Trade-off

Kyoto salvation via WTO?

 
Published: Sunday 29 February 2004

-- (Credit: EMKAY)the eu is dangling the carrot of the World Trade Organisation's (wto) membership to persuade Russia to ratify the Kyoto Protocol. "There are signs of a political link between finalising the wto negotiations and Russia's ratification of the pact," said Gnter Verheugen, eu enlargement commissioner, in Berlin.

Speaking at a German parliamentary hearing, he added: "It (may be) an attempt to get us to relax a few of our demands for Russia's entry into the wto fold, and then ask Russia to compensate by signing the Kyoto Protocol." He hinted that some movement was likely on the issue in the first half of 2004.

Russia has been seeking to be a part of the wto for over a decade, but the huge gap between prices charged from domestic and foreign energy consumers remains a major stumbling block for it.

In another development, questions are being raised in Spain on the rationale of cutting emissions when some countries are not a part of the process. "It would be futile to strive for compliance with environmental commitments if it brings on unemployment and relocation of businesses," asserted Spain's energy secretary, Jose Folgado. He wants the entire eu bloc to debate on whether to retain emissions trading and if it harms European competitiveness.

"I find it astonishing that when we are getting the industry and the public on board...politicians start sending ambiguous messages," said environment commissioner Margot Wallstrm. Rob Bradley, energy specialist with Brussels-based Climate Action Network Europe, says such overtures could be influenced by the fact that elections are due in Spain in March.

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