Legislation.
Incorporate in Primary Legislation Additional Emissions Reduction Targets up to 2050.
Do Not Incorporate in Primary Legislation Additional Emissions Reduction Targets up to
2050.
4a. Incorporate in Primary Legislation a National Steering and Oversight Board with a Technical
Secretariat (as proposed by the NESC Secretariat).
4b. Incorporate in Primary Legislation a National Expert Advisory Council on Climate Change (as
proposed in the General Scheme of the Bill).
Preferred Option: Option 2, incorporating Options 3b and 4b.
4
OPTIONS
COSTS
BENEFITS
1. Do
Nothing
 Without long-term
structures in place,
Ireland’s distance to
target in respect of EU
commitments would
not be narrowed.
 No benefits identified.
2. Develop
and Enact
Primary
Legislation
 The preparation of a
national low carbon
transition and
mitigation plan, and
associated sectoral
measures, and a
national climate
change adaptation
framework, and
associated sectoral
adaptation plans,
would increase the
administrative burden
on Government
 Would provide a
statutory basis to
underpin Ireland’s
commitment to
meeting
EU/international
agreements for
greenhouse gas
emissions reductions.
 National plans would
enhance a co-ordinated
Government effort with
synergy of
Departmental policies
5
IMPACTS
 Would have no impact
on national
competitiveness in the
short term. Would have
negative impact in the
medium and longer
term.
 Would have long-term
negative impact on the
environment.
 No impacts are
anticipated under the
following headings:
- the economic market,
including consumer
and competition
impacts;
- the socially excluded
and vulnerable
groups;
- the rights of citizens;
- compliance burden;
and
- North-South and
East-West relations.
 Medium and long-term
impact on national
competitiveness is
expected to be positive.
 Would have a positive
impact on the
environment.
 Would involve a policy
change in an economic
market, including
consumer and
competition impacts.
 Would result in
compliance burdens on
Departments.
 Implementing
mitigation and
adaptation policies
and measures
contained in a national
low carbon transition
and mitigation plan
and a national climate
change adaptation
framework would
result in a financial
cost to the economy.
 The requirement for
public bodies to have
regard to a national
low carbon transition
and mitigation plan
and a national climate
change adaptation
framework may place
a financial cost on
those bodies.
 Establishment of the
Expert Advisory
Council would give rise
to administrative
costs.







and measures to reduce
emissions.
Would give a clear
signal on the direction
of long-term
Government policy
supporting/encouraging
investment in the green
tech field.
Expert council would
equal the best possible
advice for policy
makers.
Annual report of expert
council would make,
inter alia,
recommendations in
relation to the most
cost effective way of
achieving long term
transition to a low
carbon, climate resilient
economy.
Would clearly identify
responsibility for
emission reductions
with the development
of a national plan.
Would provide
transparency/
accountability through
annual reporting and
the transition
statement.
Would provide the
mechanism to review
progress and identify if
further measures are
needed to ensure
compliance.
A duty on public bodies
would widen ownership
of responsibility.
6
public bodies directed
to carry out
reports/measures
relating to compliance
with a national low
carbon transition and
mitigation plan and/or
a national climate
change adaptation
framework .
 No impacts are
anticipated under the
following headings:
- socially excluded and
vulnerable groups;
- North-South and EastWest relations; and
- the rights of citizens.
 Putting commitments
into legislation would
result in reputational
benefits at an
international level.
 Health benefits/quality
of life.
 Legislation would
underpin adaptation
policy and planning in
Ireland, supporting an
integrated crossGovernment approach.
 Annual transition
statements to Dáil
Éireann by Ministers on
the progress of
mitigation and
adaptation measures
would increase public
awareness and
encourage societal
change.
3a.
Incorporate
in Primary
Legislation
Additional
Emissions
Reduction
Targets up
to 2050.
 Implementing
measures to reach
additional targets will
impose financial costs
on the
Exchequer/economy.
 May lead to the
introduction of higher
future targets at EU
level which in turn
would have cost
implications for the
Exchequer.
 The Exchequer would
have to bear the cost
of any legal challenge
if targets were not
meet.
 Would provide a
 Negotiating targets
statutory impetus to cut
would distract from
emissions beyond
policy development and
agreed EU targets.
meeting legally binding
EU targets.
 Would ensure long
term certainty for
 Would impact on
business.
national
competitiveness. May
 Would provide a
result in short-term
benchmark to measure
competitive
progress.
disadvantage compared
 Would push innovation.
to other countries.
 Would drive societal
 Would have a positive
change.
impact on the
environment.
