ICF Consulting Report on Ireland's Climate Change Strategy Submitted for Public Consultation

Report Quantifies Ireland's Distance to its
Kyoto Protocol Target in 2008-2012

LONDON, UK, 13 October 2005 - This week the Government of Ireland became the first of the European Union (EU) Member States to establish its proposed strategy for meeting its greenhouse gas (GHG) emission reduction target during the first commitment period of the Kyoto Protocol in 2008-2012. On 11 October, the Government published on its Web site a public consultation document, prepared by ICF Consulting in association with Byrne Ó Cléirigh Consultants, which includes preliminary projections of GHG emissions during the Kyoto Protocol period 2008-2012 under 'with measures' and 'with additional measures' scenarios:

ICF Consulting Appointed as Advisor to the Government of Ireland to Determine Competitive Implications of EU Emissions Trading Scheme Determining the Share of National Greenhouse Gas Emissions for Emissions Trading in Ireland

• an analysis of GHG abatement options for both the trading and non-trading sectors
• an analysis of the distance to target for Kyoto compliance
• ICF Consulting's recommendation on a limit for the use of credits from the Protocol's project mechanisms by operators in the EU Emissions Trading Scheme (ETS)

"We applaud Ireland’s proactive approach in carefully analysing its likely distance to target and developing a strategy that makes explicit the economic, equity, and competitiveness implications of adopting various options to reduce greenhouse gas emissions against the business-as-usual scenario," says Abyd Karmali, an ICF Consulting Senior Vice President who leads the firm’s climate strategy services in Europe. "The European Union has signalled very strongly that it intends to implement its obligations under the Kyoto Protocol. Our study suggests that Member States can gain valuable insight from the experiences shared by the Government of Ireland and others about the effectiveness of different policy instruments being implemented and proposed to lower the trajectory of greenhouse gas emissions. It is also important that each Member State carefully consider the lessons learned from the early experience of the EU Emissions Trading Scheme so that the 2nd National Allocation Plans do not unintentionally introduce any competitive distortions," says Mr. Karmali.

"Our analysis indicates that Ireland's distance to its Kyoto target could be up to 7 Mt CO2e per year, on average, over the period 2008-2012. The Government of Ireland now needs to decide how it intends to close the gap through a combination of allocating fewer EU Allowances to participants in the EU Emissions Trading Scheme, implementing more aggressive policies to reduce greenhouse gas emissions in those sectors not participating in the EU Emissions Trading Scheme, and purchases of carbon credits through the Clean Development Mechanism and Joint Implementation," says Dr. Aleksandra Simic, an ICF Consulting Economist in London who managed the study. "Another option would be to purchase surplus Assigned Amount Units from countries such as Russia and Ukraine. During the next phase of our work we will be evaluating the tradeoffs among these options," says Dr. Simic.

Based on a study by ICF Consulting and Byrne Ó Cléirigh regarding the distribution of the national greenhouse gas emissions budget, Ireland decided to allocate 67.5 million allowances over a three-year period, beginning in January 2005. The pilot emissions trading program is the first step in preparing Ireland and the European Union for global GHG emissions trading under the Kyoto Protocol starting in 2008.

Learn more about:

• Summary and Final Report: "Determining the Share of National Greenhouse Gas Emissions for Emissions Trading in Ireland"
  
  
• How ICF Consulting is advising the Government of Ireland

ICF International (Nasdaq: ICFI) partners with government and commercial clients to deliver consulting services and technology solutions in the energy, environment, transportation, social programs, defense, and homeland security markets. The firm combines passion for its work with industry expertise and innovative analytics to produce compelling results throughout the entire program life cycle, from analysis and design through implementation and improvement. Since 1969, ICF has been serving government at all levels, major corporations, and multilateral institutions. More than 1,800 employees serve these clients worldwide. ICF’s Web site is http://www.icfi.com.

For Immediate Release United Kingdom Contact: Abyd Karmali Tel: 44 (0) 20.7092.3005 United States Contact: Douglas Beck Tel: 1.703.934.3820