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The Climate Change Act 2008 established a new approach to managing and responding to climate change in the UK. The Act created a legally binding target to reduce the UK’s emissions of greenhouse gases (GHGs) to at least 80% below 1990 levels by 2050.
Emissions of GHGs are instrumental in causing global warming and climate change. In order to reduce their levels and meet the 80% target, carbon budgets place legally binding ceilings on the level of allowed UK emissions over five year periods.
What is a carbon budget?
A 'carbon budget' is a cap on the total quantity of greenhouse gas emissions emitted in the UK (net of credits purchased within the EU Emissions Trading Scheme or other international schemes, e.g. the Clean Development Mechanism over a specified time.
Under a system of carbon budgets, every tonne of GHG emitted between now and 2050 will count. Where emissions rise in one sector, we will have to achieve corresponding falls in another.
Each carbon budget covers a five-year period, with budgets set at least three periods in advance. The first three carbon budgets run from 2008-2012, 2013-2017 and 2018-2022.
The Committee advised on the level of the 4th carbon budget, 2023-2027, and proposed a tightening to the second and third carbon budgets, in December 2010.
In May 2011 the Government accepted the Committee’s recommendation for the level of the 4th budget.- a limit of 1950 MtCO2e over the years 2023-2027, amounting to an emissions cut of 50% on 1990. The Government has accepted that the aim should be to deliver this through domestic action, though the use of credits has not been ruled out. It will legislate the level of the fourth carbon budget by June 30th 2011.
The Government will publish a strategy to deliver the 4th carbon budget in autumn 2011.
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