 There would be a
negative impact on
compliance burden.
 Would result in a
significant change in an
7

3b. Do Not
Incorporate
in Primary
Legislation
Additional
Emissions
Reduction
Targets up
to 2050.
 No additional costs
identified.
 Would facilitate a move
away from a short-term
compliance-centric
approach and provide
opportunity for Ireland
to develop and
implement long-term,
cost-efficient transition
planning.




4a.
 There would be
Incorporate
administration costs
in Primary
associated with the
Legislation a
National Steering and
National
Oversight Body and
Steering
technical secretariat.
and
Oversight
Board with
 High-level Government
involvement in the
Body would
demonstrate
Government
commitment to
ensuring transition to a
carbon neutral society.
 Co-ordinated advice
8
economic market,
including consumer and
competition impacts.
No impacts are
anticipated under the
following headings:
- socially excluded and
vulnerable groups;
- the rights of citizens;
and
- North-South and EastWest relations.
Would have a positive
impact on national
competitiveness.
Would have a positive
impact on the
environment.
Would result in a
change in an economic
market, including
consumer and
competition impacts.
No impacts are
anticipated under the
following headings:
- socially excluded and
vulnerable groups;
- the rights of citizens;
- compliance burden;
and
- North-South and EastWest relations.
 It is expected that the
long-term impact on
national
competitiveness would
be positive.
 No impact on the
environment.
 Would result in a
significant change in an
a Technical
Secretariat
(as
proposed
by the NESC
Secretariat).







from senior figures with
relevant proven
business and
organisational
experience would assist
Government in the
formulation of carbon
neutral strategies and
broad
sectoral/departmental
plans and targets.
Body would drive and
oversee Ireland’s
national transition.
Body would form part
of a framework to
support the national
transition.
Would convene the
relevant actors and
challenge them to
achieve more ambitious
goals and targets.
Would work with
agencies to formulate
goals, action plans,
metrics and indicators
for each area that can
contribute to the low
carbon transition.
Would work with
Departments, public
bodies and agencies to
identify challenges to
progressing the low
carbon agenda and
provide clearing house
for same.
Would collate and
analyse reporting from
the agencies and
networks.
The body’s engagement
9
economic market,
including consumer and
competition impacts.
 No impacts are
anticipated under the
following headings:
- socially excluded and
vulnerable groups;
- the rights of citizens;
- compliance burden;
and
- North-South and EastWest relations.

4b.
 Administrative cost for
Incorporate
the EPA.
in Primary
Legislation a
National
Expert
Advisory
Council on
Climate
Change (as
proposed in
the General
Scheme of
the Bill)




with agencies and other
organisations would
push public and private
actors to ever greater
decarbonisation.
By facilitating the
engagement of all
relevant actors, Body
would widen the
burden of responsibility
and support societal
change.
Expert council would
equal best possible
advice for policy
makers.
Annual review report of
the expert council
would make, inter alia,
recommendations in
relation to the most
cost effective way of
achieving long-term
transition to a low
carbon society by 2050.
Empowering the
Council to publish
reports directly,
following submission to
the Minister, would
increase the
independence of the
Body and the
transparency of advice/
recommendations
provided.
Would provide
support/oversight for
the preparation of a
national low carbon
transition and
mitigation plan and a
national climate change
10
 Would result in a
significant change in an
economic market,
including consumer and
competition impacts.
 No impacts are
anticipated under the
following headings:
- national
competitiveness;
- the environment;
- socially excluded and
vulnerable groups;
- the rights of citizens;
- compliance burden;
and
- North-South and EastWest relations.
adaptation framework
and associated sectoral
adaptation plans.
 Periodic reviews would
ensure progress is
maintained on the
implementation of the
national low carbon
transition and
mitigation plan and the
national climate change
adaptation framework.
 Body would provide
advice on potential
future EU law or
international
agreements.
2.
2.1
Description of Policy Context and Objectives
Climate Change
Anthropogenic climate change presents very serious global risks. Increased levels of
greenhouse gases increase the amount of energy trapped in the atmosphere, which
leads to global impacts such as increased temperatures, the melting of snow and ice,
and a rising global average sea-level. This, in turn, will result in the potential for massive
population movements, global conflict and severe dislocation and hardship.
2.2
In Ireland, predicted negative impacts include more intense storms and rainfall events;
an increased likelihood of flooding in rivers and on the coast, where almost all cities and
large towns are situated; water shortages in summer in the east and the need for
irrigation of crops; changes in the distribution of species; and the possible extinction of
vulnerable species.
