Environment and Economy Board Item 6

Climate Change

Policy Development
The purpose of this report is for members to agree a response to the Scottish Government’s proposal for a Climate Change Bill, and for raising the current target for emission reduction from 80% by 2050 to 90% by 2050.
Summary and Recommendations
The Scottish Government is consulting on a Climate Change Bill. This report examines the issues surrounding the Bill and proposes a response for Members to consider. Climate Change spans a broad range of thematic areas. More detailed reports on specific policies will be brought to future meetings.
Members are encouraged to have a full discussion and agree a response to the Government’s consultation.
The Board is invited to:
  1. support the Scottish Government’s proposal to raise the target for emission reduction from 80% by 2050 to at least 90% by 2050;
  2. agree that, equally or more importantly, there is an urgent need for the Scottish Government to develop robust, funded policies and proposals, to meet these challenging targets;
  3. Agreethat all future work in this area recognisesthe principles of the UN Paris Agreement, reflecting both climate change targets and the important role and contribution of local government; and
  4. Agree that the Board delegates authority to the Spokesperson to finalise the COSLA submission in-line with the views of members.

References
Previous reports on Climate Change:
  • COSLA Leaders February 2017- Draft Climate Change Plan
  • Executive Group February 2017- Draft Climate Change Plan
  • Executive Group December 2016 - Climate Change
  • Executive Group September 2016 - International Action on Climate Change
  • Executive Group June 2016 - Climate Change and RPP3

Silke IsbrandRobert Nicol

Policy ManagerChief Officer

077171511020131 474 9241

September2017

Climate Change

Policy Development

  1. Global warming represents a significant threat to peaceful and prosperous life for our communities. The task of addressing it is huge and requires societal change as well as collaboration across organisational boundaries and alignment of resources at all levels. At the same time, it presents an exciting opportunity to build on a wide range of innovative work streams and is an opportunity to put Scotland at the forefront of sustainable development internationally, with multiple economic, social and health benefits to citizens in Scotland and beyond.
  1. This paper introduces the first meeting of the new Board to this policy area and asks elected members to agree a response to the Scottish Government’s consultation on a forthcoming Climate Change Bill, due in September 2017. Members’ agreed position will also form the basis on which COSLA will progress work on the Scottish Government’s draft Climate Change Plan, which is expected to be finalised by the Scottish Parliament in early 2018.

Current Position

  1. Members of the previous COSLA Executive Group and COSLA Leaders have been considering climate change on an ongoing basis and responded specifically in February this year to the Scottish Government’s draft Climate Change Plan.
  1. The principal target of the draft CCP is the “almost complete decarbonisation [of Scotland] by 2050”, with what are considered to be transformational outcomes in transport, heat, electricity generation, and energy efficiency, along with increased natural carbon sinks and more efficient and profitable agricultural practices. The plan sets out carbon reduction targets/envelopes for eight economic sectors. For an overview, please refer to Annex A.
  1. COSLA’s response agreed at the time can be summarised as follows:
  • COSLA supports the ambitious goals and challenging targets set out in the plan;
  • Scottish local government is fully committed to combatting climate change;
  • The CCP requires a step change in Scotland’s response to climate change and there is a need to urgently develop concrete policies and proposal;
  • There is too much reliance on technological innovation and solutions, and should additionally consider what societal and behaviour change is necessary;
  • There should be more ambition for carbon reduction measures in the transport envelope, with behaviour change being a crucial factor here;
  • There is a need for more openness and consultation in developing this policy area, including the so-called TIMES model used to design national carbon envelopes;
  • Action in Scotland needs to be clearly linked to Europe.
  1. Our position was well reflected in the wider public debate and the considerations and recommendations of the Scottish Parliament.

Climate Change Bill

  1. The Scottish Government intends to introduce a new Climate Change Bill, running parallel to the CCP. This will update the Climate Change (Scotland) Act 2009 with a new target for emission reduction, currently set at 80% by 2050. Based on advice by the UK Committee on Climate Change who are the Government’s expert advisors on this subject, Government are proposing for this Bill:

a)a new target, based on actual emissions, increasing the 2050 target from 80% to 90% emissions reduction;

b)making provisions for a net-zero greenhouse gas emissions target, to be set when a credible and costed pathway can be demonstrated.

  1. A number of technical amendments designed to improve the transparency of the targets and functioning of the act are also being considered, but not discussed in this report. Should members wish to comment on other elements of the consultation, these are summarised in Annex B. The Bill is expected to go through the Scottish Parliament in the spring of 2018, with Royal Assent predicted for the summer 2018.
  1. COSLA is monitoring the public debate around these issues. WWFScotland and civic society alliances such as Stop Climate Chaos Scotland (SCCS), a diverse coalition of civil society organisations in Scotland campaigning together on climate change, have been very clear and outspoken. Drawing on emerging and differing scientific advice, they request higher targets to meet the Paris Agreement, specificallya much tougher target of net-zero greenhouse gas emissions by 2050 at the latest.
  1. The Scottish Green Party is similarly pressing for a higher target, net-zero target by 2040, supported by Friends of the Earth Scotland and going beyond Sweden which has committed to becoming carbon neutral by 2045, and France by 2050.
  1. Importantly, many environmental groups call for early action: cleaner transport - phasing out the sale of new fossil fuel cars by 2030; energy efficient homes –minimum Energy Performance Rating C by 2025; and greener farming - a nitrogen budget for Scotland by 2020.

