Installations for the generation of electricity from the combustion of coal

BILL amending the Act prohibiting the use of coal for electricity generation in connection with the reduction of CO2 emissions

The aim of the bill is to reduce CO2 emissions from coal-fired power stations in the years 2021, 2022, 2023 and 2024 to such an extent that, in the years after 2020, total CO2 emissions will be at least 25 % lower than in 1990. In addition, if the bill is enacted into law and enters into force after 1 January 2021, the reduction will be limited to the remaining number of days of 2021 from the time of enactment. In order to achieve this, CO2 emissions from coal-fired electricity generation are capped. In any calendar year, a production installation generating electricity using coal must not produce more CO2 than 35 % of the number of Mt of CO2 that could be produced in a calendar year if the installed capacity of the production installation was fully used. The

proposed level of this limitation is determined on the basis of the required CO2 reduction, as estimated by the Netherlands Environmental Assessment Agency.

It has been decided to apply a maximum CO2 emission so that the instrument is closely aligned with the objective of the law (CO2 reduction). This is in contrast to, for example, a maximum number of full-load hours that a coal-fired production installation may operate. The measure was designed to guarantee security of supply and to cause minimum disruption to the electricity market.