2.3
In response, climate policy in Ireland has developed in the context of national and EU
commitment to the 1992 United Nations Framework Convention on Climate Change
(UNFCCC). Article 2 of the UNFCCC sets out the fundamental objective of stabilising
greenhouse gas concentrations in the atmosphere at a level that would prevent
dangerous anthropogenic interference with the climate system. In particular, both the
European Union (EU) and the United Nations (UN) have adopted the goal of limiting the
rise in average global temperature to no more than two degrees over the pre-industrial
level, on the basis that this is regarded as a significant threshold for preventing
dangerous climate change.
11
2.4
Policy Response within the EU
In this context, for the period 2013-2020, the EU’s Climate and Energy Package of 2009
mandated a 20 per cent reduction by the year 2020 in overall greenhouse gas emissions
compared to 1990 levels.
2.5
An important distinction in EU policy is between emissions included in the EU’s
Emissions Trading Scheme (ETS) and other, non-ETS emissions. The ETS includes large
energy users, such as electricity, cement and large pharmaceutical plants. The non-ETS
sectors include agriculture, transport, households, industry (excluding energy-intensive
industry), and private and public services.
2.6
In the revised ETS that applied from 1 January 2013, the allocation of emissions
allowances is managed on a harmonised basis across the EU rather than at the level of
Member States. The target reduction in emissions for the ETS sector is 21 per cent by
2020 compared to 2005 levels. Some 100 Irish installations, as well as aspects of
international aviation, participate in the ETS, which is administered in Ireland by the
Environmental Protection Agency.
2.7
In respect of non-ETS emissions, the total EU target is a reduction of 10 per cent by 2020
compared to 2005 levels. This 10 per cent EU target was allocated across Member
States through the so-called Effort Sharing Decision1, which gave Ireland a target to
achieve a 20 per cent reduction in non-ETS emissions by 2020 compared to 2005 levels.
2.8
2.9
2.10
Policy Response within Ireland
In contrast to sectors in the ETS, which are regulated at EU level, it is the responsibility
of Member States to define and implement national policies and measures to limit
emissions from the sectors covered by the Effort Sharing Decision.
National policy has been laid out in the National Climate Change Strategies (NCCSs)
published in 2000 and 2007. The most recent NCCS focused on the measures required
to achieve compliance with the first commitment period of the Kyoto Protocol to the
UNFCCC2 and on research and development of the measures necessary for then
anticipated 2020 targets.
Ireland’s Emissions Profile
Ireland’s overall emissions profile is distinctive.
The ETS sector represented
approximately 223 per cent of Ireland’s emissions in 2012, while the EU average was
1
Decision No 406/2009/EC of the European Parliament and of the Council of 23 April 2009 on the effort of
Member States to reduce their greenhouse gas emissions to meet the Community’s greenhouse gas
emission reduction commitments up to 2020.
2 The first commitment period (2008-2012), governed by the Kyoto Protocol, committed Ireland to limit
average greenhouse gas emissions over the five-year period to 13 per cent above 1990 levels.
3 http://www.epa.ie/pubs/reports/climatechange/thesimpleguidetoirelandsgreenhousegasemissions.html
12
approximately 414 per cent, which is reflective of the relative absence of heavy industry
in Ireland.
2.11
In the non-ETS sector, in 2012, the sectoral concentration is even more pronounced, as
follows:
Non-ETS Sector
Agriculture
Transport
Industry/Commercial
Residential
Waste
Percentage Share of Emissions
41
24
19
13
3
This distinctive profile reflects both Ireland’s specialisation in beef and dairy farming and
a low population density coupled with a tendency for dispersed settlement that inhibits
the cost-effectiveness of mass transport systems and encourages car ownership.
2.12
2.13
The high share of non-ETS emissions from agriculture and transport makes Ireland’s 20
per cent non-ETS emissions reduction target very challenging. Based on current
projections, Ireland will not meet this target based on existing policy or even with the
achievement of ambitious energy efficiency and renewable energy targets.
Beyond 2020
The policy response to meeting Ireland’s obligations to reduce emissions in the period to
2020 must also take account of the longer-term transition required to a low carbon
economy beyond 2020.
2.14
If the rise in average global temperatures is to be limited to no more than two degrees
over the pre-industrial level, it is estimated that developed country emissions must be
reduced by at least 80 to 95 per cent by 2050, relative to 1990. An initial consideration
of the far-reaching implications of such an objective is provided in a European
Commission communication A Roadmap for Moving to a Competitive Low-Carbon
Economy in 2050.