The Role of Local Government

  1. Given the size of the challenge, real progress cannot be made without all sectors of society engaging in substantial change. This needs to be driven by strong political leadership, with central and local governmentworking in close partnership.
  1. The UN Paris Climate agreement recognises the role of local and regional governments and communities, as well as the importance ofstrengtheningtheir roles.This was the result of collective advocacy efforts by several local government umbrella associations, including COSLA.
  1. COSLA supports the Paris Agreement as a decentralised, bottom-up approach, in which all levels of government are required to contribute to emission reduction, and need to have the capacity to do so, if the goals of the Paris Agreement are to be achieved. A leading global networkstated: ”Through this Agreement, local and subnational governments are recognized as essential actors in fast tracking transformative action […] The Paris Agreement reflects the success of local government advocacy, enshrining local and subnational actors within an international climate agreement for the first time. Cities and regions have been recognized, engaged and empowered, as the Local Government Climate Roadmap (LGCR) desired.”
  1. Apart from its political function, local government is also a key delivery agency for combating climate change, through its own estate and functions, and through its relations with and support of local initiatives. The responsibilities that local government can bring to the table, and thus opportunities for effecting change, include education, housing, planning, transport/roads, economic development, estates, waste management, community services and strategic planning.
  1. All local authorities have active strategies in place for carbon reduction, and many are involved in projects, initiatives and networks that link and enrich their local practice with wider European experience, know-how and policy. Examples include Scottish cities linking through Eurocities with their European counterparts and developing joint projects, or coastal authorities’ active role in Conference of Peripheral Maritime Regions (CPMR). A number of local authorities are members of the Covenant of Mayors, heralded as the “world’s biggest urban climate and energy initiative” by EU Commissioner Miguel Arias Cañete. COSLA itself is an active member of the Council of European Municipalities and Regions (CEMR), the European umbrella body for local government, to drive policy and link local governments across Europe for the development of innovative models and approaches.
  1. Strategic progress at the local level needs to be accompanied by the relevant resources. For this reason, it is important that there is alignment of budget envelopes, to harness all resources available. Equally important is the availability of dedicated, long-term funding from national government, that allows local government to strategically plan ahead for a number of years, and link action with their own resource allocations. Real progress needs local government to be empowered to define and deliver projects at a local level whilst remaining true to the national framework and approach.

Proposed COSLA Position

  1. The Scottish targets have to be seen in the context of the UN Paris Agreement having entered into legal force in 2016. Governments internationally are now committed to limiting their greenhouse gas emissions in order to keep global temperature increase well below 2C, with an aim of below 1.5C. While this commitment is an important stepping stone, the real challenge is for individual countries to create ambitious plans in order to achieve this target.
  1. As outlined above, the level of change required can only be achieved by strong political commitment and leadership, with local and central government working in tandem, with mutual respect and in strong partnership. We understand the desire of environmental lobbies to set an even more ambitious target, and we understand Government’s concern about achievability. Our previous executive group felt comfortable with the recommendations of the Climate Change Committee and the Governments targets and ambitions, although we were clear that we were not offering a ‘blank cheque’ for delivery and that we would continue to press for the appropriate levels of resources. We think the same applies for proposed new targets in the Bill.
  1. We are, therefore, proposing that our response to the Climate Change Bill flows from our previous positions, welcoming the ambition, and highlighting the need for concrete action (see paragraph 5 above), to ensure that the necessary practical arrangements are in place for meeting the targets.
  1. We are proposing that COSLA:
  1. supports the Scottish Government’s proposal to raise the target for emission reduction from 80% by 2050 to at least 90% by 2050 and for a net-zero target to be set as soon as is practicable;
  1. maintains that, equally or more importantly, there is an urgent need for the Scottish Government to develop robust policies and proposals, as well as the necessary regulatory framework and budgetary commitments, to meet these challenging targets;
  1. request that all future work in this area recognises the principles of the UN Paris Agreement, reflecting both climate change targets and the important role of local government.
  1. It would be fair to say that there is a high degree of both political commitment and professional expertise in Scottish local government that can form the basis for local government playing a crucial role in helping Scottish Government meet its targets.

