The Environment Committee of the Hungarian National Assembly recently adopted an Opinion on the EU Climate and Energy Package, which was also the subject of an Extended Committee Meeting, with Members of the Committees on EU Affairs, Economy (Energy), Agriculture and Budget, under the title "Information and Consultation on the EU Climate and Energy Package" on 14th November.

In the Opinion, the MPs voiced their support of earmarking of ETS auctioning revenues is desirable, and called for the the 20% limit for earmarking to be raised. Carbon leakage was deemed to be a concern for Hungary, some of whose neighbours are not Members of the EU, and MPs called for thorough analysis of possible impacts of carbon leakage to be carried out as a matter of urgency. The committee supports the Hungarian government's position on effort-sharing: reduction efforts should be based upon 1990 baseline rather than 2005. Hungary should seek cooperation with other countries in order to reach more equitable effort-sharing deal and if needed, support the Polish proposal for redistribution of auctioning allowances for the poorer EU Member States, according to the Opinion.

The Committee also welcomes the widening of reduction efforts and ETS system to other sectors such as traffic, agriculture, public and residential sectors and waste; considers that Carbon Capture and Storage should not be made compulsory and that demo projects should not be supported by EU structural funds, leaving the door open for financing from R+D funds, at Member State level.

Finally, the Committee strongly supports making renewable energy sources widely available, and calls on urgent decisions and actions to be made accordingly. The Hungarian Renewable Energy Strategy is therefore welcome and it should be put on the agenda of the Hungarian National Assembly for discussion and it should be reinforced as a parliamental decree. We have a big responsibility implementing this strategy and the costs of the implementation should be incorporated in the national budgets - already in the 2009 budget.

The Opinion was published on 7th October and subsequently submitted to the EU Affairs Committee, the leaders of the National Assembly and the relevant Ministries.