2.15
As an interim milestone, at the European Council in October 2014, it was agreed that by
2030 greenhouse gas emissions would be reduced by at least 40 per cent in the EU
through domestic EU measures, in order to be on track to reach a greenhouse gas
reduction of between 80 to 95 per cent by 2050, consistent with internationally agreed
target to limit atmospheric warming to below two degrees.
4
http://www.eea.europa.eu/publications/trends-and-projections-2013
13
2.16
Climate Change Legislation
Against this background, the Programme for Government 2011-2016 commits the
Government to publishing a Climate Change Bill which will provide certainty surrounding
government policy and provide a clear pathway for emissions reductions, in line with
negotiated EU 2020 targets. Subsequently, the Statement of Government Priorities
2014-2016 makes a commitment to enact the Bill by the end of 2014.
2.17
In anticipation of the preparation of such a Bill, in November 2011, the Minister for
Environment, Community and Local Government announced a review of National
Climate Policy in order to develop the necessary policy mix to support an ambitious but
realistic national mitigation agenda based on a three-pronged approach:
●
a public consultation, conducted during 2012, to enable all stakeholders to
engage in the policy development process5;
●
an independent study carried out by the secretariat to the National Economic
and Social Council and completed by December 20126; and
●
sectoral mitigation progress to be pursued through the Cabinet Committee on
Climate Change and the Green Economy based on positive engagement with the
relevant Government Departments where progress must be made if Ireland is to
meet its legally-binding targets.
2.18
In February 2013, the Minister released outline Heads of the Climate Action and Low
Carbon Development Bill 2013, with the aim of enabling the Oireachtas Joint Committee
on the Environment, Culture and the Gaeltacht to engage in an informed and
constructive national debate with all stakeholders.
2.19
In order to inform its deliberations, the Joint Committee conducted a wide-ranging
public consultation exercise inviting written submissions from interested
parties/individuals, together with oral hearings with selected parties/individuals,
including the Minister for the Environment, Community and Local Government and his
Department. The Joint Committee’s resultant report was submitted to the Minister on
20 November 20137.
2.20
Objectives
The ultimate objectives of the Bill are to assist Ireland to close the distance to target in
respect of its legally binding non-ETS emissions reduction 2020 target (and any other
new EU and international obligations) and to achieve the transition to a low carbon,
climate resilient and environmentally sustainable economy in the period up to and
including the year 2050.
5
Results of the Public Consultation on National Climate Policy Development (August 2012)
Towards a New National Climate Policy: Interim Report of the NESC Secretariat (June 2012) and Ireland
and the Climate Change Challenge: Connecting ‘How Much’ with ‘How to’: Final Report of the NESC
Secretariat (December 2012).
7 Report of the Oireachtas Joint Committee on the Environment, Culture and the Gaeltacht on the Outline
Heads of the Climate Action and Low Carbon Development Bill 2013 (November 2013).
6
14
2.21
3.
3.1
3.2
In order to achieve these ultimate objectives, the Bill’s immediate objectives are to:

provide for the adoption of a national low carbon transition and mitigation plan
and a national climate change adaptation framework which would:
o articulate a vision for the transition to a 2050 emissions reduction
scenario;
o address all legally binding international obligations on the State; and
o provide for climate adaptation planning.
•
provide for the establishment of a National Expert Advisory Council on Climate
Change, to be supported by the Environmental Protection Agency, which would
advise and make recommendations in respect of, inter alia, the national low
carbon transition and mitigation plan and national climate change adaptation
framework

provide clear accountability through an annual reporting mechanism to Dáil
Éireann on the progress made in transitioning to a low carbon, climate resilient
and environmentally sustainable economy by 2050; and

provide for a duty on public bodies to have due regard to the national low
carbon transition and mitigation plan and national climate change adaptation
framework in performing their functions.
Identification and Description of Policy Options
Option 1 – Do Nothing
The first option would involve retaining existing policy on managing national
responsibilities through successive National Climate Change Strategies. Ireland has
developed two such strategies, the first published in 2000 and the second in 2007.
These strategies set out the roadmap for emissions reductions and meeting EU
obligations for the purposes of the Kyoto Protocol. The second strategy covered the
period up to the end of 2012. The 2011 statement Review of National Climate Policy
highlighted that a compliance-based approach to mitigation targets in the NCCSs does
not constitute an appropriate or adequate policy response to the level of emissions
reductions required across all developed countries in the period post 2012.