Future Policies and Proposals

  1. As stated above, there is a need to urgently develop concrete policies and proposals to work toward the 2050 target. We will bring reports back to this Board, as and when these policy areas are being developed. In time to come, members may need to consider issues around introducing challenging initiatives developed or piloted in other parts of the UK or EU, for example work place parking levies, low emission zones, speed limit changes or congestion charging. Phasing out the sale of new fossil fuel cars will require substantial planning and investment, such as for electric vehicle charging networks. If Scotland was to introduce this before the rest of the UK, there could be economic advantages, but also increased pressure to establish the necessary infrastructure. We expect that COSLA will have to debate all of these issues, and more, in due course.
  1. Scotland’s building stock is, next to transport, a major contributor to our carbon emissions. Reducing this impact by increasing the energy efficiency of domestic and residential buildingsis a considerable and costly task. COSLA’s Community Wellbeing Executive has already expressed in-principal support for this, but is also looking at the complex policies and programmes, as well as finance and regulatory measures required.
  1. Many carbon reduction measures require substantial changes in current structures and/or service provision, and substantial investment. Restructuring Scotland’s energy supply and demandalone has been called the biggest public sector investment challenge, as the Scottish Government’s draft Energy Strategy proposes an ambitious new 2030 target for 50% of Scotland’s energy consumption to be met by renewable energy – this includes renewable heat as well as electricity.
  1. A number of challenging discussions will surface from this, for example around the rollout of new district heating schemes and associated consumer protection regulations/enforced connections, the establishment of Local Heat and Energy Efficiency Strategies (LHEES) in all 32 authorities and how this is financed, and the enormous infrastructure, planning, regulatory, consumer protectionissues, as well as transport and commuter interruptions that would be involved in moving Scotland’s energy supply to hydrogen, as proposed in the draft Energy Strategy.
  1. There is a considerable degree of concern about the future of environmental legislation and standards and how these link to Europe. This is a complex and moving field, and members will need to consider a range of issues, some of which will set a desire to maintain strong relations with our counterparts in Europeand continuing a link to European standards, against competitiveness in the UK.

Next Steps

  1. The outcome of the Board’s meeting will be captured in COSLA’s response to the consultation on the Climate Change Bill. It will also, more broadly, inform COSLA’s work on the Scottish Government’s draft Climate Change Plan.
  1. The spokesperson is due to have a first meeting with the Cabinet Secretary for Environment, Climate Change and Land Reform, Roseanna Cunningham, on 6 September 2017, and will relay members ambitions, viewpoints and any concerns. We are also expecting the spokesperson to attend the “Local Summit Day” at the UN Climate Change Talks, in Bonn/Germany in November this year, where there will be an opportunity to link with European counterparts and institutions and relay the ambitions and concerns of Scottish Local Government.

Summary and Recommendations

  1. This report introduces the first meeting of the new Board to the subject area of climate change and asks members to agree a response to the Scottish Government’s consultation on their planned Climate Change Bill. This report examines the issues surrounding the Bill and proposes a response for Members to consider. Climate Change spans a broad range of thematic areas. More detailed reports on specific policies will be brought to future meetings.
  1. Members are encouraged to have a full discussion and agree a response to the Government’s consultation.

The Board are invited to:

  1. support the Scottish Government’s proposal to raise the target for emission reduction from 80% by 2050 to at least 90% by 2050;
  2. agree that, equally or more importantly, there is an urgent need for the Scottish Government to develop robust, funded policies and proposals, to meet these challenging targets, and
  3. Agreethat all future work in this area recognises the principles of the UN Paris Agreement, reflecting both climate change targets and the important role of local government.
  4. Agree that the Board delegates authority to the Spokesperson to finalise the COSLA submission in-line with the political views of members.

September 2017

Annex A

Key facts Draft Climate Change Plan (CCP)

The principal target of the draft CCP is the “almost complete decarbonisation [of Scotland] by 2050”, with what are considered to be transformational outcomes in transport, heat, electricity generation, and energy efficiency, along with increased natural carbon sinks and more efficient and profitable agricultural practices.

The CCP is based on the TIMES model, which suggests the most cost-effective pathways to achieve the set carbon reduction in the eight sectors specified, tempered by policyjudgement by the Scottish Government. The CCP then sets targets and carbon envelopes for each of the eight sectors:

1. electricity generation

2. residential/housing

3. transport

4. services (non-domestic energy efficiency)

5. industry

6. waste

7. land use

8. agriculture.

The following graphic from the CCP shows the proposed carbon envelopes over time.

Source: Draft Climate Change Plan, Jan 2017

There are substantial differences in the carbon reduction rates expected from different sectors. These are shown in the two graphics below, where, for example, the services sector would have to achieve a 96% reduction in carbon emissions and the residential sector a 76% reduction, whereas the transport sector would only aim for a 31% reduction, and industry and agriculture for a 12%-14% reduction.

The sectors that are of most importance to local government are the services sector, that includes local authorities own estate (offices, school, community facilities etc), and the residential sector, which includes councils’ housing stock and housing association stock.