1. The nature of the challenge Scientific issue recognised, despite uncertainties Major global emissions cuts (- 20 to - 50% rel 1990) needed by 2050 to avoid 2C temperature rise. (400 - 450 CO2 equiv. stabilisation). NB 2C global average implies about 3C regionally Emissions peak by 2015-25. Speed of technological change may be limiting (50 year time delay) Even a 5 year delay matters. Even a 5 year delay matters. But major change is in the offing

2. Level of participation Global participation needed – what is the EU’s strategy? 2C not achievable without it But need to differentiate between countries at different stages of development Key concerns about competitiveness

3. EU targets post 2012 Seek global participation Seek global discussion on 2C limit Avoid unilateral targets Concern about competitiveness Concern about leakage / trade

4. Stakeholder engagement Work for greater public awareness about actions they can do. Industry willing to work with Governments/Commission to help EU show leadership Reward early action

5. Post 2012 structure No consensus – maybe like Kyoto but be open to other approaches to engage with others Market flexibility supported Wait and see how well it works Technology diffusion important – is CDM enough?

6. Technology choices Investment in R&D needs to be increased Divergence between no restrictions and limiting involvement of nuclear and carbon capture and sequestration.

7. Leadership EU – yes but how? Aim to engage with others. Symbolic leadership important Private sector involvement is important