Option 2 – Develop and Enact Primary Legislation
The development and enactment of primary legislation would establish a statutory basis
to underpin a progressive course of transition to a low carbon, climate resilient and
environmentally sustainable economy up to and including the year 2050. Such
legislation would be designed to enable Ireland to meet its binding EU and international
emissions reductions targets (both existing and new). This would be done while moving
beyond a compliance-centric approach using international institutions and agreements
as a framework within which Ireland would work out an effective course of action,
suited to its context and making a real contribution to a successful international drive to
manage climate change.
15
3.3
3.4
3.5
3.6
Option 3a – Incorporate in Primary Legislation Additional Emissions Reduction Targets
up to 2050
The development and enactment of primary legislation containing additional emissions
reduction targets not currently mandated by the EU or internationally would set out a
clear and legally binding framework for mitigation. Such additional targets could include
ones for 2030, 2040 and 2050, with, perhaps, interim targets (carbon budgets).
Option 3b – Do Not Incorporate in Primary Legislation Additional Emissions Reduction
Targets up to 2050
The development and enactment of primary legislation which does not contain
additional emissions reduction targets not currently mandated by the EU or
internationally would enable Ireland to move away from a compliance-centric approach
to mitigation (focused on simply meeting a target, with offsetting) and to develop the
strategic and institutional infrastructure to meaningfully transition to a low carbon
scenario.
Option 4a – Incorporate in Primary Legislation a National Steering and Oversight Board
with a Technical Secretariat (as proposed by the NESC Secretariat)
The development and enactment of primary legislation incorporating the establishment
of a National Steering and Oversight Board, supported by a Technical Reporting and
Monitoring Secretariat, would:
●
assist central government in the formulation of a new carbon-neutral strategy
and broad sectoral/departmental plans and targets;
●
drive and oversee progress on the strategic building of Ireland’s transition to
carbon neutrality;
●
deliberate on the progress and challenges in the carbon-neutrality building
blocks and project areas, as advanced by the relevant departments, agencies
and networks; and
●
provide these agencies and networks with upward reach or a clearing house to
get the system to take roadblocks out of the way.
Its central role would be to ensure and organise the joint exploration of successes and
failures and to push agencies and networks to continuously advance the boundaries of
knowledge and practice on ‘how to’ decarbonise.
The National Board would be chaired by a very high-level actor, preferably a Cabinet
Minister, and contain senior figures with a relevant track record of business and
organisational achievement. The small technical secretariat would be drawn from the
existing agencies.
16
3.7
Option 4b – incorporate in Primary Legislation a National Expert Advisory Council on
Climate Change (as proposed in the General Scheme of the Bill)
The development and enactment of primary legislation incorporating the establishment
of an Expert Advisory Council, supported by the Environmental Protection Agency,
which would advise and make recommendations to:
●
the Minister for the Environment, Community and Local Government in relation
to the preparation of a national low carbon transition and mitigation plan and
national climate change adaptation framework, or compliance with any existing
obligation of the State under the law of the EU or any international agreement;
●
a Government Minister required to produce sectoral mitigation measures for
inclusion in the national low carbon transition and mitigation plan or a sectoral
adaptation plan;
●
the Government in relation to the approval of a national low carbon transition
and mitigation plan and national climate change adaptation framework ; and
●
the Government or any Government Minister in respect of any policy or
proposed policy of the Government relating to the reduction of greenhouse gas
emissions, or adaptation to the effects of climate change in the State.
3.8
The Body would comprise a chairperson and between 8 and 10 ordinary members,
including the following ex officio members: the Director General of the Environmental
Protection Agency, Chief Executive Office of the Sustainable Energy Authority of Ireland;
Director of Teagasc; and Director of the Economic and Social Research Institute.
4.
Costs, Benefits and Impact Analysis of Options
4.1
Costs
Option 1
An inadequate medium and longer-term response to transition to a low carbon, climate
resilient and environmentally sustainable economy would not allow Ireland to meet
binding EU targets and wider international commitments on a least-cost basis.
4.1.1
4.1.2
Lack of a long-term strategy would result in higher overall mitigation and adaptation
costs. Transition is inevitable. How it is approached and managed will determine how
much it will cost the Exchequer. In addition, lack of long-term vision would undermine
new economic opportunities in the emerging green-tech sector; missed opportunities
would further increase the overall cost of transition.
4.1.3
It is expected that challenging EU targets will be introduced for 2030 and given that it
will take years for most emission reduction policies and measures to bear fruit, by not
putting in place an adequate medium- and long-term strategy now there may be higherthan-necessary costs to the Exchequer in the future.
