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Lucia A Keegan  11/07/2006 02:59:45 PM  From  DB/Inbox:  Lucia A Keegan

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UNCLAS        PARIS 07208

SIPDIS
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    ACTION: SCI
    INFO:   SCIO LABO ENGO ECSO DCM AMB ECON ESCI POL AGR
            UNESCO AMBO

DISSEMINATION: SCIX
CHARGE: PROG

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UNCLAS SECTION 01 OF 02 PARIS 007208 
 
SIPDIS 
 
DEPT FOR OES/ENV; WHITE HOUSE FOR CEQ; EPA FOR INTL; DOE FOR INTL 
 
E.O. 12958: N/A 
TAGS: SENV PGOV FR
SUBJECT: FRENCH FOCUS ON THE ENVIRONMENT 
REF: PARIS 6969 
 
NOT FOR INTERNET DISTRIBUTION 
 
¶1. Summary:  A number of environmental developments have occurred in 
France recently: 
 
- The release of State of the Environment IFEN 
  Report 2006; 
- President Chirac's announcement of an international conference to 
be held in Paris in early 2007 to press for a UN Environment 
Organization; 
- The issuance of a new 'Pact for the Environment' and the 
implementation of new energy saving certificates; 
- The Stern report - highlighting the price of failing to act on 
climate change receives wide media coverage. 
End Summary. 
 
--------------------------------------- 
IFEN report: Industrial pollution down... 
--------------------------------------- 
 
¶2.  October saw the publication of the fourth edition of 
"Environment in France," prepared by the French Institute for the 
Environment (IFEN) for the period 2002-2005.  This 500-page document 
no longer covers only a few targeted sectors.  Rather, the report 
addresses global themes of climate change, consumption of 
non-renewable resources, erosion of biodiversity, health-environment 
linkages, and the pressure of households and human activities on the 
environment.  According to the authors, the main sources of 
pollution - industrial, agricultural, energy - are globally on the 
decline - or stabilizing.  French companies, under EU regulations, 
intensified controls, and the desire to show a "greener" image, have 
reduced their contribution to air and water pollution.  These 
companies are now subject to CO2 quotas. 
 
-------------- 
GHG's Stable... 
-------------- 
 
¶3.  This latest IFEN report concludes that French GHG emissions are 
stable: In 2004, GHG emissions were 0.8 percent below the 1990 
threshold (2004 GHG emissions - 562.6 million metric tons - show 
nevertheless a 0.3 percent rise over 2003.)  Final energy 
consumption has remained quasi-stable over the previous five years. 
Even in the transport sector, the sector responsible for the largest 
(25%) percentage of GHGs, emissions have reportedly stabilized since 
¶2002. (Causes for the stabilization include higher fuel costs, a 
decline in the rate of increase of road transportation, speed limit 
enforcement, and lower vehicle fuel consumption.)  Emissions in the 
housing sector, however, continue to rise. 
 
------------------------------------ 
But, personal consumption unchanged. 
------------------------------------ 
 
¶4.  The report's interesting message is that despite strong and 
incessant local messages about climate change and the need to reduce 
resource consumption, the French population is not significantly 
modifying behavior.  Thus, each citizen continues to produce an 
average of 350 kg of waste/year (no improvement in the last 3 years) 
and to use 160 liters of water/day.  The report further finds that 
French citizens remain highly wedded to their automobiles despite a 
well-developed public transportation system. While the French 
acknowledge deep concern for environmental quality, according to the 
IFEN report, they do not seem ready yet to change practices or pay 
extra money for more environmental products.  The message is clear: 
To go beyond Kyoto commitments, radical change in individual 
comportment will be needed.  (IFEN report in French can be found at 
http://www.ifen.fr. 
 
--------------------------------------------- ---- 
Chirac Proposes UN Environment Organization...again 
--------------------------------------------- ---- 
 
¶5.  Prior to his trip to New York to attend the 61st session of the 
UNGA, President Chirac stated that in light of continued climate and 
environment problems, "it is essential to take new steps."  He 
proposed yet again, the creation of a United Nations Environment 
Organization "with the capacity to develop and implement policies 
...."  He also said that Paris would host an international 
conference on the environment in Paris on this issue in early 2007. 
The conference would gather political, economic, and social leaders 
and experts to bring "definition of what an international action at 
the international and UN level should be."  Note: Embassy has no 
further details about this conference at this time. End note. 
 
--------------------------------------------- - 
And, Prime Minister Calls for Environment Pact 
--------------------------------------------- - 
 
¶6.  With some seven months until French presidential elections, 
Prime Minister de Villepin has taken on an ecological theme or two. 
His October press conference was devoted to energy saving plans.  He 
affirmed environmental protection as a central goal for future 
policy-making and announced a series of new green initiatives, 
including: 
-- The creation of a green savings bank account designed to mobilize 
Euro 10 billion (available by January 2007) to offer households and 
firms low interest loans to finance energy saving; 
-- Credits worth Euro 200 million over five years for renewable 
heating in buildings; 
-- An extra Euro 100 million will be earmarked for research into 
hybrid diesel engines (with the objective to reach a 30 percent 
reduction in fuel consumption); 
--  A tax on the industrial use of coal, the objective being to 
reduce by 6 percent CO2 emissions between 2006 and 2012; 
-- A significant increase (tenfold) of the French production of 
biofuels by 2015.  Villepin further pledged to increase the number 
of petrol stations around France offering ethanol-based E85 fuel at 
the pump.  Tax incentives will be tabled before the end of the year 
to assure E85 remains a cheap option for consumers. 
 
-------------------------------------------- 
France implements energy saving certificates 
-------------------------------------------- 
 
¶7.  Since the beginning of October, 2400 suppliers of electricity, 
gas, domestic fuel oil, heating, and refrigeration in France have 
received notices from the Industry Ministry about new energy saving 
certificates.  The certificates, inspired by the CO2 quota exchange 
market, is based on an obligation imposed on energy sellers to 
generate energy savings over a given period.  The national target 
for the next three years (July 2006-June 2009) is to save 54 
terawatt hours (compared with 1000 tWh sold every year in France). 
Individual objectives have been assigned in proportion to each 
company's market share.  If a company fails to reach its goal, a 
fine of two (Euro) cents per exceeding kWh will be assessed. 
 
--------------------------------------------- -- 
Stern Report Highlights Costs of Climate Change 
--------------------------------------------- -- 
 
¶8.  French media gave much publicity to the release by British 
economist Nicholas Stern how failure to act against climate warming 
would trigger a catastrophic global recession.  "Le Monde" and 
"Liberation" headlines claimed that, according to the Stern report, 
climate change will cost the world 5.5 trillion Euros if nothing is 
done to curb global warming. Ecology Minister Nelly Olin declared on 
October 31 that she was in total agreement with the Stern report 
conclusions.  She also indicated that an interministerial committee 
for sustainable development will meet in France in the coming days 
(before the November 15 Nairobi conference) to update France's 
National plan to fight climate change with among other things, new 
voluntary measures to reduce GHG emissions. 
 
¶9.  Comment: This adumbration of environmental matters covering 
several weeks captures the flavor of middle-of-the-road 
environmentalism in France.  It also points up how difficult it can 
be - even with a population seized with concern about the climate - 
to reduce significantly GHG emissions.  End Comment. 
 
STAPLETON