Читать курсовая по экологии: "Climate change adaptation strategies for international energy companies" Страница 4

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the following part of the research the influence of institutional global policies on climate change on energy sector will be reviewed and analyzed.

The first attempt to regulate the climate change issue on international level was taken by the United Nations Framework Convention on Climate Change (UNFCCC). It was an international environmental treaty negotiated in 1992 and entered into force in 1994. Its objective was to "stabilize greenhouse gas concentrations in the atmosphere at a level that would prevent dangerous anthropogenic interference with the climate system ”. However, no limits on greenhouse gas emissions for individual countries were set in this agreement and no mechanisms to achieve this goal were previewed. The treaty was followed and extended in 1997 by the Kyoto protocol signed by 192 countries by 2009. The protocol established legally binding obligations for developed countries to reduce their greenhouse gas emissions in the period 2008-2012. Introducing no goals for developing countries the Protocol, at the same time, allowed nearly 40 developed countries to meet these targets by paying developing countries to cut emissions on their behalf, through an international market in carbon offsets. Many analysts consider that the Protocol’s biggest, most direct business impact was to spawn an international trade in emissions permits . To meet its Kyoto targets, the European Union (EU) introduced an emissions trading scheme , which put a limit on the carbon emissions of heavy industry. That, in turn, led to a thriving trade in carbon offsets between European factories and power plants and low-carbon projects in developing countries. Surprisingly, the biggest winners from carbon trading were big industrial polluters mainly consisted of steel and energy sector companies. According to not-for-profit campaigning organization Sandbag, in the early days of the EU scheme, they received generous allocations of free emissions permits, which they then sold on the carbon market, earning windfall profits .Paris Climate Change Agreement ought to be signed between 2016 and 2017 is probably the most large-scale climate agreement since Kyoto Protocol. In 2015 196 parties have agreed to its language, and in doing so have acknowledged that controlling climate change requires a global mitigation plan. In contradistinction to the Kyoto Protocol it will regard not only developed countries but developing ones as well. The Paris Agreement sets an unambiguous goal to hold global warming to "well below 2°C" and to pursue efforts to limit the temperature increase to 1,5°C above preindustrial levels. Key to that process is the submission by Parties of "nationally determined contributions" (NDCs) which are high-level policy plans setting out what approach each country will take to reduce emissions and contribute to the global goal. These "nationally determined contributions" will start in 2020 and will be reviewed every five years.the one side, the Paris Agreement creates no direct restrictions on the extraction, release, or use of fossil fuels. Even in countries where the Agreement would automatically constitute a source of national law, the provisions are not drafted to create direct obligations on energy companies or to impose liability for fossil-fuel-based energy operation. From the other side, the Agreement will definitely impact energy sector companies as the "below 2°C goal” is unachievable and even impossible without dramatic changes in energy sector corporations activities.to Gigounas , Gunst and Webb, the Paris Agreement will have a tremendous effect on global energy sector and national energy policies. This impact will mainly regard the following issues:

· A proportion of carbon assets could become stranded if the Agreement limits the use of fossil fuels and no effective technology of CO2 absorption is developed. If these reserves are burned at current rate it would lead to the growth of temperature above the limit of 2°C.

· The agreement will definitely cover carbon pricing. The inclusion of carbon pricing in the financial analyses of projects and businesses, notably in the context of lending and investments, is on the rise. In June 2015, six major oil and gas companies called upon governments to introduce carbon pricing systems to lower CO2 emissions.

· Energy companies will have to include a risk and business development assessment of NDCs in the countries where they are active, because these will influence a state’s approach to fossil fuel extraction and consumption. This will particularly affect international energy corporations.

· Undoubtedly, the Agreement will create new areas of business, notably for renewable energy generation, energy efficiency, storage and sinks. For energy sector companies this may lead to larger investments in renewables and increasing of "green" energies in their portfolio.

Businesses also actively participated in Paris climate summit. For instance, to support the Paris Agreement 39 French companies (major French energy giants "Total”, "Engie" and "Areva" among them) made a firm commitment to combat climate change. From 2016 to 2020, these companies plan to invest at least 45 billion euros in industrial projects and R&D devoted to renewable energy, energy efficiency and other low carbon technologies. Over the same period, they also intend to provide bank and bond financing of at least 80 billion euros for projects contributing to the fight against climate change.for the oil markets, business analysts consider Paris Agreement to be a

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