17
4.1.4
Option 2
Certain aspects of the proposed Bill would lead to an increased administrative burden
on Government Departments; appropriate engagement and the benefit of effective
responses would minimise/offset this burden in the medium and longer term.
4.1.5
Establishment of the proposed new Expert Advisory Council would give rise to
administrative costs for the Environmental Protection Agency. However, it is envisaged
that by hosting the Body within an established organisation that additional costs would
be minimised.
4.1.6
The Bill would put a statutory requirement on a number of Government Departments to
prepare and introduce plans and measures to reduce emissions as part of a national low
carbon transition and mitigation process and the development of a national climate
change adaptation framework. It is envisaged that this would have financial
implications for the Exchequer. However, the establishment of an effective long-term
low carbon strategy would ensure Ireland would either close the distance to target
and/or meet its current and future binding EU and international targets at least cost.
4.1.7
The Bill proposes to introduce a requirement for public bodies to consider fully, and
integrate the objectives of a national low carbon transition and mitigation plan, a
national adaptation framework and sectoral adaptation plans in their strategic planning
and day-to-day decision making and take the necessary steps in respect of mitigation
and adaptation in their areas of responsibility, which may place a financial cost on those
bodies.
4.1.8
4.1.9
Option 3a
The establishment of national targets where there are no EU or international targets in
place would likely have cost implications for national competitiveness.
Additional targets may force expenditure in mitigation/adaptation measures at above
the cost efficient point of other EU Member States.
4.1.10 The State may leave itself open to legal challenge and associated costs if targets are not
meet, i.e., it is not clear that additional targets can be introduced on a non-justiciable
basis, with unquantifiable consequences.
Option 3b
4.1.11 No additional costs identified.
Option 4a
4.1.12 There would be costs associated with the establishment and administration of a
National Steering and Oversight Body and a technical secretariat.
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Option 4b
4.1.13 Establishment of the proposed new Expert Advisory Body would give rise to
administrative costs for the Environmental Protection Agency. However, it is envisaged
that by hosting the Body within an established organisation that additional costs would
be kept to a minimum.
4.2
4.2.1
4.2.2
Benefits
Option 1
On the basis that long-term transition is inevitable, there are no benefits identified in
continuing with an inadequate policy response to the level of emissions reductions
required across all developed countries post 2012. However, in the short-term,
mitigation and adaptation costs would be avoided, but only at the expense of possibly
greater costs in the medium-to-long term.
Option 2
The Bill would provide for a specific, robust, transparent and progressive national policy
response based on transition, thereby ensuring, inter alia, that Ireland can close the
distance to target in respect of its EU mitigation targets and/or meet its wider
international commitments on a least-cost basis.
4.2.3
The proposed legislation would demonstrate to the international community Ireland’s
commitment to meeting EU/international agreements for greenhouse gas emissions
reductions.
4.2.4
Certainty in government policy would provide more certainty for industry, support the
growth of the green-tech industry and would encourage investment in low carbon
technologies.
4.2.5
A national low carbon transition and mitigation plan, national adaptation framework
and sectoral adaptation plans would enable a co-ordinated Government effort,
establishing national policy on transitioning to a low carbon, climate resilient and
environmentally sustainable economy as a key national priority. By assigning
responsibility for mitigation and adaptation at a sectoral level, the legislation would
encourage a greater degree of ownership and build greater awareness of the
importance of addressing the impacts of climate change.
4.2.6
The proposed Expert Advisory Council provided for in the Bill would support the overall
transition objective by providing the best possible advice to policy makers. The Council,
to comprise members with a broad range of expertise, would provide advice, based on
the most up-to-date science and taking account of other relevant factors, and would
support robust, responsive, evidence-based policy making. In addition, the annual
report of the Expert Advisory Council would include, inter alia, recommendations in
relation to the most cost-efficient way of achieving transition to a low carbon, climate
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resilient and environmentally sustainable economy by 2050 as well as providing a
review and any appropriate recommendations in relation to compliance. The provision
giving powers to the Council to publish reports directly, following submission to the
Minister, would ensure the independence of the Body and would increase the
transparency of the Body’s advice and/or recommendations.
4.2.7
The annual transition statement to Dáil Éireann by Ministers would increase public
awareness of climate change commitments and provide a mechanism to review
emissions reduction progress in a transparent manner.
4.2.8
The Bill, in placing duties on public bodies to consider fully, and integrate, the
objectives of a national low carbon transition and mitigation plan, a national adaptation
framework and sectoral adaptation plans in their strategic planning and day-to-day
decision making would widen the burden of responsibility.
