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Carmen Bunzl - Universidad Pontificia Comillas

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Chapter 2. Options for future climate change architectures 83<br />

definition and collection would provide governments a more thorough base to<br />

calculate abatement potentials in a given sector, and therefore to set targets in a<br />

more equitable way.<br />

Weaknesses<br />

Some crucial challenges of global sector industry approaches have been<br />

identified (Egenhofer, 2008).<br />

Sectoral approaches are very data-intensive. However, there is rich<br />

experience regarding data collection and use, e.g. for benchmarking<br />

performance, within existing global sectoral industry approaches (under the<br />

World Business Council for Sustainable Development (WBCSD) or the Asia-<br />

Pacific Partnership on Clean Development and Climate (APP), which will be<br />

introduced in another section).<br />

There is difficulty in establishing standard measures: e.g. India uses coal<br />

(with higher per unit CO2 emissions) for industrial heating, while the EU uses<br />

mostly gas. India has also many local and inefficient industrial plants that<br />

provide local services that are very difficult to replace.<br />

Global sectoral industry approaches can be seen as some kind of sector-wide<br />

coordinated activity. Anti-trust concerns in different national or regional<br />

jurisdictions may raise. Because of the expanded roles of industry groupings,<br />

there would be issues on how the market functions, it may not be transparent.<br />

Independent 3 rd parties could be used to protect confidentiality of participant’s<br />

information.<br />

It has been said before that one of the objectives of sectoral approaches is to<br />

enhance participation of major companies of key energy-intensive industries in<br />

emerging economies, where most of the additional emissions will come from.<br />

However, developing countries may perceive sectoral approaches as a way to<br />

push them to binding commitments. Incentives are needed for this<br />

Escuela Técnica Superior de Ingeniería ICAI <strong>Carmen</strong> <strong>Bunzl</strong> Boulet Junio 2008

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