Dutch Presidency wants to revive global fight against climate change 

Dutch Secretary of State for the Environment Pieter Van Geel announced that his government will use the EU Presidency to try and restart the international negotiations on further reduction of greenhouse gas emissions. The Dutch would like the international community to declare it is in favour of a 30 per cent reduction by the year 2020, compared to 1990 levels. A scientific study released by the Dutch Centraal Planbureau (CPB) and the Milieu- en Natuurplanbureau indicates that the cost of such a reduction would be minimal if developing countries were to join in the new system and if there were to be an effective global emissions trading system. In such a scenario, the economic loss for the Netherlands would be 0.8 per cent of National Income. If only industrialised countries have to shoulder such a reduction, the costs for the Dutch economy would rise to 4.8 per cent.

Dutch industry reacted negatively to van Geel's promise. A spokesperson for the Confederation of Netherlands Industry and Employers (VNO-NCW) stated that a European 'Alleingang' (going it alone) will not solve the climate change problem and would undermine the competitiveness of European industry.

There seems to be a growing disconnection between political and economic leaders on the way forward in tackling the climate change problem. The US defection from the Kyoto process and the continuing doubts over Russia's ratification of the protocol have made European industry leaders worried about the economic costs of the EU's climate change leadership. In a press conference planned for 8 July, industry federation UNICE will demand a thorough "redesign" of the EU's climate change policy.