4.2.9
Option 3a
Primary legislation introducing additional national targets would provide both a
statutory impetus to cut emissions and benchmarks against which to measure progress.
In meeting its national targets, Ireland would guarantee achievement of EU targets and
wider international commitments.
4.2.10 Long-term certainty in government policy would provide certainty for industry, support
the growth of the green-tech industry and encourage investment and push innovation in
low carbon technologies.
4.2.11 Additional targets in legislation would require buy-in from all sectors, driving the low
carbon transition and ultimately driving societal change.
Option 3b
4.2.12 The development and enactment of primary legislation which does not contain
additional emission reduction targets would enable Ireland to move away from a
compliance-centric approach to mitigation and to develop the strategic and institutional
infrastructure to transition to a low carbon society.
Option 4a
4.2.13 A National Steering and Oversight Body and supporting technical secretariat, as
proposed by the NESC secretariat, would bring together high-level government
involvement and senior figures with relevant proven business and organisational
experience to advise central Government in the development of its low carbon strategy.
4.2.14 The Body would drive and oversee Ireland’s low carbon transition and lead to a shift in
how climate policy is dealt with institutionally and procedurally.
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4.2.15 The Body would support Government Departments, agencies and other organisations
turn high-level policy goals into tangible plans and measures to achieve decarbonisation.
The Body would deliberate on progress and challenges in each area and provide a
clearing system to remove blockages (technical, legal and political) to progressing the
low carbon transition.
4.2.16 The Body would be the first step in creating a governance system which would learn
from the success and failures of decarbonising plans and measures and push agencies
and networks to advance the boundaries of knowledge and practice on ‘how to’
decarbonise.
4.2.17 By facilitating the engagement of all relevant actors the Body would widen the burden
of responsibility and support societal change.
Option 4b
4.2.18 The proposed Expert Advisory Council provided for in the Bill would support the overall
transition objective by providing the best possible advice to policy makers. The Council,
to comprise members with a broad range of expertise, would provide advice, based on
the most up-to-date science and taking account of other relevant factors, to support
robust, responsive, evidence-based policy making. In addition, the annual report of the
Expert Advisory Body would include, inter alia, recommendations in relation to the most
cost-efficient way of achieving transition to a low carbon, climate resilient and
environmentally sustainable economy by 2050, as well as providing a review and any
appropriate recommendations in relation to compliance. The provision giving powers to
the Body to directly publish reports, following submission to the Minister, would ensure
the independence of the Body and would increase the transparency of the Body’s advice
and/or recommendations.
4.3
4.3.1
Impacts
Impacts on national competitiveness
Option 1 would have no impact on national competitiveness in the short term.
However, an inadequate national climate policy response may undermine opportunities
in the green-tech sector in the medium and longer term. Options 2, 3a, 3b, 4a and 4b
and the introduction of primary legislation to statutorily underpin Ireland’s commitment
to meet its EU and international agreements for greenhouse gas emissions reductions
and to move to a low carbon economy by 2050 would in the medium and longer term
have a positive effect on national competitiveness. However, Option 3a may result in
short-term competitive disadvantage in comparison with other countries, as the
commitment to meet additional targets may involve taking money out of the economy
to introduce emission reductions measures not at least cost. Furthermore, options 4a
and 4b would have an additional positive impact on the long-term impact on national
competitiveness as an effective advisory body would support and drive the low carbon
agenda and, in turn, support the growth of the green-tech industry.
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4.3.2
Impacts on the socially excluded and vulnerable groups
None of the options should have an impact on the socially excluded and vulnerable
groups.
4.3.3
Impacts on the environment
Option 1 would have a negative impact on the environment in the medium and longer
term. Options 2, 3a, 3b would have a positive benefit to the environment by putting in
place a long-term strategy to reduce greenhouse gas emissions along with co-benefits
such as improved air quality and quality of life. The establishment of an advisory body
as proposed in Options 4a and 4b would also have a positive benefit to the environment
by supporting Government, Government Departments, public bodies and agencies
devise and implement low carbon plans and measures. Options 2, 3a and 3b have the
further benefit of providing a structure for adaptation planning which would contribute
to reducing the impact of climate change.
4.3.4
Whether there is a significant policy change in an economic market including
consumer and competition impacts
Options 2, 3a, 3b, 4a, 4b would constitute a significant policy change in terms of a proactive approach to Ireland’s transition to a low carbon economy by 2050. The extent of
the impact on economic activity would depend on a number of factors, including the
extent to which Ireland (a) maintains pace with global transition to a low carbon base,
and (b) anticipates and takes opportunities in new emerging markets.
