Global CCS legal and regulatory developments

1. Global CCS legal and regulatory developments CCS: perspectives for the Southern African region 31 May 2011, Johannesburg Justine Garrett

2. CCS Roadmap: an ambitious growth path for CCS

3. CCS Roadmap Legal and Regulatory Actions and Milestones • Existing legal and regulatory frameworks should be reviewed and adapted for CCS demonstration by 2011 in OECD countries and by 2015 in all countries • All countries should have a legal and regulatory framework suitable for large-scale CCS deployment by 2020 • International legal issues need to be resolved by 2012

4. CCS Legal and Regulatory Review • Analyses global CCS regulatory progress • Released every 6 months • Contributions by national and regional governments and international organisations • Overview of recent and expected developments • IEA analysis of key advances and trends • Edition 2 to be released May 2011

5. Progress to date: Edition 1, October 2010 • Significant progress made on legal and regulatory frameworks • Australia, North America, Europe • Progress to date generally limited to OECD regions • Work starting in non-OECD countries (e.g. South Africa, Malaysia, Vietnam) • Majority of countries still lack CCS regulatory frameworks

6. Edition 2, May 2011 • Released 27 May 2011 • Progress report from around 30 jurisdictions • Key developments in global CCS regulation include • Transposition of EU CCS Directive • International marine treaty developments • International climate change negotiations • Talking process: developing CCS regulatory frameworks

7. Transposition of EU CCS Directive • Momentum gathering as transposition deadline approaches • 25 June 2011 deadline • Transposition process on track in countries such Spain, Romania, France, the United Kingdom, Italy, Finland and the Netherlands • European Commission enforcement powers • Guidance documents

8. International marine treaty developments • London Protocol and OSPAR Treaty • 2009 London Protocol amendment • Amendment to enable cross-border transportation of CCS • Ratification required by 27/40 Contracting Parties • Only Norway has ratified to date; Dutch ratification pending • Only 16 additional Parties with current interest in CCS • Constraint on offshore storage cooperation • OSPAR • 2007 amendment to enable sub-seabed CO2 injection • Ratification by 7 Parties required; 6 ratifications to date with 2 pending • Likely to enter into force in 2011

9. International climate change negotiations • CCS in the CDM • 6th Conference of the Parties serving as the Meeting of the Parties to the Kyoto Protocol - Cancun – November/December 2011 • Decided CCS eligible under the CDM, subject to resolution of certain specified issues • Next steps • Synthesis report of submissions from Parties being prepared by the UNFCCC Secretariat (submissions closed 21 February 2011) • Technical workshop with experts to be held between June and November 2011 • Draft modalities and procedures to be prepared by the UNFCCC Secretariat for consideration by SBSTA in Durban, South Africa, November/December 2011

10. Talking process: developing CCS regulation • Identify purpose for CCS framework: demonstration v. deployment • Context: understanding existing legal landscape • “Gap and barrier” analysis: how do existing frameworks match up with what future CCS legislation would aim to achieve? • Amend existing regulation or develop dedicated regulation • Review regulation to ensure fit for purpose

11. Talking process in the CCS Review • What comes first: comprehensive CCS regulation, or CCS demonstration? • Coordinating within government • “Gap and barrier” analysis • Ensuringregulation is fit for purpose

12. IEA CCS Model Regulatory Framework • Assists governments in the development of national legal and regulatory frameworks • Draws on current CCS legal and regulatory developments in Europe, Australia, the United States, and elsewhere • Proposes key principles for handling regulatory issues associated with CCS • Non-prescriptive

13. Where does the Model Framework fit in? • Model Framework synthesises international approach to CCS regulation • Inform governments on current regulatory approaches • Reference point for “gap and barrier” analysis • Identify purpose for CCS framework: demonstration v. deployment • Context: understanding existing legal landscape • “Gap and barrier” analysis: how do existing frameworks match up with what future CCS legislation would aim to achieve? • Amend existing regulation or develop dedicated regulation • Review regulation to ensure fit for purpose

14. justine.garrett@iea.org www.iea.org/ccs/legal.asp