The backbone of the Kyoto Protocol is the so-called ‘target-and-timetable’ approach to GHG emissions by Annex I countries: setting of country-based economy-wide targets on emission reductions in the given time-frame. The state of ongoing UN negotiations has demonstrated how difficult it is to continue this approach with the current Annex I membership under rapidly changing circumstances. Sectoral approaches, which CEPS has proposed since 2007, could complement the existing framework. One merit of sectoral approaches is their ability to identify GHG-intensive sectors and prioritise mitigation actions tailored for these sectors.  Another merit is their versatility: they could be integrated in carbon markets via crediting or trading; or they could initially concentrate on data collection and information sharing.

Selected past activities:

CEPS Task Force on "Sectoral industry approaches to address climate change", 2007-2008

CEPS study on "The potential of sectoral industry approaches to design a 'fair' commitment", 2007-2008, funded by the Economic and Social Research Institute (ESRI), Cabinet Office, Government of Japan.

Externally Published Journal Articles:

Egenhofer, C. & N. Fujiwara, (2008), "Sectoral approaches to address Climate Change: more than wishful thinking?", European Review of Energy Markets- Special Issue on Incentives for a low-carbon energy future. Vol. 2(3), pp. 251-268, June

A list of CEPS publications in this research area can be found on  http://www.ceps.eu/faceted/books/results/taxonomy%3A8