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UK (2003-2005): The CBI repeatedly warned that environmental regulations would cause UK based companies to relocate The CBI Business Agenda, published to coincide with the 2005 General Election, called on the future Government to: “…set emissions reduction targets …that are sensitive to the need not to simply drive business overseas” UK (2003-2005): Digby Jones, DirectorGeneral of CBI accused the UK Government of: “sacrificing UK jobs on the altar of green credentials” The UK Corporate Leaders Group on Climate Change Convened in 2004 Aim: To bring together business leaders (UK & international) to advocate the development of new and longer term policies for tackling climate change 13 companies initially First output was letter to PM Tony Blair in May 2005, immediately in advance of G8 Gleneagles Summit Key messages of 2005 Letter to Prime Minister Tony Blair: Need to take “urgent and informed action now if we are to avoid worst impacts of climate change” Enabling a low-carbon future should be “a strategic business objective for the UK” A lack of long-term climate policies from Government makes it difficult for companies to scale up their investments in low-carbon technologies Government finds it difficult to introduce such policies because their fear business resistance Group offered to work “in partnership” with Government to make progress on climate change Need strong policy framework to create business certainty that climate change will be addressed Messages in letter reinforced in 2005 meeting between CLG and PM 2006 Letter to Prime Minister Tony Blair urged: ambitious action to stimulate investment low-carbon technologies, especially in development stage action to improve energy efficiency in the large commercial sector (e.g. offices and retail) government to help stimulate consumer action on climate change strengthening of product and building regulation action to reduce impact of transport on climate change UK government to use negotiations at next round of EU Emissions Trading Scheme (ETS) to take on challenging targets 2006 Letter to President of European Commission, José Manuel Barroso, from 25 companies Echoed many of messages in letters to PM Blair , but also: Need to prevent “dangerous climate change” Long-term policy frameworks needed at EU level Emissions Trading Scheme welcome but not enough Longer term emission reduction targets needed to deliver certainty Remove policy inconsistencies and perverse incentives EU’s overall competitiveness need not be harmed Competitive advantage to be gained in growing global market for low-carbon technologies UK CLG membership (2008) EU CLG membership (2008) The Bali Communiqué (Nov 2007) “The scientific evidence is now overwhelming”. “As business leaders, it is our belief that the benefits of strong, early action on climate change outweigh the costs of not acting” The Bali Communiqué (Nov 2007) “It is our view that a sufficiently ambitious, international and comprehensive legally-binding United Nations agreement to reduce greenhouse gas emissions will provide business with the certainty it needs to scale up global investment in low-carbon technologies”. “We believe that an enhanced and extended carbon market needs to be part of this framework” “In order to avoid dangerous climate change, the overall targets for emissions reduction must be guided primarily by science.” “According to IPCC, even an immediate peaking in global emissions would require a subsequent reduction of at least 50% by 2050 “the later the peak in emissions, the greater the required reduction” “the greatest effort must be made by those countries that have already industrialised”. Where next? UK CLG Mission (2008-2010): “To trigger the step-change in policy and action needed both to meet the scale of the threat posed by climate change, and to grasp the business opportunities created by moving to a low climate risk economy” EU CLG Mission (2008-2010): “To communicate the support of business for the European Union to move to a low climate risk economy and to work in partnership with the institutions of the EU to secure the policy interventions that are needed to make this a practical reality”. UK CLG letter to UK party leaders (September 2008) “Climate change demands a transformational change in how we manage our economy”. “Government and business must now work together to demonstrate real change on the ground” “We need a cross party effort to develop a comprehensive package of policy measures to change every major sector of the economy” UK CLG letter to UK party leaders (September 2008) “The global economic downturn may cause some to question whether we can act so boldly”. “…but we believe action cannot be delayed and ..that decisive action will stimulate economic activity and job creation”. EU CLG letter to MEPs (October 2008) “We are writing …to express our support for the European Commission’s package of climate and energy proposals”. “…the adoption of a strong and effective package will ultimately be good for European business”. “The EU’s future competitive advantage lies in encouraging and enabling its businesses to help drive the transformational change that will occur in the world economy within the next couple of decades, not to hide from it”.