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Legal issues in EU-Brazil biofuels cooperation

Legal issues in EU-Brazil biofuels cooperation. STAVROS AFIONIS The Hague (April 2013). Presentation Outline. The EU – Brazil partnership Legal and trade issues Indirect land-use change Highly biodiverse grasslands Trade barriers Conclusions. www.cccep.ac.uk. The EU’s partnerships.

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Legal issues in EU-Brazil biofuels cooperation

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  1. Legal issues in EU-Brazil biofuels cooperation STAVROS AFIONIS The Hague (April 2013)

  2. Presentation Outline The EU – Brazil partnership Legal and trade issues Indirect land-use change Highly biodiverse grasslands Trade barriers Conclusions www.cccep.ac.uk

  3. The EU’s partnerships The 2003 European Security Strategy (ESS) United States Japan Canada Brazil China India Mexico Russia South Africa Existing partners Egypt Israel Indonesia Pakistan Ukraine South Korea Potential partners

  4. The EU – Brazil partnership a.) Trade b.) Environment Established in 2007 1st Joint Action Plan (JAP) in 2008 2nd JAP in 2011 (to last until 2014) Over 20 sector dialogues Summits Lisbon Rio de Janeiro Stockholm Brasilia Brussels 2013 Brasilia Energy Environment and Climate Change Information Society Maritime Transport Satellite Navigation - “Galileo” Science and Technology Culture Education www.cccep.ac.uk

  5. The EU – Brazil partnership • Agenda dominated by trade issues • Brazil is the EU’s 10th trading partner (2.2%) • EU is Brazil’s main trading partner (22%) • Main issues • EU – MERCOSUR trade agreement • Negotiations collapsed in 2004, re-launched in 2010 • Liberalization of EU agricultural market • Negotiations in progress (WTO Doha Round) www.cccep.ac.uk

  6. EU and biofuels • Directives • Biofuels Directive (2003) • Renewable Energy Directive (2009) Targets a.) 2% by 2005 b.) 5.75% by 2010 10% by 2020 B. Sustainability criteria. • GHG emission savings of at least 35% (rising to 50% in 2017) • Feedstock not to be derived from land with high biodiversity value • Feedstock is not to be derived from land with a high carbon stock www.cccep.ac.uk

  7. EU, Brazil and biofuels • Issues • Indirect land-use change (iLUC) • Definition of “highly biodiverse grasslands” • Trade barriers www.cccep.ac.uk

  8. Indirect land-use change (iLUC) Source: Fehrenbach et al, 2008. “Criteria for a Sustainable Use of Bioenergy on a Global Scale” UBA-FB Report 206/41/112, p. 51. www.cccep.ac.uk

  9. Indirect land-use change (iLUC) • Brazil acknowledges scientific consensus on iLUC • Science has progressed, but models still in infancy • More science needed – Brazil satisfied with 2nd draft • The 5% cap is inadequate • What does Brazil propose? • US process much more transparent www.cccep.ac.uk

  10. Highly biodiverse grasslands 2nd sustainability criterion Primary forest Natural protected area Highly biodiverse grassland • Definition expected since 2010 • Vital issue for Brazil • Brazil to expand sugarcane plantations in pasture land

  11. Highly biodiverse grasslands • Concept invented as a result of an intra-EU compromise • Definition a complicated issue – several drafts rejected • Agreement possibly reached this month • Why has it taken so long: • Challenging task • Intra-EU repercussions • Brazil surprised… www.cccep.ac.uk

  12. Highly biodiverse grasslands • Why is this so important to Brazil? • Agriculture expands in pastures • About 70% of sugarcane plantations • Compliance could be quite costly • Natural vs. non-natural grasslands • Need for in situ inspections • Brazil wants the CBD to come up with a definition www.cccep.ac.uk

  13. Trade barriers • Tariffs and subsidies • EU biofuels protectionism • Discussions in several fora • MERCOSUR • WTO • Barriers bound to be abolished??? supports uneconomical & energy inefficient production www.cccep.ac.uk

  14. Concluding remarks • Partnership has revolutionised bilateral relations • Focus is on trade • iLUC, grasslands and trade barriers top the agenda • Prospects do not appear promising www.cccep.ac.uk

  15. THANK YOUS.Afionis@leeds.ac.uk

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