Trade Regime Climate Regime Interactions Implications of the

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Trade Regime – Climate Regime Interactions Implications of the U. S. Energy Policy Act

Trade Regime – Climate Regime Interactions Implications of the U. S. Energy Policy Act Thomas L. Brewer Georgetown University, Washington, DC and Centre for European Policy Studies, Brussels Tom Brewer - COP 11 / MOP 1 Montreal - December 3, 2005 1

Outline of Presentation I. Provisions of U. S. Energy Policy Act II. Relationship to

Outline of Presentation I. Provisions of U. S. Energy Policy Act II. Relationship to trade issues (WTO) III. Significance for climate policy Tom Brewer - COP 11 / MOP 1 Montreal - December 3, 2005 2

U. S. Energy Policy Act of 2005 ‘Climate Change’ - Title XVI Subtitle A:

U. S. Energy Policy Act of 2005 ‘Climate Change’ - Title XVI Subtitle A: National Climate Change Technology Deployment Subtitle B: Climate Change Technology Deployment in Developing Countries Tom Brewer - COP 11 / MOP 1 Montreal - December 3, 2005 3

Subtitle A: National Climate Change Technology Deployment • Establishes executive branch organizational arrangements •

Subtitle A: National Climate Change Technology Deployment • Establishes executive branch organizational arrangements • Mandates creation of national climate change technology policy and program • Mandates ‘inventory’ and ‘evaluation’ of GHG ‘intensity reducing technologies…suitable for commercialization and deployment’ Tom Brewer - COP 11 / MOP 1 Montreal - December 3, 2005 4

Subtitle B: Climate Change Technology Deployment in Developing Countries Office of the U. S.

Subtitle B: Climate Change Technology Deployment in Developing Countries Office of the U. S. Trade Representative must … 1. Identify developing countries’ barriers to U. S. exports of GHG reducing technologies 2. Negotiate their removal 3. Report to Congress annually on progress in their removal Tom Brewer - COP 11 / MOP 1 Montreal - December 3, 2005 5

Relationship to Trade Policy USG will negotiate in regional and bilateral arenas as well

Relationship to Trade Policy USG will negotiate in regional and bilateral arenas as well as multilateral Relationship to WTO negotiations Goods and Services Trade and Investment and Licensing GATT and GATS and TRIPS and …. Tom Brewer - COP 11 / MOP 1 Montreal - December 3, 2005 6

WTO Issues EGS: Harmonized System of goods classifications for tariffs (GATT) US submission on

WTO Issues EGS: Harmonized System of goods classifications for tariffs (GATT) US submission on 30 June 2005 ‘Report by the Chairperson…’ – 12 October ‘Synthesis of Submissions…’ 17 November Renewable energy; energy efficiency; … GATS: Schedules of Specific Commitments ‘Environmental services sector’ (more or less) Tom Brewer - COP 11 / MOP 1 Montreal - December 3, 2005 7

Significance: Tangible Effects It’s All about Lists • • • Barriers in importing countries

Significance: Tangible Effects It’s All about Lists • • • Barriers in importing countries that are identified by USTR Results of US inventories of technologies Similar goods and services of other exporting countries (MFN in WTO) Tom Brewer - COP 11 / MOP 1 Montreal - December 3, 2005 8

Significance: Intangible Effects 1. Changes the framing of the issues 2. Changes the international

Significance: Intangible Effects 1. Changes the framing of the issues 2. Changes the international institutional context 3. Changes the negotiating dynamics Tom Brewer - COP 11 / MOP 1 Montreal - December 3, 2005 9

Framing the Issues • From economic assistance for capacity building and sustainable development •

Framing the Issues • From economic assistance for capacity building and sustainable development • To trade policy liberalization foreign market access and export expansion Tom Brewer - COP 11 / MOP 1 Montreal - December 3, 2005 10

Institutional Context and Negotiating Dynamics • From linkages to other climate change issues such

Institutional Context and Negotiating Dynamics • From linkages to other climate change issues such as capacity building aid in exchange for emission targets • To linkages to other trade, investment and intellectual property issues such as reduction of barriers to agricultural trade in exchange for reduction of barriers to climate change technology trade Tom Brewer - COP 11 / MOP 1 Montreal - December 3, 2005 11

For more on these and related issues …. Articles in Climate Policy (2003, 2004)

For more on these and related issues …. Articles in Climate Policy (2003, 2004) Chapter in Multinationals, the Environment and Global Competition (Elsevier, 2005) www. georgetown. edu www. ceps. be Email: [email protected] edu Tom Brewer - COP 11 / MOP 1 Montreal - December 3, 2005 12