4.3.5
Impacts on the rights of citizens
None of the options should have an impact on the rights of citizens.
4.3.6
Compliance Burden
Option 2 and the introduction of climate legislation would result in compliance burdens
on public bodies directed to carryout reports/measures relating to compliance with the
national mitigation plan, the national adaptation framework and sectoral adaptation
plans. Option 3a and the introduction of targets would have a negative impact on
compliance burden. Options 3b, 4a and 4b would not have a direct impact on
compliance burdens.
4.3.7
Impacts on North-South and East-West Relations
None of the options should have an impact on north-south and east-west relations.
4.3.8
Other Impacts
Doing nothing, Option 1, would only delay Ireland’s inevitable transition to a low carbon
economy.
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5.
Consultation
5.1
There has been extensive consultation in relation to the development of climate change
legislation, both prior to and after the production of outline Heads of a Bill.
5.2
5.3
Public Consultation on National Climate Policy and Legislation 2012
Between February and April 2012, the Department of the Environment, Community and
Local Government conducted an online public consultation on national climate policy
and legislation. The objective of the consultation was to draw views and opinions from
stakeholders, including the general public, on a range of issues central to national policy
development, including general policy instruments and their use, barriers to greenhouse
gas mitigation, specific mitigation policies and measures, consumer behavior, and EU
policy. The consultation also included a number of questions on domestic legislation,
including in relation to its potential role and scope and on national adaptation planning.
The consultation attracted a total of 623 responses comprising 614 completed
questionnaires and 9 separate submissions.
Oireachtas Joint Committee Consultation with Stakeholders on Outline Heads of Bill
2013
Outline Heads of the Climate Action and Low Carbon Development Bill 2013 and a final
policy analysis report by the NESC Secretariat were released on 26 February 2013 for
consideration by the Oireachtas Joint Committee on the Environment, Culture and the
Gaeltacht and stakeholders. The Committee proceeded to facilitate a debate on the
proposed legislation, inviting submissions from interested parties/stakeholders during
April 2013. As a follow on, public hearings were held during the Summer 2013, where a
broad range of stakeholders was invited to appear before the Joint Committee to give
their perspectives on the proposed Bill and the challenges posed by climate change
generally. The Joint Committee forwarded its report to the Minister for the
Environment, Community and Local Government on 20 November 2013. The Report
does not make specific recommendations but notes principal issues explored and
possible courses of action for consideration.
6.
Enforcement and Compliance
6.1
To ensure accountability for progressing the transition to a low carbon scenario, the
proposed legislation provides for an annual transition reporting mechanism, whereby
the Minister for the Environment, Community and Local Government and Ministers with
responsibility for input to the national low carbon transition and mitigation plan and
Ministers, as decided by the Minister for the Environment, Community and Local
Government, with responsibility for sectoral adaptation plans would be required to
report at least once a year to Dáil Éireann on progress made on the implementation of
mitigation and adaptation policies and measures in their respective sectors. Specifically,
the Minister for the Environment, Community and Local Government would be required
to report on compliance with any relevant climate-related EU or international obligation
or agreement.
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6.2
A duty would be placed on public bodies to have regard to the national low carbon
transition and mitigation plan, the national climate change adaptation framework and
relevant sectoral adaptation plans in the performance of their duties. Provision is also
made for Ministers to give direction to public bodies within their remit in this regard.
7.
Review
7.1
If and when the legislation is enacted, the National Expert Advisory Council would be
required to publish annual reports and periodic reviews in certain circumstances in
which the Council would, inter alia, consider and make recommendations to
Government in relation to progress towards meeting EU and international targets or
commitments.
7.2
The Minister for the Environment, Community and Local Government and Ministers
with responsibility for inputs to the national low carbon transition and mitigation plan
and Ministers, as decided by the Minister for the Environment, Community and Local
Government, with responsibility for sectoral adaptation plans would be required to
report at least once a year to Dáil Éireann on progress made on the implementation of
mitigation and adaptation policies and measures in their respective sectors.
7.3
The Minister would be required to submit a National Low Carbon Transition and
Mitigation Plan to Government at least once every 5 years.
7.4
The Minister would be required to review a National Climate Change Adaptation
Framework, and where necessary, make and submit to Government an updated
framework at least once every 5 years.
8.
Publication
8.1
This Regulatory Impact Analysis will be made available on the Department’s website
(http://www.environ.ie) following the publication of the Bill.
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